Your teenager will not get worn out cranking down a window or reaching over to unlock the passenger-side door. Those things are nice, but they drive up the cost of the car. And as the car gets older, those are the kinds of things that tend to need repair. The next question our teen faces is how to pay for the car. Obviously the best financial choice would be to limit your choice to the amount of cash available.
Financing adds a lot to the cost of a car.
Take the '97 Civic that we talked about earlier. If you must finance, expect that mom or dad will have to take out the loan. Even if you can find a willing lender for your teen, the rates will be higher. Ask around to see what's available. One final thought.