BigBlueToe

My experience has been that if you buy a good bike from a major bike brand, rather than a department store bike, you can sell it when your child outgrows it and recoup most of your money. I got my daughter a 7-speed Hard Rock from Specialized. It was lighter than a Wally World bike, and all the components worked flawlessly. She loved that bike. My son inherited it when she outgrew it. He also loved it and it never gave him a bit of trouble. When he outgrew it we gave it to my brother-in-law for his two boys, so we never had a chance to resell it.

I would never buy my child a department store bike, just as I would never buy one for myself. I'd rather spend a little more money for quality.

I'd also recommend buying a bike at a bike shop, rather than a departement store, for the support you'll get, from people who know bikes.