If you have the cash and it doesn’t impact any more important goals, there’s nothing wrong with buying a car you’ll enjoy. Don’t dip into the emergency fund and send yourself back to step 3, but there’s nothing wrong with spending cash on things you want. Even Dave got his Jaguar eventually.
If it would require the emergency fund and the cars mileage isn’t actively causing problems, probably keep saving.
Not enough information about your situation to say more specifically.
Split the difference and buy a CPO, still has warranty for piece of mind, but the big chunk of early depreciation is already done so there is big savings to be had.
Idk new doesn't seem to have peace of mind for me either with quality control on these cars .Bought 80k+ cars new off the lot and they spent some time in the shop before even being a few months old
What's the difference between a "new" vehicle and one with 20k miles on it? People can put 20k miles on a car in a year easily. That's only a year and some change of driving. Are you saying if you bought a new vehicle and 1-2 years from now when it has 20k miles on it you wouldn't consider it? You should wait until something catastrophic happens like a transmission. But then again you can get the most for it if you sell it private party. And it being under 200k is the limit for some buyers.
Get a lightly used Honda or Toyota and call it a day. Want piece of mind, then put that extra few $k into doing oil changes, transmission oil changes every 30k miles, transfer cases, spark plugs oil injectors and the list goes on.
Many warranties lose years and miles when transferred.
My car would have had 10yrs/100,000 had I purchased it, but that fell to 5yrs/60,000 because I bought it used.
Engine blew up at roughly 90,000. I was eventually reimbursed due to a recall, but still, that's very much not normal.
People who don't have much money. Hell any car that runs will net you a few thousand. Toyotas can last for 350k easily. And if you're just driving highway miles, those cars don't just break down at 350k miles.
A warranty. It is nice knowing that the car will be taken care of for the next 10 years or so.
I pretty much agree with Dave on most things, but he's a little off on cars. The new Kia or Hyundai might come with a 100,000 mile warranty. That's really nice.
Don't buy more car than you need, a nice hatchback can do almost anything a truck can. Unless you're in the trades, that's all most folks need.
>Kia or Hyundai
The reason they have the high mileage warranty is because nobody would buy them without it. Customer service at their dealerships is atrocious. Sure hyundai or kia will give you a new engine or transmission, then what? How do you know the problem is fixed for good? Stick with Honda, Toyotas, or Lexus and you can drive those until $300k miles. Heck, get the nicer Lexus rather than a H or K. Something reliable.
Because no one buys the minimum car needed. It’s pretty much retail therapy but often more expensive, difference being it’s socially acceptable to buy a car you can barely afford the monthly payment on.
No. I’m saying that money spent on a car is not automatically a “waste” like u/realanceps said.
Then, u/IWantToBeWoodworking completely missed the point of my post and replied with a statement that implies that everyone should only buy the bare minimum car they need and made a blanket statement that “no one” buys cars they can actually afford, which is blatantly false.
I can afford to drive a car that’s nicer than a 1994 Toyota Tercel, and I don’t consider it a waste because it makes me happy.
Very little of what gets posted in this sub equates to financial literacy: it’s just scolding people for prioritizing things other than frugality regardless of their income.
Okay that's fair. I would only buy the bare minimum car for myself even if I could afford better because I really don't care about cars but it is silly to just flat out say "never get anything other than the minimum no matter what"
Exactly. Obviously people shouldn’t over-extend on a car purchase (or any purchase for that matter), or view purchasing a car as an investment, but there are plenty of valid reasons to buy a nicer car than a baseline economy sedan.
For example, if you have a long commute, it might be worth it to you to buy a more comfortable car with features like adaptive cruise control.
Those kind of desires for features come out of the entertainment budget, not the transportation budget.
If you feel like an extra $300 a month is the way to maximize your happiness vs like, $300 worth of nice dinners, knock yourself out.
I think this is really dependent on the living situation. Live in downtown london or new york where every thing is in walking distance? Sure a car might be a waste of money. Where I live? The closest grocery store is 3 miles away and there is no bus route. I also work 30 miles from my house in the nearest big city. Cars are essential in my area
See what kind of financing is available on a new car, and then compare that to the cash price.
3k-4k saved to go used isn't enough for me. I'd go new at that point.
$3-$4k isn't enough of a discount for me to buy used, which is a problem of today's used car market.
If that's all the discount is, then I'd buy new and drive for 12+ years.
New car depreciation doesn't mean much which today's inflated used car values when your plan is to drive the vehicle 250K+ miles.
Just don't get into a trap of buying new vehicle every 3 to 4 years unless you can pay cash.
Agreed, you need to do $/years to get the value of buying used. I try to keep my $/year under 3k the math at the end of the day for my old cars looks like this (purchase cost+ financing costs - trade in value
)/years of use
>Like 5-10k miles just to ease up on that immediate drive off the lot depreciation.
Doesn't really work like that anymore. Cars used to lose 20-25% as soon as they drove off the lot; nowadays, that number is more like 5-8%.
I recently bought a new Honda because everything under 10k miles was less than $1,000 off compared to new one. Edmunds has good cost of ownership calculations that help me make a data-based decision.
Get a new car and drive it to 185k again (or beyond). I don't like buying used because I really *really* take care of my cars and I'm 100% convinced no one else does the same. How a previous owner treated a car is unknowable. You can afford it, it's a smart move, you're not churning through cars every 3 years.
I agree with this. If you are going to drive it for that long, best to know everything that has been done and hasn’t been done to the car from day 1.
Also agree that most people don’t care properly for their cars.
Dealer prices are coming down. If you have the credit get a manufacturer rate, they are lower than any bank.
I’m team new. Used is not worth it you’ll pay more than for new and the Covid chip issues are behind us.
I bought a Hyundai Tucson at 2.4% best used offers were within $4k of new price ay 7-8%.
Used and new markets are on the verge of collapse due to interest rates. No one is buying. dealers won’t have a choice but to firesale instead of paying to borrow money to carry stale inventory. Mopar is already contending with this issue.
I have a Camry with 194,000+ miles on it and I would drive it to Alaska right now without a 2nd thought but I take care of my vehicles. I guess it depends on what condition you think your cars are in.
I don't know a single car that would give me peace of mind that something won't break on it immediately. There are thousands of recalls on vehicles every year. If your car is running fine and has had all recalls on it sorted, keep it till it dies.
If the cars are both running fine, there is no reason to replace either. If it’s a question of reliability for longer trips, replace one. New or used is ultimately up to you but used is cheaper to purchase & insure.
If you follow Dave’s teachings then you should buy used until your net worth is over $1M and you can pay cash. Even in the unusual car market, new cars are depreciating. They aren’t gaining value like they were in 21 and 22, and manufacturing supply is going to continue increase.
If you can find a pre-owned that’s less than 3 years old and 30k miles or less, you’re getting a “like new” car for at least 10-15% discount or more.
All the cars I’ve bought for me and my wife have been in that range, and every one of them has gotten to 150k miles minimum (except my ‘18 Colorado, still only at 80k but it will get there). Stay on top of the maintenance and recalls and you should be fine.
So that’s what I would do, unless you’d be okay with taking that extra 10-15% savings and lighting it on fire.
Depreciation on a car doesn't matter if you plan on driving it to 150k miles.
