Is Your Car A Vampire?

[pj8708]

If you don't know the amount of depreciation of the car your buying, you maybe looking at a major hit to the wallet. Also, do you know the current depreciation of your present car. It is amazing how many people do not figure depreciation when making a deal on theire new car.

Read on and see if you can make up for lost money.

http://www.investopedia.com/financial-edge/1012/cars-that-depreciate-in-value-the-most.aspx?utm_campaign=inv-tbl-pf&utm_source=tbl&utm_medium=cpc&utm_content=adg-na_adv-na_mtp-na_adc-con_adf-mix_ptp-cp_geo-na

[lenore]

A very true article, my buddy just bought the Malibu (2012) and was considering the Honda Accord...Now which do you think has better resale.? Bad move. The Malibu is so cheap inside and out. Doesn't even come with a spare tire. (I guess Government Motors decided to take Americans in more ways than one) And if you want a spare it cost $100 when you place the order but $500 if you have already bought the car. Quite frankly the Honda is superior in every way, gas mileage, worksmanship, and quite frankly much more updated. But many are commited to brand loyalty. Or are anti-Japanese. Funny because most cars are multinational when it comes to the parts. And Honda is made in US. If you drive the car for 10 years you have recovered your cost as long as it doesn't nickel and dime you. just my thoughts.

[pj8708]

Lenore I had to read your thread twice just to make sure I was correct the first time around. A new car with no spare tire!!. Maybe I'm behind the times but that's a new one on me. I thought it was stupid when most of the non-luxury brands went to the "donut" sized spare but paying $500 for the privaledge of having a spare is just a farce.

Do you know if it's a full sized spare?

You bring up another good point. People will drop $25 - $30k on a new car with out any knowledge as to where it's made,(they assume it's made in one country or another), What the full details of the waranty are, what is an extended warranty and do they need it, what is the Blue Book on their trade, etc. And finally, what is the depreciation on the care their looking to buy over the last five years, or if there was a model change as many years as they can find.

[13IS250C]

Very interesting! I'm sure hoping that this car is going to hold it's value well.

I have a strange outlook on cars and so far it has served me well. I buy popular sports models (G37, S2000, 370Z now my IS). I am very anal about my cars and they are near perfect when I get ready to trade it in. I drive a car about 3 years. I don't pay for repairs and I don't buy tires. I change oil and rotate/balance tires. I do all my detailing and I'm very good at it. Usually people want my car. When I bought my Z, I could tell that the dealership wanted my G. I got a really good deal. I'm hoping I will do as well on this car.

I kept my Z28 for 17 years. It still looked like it could sit on a showroom floor. I paid $19k for it new and sold it for $9k. Never did a major repair, just go fast goodies and rims and such.

[lenore]

The wheel well area has a tire cut out, but will only accommodate a space saver tire. Chevrolet answer is a cheap Chinese pump and flat fix....not to good for a gash flat tire. I found a space saver for $80 on ebay for him, but he hasn't ok'd the deal....Also the car comes with no jack or lug wrench....(Malibu) I went on their forums and it is a big stink amongst the Malibu owners.

[lenore]

Even my RX400h lost a lot of value????? I bought it two years ago with higher mileage (87k) (2008 RX400H) for $24k out the door...Has made me happy because of the depreciation and I upgraded an old 99RX300 after having it for 12 years. So sometimes you can make out well....It is also just a matter of supply and demand on vehicles. Love my RX400H, it is a great ride.

[LEX-SV]

^{Not anything new to me, but a good reminder for all car buyers. Yes, depreciation is usually the biggest cost factor in first 5 years (versus other single cost factors including fuel, maintenance, insurance, interest, taxes/registration fees) .}