New car vs. used car.

[Nick1994]

I just bought my Camry at 194k a few weeks ago for $2,100. All I ask from it is 100,000 miles. That's it. I want to take it to 300k miles. If it goes further, great. I figure it'll be worth $1,500 at 300k so it'll cost me $600 in depreciation to go a little over 100k miles. Not too bad.

 

[dishdude]

Originally Posted By: Nick1994
I just bought my Camry at 194k a few weeks ago for $2,100. All I ask from it is 100,000 miles. That's it. I want to take it to 300k miles. If it goes further, great. I figure it'll be worth $1,500 at 300k so it'll cost me $600 in depreciation to go a little over 100k miles. Not too bad.


Sounds like my kinda used car. I did the same thing earlier this year, but needed a truck so I picked up a 2001 Sonoma with 200k. Tossed a set of tires on from Discount when they had their President's Day sale, and an alignment. Joined AAA and they sent me a coupon for a free oil change so did that. Nothing else but gas.

The previous owner had all the records, they took it to Sun Devil auto and they supposedly flushed the radiator and "changed it to green" per the receipt. The coolant is some bizarre color that appears to be a mix of green and Dexcool...but it's a beater! I don't care and I am not touching it.

 

[Brybo86]

Originally Posted By: Nick1994
I just bought my Camry at 194k a few weeks ago for $2,100. All I ask from it is 100,000 miles. That's it. I want to take it to 300k miles. If it goes further, great. I figure it'll be worth $1,500 at 300k so it'll cost me $600 in depreciation to go a little over 100k miles. Not too bad.


+1

 

[JHZR2]

Originally Posted By: Nick1994
I just bought my Camry at 194k a few weeks ago for $2,100. All I ask from it is 100,000 miles. That's it. I want to take it to 300k miles. If it goes further, great. I figure it'll be worth $1,500 at 300k so it'll cost me $600 in depreciation to go a little over 100k miles. Not too bad.


But you're totally missing the point others are making. Good luck with your quest, in fact, perhaps a start a thread documenting your quest.

But I foresee the following as likely:

1-3 sets of tires. $500ish for good ones.
Suspension parts and an alignment or two
Cv boots/axles
Brakes
Radiator
Possibly a new AT, definitely at least a service

And who knows what items stop working in that time.

Meanwhile the airbags likely don't work and the vehicle may not have the latest safety features.

As someone who has taken cars that far, including quality ones like Toyota and older Mercedes, I know this is real, and it makes your $600 figure much higher.

Don't get me wrong, a car you buy new will also encounter some/all of these things on the way to 300k. But then you've gotten 100-150k of faithful service before you must decide if you're going to take on many of the repairs that look to be bigger ticket...

 

[dishdude]

Originally Posted By: JHZR2
Originally Posted By: Nick1994
I just bought my Camry at 194k a few weeks ago for $2,100. All I ask from it is 100,000 miles. That's it. I want to take it to 300k miles. If it goes further, great. I figure it'll be worth $1,500 at 300k so it'll cost me $600 in depreciation to go a little over 100k miles. Not too bad.


But you're totally missing the point others are making. Good luck with your quest, in fact, perhaps a start a thread documenting your quest.

But I foresee the following as likely:

1-3 sets of tires. $500ish for good ones.
Suspension parts and an alignment or two
Cv boots/axles
Brakes
Radiator
Possibly a new AT, definitely at least a service

And who knows what items stop working in that time.

Meanwhile the airbags likely don't work and the vehicle may not have the latest safety features.

As someone who has taken cars that far, including quality ones like Toyota and older Mercedes, I know this is real, and it makes your $600 figure much higher.

Don't get me wrong, a car you buy new will also encounter some/all of these things on the way to 300k. But then you've gotten 100-150k of faithful service before you must decide if you're going to take on many of the repairs that look to be bigger ticket...


You could be describing a 2008 Camry with 100k on it that someone paid $10k for. At least at $2k your investment is minimal, and you can always throw the car back on CL and sell it in an afternoon if need be - a lot less risk IMO.