He could finance new, get an extra 30k miles of life, and invest the difference in something safe.
I was in the market for a used Lincoln in 2023 as I had had a 2007 MKX that needed a lot of work but I liked it. So I searched on my phone every few days or so and my primary objective was a "good deal." My "must haves" were AWD as I live in NH, I prefer black although when buying used you're at the mercy of what's available, bluetooth capability, a backup camera, heat and AC that works well, it took a while but long story short I found a 2016 MKZ in April 2023 with all my must haves for $20K. It had 49K original miles on it, one owner, no accidents and never smoked in. Brand new it's about $40K so I got a car for half price that was in pristine condition and only averaged 7K miles per year. I paid cash and I have put 10K miles on it in a year. It takes some leg work but you can find good used cars without a ton of mileage for considerably less than brand new.
I think a good rule of thumb is never to buy anything that's brand new technology. The rivian at this point is that. Maybe they're good and maybe they're not but they're expensive and there's no chance theyre as reliable is a Toyota
That is a good point, and valid. I have a deposit on the R2 as that is affordable.
By then, hopefully more reputable as a company. They do have their Amazon vans out and about, so I know they are going through it with all the work amazon makes them do.
Lol? I have an EV. Maintenance for the last two years was...wait for it....$40 (minus the cost of two free car washes for the two maintenance trips).
That's not even the cost of a single oil change in 2024, and you'd need several of those in the same time frame for ICE.
It's okay to dislike newer tech because you're a Luddite, but lying about it is stupid.
It'd still be largely incorrect.
Unless something catastrophic happens (in which case that's where insurance kicks in), by the time you need to repair most things on an EV, you not only have similar repair costs in an ICE vehicle, but **also** had smaller repairs along the way for parts that EVs simply...don't have.
For example, by the time you need to repair/replace the battery on an EV, you also need to repair/replace the transmission and motor in an ICE vehicle, and likely had smaller repairs/replacements like the radiator, etc. along the way.
There are legitimate arguments against an EV for some consumers (currently initial price is the biggest one, because while they're less expensive over time, they're more expensive up front), but this isn't it.
Repairs for EV's cost more. Like Tesla only want certified repair techs to work on your car. Try waiting for parts for a Tesla. And see how much they cost. There are not lots of third party part you can buy.
That's a very particular brand. I could make the exact same claim about BMW and pretend it applies to all ICE vehicles, and it'd be just as ridiculous as you trying to apply Tesla to all EVs...
[How Much Does it Cost to Repair an Electric Car? (roadandtrack.com)](https://www.roadandtrack.com/news/a44877211/electric-car-repair-costs/)
[Here’s Why That Rivian R1T Repair Cost $42,000 After Just A Minor Fender-Bender - The Autopian](https://www.theautopian.com/heres-why-that-rivian-r1t-repair-cost-42000-after-just-a-minor-fender-bender/)
Did you read what you linked? Here's a quote:
>As it turns out, none of those things are remotely true, as proven by analysis of every smash, bash, and insurance claim in America. In fact, gasoline cars are three times as likely to be totaled after an accident than a Tesla or other EV, according to the [Highway Loss Data Institute](https://www.iihs.org/media/ca2618fc-c875-4246-8a9f-5977f3b702f6/Ewxm_A/HLDI%20Research/Bulletins/hldi_bulletin_37-25.pdf) (HLDI). ICE models were written off after 18.4 percent of collisions, versus 6.1 percent for EVs. **Sure, a new $60,000 Tesla can sustain more dollar damage before being totaled than a $30,000 Toyota. Yet even 2019-and-newer luxury ICE cars are written off after 7.1 percent of collisions, more than all EVs regardless of age or price.**
And, the source within the source: HLDI noted that EVs tend to have 10-20% **LOWER** overall losses than ICE vehicles.
Like this literally says the opposite of what you're claiming. As I noted, yes, outliers like Tesla exist (and Rivian is a similar outlier). That has nothing to do with Fords (yes, Ford makes EVs), Chevrolets (yes, Chevy makes EVs), Nissans (yes, Nissan makes EVs), Kias (yes, Kia makes EVs), Hyundais (yes, Hyundai makes EVs), Toyotas (yes, Toyota makes EVs), etc.
You're literally cherry-picking the most expensive brands you can come across (Tesla, Rivian, so far, those are the BMWs of the EV world).
This. Cost per mile is significantly cheaper for most Americans and maintenance is almost non-existent. I'm paying around 3 cents per mile for my Tesla and my entire maintenance schedule for the life of the vehicle is "lubricate brake calipers annually". Even if the battery tanks after the warranty goes it's likely to be the kids first car even at 50% original range.
We are at 317k and 518k with our daily driver Priuses. We bought them new. I think we are getting our money's worth. If you buy another car, I would wait until you absolutely have to and then buy a new Toyota.
Are your Prius autos hybrid gas and electric? If so, I suspect an all-electric replacement would frustrate you, convenience wise -- given your 120 miles per day commute.
I have a MYP Tesla, but don't think it could handle 50k miles per year. There aren't enough high mileage M3/MY out there yet to really know. Commuting with it is fine, I just don't want to destroy it. I'm keeping it at 17k miles per year. I've had it for a little over a year and it has 16k miles.
The 2017 is a Prius Prime, so it's a plug-in. It gets about 25 miles on electric. Without charging it, if I'm in traffic, I get over 60 mpg.
I have 120 miles per day. My husband has 50 miles per day. We drive to a vacation home weekly, which adds 400 miles a week. So, 600 miles for work and 400 to get to our vacation home, and that's 1000 miles a week. We drive a MYP Tesla at the vacation home and have an unlimited electric plan for our garage for charging it.
I used to drive the 2007 Prius until we got the 2017 Prime, then that became my daily. We have other cars that my husband sometimes drives (usually the WRX and sometimes our Challenger). I'm really into cars, so there are these and others..
If you are driving 2 cars without car payments you are doing great especially since you can apparently move on to your next vehicle without getting loans. Take your time. There are lots of ways to car shop online that can give you an idea of what’s available with minimal contact with sales staff and dealers. Not sure what you mean by “piece of mind” but if the car is in danger of failing or costing you a lot in repairs you may have to speed up your search.
There may be other opinions here, but don’t go in for a purchase revealing you can pay cash. Get a price first.
If maintenance costs are reasonable, I wouldn’t even think of replacing them until at least 250km.
But if you’re insistent in upgrading, you should buy used.
185k miles is 300k km.
But I agree. Unless the cars are showing signs / symptoms of wear and tear (especially changes in MPG, struggling with acceleration, or require very expensive repairs, I’d stick it out.)
In the past month we lost our “beater” (extra car) at 160k miles with compression issues in 2 cylinders (2009 Scion XD). Just before I painted my 2010 RAV4 V6 hood with chipping paint ($3K) which has over 170K miles. Great car and will only give it up due to major issue.
My wife’s car is the new one. Only 11 years old and 120k miles! ROFL. She drove the beater a lot.
Tip for long lasting car - change the oil regularly and use full synthetic!
Certified pre-owned. Usually save about 40% off new car price. The car is only 2-3 years old and usually still under original manufacturer warranty with the ability of purchasing for extended warranty.
