Originally Posted By: Kurtatron
For me, the amount of savings I have in the bank is my barometer for how much I feel comfortable spending on a car. My problem is I hardly ever have any savings. The most I have ever spent on a car is $2700 - Always cash. Who would finance a 20 year old car anyways?
My first car was a 1992 Mazda Miata. Paid $2400 for that one. Sold it 6 years later.
Second was a Previa van for $1600. Lasted a Month before realizing it was a terrible hunk of junk. Sold a month later.
Bought a 2nd Previa for $2700. Still have it 4 years later.
Bought a Toyota Solara for $1700. Still have it 2 years later.
My problem is these cars have needed a lot of repairs. The Previa van which I still have had a bad head gasket. I had to pay $3000 for a replacement engine. The Solara needed $3000 worth of repairs in suspension, engine, and axle work.
I have not had much luck with the sub $3000 car. I hear stories of people buying a $2000 car, and driving happily for the next 5 years with nothing, but so far only my Miata has proven a successful bet.
It makes me think that next time I should aim for a higher budget, so the repair costs won’t be so high. 5 grand should be my next target.
Something to consider when contemplating cost of ownership . Especially the cost of repairs for used vehicles . Can you or do you do the repairs yourself ? All or in part ?
I have always done most of my repairs myself . I used to fret over the cost of parts . I now shop online for parts , get the best price I can , usually cheaper than walking into a local store and plopping down their price . Add that cost savings with the even larger cost savings of doing the labor myself . I save a respectable amount of money + I can afford to do more preventive maintenance .
Now , I am getting older and sooner or latter I will not be able to do all of this , any more .
Now , as to the impact this has on buying a used car VS a new car . We bought a new Chevy Sonic . And the used Leaf & Lacrosse we purchased were in much better condition than some of the used car I purchase in days gone buy .
If you can not or will not do repairs your self , the HIGH cost of having a mechanic repair your car , influences me to buy new or newer .
As a side note , when a teen ager , it was fun to tinker on your car . Those time are long gone . It is WORK now .
Best wishes ,