used versus new cars

[JoeP]

MM: It is also my experience that a lot of people who buy new cars typically continue that pattern. Same goes for those who buy used cars.

Speaking for myself, I will probably never buy a new car, because I've been completely satisfied buying used and do not feel the extra money spent on a new car would be worth it for me.

For all my cars, I am not afraid to do work on them: change fan resistors, change spark plug wires, rotate tires, oil changes, air filter changes, flush radiator, replace window regulator, change trans fluid/filter, brakes, etc. I get to know the car better, and know when it needs to see a "specialist."

[bjl584]

How long a car actually "lasts" is often a matter of perspective. There are some people that will dump a car as soon as it starts to have any sort of trouble at all. If you ask them, they will probably say that the car was junk and was at the end of its lifespan. But, other people are willing to put money into a car and fix problems whether they be small or large. To those people, the car is still running fine.

After all, a car is just a machine. Technically, every single part and piece on it could theoretically be replaced or repaired. It often just comes down to economics. At what point is it not worth it anymore?

[disneysteve]

A car has a finite lifespan.

If a car will last 20 years before being salvaged, then buying it new you'll get 20 years out of it. If you sell that car after owning it for 12 years, then the next owner will get 8 years out of it.

So of course used cars have a shorter life span!

What's probably more important is the overall cost to the owner over the years of ownership.

True. Of course, very few people buy a new car and keep it for it's entire lifespan. And that lifespan is pretty debatable anyway. Just ask anyone who owns an antique car. Pretty much any car can be kept running indefinitely if you don't mind doing the work and spending the money.

So the reality is that most people will only keep their car for a certain period of time, maybe 6 years or so. If you are comparing buying a 2014 and keeping it for 6 years vs. buying a used 2012 and keeping it for 6 years, almost always the used car is going to be cheaper over the period of ownership.

[rennigade]

I bought a new corolla in 2008 and plan on keeping it until it costs too much to keep running. So far its been pretty cheap to maintain...although Ive done all the work myself except change the tires.

The only reason I bought new is because I already had the mindset that this car is going to be around for as long as I can keep it. There wasnt much of a risk of someone mistreating it before it got in my possession...although that doesnt mean the parts themselves werent installed properly.

For the most part buying used is probably fine. Im just afraid of getting a car that the owner didnt treat properly. Minor accidents that were fixed arent the real problem. Its the stuff that goes on under the hood that you have to worry about.

I think the real question is...at what point does it make sense to buy used vs new? If you're only talking $1k or $2k difference...I would buy new every time. Even a $3k difference isnt that much. For me...it would have to be $4k or more in savings.

[Goldy]

I think it depends on the sale. Sometimes new cars are a better deal than used but most of the time I think its the other way around.

[snafu]

Since you and DH buy new vehicles I presume you did the research, buying a vehicle you chose, not the car the salesman sold you. I hope your model has been in production for several years and has an excellent reputation for repairs from someone like Phil Edmonds [Lemon Aid] since the magazines like Auto Trend rate vehicles based on advertising revenue. It's important to buy a vehicle you expect to meet your family requirements for as long as you plan to keep the car. I don't mind paying for features that are important to me but I won't be up-sold to increase the profit for the dealership.

While not applicable to your circumstances, most people finance a car with payments around $ 300. , so paying $ 400. for repair is quite modest. If DH has taken reasonable care of his trade-in, regular oil changes and maintenance noted in the manual, the next owner will have potential for 10 years on the road.

You'll laugh but I bought my car at the large, local Car Auction dirt cheap, 4 years ago. I'll need new summer tires [currently on winter tires] by late summer and as I research prices, I can see they will likely be over $ 400. plus tax, plus instal, align and balance.

[snafu]

sorry, double post, please cancel

[Goldy1]

My dh bought his Monta Carlo in 2003. He bought it new. It was the first car he bought. The two before were leases.

Before the new leases he was going out and buying a BRAND NEW CAR EVERY YEAR!!!! That is insanity. insanity I tell you. He didn't get in the whole too much. He had a good job, lived at home with parents, and had no expensive habits(no gambling or drinking) but he was hooked on the new car vibe or something. This was a mistake from his youth he grew out of.