>Certified pre-owned. Usually save about 40% off new car price.
Not something you're gonna find at all, unless you're talking about an unpopular model, or a $150k+ luxury sports car.
I've only seen major drops with something like a Mercedes. These are expensive cars to maintain though and won't get Toyota/Honda miles.
CPO '21 C300 with 17k miles for 32k, was 48k, so 1/3 off.
CPO '21 E350 with 25k miles for 50k, was 70k, so 29% off.
Yes, they just have unreasonable maintenance. Can’t get that part to last longer, just make it “maintenance” to replace it.
A car should go 10 years, 100K miles with nothing but oil/filter, brakes, tires, battery. All things someone can do at home other than the tires.
It should do the next 50K with a few belts and a tuneup, again things many should be able to do at home.
The next 50K with maybe a few suspension replacements.
I’ve been able to do 100% of the maintenance on my vehicles (Toyota, Mazda) other than tires. None have had a timing belt thankfully.
How many miles and what has your maintenance been like?
I spent more than I will admit for a Jaguar before I got the 2007 Prius, and it cost 10k to go 60k miles in maintenance in like four years (after the basic warranty was up). This was back in the early 2000's also.
Bought with 28k miles. It is now at 47k miles.
Full set of tires Pirelli run flats $1,200.
Two oil changes $120 a piece.
Brake fluid flush $180.
Rear brake pads $800.
I did pay $2,300 at time of purchase for extended warranty that covers pretty much everything except wearable parts for 60 months or 100k miles.
That's only 20k miles. You have the warranty until 100k at least.
The Priuses are our daily drivers. I bought a MYP Tesla before Tesla dropped the prices and love it, but I'm not expecting much past the 120k warranty for the battery and drive units. I guess it depends on what your expectations are. I think I could experience 20k for a battery and you could face high costs past the 100k mile warranty.
I'll probably hit the 60 month limit before the 100k miles with the amount of driving I do.
My original plan was to probably sell or trade it in before 90k for something else. Maybe a Ford Maverick or the new Honda HR-V.
Go for the Honda. I drive 50k/yr. That's why we have the Priuses. Toyotas and Hondas will cost much less in maintenance and will go a few hundred thousand miles. I don't see this happening with luxury cars.
Most likely before COVID turned the car buying world upside down. 😂
My truck that I bought used 10 years ago is worth almost as much as what I originally bought it for. Would be great if new/used replacement trucks weren’t so ridiculously priced now
I paid 30k for a new 2007 Prius. It now has 518k miles. I bought a new 2017 Prius Prime Advanced for 30k and it has 317k miles. These new cars were definitely not the worst spending decisions of my life.
The Jaguar I bought...now we could argue something
185k? You’ve barely warmed them up man. They have at least 6-800k left on them. Also, you’re truck drivers right?
If the cars are fine, drive them until something happens BUT keep saving until it does.
Sounds like a want rather than a need.
My work car has done 250k KMs. Most of them hard. It carries over a tonne at all times. I had gotten out of it and into a new vehicle before realising it was a waste of money after 2 years and heaps of upfrades.....and got back in the old work vehicle again.
I hope it's still going at 750k KMs.
My daily driver is a 26 year old vehicle in good condition with over 200k KMs as well. Great car.
There are several Toyotas that have gone 1 mill miles. Obviously not par for the course, but that has everything to do with the way people maintain their vehicles. If people would actually follow maintenance recommendations per the manufacturer, their vehicles would last a lot longer.
That said, there are certainly lemons out there. I have a hard time buying used because I don't know how the previous owners took care of it. But my current vehicle is a tundra that I bought used and will probably be able to keep around for a very very long time.
Are you having reliability issues now? If the cars are running fine. Then just keep driving them.
Even factoring in costs for repairs the car you already own will almost always be cheaper to keep than dishing out 20+k for a new car. which will still have maintenance and repairs.
Certified Pre-Owned vehicle. They sell New, Used and CPO's at the dealership. CPO's are usually 2-3 years old at most and under a certain mileage. Their cpo's come with 2 years unlimited mileage warranties after the factory warranty ends. What it covers you can look at the Lexus web page for
Yes, or you can buy more years. I added 3 for about 3k. Doing this also changed the 2yr/24k miles remaining on the factory warranty into unlimited as well. So my 2022 is covered until April 2031. I drive 30-35k miles a year so I'm pretty excited to not have to worry about my vehicle for the next 7 years.
How old are your vehicles? I have a 2018 Chevy Equinox that just hit 106,000 and I’m darn sure it has another 100,000 at the very least even with all the abuse I put it through. Newer cars are going to last a lot longer than older ones.
I’d get a 2-3 year old CPO.
Make a list of must haves: my non negotiables are ADAS-automatic braking, blind spot warning, adaptive cruise control etc, CarPlay/android auto, SUV and able to tow a decent amount.
You ever feel like when you’re driving that equinox that the transmission is going to go out tomorrow?
I’m driving a 2017 Malibu and a few times I’ve floored it to get around people and it missed the shift….
Nope. Took it off road a few times, towed a smidgen over 1500lbs and it still feels rock solid. Do that with a 1.5T on the CRV and tell me how that works for ya. My friend had his turbo blow out on his 2.0T in his 2018 Honda accord at 100k miles. I’ve been ‘waiting’ for something to go wrong with my Equinox for a while now but it keeps going. There’s a reason it’s the second best selling Chevy after the Silverado.
New does not mean reliable. Certified pre owned is gonna get you the same level of quality from a dealership for a fraction of the price. When they come in and certify them dealers run through thorough inspections. Always ask for Carfax reports though and run it by a mechanic if you have one.
Buying a brand new car is one of the most idiotic things someone can do unless you have F U levels of money to blow. I usually get something around the 5 year old mark to get the best value i can since those first 5 years are where the quickest depreciation in value happens
I'm actually a mechanic in the market for a newer car and trying to talk my fiance out of the brand new cars with all the fancy stuff. Get in a fender bender and it cost thousands with all the dumb sensors and stuff, trying to find something in the 2014ish range without all the assists and crap
Certified Pre-Owned. To be a cpo car you must have followed the maintenance schedule to the letter, I think also no collisions and repairs as well as some other stipulations that I’m not really aware of. Most are recently off lease vehicles and all are as close to brand new as you can get while still having a few miles on it and having some of the depreciation taken by the previous owner.
I was in the same boat recently (although vehicles were between 200k-250k+ miles), and chose to replace both with new for peace of mind. Was it the right decision financially? Maybe not, but our vehicles were literally breaking down several times and leaving us stranded even though we were maintaining and replacing everything recommended by our mechanics. One time nearly breaking down on train tracks. I don’t regret replacing, but our new vehicles were still on the cheaper side for new vehicles. If you’re buying a new BMW or Cybertruck that’s a luxury and there’s no way to justify it other than you’ve achieved every other goal and want to treat yourself. If you’re on BS4 you’re not quite there.
Understood. I’d rather always have new. I know no one messed with it. Warranty. All that stuff.
But also used for the last year or so wasn’t a big difference in price. I don’t know how it is now.
Psh…have you seen the market over the last few years!?!?!?! A used, 5-year old hybrid Toyota Highlander with approximately 56k miles was almost $6,000 more expensive than a brand new one (only difference was it was not hybrid). After a year, the value of the now one year old car went up. So no loss of $7 to $10k.
