[mox1]

There's a very long tail of used cars. When you are talking CPO (certified pre-owned), you are talking 0-3 years old, with perhaps 50,000 miles or less (15k-30k probably the sweet spot). Sometimes these can be a good deal, sometimes you can get like 5-10% off the new price (which seems not worth it...to me)

The OP talking about a $5,000 car is talking about a 10-20 year old car with 100,000+ miles.

Both cars appeal to a different set of buyers. The CPO car effectively competes against new cars.

It's not uncommon at all today to see a car tick over 200,000+ miles, so buying a car for $5,000 with 100,000 miles on it can be seen as a pretty good deal. Usually people would recommend a good Japanese / Korean car (Toyota, Honda, etc.).