Home > consumer info, money > new versus old versus leased

new versus old versus leased

i have seen several people cave when it comes to automobiles. for some reason automobiles give a lot of pleasure, i am the same way i love a good vehicle, but good for me is not new. i own a 1994 ford explorer that is perfect, and so i was curious as to any studies that may have been done on the financial benefits of owning an older car. This first study is about owning a car that is fairly new and gives an argument for keeping it rather than buying the latest thing on the market:

We asked Vincentric, an automotive-research firm, to compare the cost of several new vehicles with their five-year-old counterparts. We assumed that the used vehicles were paid off and the new vehicles were paid for with a five-year, 6.6% loan and 15% down. Based on total ownership costs over five years — including insurance, fuel, repairs and depreciation — the results are firmly in favor of hanging on to your old car.

For example, a new Chevrolet Malibu will cost $33,064 over five years, or $7,343 more than the $25,721 it would cost you to maintain a 2004 model that’s paid off. Likewise, a new Honda CR-V has a five-year ownership cost of $33,520, versus $24,597 for the five-year-old model. That’s a savings of $8,923 if you keep the old vehicle.

By Jessica L. Anderson, Associate Editor, Kiplinger’s Personal Finance

June 2009

http://www.kiplinger.com/columns/car/archive/2009/car0605.html

here is a graphical view provided by an Edmund’s study of new v.s. leased v.s. used:

Consumer Info

Advertisements
  1. Mr. Graham
    February 18, 2010 at 1:44 am

    It is the old adage of taking care of what you got. I own a 2003 Dodge Dakota, before that a 94 escort, and 86 Ford pick up truck – none which had power door locks or windows – something i am firmly against. When did we become so lazy that we can not open the door for our companions. I believe chivalry is not dead but it is lost in the beeping of our door locks from half a block away and smooth grind of our windows going up and down – men open the door for the lady’s they will love it they probably have never had it done for them. It could be like reinventing something of old – it will probably help you get laid more often. I was raised old school and we open doors for women – check “The Bronx Tale” it may even let you know if the woman shares feeling for you in return…

  2. February 18, 2010 at 6:24 am

    A friend of mine had one of the most recently ready models and you could distinguish right away that it was something special. the interior, while tight, was very luxurious and of upper caliber. There was more soft materials and leather padding in the Scirocco than the Passat.

  3. February 24, 2010 at 9:10 pm

    Food for thought. I am grateful to you for that, but I also want to thank for something else. I am afflicted with color blindness (deuteranopia to be precise). I mainly use Chrome browser (no idea if that matters), and a good few internet sites are tricky to understand as a result of a problematic range of colours used. In your case, as the choice of colors is sensible, the site is very clear and easy to read. I am not certain if this was a planned and mindful act, or simply the ‘luck of the draw’, but I still thank you.

  4. March 12, 2010 at 9:16 am

    That is nice to definitely find a site where the blogger knows what they are talking about.

  5. March 13, 2010 at 8:48 am

    Great stuff. Nice to read some well written posts. A long way between them.

  6. March 22, 2010 at 10:21 am

    By far the most concise and up to date information I found on this topic. Sure glad that I navigated to your page by accident. I’ll be subscribing to your feed so that I can get the latest updates. Appreciate all the information here

  1. April 1, 2010 at 6:26 am

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: