Why would anyone pay this for a car/truck? I mean, this is about 1/4 the cost of a reasonable house in a decent neighborhood. Nothing spectacular, but for $168,000, you could get into something decent.
Houses generally appreciate over time. Cars depreciate 1/3->1/2 of their total value in the first 18 months.
So why do people buy these things?
I work with guy who does basically the same thing that I do. I'm guessing that he makes $50,000 gross per year. Let's say that 1/3 of that goes to taxes and 401k, so he ends up with a yearly income of $33333. He just bought a new Chevy full size, extendo cab, 4x4 truck. The truck was slightly more than what he makes in ONE FULL YEAR!
He didn't put down any money. He didn't trade a vehicle in on this one. He bought it at 0% interest for 60 months, and will make $585+ monthly payments for five years.
Why are people will to spend an entire year's earnings on a vehicle? It's not an investment for sure.
Oh ya. He bought this truck as a replacement for his 2001 Saturn SC1 with 70,000 miles that he bought with home equity.