Cars, New or Used, watchu buy?

[campgottagopee]

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I was talking with my buddy at the dealer (private dealer) we take our A6 too. He said new cars sales have slumped so much, he's paying thousands more for used Audi's (at the wholesale level) than he was about 6 months ago.

That's no sh$t---you can't even imagine--in fact, I've taken some seriously overagerde units back to the sale and have made $$$ on them. Something I've never seen in my 20 years in the auto biz. It's amazing right now.

 

[ctenidae]

I like bells and whistles and shiny too much to buy used. If I were to get a used car, it'd have to be a classic of some sort. An old Alfa or Triumph would be good. Old Corrolla, not so much.

On the other hand, I absolutely hate seeing that monthly lease payment go out the door. But, I do get to watch car commercials and think about what'll be available in 2 more years.

 

[Geoff]

Right now I think new is the way to go, and here’s why. With the manufactures captive lending sources offering incredible APR’s and attractive leasing options the “monthly cost of ownership” gap has narrowed between new and used. That, and the fact that GOOD, low mileage, no paintwork pre-owned cars are bringing a premium right now make buying a new car even more sensible when it comes to value and piece of mind. If a person can lease then that’s the way to go, if I had to buy a car for sure that’s what I would do. I even think the “used car market” will get worse before it gets better in terms of value. This is due to the fact the domestics have cut out leasing therefore fewer and fewer cars will be retuning to the market with “good” miles driving the prices even higher. Right now, new is where it’s at.

I tend to buy my cars in October at the end of the model year as the ski season is kicking in. I assess what I'm driving and decide if I think it will reliably make it through the winter. I start researching and test driving during the summer when I have the slack time on weekends. I pretty much always insist on an invoice deal since it's a leftover and the dealer wants to get it off their lot. I wait for some kind of rebate or marketing incentive. I put a 100K extended warranty on it. I usually sell my previous car privately where I can get more for a well-maintained dealer-serviced high mileage car with all the service records. At auction, a car with 140K to 150K miles on it is worth nothing and dealers won't keep those cars on their lot.

If you follow that strategy, some cars won't ever be possible. Most 'luxury imports' never offer those kinds of deals. You'd never find a hybrid priced like that. I bought two GTIs, two Mountaineers, and a Mazda Navajo using that strategy. When the car goes off the 100K extended warranty, it's usually good for another 40K to 50K or so before I'm not willing to risk mechanical problems winter driving at night in the boonies.

 

[campgottagopee]

I tend to buy my cars in October at the end of the model year as the ski season is kicking in. I assess what I'm driving and decide if I think it will reliably make it through the winter. I start researching and test driving during the summer when I have the slack time on weekends. I pretty much always insist on an invoice deal since it's a leftover and the dealer wants to get it off their lot. I wait for some kind of rebate or marketing incentive. I put a 100K extended warranty on it. I usually sell my previous car privately where I can get more for a well-maintained dealer-serviced high mileage car with all the service records. At auction, a car with 140K to 150K miles on it is worth nothing and dealers won't keep those cars on their lot.

If you follow that strategy, some cars won't ever be possible. Most 'luxury imports' never offer those kinds of deals. You'd never find a hybrid priced like that. I bought two GTIs, two Mountaineers, and a Mazda Navajo using that strategy. When the car goes off the 100K extended warranty, it's usually good for another 40K to 50K or so before I'm not willing to risk mechanical problems winter driving at night in the boonies.

I've got 2 hybrid Altimas I'll sell ya for 1500 under :grin:

 

[Glenn]

That's no sh$t---you can't even imagine--in fact, I've taken some seriously overagerde units back to the sale and have made $$$ on them. Something I've never seen in my 20 years in the auto biz. It's amazing right now.

He went on to say people were pissed the price of used Audi's were going up. "How come it's more than it was back in December?" New car dealers aren't selling new cars, so they've beefed up their used car offering. Our friends Supply and Demand...they never get any rest! :beer:

 

[hammer]

With a lot of the new models I've been looking at, I can get prices at/near invoice less incentives of $1500 - $2500. Not much more than buying the same 2-3 YO car CPO, and I don't have to worry (as much) about hidden damage or an abusive past.

Isn't the sales tax on new cars also deductible on federal income taxes this year?

 

[campgottagopee]

Isn't the sales tax on new cars also deductible on federal income taxes this year?

Yes

 

[WJenness]

I'm on my third car ever at this point...

1st: 1990 Dodge Shadow - bought from my uncle (was sitting unused in his front yard) with well over 100k mi... Got the "nephew" price of $40
2nd: 2000 Pontiac Grand Am - bought it brand new (about $20k, went for a bunch of options like the V6 engine, better sound system, etc.) drove it into the ground (197k mi, a lot of neglect).
3rd: 2004 Audi A4 - bought it "Certified Pre Owned" in May of '06 from the dealer, which gave me an extended warranty that I'm nearing the end of... It's treated me well, and I wonder how it'll be once it's repaired (see: http://forums.alpinezone.com/59135-person-who-hit-my-girlfriend-then-took-off-rt-2-morning.html for more info).

