Fitzpatrick & Lambert called to inform me that my #4 piston and wrist pin are broken and that repairing the engine would not be economical. They estimated that a salvage yard would give me a few hundred dollars at most for the body. Being a one-car household will work for a week or two, but ultimately I need to be able to go to the Lehigh Valley most weeks and am applying for jobs that will require a serious commute. I truly despise car shopping, but it looks like I have no choice.
Why do I hate buying automobiles? There are so many better things you could spend that kind of money on, and when you consider that your substantial investment may be off to the junkyard itself in a months I become practically ill. I am not a haggler by nature and look with suspicion on anyone who will not publicly advertise their real price. Sales pitches seem to focus on the most irrelevant details, such as paint color and leather upholstery rather than what actually matters.
So, I leave the task to you, knowledgeable denizens of the Internet. I need to find a vehicle that I can purchase for somewhere in the ballpark of $5000. I will need financing (ugh, that also makes me sick). I should be able to feel reasonably confident that it will not fall apart within the next few years, and that it will be safe. It should get good gas mileage. It will need to have an automatic transmission, and preferably will not be overly large.
In your opinions, what are the most reliable makes/models of pre-owned vehicles? Do you think it is worth it to go into debt further to buy a low-end new car and have a warranty? Is there anything that uses alternate fuel sources that is close enough to my price range to consider? Any thoughts that you have would be greatly appreciated.
I think you are boned. You want a car that will last 3-4 years for $5000 and get good gas mileage (I am assuming a low repair rate). I think without a doubt you should buy a new car. There are some very good deals out there. You can most definitely get a car for under $16k. With a 5 year loan you are looking at about $200/month.
This type of car will be no frills but reliable and efficient. It will most likely retain value after 5 years and have fewer problems. I would look at the Honda Civic, Volkswagen Rabbit/Golf, Suzuki something or other, the camry is probably competitively priced, the Honda Fit is a good deal. Basically any non american vehicle.
Comment by Munroe — October 21, 2009 @ 2:30 pm
http://research.cars.com/go/crp/buyingGuides/Story.jsp?year=New§ion=Passenger&subject=Passenger&story=compact
Comment by Munroe — October 21, 2009 @ 2:32 pm
If you must go used take a look at certified used cars. Most of them come with really good warranties. My vw was certified used from the dealer and had some trouble early on but i didn’t pay for any of it.
Comment by Mykroft — October 21, 2009 @ 2:54 pm
i have had good luck with used toyotas. even older models of them tend to hold up better (year and mileage-wise) than the ford-type american cars. nissan sentras were also on my preferred list when we were car shopping last year. i agree with munroe, though, that you generally will have better luck/more reliability if you buy non-american brands. i have heard good things about the honda fit.
when my car died last year, i was dead set against buying a new car because i grew up with used ones and thought they were a waste. however, we found we had much better options (and potential resale value) if we considered a new car. we also opted for a warranty on our car because i was tired of dumping money into a used car all of the time.
i wish that alternate fuel source cars were cheaper. even used, they are about the cost of a new moderately priced sedan (18K +).
Comment by lisa — October 21, 2009 @ 3:15 pm
When Lisa and I were looking for a car, we wanted a reliable, fuel efficient vehicle. At that time gas prices were very high, pushing up the price of used cars that met our criteria. Now that gas prices have been down for a while, the market may have settled down a bit. You should definitely price used cars before deciding to buy used or new.
While the quality of US cars is now equivalent to their foreign counterparts, it’s still common for people to think otherwise. And since the price of used cars is driven by this perception, and we had already decided to buy new, we bought a foreign car. The thinking was that since it’s our only car, if we needed to sell it in the future to get a larger car we could sell it for more than if we had gotten a domestic make (for this same reason we bought the extended warranty, which is transferable). Since this is your second car, I’m assuming you have no intention of ever selling it. If this is the case, and therefore you don’t care about resale value, and you’re considering buying new, you should definitely look at domestic cars in addition to foreign. Not only are modern domestic cars just as reliable as foreign cars, but there are some great deals available for domestic cars that simply aren’t being offered on foreign cars.
Anyway, in summary, don’t automatically discount domestic cars (apparently Roe and I are in direct opposition on this point).
Just for laughs, let’s compare the Honda Fit and the Toyota Prius. The Fit is base price 15,500, the Prius is 21750. The Fit gives you about 30 MPG, the Prius about 50. If you drive a typical 12000 miles per year, the Prius will use 160 fewer gallons of gas. Even at $4 per gallon, thats only $640 per year. It would take about 10 years to make up for the extra cost (not including lost interest on the money blah blah blah). The bottom line is that as long as your vehicle is somewhat efficient, it’s often not worth it to spend more on a more efficient vehicle.
Comment by Michaluk — October 21, 2009 @ 5:41 pm
Also, do you research on car pricing. I feel like we got ripped off when we bought our car, and it’s totally my fault for not doing enough research.
-Ryan
Comment by Michaluk — October 21, 2009 @ 5:42 pm