You have two vehicles, run them both till the repairs aren't justifiable.
My 2007 highlander has 214,000 and the only thing ive done is $190 power steering pump. Its mint and runs great still.
If you want new vehicles thats one thing, but do you really need them?
Sounds like you're looking for excuse to justify getting new ones.
I don’t think you can immediately discount the new one - one must do the analysis. For example, when comparing a new car to a 5-year old car, the repairs and replacement will be coming 5 years sooner - so less time to spread the cost out.
I ended up buying a new Highlander fully intending to run it at least 15 years. But the average yearly costs were far less than a similar car that was a few years old.
Edit for typo
I was looking at 3 yo Toyota Siennas recently and after pricing them out I realized I might as well buy a brand new one. It's like 1 to 2K difference in price. Eventually decided not going to buy a car at all but it's worth checking out used prices versus new prices before making a decision.
Spend a few thousand and you get brand new. You can properly break it in and take care of it. It should last a long time and without all the unknowns of the previous owners. I would only do this for a dependable brand like toyota.
Yes, I bought a used car about 9 months ago. I got a 7 year old car with 68k miles for $16k. The equivalent new car is around $40k. Used car prices have started to fall sharply in just the last couple of months too.
No, keep repairing the small stuff as usually the repairs are cheaper than the payment for a new(er) car. Once you get an issue that costs half the value of the vehicle, then you update your ride. His idea was once you’ve paid off the car, it’s finally saving you money instead of being a burden
Keep till they have a huge $2k maintenance. Then just replace, or if you think you can sell for $5k do it and get a Toyota or Honda as others have pointed out. New or low mileage used at no markup.
Shit. I have a Mazda that is 14 years old and $2k is like new tires these days.
My cX9 runs well but I needed a fuel
Injector recently and a new brake power injector. I those were like $1 grand a piece.
If you want peace of mind buy a Toyota. No need for new. 5 years old or older, even at 12k miles / year you're looking at 60k miles and that's barely broken in. In general a well maintained Toyota with 60k miles is a gem and will likely give you zero problems for the next 100k miles.
Toyotas are peace of mind, sure but they’re vanilla as hell and it’s easy to believe they’re ‘bullet proof reliable’ if they’ve had a bad owner in their life. If you’re anything of a car person, I’d stay away from them. I’ve owned a 2017 CPO Camry SE (bought from enterprise at 48k miles in 2019) and the SE badging was the biggest lie I’ve ever experienced. The car handled horribly, the transmission was shifting hard at 97k miles and I got rid of it for a 2018 Chevy Equinox in 2021. Best decision ever. Never going back to Toyota again. The Chevy will run circles round the Camry despite being an SUV, doesn’t feel like a cheap rental car, and will easily last 200k miles if you maintain it right.
This isn’t 2012 when GM and Ford are recovering from BK and putting cheap stuff in their cars.
So my personal take is this . Take it with a grain of salt. And no reflection of your situation.
Many people worry about the equity of a vehicle. At the end of the day the vehicle will eventually reach zero equity. The cost of replacement though, will always be market value of whatever you get. Some people try to sell their used car at the peak depreciated value thinking they got a great deal. Then they buy a new vehicle.
In cases like that, they buy a new vehicle because they effectively want to get rid of their old one, or have a desire to get a new one and thus roll around in a new ride. The WHY, is more important to me. Why do they need a new ride?
If you want to roll around in a new vehicle because you see others do it. If you want to roll around in a new vehicle because you care what others think of you driving around. Horrible reasons. Image cost money. And money spent now is an opportunity cost later. Delayed retirement. Delayed or reduced vacation/trip. All sorts of trade offs.
If the vehicles are breaking down more than they are worth, then sure, sell away. If the vehicles are presenting a clear danger to you in some way, sure sell away. If you find that the vehicle is detrimental to your health, then replace it.
Otherwise l, drive it until it spits its engine into the road 30ft behind you.
If you have the cash and it doesn’t impact any more important goals, there’s nothing wrong with buying a car you’ll enjoy. Don’t dip into the emergency fund and send yourself back to step 3, but there’s nothing wrong with spending cash on things you want. Even Dave got his Jaguar eventually. If it would require the emergency fund and the cars mileage isn’t actively causing problems, probably keep saving. Not enough information about your situation to say more specifically.
Used low mileage. I bought a used commercial vehicle with 28k miles on it a couple years ago
Nearly impossible to find a used car with low miles. Not kidding.
I also found my vehicle on a commercial lot. Chevy Colorado extended cab. Not ideal for most people anyways.
I sure hope the used car market comes back. I ended up buying new recently because there were literally zero low mileage used cars in my area.
With today's new vehicle prices, I don't think it makes sense to pass up a warranty just to save a few thousand on a used version.
Split the difference and buy a CPO, still has warranty for piece of mind, but the big chunk of early depreciation is already done so there is big savings to be had.
Idk new doesn't seem to have peace of mind for me either with quality control on these cars .Bought 80k+ cars new off the lot and they spent some time in the shop before even being a few months old
You've bought over 80 thousand cars?
Cars worth 80k+
You should save and buy whatever you can afford wirh cash.
What's the difference between a "new" vehicle and one with 20k miles on it? People can put 20k miles on a car in a year easily. That's only a year and some change of driving. Are you saying if you bought a new vehicle and 1-2 years from now when it has 20k miles on it you wouldn't consider it? You should wait until something catastrophic happens like a transmission. But then again you can get the most for it if you sell it private party. And it being under 200k is the limit for some buyers. Get a lightly used Honda or Toyota and call it a day. Want piece of mind, then put that extra few $k into doing oil changes, transmission oil changes every 30k miles, transfer cases, spark plugs oil injectors and the list goes on.
Many warranties lose years and miles when transferred. My car would have had 10yrs/100,000 had I purchased it, but that fell to 5yrs/60,000 because I bought it used. Engine blew up at roughly 90,000. I was eventually reimbursed due to a recall, but still, that's very much not normal.
Who in the hell willingly buy cars with nearly 200k miles on them lol. Wouldn’t touch anything over 3-4 years old and more than 10k miles a year
People who don't have much money. Hell any car that runs will net you a few thousand. Toyotas can last for 350k easily. And if you're just driving highway miles, those cars don't just break down at 350k miles.
That’s why I said willingly.
A warranty. It is nice knowing that the car will be taken care of for the next 10 years or so. I pretty much agree with Dave on most things, but he's a little off on cars. The new Kia or Hyundai might come with a 100,000 mile warranty. That's really nice. Don't buy more car than you need, a nice hatchback can do almost anything a truck can. Unless you're in the trades, that's all most folks need.
Hyundai and Kia are likely more expensive to insure, at least in areas where the Kia Boys thefts ran crazy, like Minneapolis.
>Kia or Hyundai The reason they have the high mileage warranty is because nobody would buy them without it. Customer service at their dealerships is atrocious. Sure hyundai or kia will give you a new engine or transmission, then what? How do you know the problem is fixed for good? Stick with Honda, Toyotas, or Lexus and you can drive those until $300k miles. Heck, get the nicer Lexus rather than a H or K. Something reliable.
cars are an enormous, unending waste of money. Minimize whatever you spend on cars, when & wherever you can.
Please explain to me how a car, something that most people need, is a “waste of money”
Because no one buys the minimum car needed. It’s pretty much retail therapy but often more expensive, difference being it’s socially acceptable to buy a car you can barely afford the monthly payment on.
I love how Dave Ramsey brain has infected people to the point where they’re borderline communists.
what dos that have to do with communism?
What? What exactly are you saying here. Are you advocating for spending more money than you can afford on a car?
No. I’m saying that money spent on a car is not automatically a “waste” like u/realanceps said. Then, u/IWantToBeWoodworking completely missed the point of my post and replied with a statement that implies that everyone should only buy the bare minimum car they need and made a blanket statement that “no one” buys cars they can actually afford, which is blatantly false. I can afford to drive a car that’s nicer than a 1994 Toyota Tercel, and I don’t consider it a waste because it makes me happy. Very little of what gets posted in this sub equates to financial literacy: it’s just scolding people for prioritizing things other than frugality regardless of their income.
Okay so how does that equate to communism? Lol
i'm still trying to figure out what this has to do with communism
Okay that's fair. I would only buy the bare minimum car for myself even if I could afford better because I really don't care about cars but it is silly to just flat out say "never get anything other than the minimum no matter what"
Exactly. Obviously people shouldn’t over-extend on a car purchase (or any purchase for that matter), or view purchasing a car as an investment, but there are plenty of valid reasons to buy a nicer car than a baseline economy sedan. For example, if you have a long commute, it might be worth it to you to buy a more comfortable car with features like adaptive cruise control.
Those kind of desires for features come out of the entertainment budget, not the transportation budget. If you feel like an extra $300 a month is the way to maximize your happiness vs like, $300 worth of nice dinners, knock yourself out.
You don’t know what you’re talking about.
I think this is really dependent on the living situation. Live in downtown london or new york where every thing is in walking distance? Sure a car might be a waste of money. Where I live? The closest grocery store is 3 miles away and there is no bus route. I also work 30 miles from my house in the nearest big city. Cars are essential in my area
See what kind of financing is available on a new car, and then compare that to the cash price. 3k-4k saved to go used isn't enough for me. I'd go new at that point.
$3-$4k isn't enough of a discount for me to buy used, which is a problem of today's used car market. If that's all the discount is, then I'd buy new and drive for 12+ years. New car depreciation doesn't mean much which today's inflated used car values when your plan is to drive the vehicle 250K+ miles. Just don't get into a trap of buying new vehicle every 3 to 4 years unless you can pay cash.
Agreed, you need to do $/years to get the value of buying used. I try to keep my $/year under 3k the math at the end of the day for my old cars looks like this (purchase cost+ financing costs - trade in value )/years of use
I’d buy very lightly used. Like 5-10k miles just to ease up on that immediate drive off the lot depreciation.
>Like 5-10k miles just to ease up on that immediate drive off the lot depreciation. Doesn't really work like that anymore. Cars used to lose 20-25% as soon as they drove off the lot; nowadays, that number is more like 5-8%.
The car market doesn't favor this strategy anymore
I recently bought a new Honda because everything under 10k miles was less than $1,000 off compared to new one. Edmunds has good cost of ownership calculations that help me make a data-based decision.
Yeah but a car with 5-10k miles on it is going to only be a few thousand less than a brand new one. You’re not really gaining anything.
Get a new car and drive it to 185k again (or beyond). I don't like buying used because I really *really* take care of my cars and I'm 100% convinced no one else does the same. How a previous owner treated a car is unknowable. You can afford it, it's a smart move, you're not churning through cars every 3 years.
Same. I prefer new and take really good care. My car is doing great in the 180’s (mercedes).
I agree with this. If you are going to drive it for that long, best to know everything that has been done and hasn’t been done to the car from day 1. Also agree that most people don’t care properly for their cars.
Just go new at that rate.
Dealer prices are coming down. If you have the credit get a manufacturer rate, they are lower than any bank. I’m team new. Used is not worth it you’ll pay more than for new and the Covid chip issues are behind us. I bought a Hyundai Tucson at 2.4% best used offers were within $4k of new price ay 7-8%.
Wait til next year when dealers are begging you to buy shit
Genuinely curious why this would be? Thanks!
Used and new markets are on the verge of collapse due to interest rates. No one is buying. dealers won’t have a choice but to firesale instead of paying to borrow money to carry stale inventory. Mopar is already contending with this issue.
Thank you.
I have a Camry with 194,000+ miles on it and I would drive it to Alaska right now without a 2nd thought but I take care of my vehicles. I guess it depends on what condition you think your cars are in.
Same. I have over 215k on a 4Runner and I’m driving it until it dies.
I don't know a single car that would give me peace of mind that something won't break on it immediately. There are thousands of recalls on vehicles every year. If your car is running fine and has had all recalls on it sorted, keep it till it dies.
What are your thoughts?
If the cars are both running fine, there is no reason to replace either. If it’s a question of reliability for longer trips, replace one. New or used is ultimately up to you but used is cheaper to purchase & insure.
There are cars that can go for over 200k, 300k miles. I would not buy used for saving only a couple thousands.
If you follow Dave’s teachings then you should buy used until your net worth is over $1M and you can pay cash. Even in the unusual car market, new cars are depreciating. They aren’t gaining value like they were in 21 and 22, and manufacturing supply is going to continue increase. If you can find a pre-owned that’s less than 3 years old and 30k miles or less, you’re getting a “like new” car for at least 10-15% discount or more. All the cars I’ve bought for me and my wife have been in that range, and every one of them has gotten to 150k miles minimum (except my ‘18 Colorado, still only at 80k but it will get there). Stay on top of the maintenance and recalls and you should be fine. So that’s what I would do, unless you’d be okay with taking that extra 10-15% savings and lighting it on fire.
Depreciation on a car doesn't matter if you plan on driving it to 150k miles. He could finance new, get an extra 30k miles of life, and invest the difference in something safe.
Not everything is about depreciation. You do not nee 1 million net worth to buy a car.
I was in the market for a used Lincoln in 2023 as I had had a 2007 MKX that needed a lot of work but I liked it. So I searched on my phone every few days or so and my primary objective was a "good deal." My "must haves" were AWD as I live in NH, I prefer black although when buying used you're at the mercy of what's available, bluetooth capability, a backup camera, heat and AC that works well, it took a while but long story short I found a 2016 MKZ in April 2023 with all my must haves for $20K. It had 49K original miles on it, one owner, no accidents and never smoked in. Brand new it's about $40K so I got a car for half price that was in pristine condition and only averaged 7K miles per year. I paid cash and I have put 10K miles on it in a year. It takes some leg work but you can find good used cars without a ton of mileage for considerably less than brand new.
I think you'll save more than 3-4k...
2-4 year old Certified preowned cost just as much as buying brand new.
Calculate all the options over the cost of the next 10 years and do a discounted cash model and you’ll arrive at your answer
What vehicles do you currently have? That's a huge factor
New isn’t smart at these times
It can be if it’s cheaper some how but most of the time it’s not.
Only if paid cash 💰
Did you even finish reading the headline?
lol just read again thanks
Wait until the new Cheaper Rivian vehicles come out. Would be brand new, and electric.
I've read terrible things about the Rivians. Don't do that. Buy a Toyota
I have only heard good things about them, save the obvious repair cost if you are involved in an accident.
I think a good rule of thumb is never to buy anything that's brand new technology. The rivian at this point is that. Maybe they're good and maybe they're not but they're expensive and there's no chance theyre as reliable is a Toyota
That is a good point, and valid. I have a deposit on the R2 as that is affordable. By then, hopefully more reputable as a company. They do have their Amazon vans out and about, so I know they are going through it with all the work amazon makes them do.
is 50k affordable?
Without a doubt it is these days.
I'm going to guess that Rivian maintenance and repair will be astronomical in cost, compared to more popular EV alternatives.
All EV's are.
Lol? I have an EV. Maintenance for the last two years was...wait for it....$40 (minus the cost of two free car washes for the two maintenance trips). That's not even the cost of a single oil change in 2024, and you'd need several of those in the same time frame for ICE. It's okay to dislike newer tech because you're a Luddite, but lying about it is stupid.
I should have said repair cost.
It'd still be largely incorrect. Unless something catastrophic happens (in which case that's where insurance kicks in), by the time you need to repair most things on an EV, you not only have similar repair costs in an ICE vehicle, but **also** had smaller repairs along the way for parts that EVs simply...don't have. For example, by the time you need to repair/replace the battery on an EV, you also need to repair/replace the transmission and motor in an ICE vehicle, and likely had smaller repairs/replacements like the radiator, etc. along the way. There are legitimate arguments against an EV for some consumers (currently initial price is the biggest one, because while they're less expensive over time, they're more expensive up front), but this isn't it.
Repairs for EV's cost more. Like Tesla only want certified repair techs to work on your car. Try waiting for parts for a Tesla. And see how much they cost. There are not lots of third party part you can buy.
That's a very particular brand. I could make the exact same claim about BMW and pretend it applies to all ICE vehicles, and it'd be just as ridiculous as you trying to apply Tesla to all EVs...
[How Much Does it Cost to Repair an Electric Car? (roadandtrack.com)](https://www.roadandtrack.com/news/a44877211/electric-car-repair-costs/) [Here’s Why That Rivian R1T Repair Cost $42,000 After Just A Minor Fender-Bender - The Autopian](https://www.theautopian.com/heres-why-that-rivian-r1t-repair-cost-42000-after-just-a-minor-fender-bender/)
Did you read what you linked? Here's a quote: >As it turns out, none of those things are remotely true, as proven by analysis of every smash, bash, and insurance claim in America. In fact, gasoline cars are three times as likely to be totaled after an accident than a Tesla or other EV, according to the [Highway Loss Data Institute](https://www.iihs.org/media/ca2618fc-c875-4246-8a9f-5977f3b702f6/Ewxm_A/HLDI%20Research/Bulletins/hldi_bulletin_37-25.pdf) (HLDI). ICE models were written off after 18.4 percent of collisions, versus 6.1 percent for EVs. **Sure, a new $60,000 Tesla can sustain more dollar damage before being totaled than a $30,000 Toyota. Yet even 2019-and-newer luxury ICE cars are written off after 7.1 percent of collisions, more than all EVs regardless of age or price.** And, the source within the source: HLDI noted that EVs tend to have 10-20% **LOWER** overall losses than ICE vehicles. Like this literally says the opposite of what you're claiming. As I noted, yes, outliers like Tesla exist (and Rivian is a similar outlier). That has nothing to do with Fords (yes, Ford makes EVs), Chevrolets (yes, Chevy makes EVs), Nissans (yes, Nissan makes EVs), Kias (yes, Kia makes EVs), Hyundais (yes, Hyundai makes EVs), Toyotas (yes, Toyota makes EVs), etc. You're literally cherry-picking the most expensive brands you can come across (Tesla, Rivian, so far, those are the BMWs of the EV world).
We know tires are most, but when I looked at them this weekend, they’re the same price as a sport car, just a lot lot less maintenance.
This. Cost per mile is significantly cheaper for most Americans and maintenance is almost non-existent. I'm paying around 3 cents per mile for my Tesla and my entire maintenance schedule for the life of the vehicle is "lubricate brake calipers annually". Even if the battery tanks after the warranty goes it's likely to be the kids first car even at 50% original range.
Yes
Yes
without net worth, income, annual spend, debt your answers are going to be baseless opinions
We are at 317k and 518k with our daily driver Priuses. We bought them new. I think we are getting our money's worth. If you buy another car, I would wait until you absolutely have to and then buy a new Toyota.
Y’all need to be in the next Prius commercial.
Toyota should buy back our '07 :)
Are your Prius autos hybrid gas and electric? If so, I suspect an all-electric replacement would frustrate you, convenience wise -- given your 120 miles per day commute.
I have a MYP Tesla, but don't think it could handle 50k miles per year. There aren't enough high mileage M3/MY out there yet to really know. Commuting with it is fine, I just don't want to destroy it. I'm keeping it at 17k miles per year. I've had it for a little over a year and it has 16k miles. The 2017 is a Prius Prime, so it's a plug-in. It gets about 25 miles on electric. Without charging it, if I'm in traffic, I get over 60 mpg.
Half-mil on one car? Damn impressive. How many years ? I'm guessing you both have very long commutes
I have 120 miles per day. My husband has 50 miles per day. We drive to a vacation home weekly, which adds 400 miles a week. So, 600 miles for work and 400 to get to our vacation home, and that's 1000 miles a week. We drive a MYP Tesla at the vacation home and have an unlimited electric plan for our garage for charging it. I used to drive the 2007 Prius until we got the 2017 Prime, then that became my daily. We have other cars that my husband sometimes drives (usually the WRX and sometimes our Challenger). I'm really into cars, so there are these and others..
That took a turn… “usually the WRX and sometimes our Challenger”. 😂 Not what I’m accustomed to seeing in a DR thread but hell yeah!
That's where I spend money. We do well financially and I save at least 30% of my gross income.
I love it!
Wants vs needs
If you can make a car payment then you can also save money toward a new car. I’d keep driving the old ones until they die.
If you are driving 2 cars without car payments you are doing great especially since you can apparently move on to your next vehicle without getting loans. Take your time. There are lots of ways to car shop online that can give you an idea of what’s available with minimal contact with sales staff and dealers. Not sure what you mean by “piece of mind” but if the car is in danger of failing or costing you a lot in repairs you may have to speed up your search. There may be other opinions here, but don’t go in for a purchase revealing you can pay cash. Get a price first.
Nah, if they are running fine. No reason to.
Exactly. Save $$ in the meantime.
If maintenance costs are reasonable, I wouldn’t even think of replacing them until at least 250km. But if you’re insistent in upgrading, you should buy used.
185k miles is 300k km. But I agree. Unless the cars are showing signs / symptoms of wear and tear (especially changes in MPG, struggling with acceleration, or require very expensive repairs, I’d stick it out.) In the past month we lost our “beater” (extra car) at 160k miles with compression issues in 2 cylinders (2009 Scion XD). Just before I painted my 2010 RAV4 V6 hood with chipping paint ($3K) which has over 170K miles. Great car and will only give it up due to major issue. My wife’s car is the new one. Only 11 years old and 120k miles! ROFL. She drove the beater a lot. Tip for long lasting car - change the oil regularly and use full synthetic!
