New car suggestions!

[pandemonium]

Rght so, I was asking around. The used car loans typically have higher interest rates and the prices are not *that* cheap on used cars. I guess cash for clunkers decimated the used car market.

You could get one of those 20k mileage cars used, though its not that cheap, still like $12k+. The interest on the loan is much higher. Someone who sells a car at 20k miles probably did so because it had a problem. So hmmm...

I wasn't really seeing the massive money savings to be had.

It's overtly fact that the most logarithmic depreciation for all vehicles is the first few years of its life. If cheap is the primary concern (under $20k is a clear definition here), you'd best serve that goal by buying used. The only time I'd recommend new is if: 1) you're leasing, or 2) you're buying a sports car and plan on keeping it indefinitely.

My latest loan is for a used vehicle and is 4.6% from a credit union (at the time my rating was 740). The money this person will save by buying new with a lower interest rate (extremely small difference; per BoA, the difference is 0.05%!), is largely outweighed by the extra money spent on depreciation.

Also, never, ever, ever, ever, accept a loan through the stealership or lot you're purchasing the car from. If you can, buy private and get the loan yourself. If the lot tells you they won't accept that, go elsewhere. You could even pay $800 for the car to be shipped across the country and easily save more money than the rates you'll get with some outrageous loan from the lot.

Once this is understood, the range of your options is pretty broad, and then you'll have to determine the plethora of things: size, comfort, mileage, handling, styling, etcetera.

 

[Leyawiin]

Get a cheap flight to the OC:

http://www.hbmitsu.com/new/Mitsubis...Beach+CA-63fc310c0a0a000200691263c35ac754.htm

Small SUV, one of only three that passed the new small front offset test by the IIHS (and got a Top Safety Pick+ rating), four wheel drive, 18" alloy wheels, CVT, NAV screen with back up camera, the usual power and safety stuff, 5/60K bumper to bumper and 10/100K power train warranty. $19,990.

Actually flew down there to this dealer to get a Lancer Sportback GTS in 2011. Saved about $3,500 over prices in the North State even with the Jet Blue ticket.

 

[monkeydelmagico]

The used cars you see that are a couple years old with @20K miles are usually 24month/10,000mile-p/year lease returns. There is nothing wrong with them, and the original owner ate the new car depreciation.

+1 on the lease turn in being great choices. For $20K the CPO lot is you oyster. You can get some nice rides that are, arguably, better value than a new car.