Goes back to my opinion that I can justify spending $2k on a beater, but $10k on a car with $100k, or a 2 year old car that is only a couple thousand less than a new one just doesn't make sense in my mind.

 

[Cujet]

Originally Posted By: gregk24
I just bought my 2012 Accord EX-L a little over a month ago. If I would have purchased a new Accord BASE model, I would have paid around $21K-$22K.


Sounds like a very acceptable deal. How many miles on it?

I still maintain that the cost per mile is not much different, used or new. Financing costs are higher on used, and surprisingly insurance can be too.

What I will concede, is that if you have a limited budget, it's often far smarter to purchase a "real" used car vs. a new econo car.

My "cost per mile" analysis is only valid for by class of car. The difference is generally about 3 cents per mile more for new.

 

[hattaresguy]

A couple points:

1. Some of us are past the point where we have to/want to drive beaters. I did the beater thing in school and I got pretty good at it making money on most of my cars. Now I like my new expensive truck, and I like the fact that I'm eyeballing a business lease on an SL550 Mercedes. I worked HARD for the past decade so I don't have to drive a $2k car anymore.

2. Coming from experience if you want an older car to perform and be as reliable as a late model one its not going to be cheap. Your per mile operating costs will not be to far off. If your willing to trade functionality, IE the AC Is broke and you leave it, windows are broke and you leave them than you can reduce your costs. But its foolish to compare a 1997 Camry to a 2016, different worlds quite frankly.

3. The quality of used cars on the market is poor. Whenever I do get stuck looking usually for my sister who destroys her cars I'm always disappointed. Most have stories or are simply poorly maintained, lots of shady foreign flippers in this space as well. I am simply amazed at how people can trash such a piece of equipment in a short period of time. It seems even at a decent price point of $5k-$8k you have to accept that other than the oil virtually no maintenance was done, lots of dents or accidents, and filth since no one cleans their cars it seems. It makes a brand new $12k Versa or a $150 a month Civic lease look like a bargain.

4. Most old cars are traded off for a reason. My moms mint old Rav4 is going to get bought by someone and it has an oil burning problem. The next owners will have the pleasure of replacing at least the engine if not the cats. That's a GREAT deal! Once you get past a certain age people don't sell cars because they never break and need nothing.

 

[SirTanon]

Nothing wrong with used cars.. as long as you buy the right one. If you do your research, properly vet any vehicle you're considering buying, and inspect it thoroughly before you buy, you can do very well.

With the exception of the 2014 Nissan Altima in my signature, I've only ever bought used cars my entire life. We're talking approximately 20 cars so far.. This has been primarily for financial and cost reasons.

New cars start around $15k, while I can get a good used one around 4-5 years old for under $6k if I look hard enough and negotiate well.

I bought the 2010 Fusion in my signature used last year, with nearly 178,000 miles on it.. For only $5800. So far, my maintenance/service expenses have been extremely minimal, probably adding up to less than $200, including oil changes.

Compare that to the price of this same car, new - Over $25,000. I'll take the used one for under $6k.

 

[stchman]

Originally Posted By: Nick1994
I just bought my Camry at 194k a few weeks ago for $2,100. All I ask from it is 100,000 miles. That's it. I want to take it to 300k miles. If it goes further, great. I figure it'll be worth $1,500 at 300k so it'll cost me $600 in depreciation to go a little over 100k miles. Not too bad.


The transmission on that Camry might need work soon, there goes your depreciation schedule. Cars with ~200K are going to need work.

 

[Nick1994]

Originally Posted By: stchman
Originally Posted By: Nick1994
I just bought my Camry at 194k a few weeks ago for $2,100. All I ask from it is 100,000 miles. That's it. I want to take it to 300k miles. If it goes further, great. I figure it'll be worth $1,500 at 300k so it'll cost me $600 in depreciation to go a little over 100k miles. Not too bad.


The transmission on that Camry might need work soon, there goes your depreciation schedule. Cars with ~200K are going to need work.
That's ok. I can get a used one for $150 already pulled from a car in a junk yard with a 1 year warranty and have a weekend project.

 

[stchman]

I watched a review many years ago about just how disgusting a used car can really be. They found old fluids like semen, mucus, and other disgusting things. I wish I could find the review.

I have friends that are complete pigs in their cars.

Here are some examples.

http://www.carbuzz.com/news/2015/6/4/11-...usting-7727286/

 

[flinter]

Well, 2 months ago I purchased a brand new 2015 Honda Civic EX Sedan for $19,750.00, OTD. My intention is to keep the car 10-12 years
which should take to me about 140,000 miles. I did a 24 month loan,
so I will be payment free for 8-10 years. I will NEVER pay more that 20K for a brand new
car and all my cars have been right under 20K.

 

[jcwit]

Not all used cars are traded in, one of mine that I bought a year ago was for sale because the previous owner was shot in the head.

BTW, I paid cash, and no debt.

 

[dishdude]

Originally Posted By: jcwit
Not all used cars are traded in, one of mine that I bought a year ago was for sale because the previous owner was shot in the head.

BTW, I paid cash, and no debt.


I hope he wasn't in the car at the time.

 

[Andrew1972]

My brother started his 5 year cycle purchasing a 78k 2010 Acura TSX for $14k and expects 5yrs out of it simply changing oil and possibly tires. He typically gets 50% resale and moves onto another high end family sedan or near luxury in exceptional condition.

The cost per mile is low compared to a new car and the cars he buys look nice in his ownership.

Used cars can be decent, it seems folks here used beaters if they like new stuff.

 

[Jarlaxle]

Originally Posted By: hattaresguy
A couple points:

1. Some of us are past the point where we have to/want to drive beaters. I did the beater thing in school and I got pretty good at it making money on most of my cars. Now I like my new expensive truck, and I like the fact that I'm eyeballing a business lease on an SL550 Mercedes. I worked HARD for the past decade so I don't have to drive a $2k car anymore.

2. Coming from experience if you want an older car to perform and be as reliable as a late model one its not going to be cheap. Your per mile operating costs will not be to far off. If your willing to trade functionality, IE the AC Is broke and you leave it, windows are broke and you leave them than you can reduce your costs. But its foolish to compare a 1997 Camry to a 2016, different worlds quite frankly.

3. The quality of used cars on the market is poor. Whenever I do get stuck looking usually for my sister who destroys her cars I'm always disappointed. Most have stories or are simply poorly maintained, lots of shady foreign flippers in this space as well. I am simply amazed at how people can trash such a piece of equipment in a short period of time. It seems even at a decent price point of $5k-$8k you have to accept that other than the oil virtually no maintenance was done, lots of dents or accidents, and filth since no one cleans their cars it seems. It makes a brand new $12k Versa or a $150 a month Civic lease look like a bargain.

4. Most old cars are traded off for a reason. My moms mint old Rav4 is going to get bought by someone and it has an oil burning problem. The next owners will have the pleasure of replacing at least the engine if not the cats. That's a GREAT deal! Once you get past a certain age people don't sell cars because they never break and need nothing.


Is it truly a problem...or will it run another 200,000 miles as long as the oil is checked regularly?

 

[hattaresguy]

Toyota had a bad batch of oil rings in 2007 the tension on them is to low.

It will simply keep burning more oil, eventually ruining the catalytic converters.

In an emissions state you have to fix it, down south keep driving with the CE light on. The oil consumption was at 1k miles a quart when traded and increasing. It would have to be around 300-400 to start to foul the plugs I would think.

Toyota quality.

 

[Jarlaxle]

One more time: is it truly a problem...or will it run another 200,000 miles as long as the oil is checked regularly? A CC is only $200 on Rock Auto.

 

[Panzerman]

I think ALOT depends on what you need and can afford. I bought my Dodge 2500 new, I planning on keeping it forever. I bought both the Fords used. As I get older, I drive less, new just does not make sense unless I buy it new and keep it forever. The days are gone for me of trading every four-five years. Cars cost too much and run too long.

 

[hattaresguy]

Originally Posted By: Jarlaxle
One more time: is it truly a problem...or will it run another 200,000 miles as long as the oil is checked regularly? A CC is only $200 on Rock Auto.


Someone lower down the automotive food chain will have fun figuring that out.