Exactly right. I think what often happens is people have a car that needs a particular repair. I refer these repairs as "get by fixes".....meaning they can get by for a while without having to do the repair. While they are "getting by" another repair is needed, and then another, until things compound to the point that they all need to be done at once which translates into a repair bill that is perceived to be more than the vehicle is worth.
They then go through the psychological process of justifying to themselves that they need a replacement vehicle, because the current one needs too many repairs, and so on. They may either trade the car in or sell it outright to someone who comes along, evaluates the vehicle and completes the needed repairs and then either uses the vehicle for themselves or flips it for profit in the market. There are lots of capable people who make a good living doing this. I have seen them roam the junkyards keeping tabs on current inventory of complete whole unit vehicle cores that they can tap later for parts for another "acquisition" vehicle that they will BOLO (be on the lookout for) in the future.
Personally, I try to fix what is broken, replace good with good, and try to keep things in reliable state. I get it that not everyone shares my viewpoint, and I am totally ok with that. This is just an observation from me that has served me well with vehicles, and houses over my lifetime.
