Just throwing randomn thoughts into the fray;
-I bought an 11 year old car with 112k miles on it. Did the basic maintance on it (all the fluids, filters, plugs/wires/cap/rotor), shake down local runs for a week and went on a 1000 mile cross border driving trip with it. =-) Its done that trip numerous times since.
-With regards to the POS car comment, maybe if you take care of the thing you wouldn't have a POS. ;-)
-Older cars cost less in general. Get an insurance quote some time. When I bought my current DD (7 years old) my insurance halved over that of a new vehicle. Do the math. I still own that truck (16 years now). Fixed costs aside (ie insurance and gas) I've yet to put a grand total (includes mods, body work, and other creature comforts) of 40k into it. What does a full size truck retail for 16 years ago? (If I remember right, it was around 38K) Odds are I'd still have to change the oil... repair things that wear out (battery, starters, alternators, radiators at the same frequency I'd have to do it to my old DD. So far, for me, my old DD has taken a lot less money than getting into a new truck back then. 40K over 16 years, or 40K initial outlay + repairs over 16 years.
-New vehicle reliability? Seems there are plenty of disastisfied new car owners always going to the dealership for some sort of warranty work. I take my old vehicle to my mechanic and stand around and watch and get on my way same day. When I book an appointment for 8am, I am in the bay at 8am. If I have to take my work truck in for warranty work, I have to drop it off (they don't do anything when they say they will), get a coworker to pick me up, wait a day or more for a phone call, then get coworker to bring me back to the dealership to pickup the vehicle. I fail to see the negative aspect of downtime for repairs on an old vehicle. My experience shows that a new vehicle has longer down time than any of my old cars when something needs to be done.
-Float money... You can afford 2-400 buck monthly car payment... But you can't save enough money to repair an old vehicle? Hunh? What am I missing? If you are not making payments on a car, you theoretically are saving that 2-400 buck car payment. Which technically means, you can easily build up a slush fund for major repairs. Oh yes, thats right, many people today have some sort of hang-up about actually saving a dollar...
-I always have to chuckle when people ask the year of my DD. As somebody mentioned, the social experiment of a 'beater' mobile is interesting. You certainly learn quick if somebody your talking to about it is someone who has to keep up with the Jones.
-Who cares! If it wasn't for those keeping up with the Jones, us old car enthusiasts wouldn't have a pool of cars to choose from. =-)
Alex.