Stupid Expensive Cars

[Leta]

I will spare everyone the details, but over the past three years, we've been on this crazy car odyssey. DH has a very good, secure job, and is going to be commuting to it until retirement. Right now we live 15 miles away, but we're trying like hell to move to the country, so 20-25 miles out.

I am very leery of debt, but feel like we need something with a warranty. And the car we want, a TDI Jetta, is impossible to find used here. In a year of looking, I found one in our county, and it cost more than double the Blue Book value. The used ones that I've looked at online are all thousands of miles away, and the savings are marginal. For example, an '09 Jetta with 100K miles on it costs $19,000 on average. A brand new Jetta costs $22-23K, and we could pick it up here. And the interest would be much lower, financing something new.

Is this bonkers? I can't believe I am considering buying a new car, but the used ones all seem like a giant rip off.

(We are very committed to buying a TDI Jetta. They last forever and get great gas mileage.)

 

[FarmerChick]

if you are very committed, want that Jetta only, and must have a car NOW, then the deal is the new car. go for it.

if you can wait a bit, bank money as a bigger downpayment so you can finance less.

no you are not crazy for buying a new car...lol...I bought many new cars.

edited to say....$23K isn't that bad for new....my hubby is checking out trucks and I am in the low $40s

 

[Lady Henevere]

I bought a new car a couple of months ago for my commute. The car I wanted also had a very high resale value, and it was easy to find them used, but hard to find them at a price that made used much of a deal over new. I got a really good price and I figure I will use the car for a decade or more; over time, it's not a bad deal.

The car I got rid of was a 08 Jetta; not a diesel. I hated it. I had an earlier Jetta and it was solid and everything on it worked great. The 08 seemed like they had cut costs everywhere they could, and things kept breaking all the time -- the visor screw broke off, the taillights kept going out, the brakes went out far earlier than normal, the glove box didn't latch right, the CD player never worked properly, the engine was starting to make weird noises...I can't remember what else, but there was always something on that car that didn't work.

If all the Jettas from the past few years are like this, you may not want a used one anyway. (I haven't researched it; maybe I just got a bad one.) I understand the Jetta has been redesigned yet again, and hopefully the new design is nice and solid, and will live up to the reputation Jettas have earned in the past decades.

Best of luck to you in your decision, and I hope you enjoy whatever you get!

 

[Wannabefree]

I hate debt. I'd be saving to pay cash. Yeah I know...that could take a while, but you will wind up paying nearly double for that car with financing which doesn't sound like much of a "deal" to me, no matter how good of a car it is. To me, it's worth the wait I am crazy, but not crazy enough to go into debt in this economy Just my opinion though.

 

[sufficientforme]

Our friends had a Jetta but finally traded it in, it was a lemon It was a brand new car and a couple thousand miles later needed a new fuel pump, then small stuff, they finally traded it in I have met some diesel Jetta drivers who love their cars but I think the gas engines have more problems.

Honestly I would buy new if I could not find a one to two year old car still under warranty. My husband does not like the thought of me sitting on the side of the road broken down so if doesn't have a warranty it is a no go.
Over the last few years we have traded in our luxury cars for cheap everyday drivers, they get great gas mileage and we aren't concerned if somebody dents them in the city.
Have fun and good luck on your search!

Wannabefree we never pay double the price for a car in interest, we have 0 percent on one and less than 4% on the other, but we pay them off early every time, pay very little interest and have a reliable ride in the process, so it really depends

 

[yourbadd]

As the owner of several used cars I understand why you want a car with a warranty!! It makes you feel better knowing that if something breaks you can have it repaired. Good luck on your decision!!

On the note about VWs....my husband is a HUGW VW fan!! We have a 63' Beetle, 81' Rabbit(was diesel), 00' Jetta and 03' GTI.
We have been smart to avoid anything with an automatic tranny....changing a clutch is cheaper than a tranny fix. We also invested in the repair manual. It makes fixes soooo much easier. I am by no means a car person. I just drive them, but using the manual, I was able to completely remove the dash and several components from the car all by myself.

Being able to work on VWs makes all the difference.

 

[savingdogs]

I understand being committed to a particular make of car, my car-of-choice is Subaru because we have never had such reliable or sturdy cars. Nothing ever breaks.
*SD looks for wood to knock upon, crosses fingers and says a quick prayer*

We always attempt to buy cars about 2 years old because of that value depreciation when you drive them off the lot, but my Hubby does not prefer to pay for warranties (he is a Mr. Fix-it). Maybe you just need to wait a while longer for the right car to turn up. We waited and looked for several months before we found the right Subaru for our first one, I had my heart set on a certain set of features on a particular year and ONLY wanted that one (2000 Outback w/the deluxe LL Bean package). Certainly not a luxury car but when I got the exact car I wanted, it was a moment to cherish when we finally drove it home, and the one we found had been babied and was in perfect condition, like it was just waiting for me. It certainly felt like a luxury car to me (wish it had never gotten wrecked by someone running a red light!). I replaced it with a forester that is more utilitarian for our farm life,and higher off the ground for our snow days, but now I don't even drive so my hubby inherited it and feels it is the best car we have ever had. So it worked out I guess. I have family members who swear by their Hondas and tried to convince me to change, but we have had nothing but good luck so we are loyal to Subaru now. We were happy that the one we bought was partially made in our country as well.

I suggest patience. Wait for your Jetta but it will come up used eventually. We also loved our VWs we had, we owned a couple beetles and also a Westfalia camping van, those are the only cars we have ever owned that we sold and regretted it later.

 

[sufficientforme]

SD one of my dear friends has that edition of the Subaru and she feels the same way about it that you do! She will drive that car to the death

 

[Leta]

Our used car loans (thru our credit union, they also hold our checking and mortgage, and we both have AAA+ credit) are under 4%. So even if we didn't get the dealer financing and/or 0% interest, we'd be able to secure a good rate.

I wanted to just pay cash for our last vehicle (only $2800), but the total amount we paid in interest for the 12 month note was $68, which was less than we earned in interest on our savings (5.1% at Mango). And we knew that we could pay the note off at the drop of a hat if we needed to. So I am not averse to financing things when it makes sense to do so. (I diverge with Dave Ramsey on this point, and instead heed Warren Buffet's advice.)

But $2800 and $22,000 are REAALLLY different. At 4% for 6 years, our total interest would be about $3000.

I hate cars! Bring back the trains! Waah!

 

[sufficientforme]

Leta I completely understand but on the other hand my Dad just bought my Mom are really nice used car, less than 60,000 miles. It checked out great (at local dealer, but it was a private sale) and she drove it with no issues for a few months and then the header (I think ) blew and it was 1100 to fix, it needed new tires 400.00, engine mount broken after the header issue (I am car repair illiterate, may have been something else)...My point is, an older car you drive A LOT can nickle and dime you to death with maintenance and repairs needed. I hate debt but I hate being scared to death on the side of the road even more and 3000 is a drop in the hat for some engine/transmission problems.