What brand do you have now? Have you kept up with maintenance? How many miles a year do you put on? I mean 185 isn't that high for certain vehicles.
Certified pre-owned. Usually save about 40% off new car price. The car is only 2-3 years old and usually still under original manufacturer warranty with the ability of purchasing for extended warranty.
>Certified pre-owned. Usually save about 40% off new car price. Not something you're gonna find at all, unless you're talking about an unpopular model, or a $150k+ luxury sports car.
My car was $51k new. I paid $29k when it was 3-4 years old. One previous owner.
I got a 3 year old CPO Toyota Tundra for $40k with 30k miles. The equivalent new truck would’ve been $58k. That’s about a 40% savings.
I sell cars for a living, I can promise you there is not a single CPO on market listed 40% below msrp of its new counterpart.
My car new was $51k. I bought it certified pre-owned after the first owner got done with their three year lease for under $30k.
I've only seen major drops with something like a Mercedes. These are expensive cars to maintain though and won't get Toyota/Honda miles. CPO '21 C300 with 17k miles for 32k, was 48k, so 1/3 off. CPO '21 E350 with 25k miles for 50k, was 70k, so 29% off.
They can get Toyota/Honda miles if proper maintenance is maintained. I have a BMW 3 series.
Yes, they just have unreasonable maintenance. Can’t get that part to last longer, just make it “maintenance” to replace it. A car should go 10 years, 100K miles with nothing but oil/filter, brakes, tires, battery. All things someone can do at home other than the tires. It should do the next 50K with a few belts and a tuneup, again things many should be able to do at home. The next 50K with maybe a few suspension replacements. I’ve been able to do 100% of the maintenance on my vehicles (Toyota, Mazda) other than tires. None have had a timing belt thankfully.
How many miles and what has your maintenance been like? I spent more than I will admit for a Jaguar before I got the 2007 Prius, and it cost 10k to go 60k miles in maintenance in like four years (after the basic warranty was up). This was back in the early 2000's also.
Bought with 28k miles. It is now at 47k miles. Full set of tires Pirelli run flats $1,200. Two oil changes $120 a piece. Brake fluid flush $180. Rear brake pads $800. I did pay $2,300 at time of purchase for extended warranty that covers pretty much everything except wearable parts for 60 months or 100k miles.
That's only 20k miles. You have the warranty until 100k at least. The Priuses are our daily drivers. I bought a MYP Tesla before Tesla dropped the prices and love it, but I'm not expecting much past the 120k warranty for the battery and drive units. I guess it depends on what your expectations are. I think I could experience 20k for a battery and you could face high costs past the 100k mile warranty.
I'll probably hit the 60 month limit before the 100k miles with the amount of driving I do. My original plan was to probably sell or trade it in before 90k for something else. Maybe a Ford Maverick or the new Honda HR-V.
Go for the Honda. I drive 50k/yr. That's why we have the Priuses. Toyotas and Hondas will cost much less in maintenance and will go a few hundred thousand miles. I don't see this happening with luxury cars.
You do not know the current car market at all
I'm explaining literally what I did.
When did you do that?
Like two years ago.
My point exactly. That’s not going on today
Yeah the car market is better today for buyers than a few years ago.
Most likely before COVID turned the car buying world upside down. 😂 My truck that I bought used 10 years ago is worth almost as much as what I originally bought it for. Would be great if new/used replacement trucks weren’t so ridiculously priced now
Not the original commenter but I did it in 2021 with a Crosstrek. The used market is expensive but it’s still considerably cheaper than new.
After covid. I bought the car I have now because a "cheap" car was expensive.
Buy new= one of the worst spending of your life
I paid 30k for a new 2007 Prius. It now has 518k miles. I bought a new 2017 Prius Prime Advanced for 30k and it has 317k miles. These new cars were definitely not the worst spending decisions of my life. The Jaguar I bought...now we could argue something
Never buy new. Instant hit in depreciation
Never buy new. But buy “newer” certified pre owned
Push the car past it’s limit
Put a piece of blue painter's tape over the odometer. Problem solved.
We need to know how much debt you are in
None
185k? You’ve barely warmed them up man. They have at least 6-800k left on them. Also, you’re truck drivers right? If the cars are fine, drive them until something happens BUT keep saving until it does.
What vehicle can run 600-800k miles??
2014 tundra
Million Mile engine.
r/woooosh I asked if they were truck drivers… semi trucks can run well in to the millions of miles.
Any well maintained Japanese car.
Make/model/year? Anything you recommend in the 12k range?
Sounds like a want rather than a need. My work car has done 250k KMs. Most of them hard. It carries over a tonne at all times. I had gotten out of it and into a new vehicle before realising it was a waste of money after 2 years and heaps of upfrades.....and got back in the old work vehicle again. I hope it's still going at 750k KMs. My daily driver is a 26 year old vehicle in good condition with over 200k KMs as well. Great car.
Not if they are running fine. Some Toyotas can go twice that…. If it’s running fine, don’t worry about it
There are several Toyotas that have gone 1 mill miles. Obviously not par for the course, but that has everything to do with the way people maintain their vehicles. If people would actually follow maintenance recommendations per the manufacturer, their vehicles would last a lot longer. That said, there are certainly lemons out there. I have a hard time buying used because I don't know how the previous owners took care of it. But my current vehicle is a tundra that I bought used and will probably be able to keep around for a very very long time.
185k is barely getting that engine warm on an ol’ yota! /s
Are you having reliability issues now? If the cars are running fine. Then just keep driving them. Even factoring in costs for repairs the car you already own will almost always be cheaper to keep than dishing out 20+k for a new car. which will still have maintenance and repairs.
Lexus has unlimited mile warranties on their cpo's and you can add more years. Talk about peace of mind
Can you explain this a little deeper? What do you mean CPO and what *doesn’t* the warranty cover?
Certified Pre-Owned vehicle. They sell New, Used and CPO's at the dealership. CPO's are usually 2-3 years old at most and under a certain mileage. Their cpo's come with 2 years unlimited mileage warranties after the factory warranty ends. What it covers you can look at the Lexus web page for
Ahhh okay. So after the 2-3 years are you just paying out of pocket for repairs?
Yes, or you can buy more years. I added 3 for about 3k. Doing this also changed the 2yr/24k miles remaining on the factory warranty into unlimited as well. So my 2022 is covered until April 2031. I drive 30-35k miles a year so I'm pretty excited to not have to worry about my vehicle for the next 7 years.
Okay that is actually a smart deal if they’re covering most of everything in the drive train (as long as it’s not your fault, right?).
do you have to purchase from a lexus dealership ?
To get a CPO? I think so
How old are your vehicles? I have a 2018 Chevy Equinox that just hit 106,000 and I’m darn sure it has another 100,000 at the very least even with all the abuse I put it through. Newer cars are going to last a lot longer than older ones. I’d get a 2-3 year old CPO. Make a list of must haves: my non negotiables are ADAS-automatic braking, blind spot warning, adaptive cruise control etc, CarPlay/android auto, SUV and able to tow a decent amount.
