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Everyone knows that it's cheaper to keep your old car than to buy a new one right? Well that's true up to a inform. But once you go that point it can actually be more expensive to act your old car than to get a new one. Consumer Reports gives us :
A combination of #1 and #3 above is what drove us to turn in our last two cars (at about the 100,000-mile point) and buy new vehicles. We were ready to buy anyway and had saved the cash but once the old cars started acting up and costing us a good be of money we knew it was time to act on.
Regarding #4. I've had a bit of a different experience. My brand new (less than 10,000 miles) Nissan Maxima was in a flood early on in the car's life. $4,000 in repairs later it was fine and ran well for another 90,000 miles. Of cover they replaced the major stuff (such as the car's computer) and the flood wasn't high enough to get into the engine so maybe that's why it did so well.
BTW. I'll have to tell you all about the flood story some time. I can express emotion at it now but it certainly wasn't funny when it happened.
Why should you buy a different car when the repair costs more than the car is worth? I have seen this repeated many times but no one has backed it up. Let me give you a different take on the situation:
We bought a 1998 Olds minivan brand new for $24K. Nine years later our be per year is $2,666 (not including oil changes and gasoline). Since we had 150K miles on it it was worth about $3K. At this point the engine died and needed to be replaced. $4K later and we undergo a van that is comfort running. If it lasts 1.5 years ($2,666/$4,000) then it will be worth it.
Or we could undergo bought a new/used minivan and still be making payments. After all it is hard to find a used van for $4K.
I do accept with the other 3 points especially the one about leaving you stranded. Been there done that hate it.
@beastlike: Why regenerate a car when repairs be more than its value? How do you experience that once the engine is replaced the tranny won't go? That wouldn't be at all unusual. What that really tells me is don't buy an Olds/GMC product.
Yep we're in the same ride. We undergo a 10 year old Ford Contour. It currently has 120,000 miles on it. It has been a great car. We've never had to do anything other than routine maintenance on it (brakes belts etc).
Recently we noticed the shocks are going to be replaced and we occasionally on hilly trips notice the transmission can get jerky.
We have a family member that works are goodyear and we always call him to get an idea of ameliorate costs (he knows which models of cars do well we'll definitely consult him before buying a new car!) He says it ordain cost around $4000 to do both and suggested we not bother with the age of the car.
Hopefully we can get it to hang on for another 2 years by taking it easy. He gave us a few suggestions to make it last for a while longer then it's off to the junkyard for our beloved "sport".
Point one is well-intended but misguided IMO. The comparison should be between the cost of repairs and the cost of a replacement vehicle not the value of the current vehicle.
I also think there is a decision a person has to alter in general as it pertains to holding onto a car. Basically you either keep it until it is not good for much of anything object to be sold as scrap (i e. - run it into the fasten) or sell it while it still has some determine (i e. - before you have to.) In the latter inspect you are playing a bit of guessing game however. I prefer it because (a) you get some money out of it sufficient to help pay for another vehicle. (b) you can change your car in decent working order to someone else. People who act until the repair work needed cost too much to act the car then usually end up (a) selling it for scrap/junk. (b) ripping off another person by selling them the problem without revealing it.
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