At the end of this car, I don't know what I'll do yet. I had planned on holding on to this car for at least another 2 years, and evaluating where I was at that point.

-w

 

[hammer]

2nd: 2000 Pontiac Grand Am - bought it brand new (about $20k, went for a bunch of options like the V6 engine, better sound system, etc.) drove it into the ground (197k mi, a lot of neglect).

Wow...that's a lot of miles each year, seems like you got your money's worth on that one even though you didn't have it that long...

3rd: 2004 Audi A4 - bought it "Certified Pre Owned" in May of '06 from the dealer, which gave me an extended warranty that I'm nearing the end of... It's treated me well, and I wonder how it'll be once it's repaired (see: http://forums.alpinezone.com/59135-person-who-hit-my-girlfriend-then-took-off-rt-2-morning.html for more info).

FWIW, I crunched up the front end of my Outback when it was just over a year old...needed body alignment, new hood, fender repair, and some new engine components. The paint match wasn't completely perfect on the repair, but I had no other mechanical problems.

 

[WWF-VT]

I buy new and own cars for 8-10 years always keeping up on routine repairs and maintenance. My current car is a 2001 Audi A6 wagon with 141,000 miles. My wife has a 2007 Subaru Outback wagon that replaced her 2006 VW Passat wagon. Biggest depreciation when buying new is the day you drive it off the dealer lot. With all the information available to new car buyers and timing of a purchase you can get good deals on new or used vehicles.

 

[Philpug]

With some new car dealers loosing franchises, they are becoming used car dealers, where prices were stupid low 12 mo ago, they are high now.

 

[mondeo]

I think paying a little more for a new car is acceptable but I don't understand how people can toss down $40k+ for a new car when that money could be used in so many other ways had they just bought something a little more reasonable.

300hp and 0.92g's on the skidpad is fun.

My car is 3 years old, and it's still one of the easiest ways to put a smile on my face on a daily basis. It just doesn't get old.

 

[WJenness]

300hp and 0.92g's on the skidpad is fun.

My car is 3 years old, and it's still one of the easiest ways to put a smile on my face on a daily basis. It just doesn't get old.

I've probably asked before, but what do you drive?

-w

 

[WJenness]

Wow...that's a lot of miles each year, seems like you got your money's worth on that one even though you didn't have it that long...

I certainly did... Lots of trips from the south shore of MA to Amherst and back, lots of trips to fencing tournaments, and a few runs to Myrtle Beach, SC after my mom moved down there... I worked that car HARD.

FWIW, I crunched up the front end of my Outback when it was just over a year old...needed body alignment, new hood, fender repair, and some new engine components. The paint match wasn't completely perfect on the repair, but I had no other mechanical problems.

Thanks... I'm more concerned that they're going to start taking it apart, find frame damage or something and total it out... On the plus side, according to this thread, values of used audi's have been going up recently, so I'd get a little more than I would otherwise...

We'll see what happens.

-w

 

[deadheadskier]

I've probably asked before, but what do you drive?

-w

one of those cheezy fast and furious type wannabe race cars; forget what it's called

 

[mondeo]

I've probably asked before, but what do you drive?

-w

Impreza STI

one of those cheezy fast and furious type wannabe race cars; forget what it's called

You mean rally car homologation model?

In my defence, I would've gotten it without the wing if it were an option. I don't particularly want to draw attention to myself when driving.

 

[roark]

Also depends on the new purchase price/incentives. I would expect the dealer incentives on new cars are pretty good right now. We got an 02 hyundai accent for $6K (list at the time was $10K) new. It is (very) basic transportation but the cost per mile is unbeatable... less than $1K/yr in purchase price (ignoring TVM)... Typically get 40+ mpg... 13" wheels = cheap tires. Studded snows and 4 wheels was less than $300... up to about 89K miles now... Easy to maintain - did the timing belt, water pump etc. myself. Plus it's not so fun to drive, so I don't get any tickets

 

[deadheadskier]

Impreza STI

You mean rally car homologation model?

In my defence, I would've gotten it without the wing if it were an option. I don't particularly want to draw attention to myself when driving.

No need to defend yourself. I drive the male equivalent of a soccer mom car realizing I want something long lasting and reliable because chances are in the next few years kids will exhaust any money I might pray to have putting towards a fun car.

 

[mondeo]

No need to defend yourself. I drive the male equivalent of a soccer mom car realizing I want something long lasting and reliable because chances are in the next few years kids will exhaust any money I might pray to have putting towards a fun car.

Just my way of saying I make fun of the look as much as anyone else. It is easy to find in parking lots, though.

 

[GrilledSteezeSandwich]

No need to defend yourself. I drive the male equivalent of a soccer mom car realizing I want something long lasting and reliable because chances are in the next few years kids will exhaust any money I might pray to have putting towards a fun car.

your having kids..danger danger...not good for ski days..or cashflow..or dead concerts..well I guess hippie parents bring their kids to the dead concerts..