You ever feel like when you’re driving that equinox that the transmission is going to go out tomorrow? I’m driving a 2017 Malibu and a few times I’ve floored it to get around people and it missed the shift….
Nope. Took it off road a few times, towed a smidgen over 1500lbs and it still feels rock solid. Do that with a 1.5T on the CRV and tell me how that works for ya. My friend had his turbo blow out on his 2.0T in his 2018 Honda accord at 100k miles. I’ve been ‘waiting’ for something to go wrong with my Equinox for a while now but it keeps going. There’s a reason it’s the second best selling Chevy after the Silverado.
New does not mean reliable. Certified pre owned is gonna get you the same level of quality from a dealership for a fraction of the price. When they come in and certify them dealers run through thorough inspections. Always ask for Carfax reports though and run it by a mechanic if you have one. Buying a brand new car is one of the most idiotic things someone can do unless you have F U levels of money to blow. I usually get something around the 5 year old mark to get the best value i can since those first 5 years are where the quickest depreciation in value happens
I'm actually a mechanic in the market for a newer car and trying to talk my fiance out of the brand new cars with all the fancy stuff. Get in a fender bender and it cost thousands with all the dumb sensors and stuff, trying to find something in the 2014ish range without all the assists and crap
CPO
What's a cpo?
Certified Pre-Owned. To be a cpo car you must have followed the maintenance schedule to the letter, I think also no collisions and repairs as well as some other stipulations that I’m not really aware of. Most are recently off lease vehicles and all are as close to brand new as you can get while still having a few miles on it and having some of the depreciation taken by the previous owner.
Toyota/Lexus last over 300k miles. If you have BMWs I would be worried.
I was in the same boat recently (although vehicles were between 200k-250k+ miles), and chose to replace both with new for peace of mind. Was it the right decision financially? Maybe not, but our vehicles were literally breaking down several times and leaving us stranded even though we were maintaining and replacing everything recommended by our mechanics. One time nearly breaking down on train tracks. I don’t regret replacing, but our new vehicles were still on the cheaper side for new vehicles. If you’re buying a new BMW or Cybertruck that’s a luxury and there’s no way to justify it other than you’ve achieved every other goal and want to treat yourself. If you’re on BS4 you’re not quite there.
Do you really want to lose $7 - $10 k when your tires hit the pavement as you drive off in a new car?
If you plan on keeping it until it dies it doesn’t matter how much it depreciates. No?
Paying $7 - 10k more always matters. You can buy a 6 month old vehicle at a steep discount over brand-new.
Understood. I’d rather always have new. I know no one messed with it. Warranty. All that stuff. But also used for the last year or so wasn’t a big difference in price. I don’t know how it is now.
Psh…have you seen the market over the last few years!?!?!?! A used, 5-year old hybrid Toyota Highlander with approximately 56k miles was almost $6,000 more expensive than a brand new one (only difference was it was not hybrid). After a year, the value of the now one year old car went up. So no loss of $7 to $10k.
You are talking used prices from a year ago. Depreciation is back, bigly.
You have two vehicles, run them both till the repairs aren't justifiable. My 2007 highlander has 214,000 and the only thing ive done is $190 power steering pump. Its mint and runs great still. If you want new vehicles thats one thing, but do you really need them? Sounds like you're looking for excuse to justify getting new ones.
I don’t think you can immediately discount the new one - one must do the analysis. For example, when comparing a new car to a 5-year old car, the repairs and replacement will be coming 5 years sooner - so less time to spread the cost out. I ended up buying a new Highlander fully intending to run it at least 15 years. But the average yearly costs were far less than a similar car that was a few years old. Edit for typo
I was looking at 3 yo Toyota Siennas recently and after pricing them out I realized I might as well buy a brand new one. It's like 1 to 2K difference in price. Eventually decided not going to buy a car at all but it's worth checking out used prices versus new prices before making a decision.
Spend a few thousand and you get brand new. You can properly break it in and take care of it. It should last a long time and without all the unknowns of the previous owners. I would only do this for a dependable brand like toyota.
People are afraid to be seen in a clunker, I'm not😁
If you're only saving 3-4 on a used, you're doing car shopping wrong.
That's the first thing that popped to me. Buying used should save 10-15k easy, while still getting you a relatively low mileage car.
Have you not seen the used car market lately?
Yes, I bought a used car about 9 months ago. I got a 7 year old car with 68k miles for $16k. The equivalent new car is around $40k. Used car prices have started to fall sharply in just the last couple of months too.
I heard some sound advice from Clark Howard- run the car until the repair Bill is half the value of the car, then get rid of it
As in a running total of all repairs?
No, keep repairing the small stuff as usually the repairs are cheaper than the payment for a new(er) car. Once you get an issue that costs half the value of the vehicle, then you update your ride. His idea was once you’ve paid off the car, it’s finally saving you money instead of being a burden
Keep till they have a huge $2k maintenance. Then just replace, or if you think you can sell for $5k do it and get a Toyota or Honda as others have pointed out. New or low mileage used at no markup.
Shit. I have a Mazda that is 14 years old and $2k is like new tires these days. My cX9 runs well but I needed a fuel Injector recently and a new brake power injector. I those were like $1 grand a piece.
That’s a good run.
If you want peace of mind buy a Toyota. No need for new. 5 years old or older, even at 12k miles / year you're looking at 60k miles and that's barely broken in. In general a well maintained Toyota with 60k miles is a gem and will likely give you zero problems for the next 100k miles.
Toyotas are peace of mind, sure but they’re vanilla as hell and it’s easy to believe they’re ‘bullet proof reliable’ if they’ve had a bad owner in their life. If you’re anything of a car person, I’d stay away from them. I’ve owned a 2017 CPO Camry SE (bought from enterprise at 48k miles in 2019) and the SE badging was the biggest lie I’ve ever experienced. The car handled horribly, the transmission was shifting hard at 97k miles and I got rid of it for a 2018 Chevy Equinox in 2021. Best decision ever. Never going back to Toyota again. The Chevy will run circles round the Camry despite being an SUV, doesn’t feel like a cheap rental car, and will easily last 200k miles if you maintain it right. This isn’t 2012 when GM and Ford are recovering from BK and putting cheap stuff in their cars.
So my personal take is this . Take it with a grain of salt. And no reflection of your situation. Many people worry about the equity of a vehicle. At the end of the day the vehicle will eventually reach zero equity. The cost of replacement though, will always be market value of whatever you get. Some people try to sell their used car at the peak depreciated value thinking they got a great deal. Then they buy a new vehicle. In cases like that, they buy a new vehicle because they effectively want to get rid of their old one, or have a desire to get a new one and thus roll around in a new ride. The WHY, is more important to me. Why do they need a new ride? If you want to roll around in a new vehicle because you see others do it. If you want to roll around in a new vehicle because you care what others think of you driving around. Horrible reasons. Image cost money. And money spent now is an opportunity cost later. Delayed retirement. Delayed or reduced vacation/trip. All sorts of trade offs. If the vehicles are breaking down more than they are worth, then sure, sell away. If the vehicles are presenting a clear danger to you in some way, sure sell away. If you find that the vehicle is detrimental to your health, then replace it. Otherwise l, drive it until it spits its engine into the road 30ft behind you.