If everything else is (or seems to be) ok, I would probably fix it. A brand new car will be more expensive to insure, in addition to the monthly payment. Assuming a payment of $350 and increased insurance of $50 per month, for a total of $400, it will take 4-5 months to payoff. So, if after fixing the car it lasts longer than 4-5 months, it will have been worth it.
As for selling it, you could probably get book value minus the cost of the repairs. It's probably worth $5-6k so subtract $2k and you could probably get $3k. If you know a car mechanic who is a "wheeler-dealer", he might take it off your hands quickly for $2k, repair it, and sell it for a quick profit.
I also wanted to mention you should consider getting another price quote. Play one off the other and you might get it fixed for $1600.
Last edited by humandraydel : 05-01-2008 at 02:58 PM.
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