This would be a no brainer for me. Keep the Honda. A 6 year old car with only 71k miles should have a mountain of life left unless there has been some maintenance neglect going on.
The problem with buying anything else other than brand new is that a used anything is a pig in a poke and you may be jumping from the frying pan into the fire; both mechanically and financially.
While going to Walgreens today I noticed a newer Ford Fusion in front of me with a right side brake light out and the rear valance flopping in the breeze a bit on the right side. It had a paper plate which showed the car had just been purchased on Monday the 9th. They pulled into Walgreens so I introduced myself and pointed out the 2 issues to the elderly couple. A character flaw of mineâŠ
This car had approx. 12k miles on it and they said they just traded in a low miles car for it. After taking a look underneath I could see signs the car had been hit from behind with a few things left undone and some paint overspray. They were a bit irate over this (not at me) being a 2019 model CPO car and all from a franchised Ford dealer; with said dealer about to get an earful very soon.
Point being that much worse could happen to you with another used vehicle.
I guess you donât agree with the advice given . Mija , stated something about wear , repairs and she wants a truck .
It only makes sense to point out the financial side of this plus the fact that new has lower loan rates . It also makes sense pointing out that used truck prices right now are really high.
I have a truck. I really only need it 4 to 5 times in a year (thatâs how often I need to haul something which wouldnât fit in the trunk or back seat of a regular car) and to be honest, a minivan would be just as useful except maybe once a year when I need to haul an appliance or other large heavy item. I make sure to drive the truck at least once a week to keep the battery charged and the fuel from going bad.
That being said, I have two other vehicles, so it does not cost much in additional insurance and maintenance/licensing fees to have a truck that is driven maybe 2000 miles in a year. If you only have one car, it does not make sense to replace it with a truck, unless you absolutely need a truck and need it frequently. I was also very fortunate to buy this truck at the beginning of the year, before the pandemic hit and prices shot up. I would not pay the crazy high prices which people are asking right now!
I used to be a âman needs a truckâ kind of guy. Then, about the time I had kids, I realized 100% of the time I was paying a penalty in fuel and interior space for the ability to haul âstuffââŠmaybe 5% of the time. We switched to a minivan and never looked back. You can carry a ton of stuff in a minivan, and people too.
Plus, relatively speaking, itâs super cheap to just have stuff delivered. Or buy a 12 pack of beer for your buddy with a truck.
I recently took an out of state road trip. I noticed one thing in particular and it applies to the Chevy and GMC dealer here also.
Almost all of those Chevy/GMC dealers I saw on that trip had very few trucks on the lot. The ones they had were spaced out about 5 to 6 car widths apart to try and keep the lot from appearing empty. That means demand, higher price, and less wiggle room on negotiations.
One lot I saw (a big one) in Louisiana had half a dozen trucks (all white in color) scattered out and maybe 15 to 20 cars; also scattered.
My understanding is that in 2022 Ford is going to bring a larger displacement V-8 back into use and itâs going to be a push rod motor.,
Like gambling casinos, the house always wins. Each dealer interaction, sell or buy, will cost you a few thousand dollars, each, that you will never get back. If what you have works, use it. If you want something else, you will just have to pay for it. But life is short so maybe it is worth it!
I donât want to be harsh but from a purely financial viewpoint, the only place to find the deal you want without being skinned alive is Never Never Land.
Youâre starting $9,000 in the hole on your current vehicle, breakeven if youâre incredibly lucky and manage to sell it for that.
Then youâre thinking about buying another used car for the same money but what about the Sales Tax, Registration and Dealer Profit? Either youâll end up with a worse car or find yourself deeper in the hole than where you started.
If you have the ability to payoff your current $9,000 debt in a year, instead of shuffling cars trying to make 1+1=3, payoff the debt this year, continue driving the Honda for another year while you continue to make âpayments to yourselfâ for a future down payment on what your really want.
The key to financial success is to first set a reasonable goal and then having the financial discipline to carry it through.