That stopped after I met him. Other than that, he's a very frugal guy(won't buy a gallon of milk at Target even if he's there because it's a buck or so more than the grocery store etc)

Well it has been my experience that once cars get a certain amount of years and miles, they get junky on me.
I bought a NEW Saturn in 2000. By 2008, it was a piece of utter crap. It has low miles too. I maintained it with oil changes etc. too. Odometer didn't work. Ac didn't work. Key came out of ignition, wouldn't start sometimes. Needed brakes again.

My dh had two expensive repairs in addition to routine things like brakes and tires. They start to look a bit ragged too.

I felt trapped. New was expensive but so was year to three old cars. Maybe his problem is he likes nicer cars with bells and whistles. We didn't want to go from a 2003 car to like a 2009. lol

I guess we can afford it. It's all relative, but it was not cheap.

[cschin4]

I used to buy used cars. But, I think a new car can be a good value IF you drive it for a long time. With a new car, you get new tires, new brakes, new airbags, new warranty. And, you get the BEST years of a cars' life. So, I think it can be a wise investment. However, if you succumb to the urge to trade in more frequently to "upgrade" then you might be better off with used.

[Like2Plan]

Congrats on your new purchase. (Does he let you drive it? )

[lamar411]

Cars are relative. Some place more importance on them, then others. I enjoy cars so I don't mind paying more for what I enjoy. We have 3 cars in my household, with my son just getting an 06 Lexus. Kind of overkill for 17, but it works for him and for the price I got, i didn't care. My wife's 2013 Lexus is comfortable and she enjoys it. It's weird because I'm driving the "worst" car of the bunch, a 2012 Camry.

We bought my wife's first Lexus used, a 2002 with 67k miles in 2009. Solid deal and was perfect for my wife. Stranded my wife twice in unsavory neighborhoods, and I couldn't trust it anymore. If it had lasted 7 more months my son could have taken it. Oh well.

[ua_guy]

I think mileage and maintenance are better indicators of a lifespan than is "years" a vehicle will last. That's a relative comparison. For me, a vehicle is probably nearing the end of its useful life around 150,000-250,000 miles, some being shorter and some being longer. I drive a lot more than a lot of people, so the end of a vehicle's useful life comes quicker for me than most (25,000-30,000 miles per year currently).

I don't think there is staid advice for buying only new, or only used vehicles. I think it really depends on the vehicle, its intended use, and what fits within a pre-defined budget.

[Dylansmom]

All my cars have been used and I have had nothing but positive experiences from them. I doubt I would ever buy new unless I somehow became independently wealthy. Ha!

[Krasay]

Can you afford new

At the rate of depreciation, a person should not buy new unless they are out of debt with a net worth of $1 million.

[agarlits]

I am 38 and my husband just turned 43 last month. I feel so old typing that. time flies!! He just bought a brand new black charger. It is a 2014. He didn't buy a base model. He avoided the more expensive engine due to it not being needed and higher gas costs. He did get the upgraded hib caps and spoiler

It costs about 24 or 27K. I forget exactly. I think it was 27 K.
we paid for it in cash.

We didn't buy anything we'll be in debt for. However, it just seems so pricey.
We took 17K out of savings to buy it.
My parents gifted him 5K to put toward it.

He got about 3 grand for his rather beat up 2003 model car he had been driving since buying it new in 2003.

My point is I just felt like I always read buy used. let someone else take the initial hit in depreciation.
That hasn't worked for us.
It seems wrong though.
If he bought a slightly used car(say 2 years) it ended up being almost as much money as a new(there are no rebates on used)
If he had bought say a car 5 years old, we figured we'd have to start repairing it possibly often in a few years. We didn't want to pay 17 grand and end up fixing it all the time in 5 years!
So we bought him a new car. He got something cool too. The plan is to keep it as long as we can.
The 2003 model was needing repairs often. WE had to spend $400 to fix it in the shop and then drive it straight to dealer to trade it in.

I know it's hard to say no to something that's new and cool. But from a financial standpoint you should never, ever buy a NEW car. They depreciate from the moment you turn the key and drive off the lot. You may as well be dropping $100 bills out of the window every quarter mile as you drive home. The sad truth is if you had purchased the car and god forbid got t-boned leaving the dealership your insurance wouldn't cover even close what you payed for the car. That's why dealerships harp on buying gap insurance when you finance. Overall IMO nice car, poor choice.