is buying a newer car worth it?

[brianmanahan]

Used car prices are at their highest in almost twenty years. Lots of folks are selling cars they bought used just a few years ago for more money than they paid.

yeah no kidding! the kind of car im lookin at (honda fit or the like, somethng i can fit a bike + other junk in) sells for like 16000 new and ones that are 3 years old are selling for higher than retail! i dont get it.

 

[coloumb]

If your car is running well and doesn't need any major repairs there's no way buying a new car will save you money. Period. There's no financial way to justify purchasing one. If you want one just to have something nicer, that's a reason to get a new(er) car but you are never going to find a financial reason to replace a well running used car that's fully paid for.

/this is why I still drive my 2002 WRX [~65k miles!]. I'd rather replace parts and keep it running "forever" rather than take on more debt of a new vehicle.

 

[brianmanahan]

/this is why I still drive my 2002 WRX [~65k miles!]. I'd rather replace parts and keep it running "forever" rather than take on more debt of a new vehicle.

well i could just buy it outright but i think that might be a bad idea. ill probably wait for a few morey years

 

[DrPizza]

yeah and new car prices are at all time lows, at least for the product you get nowadays.

i suspect too that used car prices will now stay very high, because conditions of these new gas sipper cars wont be the concern- as long as they dont burn much gas, they will be worth top dollar to most people.

i never thought new cars were financially prudent either, but if gas prices stay at $4+ a gallon i could easily see why people would be willing to shell out the cash for a new car.

I had a friend who owned a large SUV - needed it to haul their camper - but because of gas prices, but a 2nd vehicle so that they could save money. Let's see how my math works out - spent $10,000 to save at the most $1000 a year on fuel.


Anyway, I was going to point out that in the used car market, scrap metal prices are pushing up the price for the cheapest vehicles. So, that broken down, non-operable vehicle is now worth close to 500 just for the scrap metal. That, I suspect, has a bit of a trickle up effect, where people check Craigslist to determine the value of their car, and know that it's worth more than the pos that doesn't even run, and mark up the value of their vehicle accordingly. Hell, we had an old pop-up camper that we've owned for nearly 10 years. Sold it for as much as I paid for it, simply because of the value of all the metal in it. (Old one with a shitload of aluminum.)

 

[JimW1949]

You know, most of us work hard to make a living and every once in awhile we would like to buy something that makes us happy. For example, I have some tools I bought that I have never really used, except to try them out to make sure they work. I bought a special molding knife for my surface planer that makes 2 door trim/window trim moldings at a time. I have never used it. I have to take out the 3 planing knives and insert the molding knife along with two other counter balance blocks and then I can make moldings. I need to make a jig to guide the wood thru the planer but once I do that, I can make moldings all day long.

Anyway, I said all that to make the point that there are times when we just want something new for a change. Instead of buying a vehicle that someone else didn't want anymore, we want to buy a brand new vehicle. I am not so sure that buying a new vehicle is such a big waste of money like some of the members here claim. But even if it is a waste of money, so what? It's our money, we earned it, we can spend it as we see fit. As long as we can afford it and not force our families to go hungry or go without a decent place to live, then what does it matter what others may think about our spending habits?

 

[zinfamous]

depends. I'm of the opinion that a ar is a tool, it is meant to do things for you, and as such, an economic, sensible car is the best option. Others have different reasons for awning a particular car, and that is fine.

My reasoning for getting a new car is that one would have the expectation to own it as long as possible and drive it into the ground. as such, the only way to truly get value out of a new car, is to do this (as you lose way too much money off the initial investment).

so, I would say that you should drive your current car into the ground, then purchase a newer one and do the same.

 

[iroast]

Value: a used car. Be certain to inspect it well if you know a lot about cars, or hire a pro.

If you can afford a new car and don't mind the depreciation, then a new car all the way.

 

[Eos]

I bought my 1996 Avalon in March of 2000 with 58k miles.

From 58k to 110k, I spent $1100 on repairs, $912 of which was 100k mile service. From 110k to now (193k), I've spent $4700 on repairs.

Cost of ownership (initial cost, fuel, and repairs) is $.302 per mile.

At the age the car is, I'm keeping a close eye on upcoming repairs.

Needs: cv axles, front rotors and pads
Wants: repair oil leak somewhere on the passenger side of engine, new front seat

That's probably another $2000 for all, under $500 for the needs.

 

[lupi]

Used car prices are at their highest in almost twenty years. Lots of folks are selling cars they bought used just a few years ago for more money than they paid.

obviously you don't know what you're talking about you partisan hack.

 

[Capt Caveman]

obviously you don't know what you're talking about you partisan hack.

Not sure if you're joking or not. If not, it may be wiser to buy new than used.

High used-car prices make it ideal time to sell

Used Cars in High Demand; Prices up 30 Percent Since 2008

The Toyota Prius is at the top of the list. A 3-year-old Prius is worth $4,100 more today than on Jan. 1. Mini Coopers and Camrys are not far behind.

Used-Car Revival: Ford Explorer for $14K

And it's not just fuel-efficient vehicles. According to the Kelley Blue Book, a 3-year-old Ford Explorer sold in 2007 would have gone for about $7,000. Today an Explorer with similar mileage on it could be sold for more than $14,000.

Supply is a big reason for the used-car revival. Americans bought 40 percent fewer new cars during the recession and held on to those cars longer.

Larry Diaco recently traded in his 2008 Dodge pickup for $20,000 -- $1,500 more than he paid for it.

 

[lupi]

Not sure if you're joking or not. If not, it may be wiser to buy new than used.

High used-car prices make it ideal time to sell

Used Cars in High Demand; Prices up 30 Percent Since 2008

you may need to reread the thread 😉

 

[Capt Caveman]

you may need to reread the thread 😉

:thumbsup: