Comments on: Major Purchases and Your Specific Life Situation

By: Rosa Rugosa

Rosa Rugosa — Tue, 15 Sep 2009 00:17:15 +0000

I haven’t seem many references to Saturn on this site, but I just love my 14 yo SL1, and I’m going to drive it as long as I can! It’s a 1995, and they changed the appearance quite a bit in 1996. I see a lot of the cars on the road that look like mine, so I know they’re all at least 14 years old too. And we do really prefer buying American, We’ve only had good experiences with Saturn, and we’ve only bought new cars from them.

By: John

John — Wed, 27 May 2009 22:39:31 +0000

…I have to add, though, lest I seem like a domestic-car-basher, my previous car was a 1990 Pontiac Grand Prix, which I drove to 250 clicks with few problems, and I’m hardly a mechanical guy. Just regular maintenance and gentle driving. Domestic quality has apparently improved since then, and I for one never thought it was that bad in the ’90s.

By: John

John — Wed, 27 May 2009 22:35:18 +0000

My daily driver is an old Honda Accord – looks bad, but will probably run another hundred clicks. I have an old Honda motorcycle, for the months its nice enough to ride that. Reliability is king, for me.

By: Beth

Beth — Tue, 19 May 2009 21:42:31 +0000

I’ve always driven American, and I’ve never had a problem. So as for me I will keep buying American cars because for me it’s important to support my family and friends that work in the American Auto industry.

By: PF

PF — Mon, 18 May 2009 18:13:57 +0000

@Trent, FORD = Found On Road Dead. We have a 97 F150 too. What ticks me off is how the same things keep breaking. Our Ford truck makes a great third vehicle, however. We are DONE with American cars.

@Anne, my husband’s size is a major factor as well. We have to drive 4×4s where we live and we’ll only buy Japanese. That really narrows the choices to some expensive vehicles. The good news is, they last a long time.

I really get ticked off when I listen to Dave Ramsey talk about buying the $2000 car or the people who leave comments here about their Honda Civic and how everyone should drive one. Sorry Dave et al, that doesn’t work everywhere and for everyone. Trent, you are on right on target here.

By: Dana Booth

Dana Booth — Mon, 18 May 2009 17:26:22 +0000

It frequently sounds like you’re following our life, right down to the unreliable vehicles :) As far as used vehicles go, I’ve done such a poor job of choosing used vehicles, even with mechanics looking at them and reading Consumer Reports, that I’m not sure I’ll ever go used again. Even my previously garage kept and well-maintained Honda Odyssey turned out to be a lemon, probably the only lemon Honda ever made. I do well when choosing new vehicles tho. Our ‘99 truck is the only vehicle we have. I dread the day when we need to buy another vehicle. We will need very reliable (kids) and cheap.

By: DDFD at DivorcedDadFrugalDad

DDFD at DivorcedDadFrugalDad — Mon, 18 May 2009 12:46:42 +0000

It is amazing how much goes into purchase decisions when your kids are involved! They change everything . . .

By: Kate

Kate — Sun, 17 May 2009 21:35:29 +0000

I go against all the financial gurus, too. I only buy new cars because of bad experiences with used cars and they passed mechanic inspections. I buy the very most stripped down new cars so it is at a rock bottom price. The less fancy, the less there is to break. I break them in and I am a very gentle driver–my brakes and clutch last a very long time. And with a good credit rating, the interest is negligible so it makes sense for me to take a payment and save the rest. New car dealers are desperate–now seems like a very good time to buy new instead of used.

By: K

Sun, 17 May 2009 18:49:27 +0000

I also buy new for reliability & peace of mind. Kept my first two cars 8 & 9 years, respectively. I’m sure used would save me some money, but at 8+ years and the intangibles, it is worth it to me.

By: Manshu

Manshu — Sun, 17 May 2009 18:31:24 +0000

I am surprised how less the specific situation and factors get mentioned in the mainstream media and also blogs. I see a lot of people giving advice without even putting qualifiers that its only good for a specific situation. This post hits the nail on the head as far as understanding your needs first and then evaluation options go.

By: Anne KD

Anne KD — Sun, 17 May 2009 17:52:41 +0000

Just a few years can make a gigantic difference in viewpoint. After college and when I was single, I bought 2 new cars- I’m still driving the second. I bought new because my previous cars driven in college constantly needed repair, and I couldn’t keep asking people to rescue me. When I traded in the first car, the mileage was 226K, no problems and 6 years old. However, it didn’t have a/c, which didn’t bother me the first few years- but it got old reaching across to roll down the window for good old ‘2/60 ac’. The second car only has 116K miles on it, no problems, 8 years old. My life has changed dramatically since my marriage. My biggest issues are still dependability and gas mileage, but the highest importance now is ‘will my husband fit in my car?’ If his car is in the shop, he has to rent a pickup, because he is too tall to fit in most other cars. His most important criteria for a car is whether or not it has over 40″ headroom, and wide enough shoulder room. Dependability and gas mileage are farther down the list.

By: Meri

Meri — Sun, 17 May 2009 16:26:13 +0000

Oops, sorry about the double posts.

By: Meri

Meri — Sun, 17 May 2009 16:25:31 +0000

This is the one area where I go against all the recommendations of all the financial gurus of the world. I only buy new cars. Yes, I know, they depreciate in value by anywhere from 30-50% the second you drive off the lot, but I get comfort and peace of mind from knowing the history of the car and whether it really was maintained, whether or not it had been in an accident, how it was treated by the owner (since the owner is me), etc.

Oh, and I don’t buy a new one every few years, I drive them for as long as I possibly can. Right now I have a six year old CRV with 130,000 miles on it, and it’s still going strong with no mechanical problems. Just put on a new set of tires about a month ago, I follow all the recommended maintenance procedures, and keep it clean inside and out. This car is going to last almost forever.

By: Meri

Meri — Sun, 17 May 2009 16:23:33 +0000

By: Joey

Joey — Sun, 17 May 2009 15:53:08 +0000

Remember, you don’t have to choose between used, cheap, efficient, and reliable. With a bit of searching, it’s possible to find all four. Without taking out a loan.

You can use Crazedlist (http://www.crazedlist.org/) to search for used cars in your immediate and not-so-immediate areas. I can see at least two Prius within an hour’s drive of my house–one for $9000, and another for $11,000. Each has well under 100,000 miles, and each is from a single owner. If you expand the search to recent Civics, the spread becomes even larger.

You can buy a new car if you want, but someday, you’ll have to acknowledge that none of the justifications you’re making for buying one were solely obtainable through buying a new car. I guess you could keep writing obstinate posts insisting the way you did it was the only way this could have worked for you, though.

By: The Weakonomist

The Weakonomist — Sun, 17 May 2009 14:45:09 +0000

The value proposition should always be a primary concern for anyone making a purchase. Value is the relationship between price, time and utility.

Take for example my dad. Next weekend he wants to buy a new TV. He doesn’t have the time or patience to shop around. The ability to save time is worth a premium to him, so he will likely pay more to get the tv he wants at the first store he goes to. . To me saving time is not important when it comes to these decisions, I would get the most utility out of obtaining the highest value possible on a TV.

For each person value means something different, always consider it a win if you maximized YOUR value out of a purchase.