Where is the tipping point? How long does it take for the higher cost of purchasing a new vehicle to be justified by the growing expense of maintaining the current vehicle? Even if only the basic maintenance has been performed the vehicle should still be in good operation long after the odometer has reached the sixty or even one hundred thousand mile mark. We continually observe the odometers on vehicles we service to be in the two hundred thousand mile range or even higher. Many times we find vehicles in operation long after the owner was contemplating the sale, most of the time it is years after. Keep driving “old reliable” and you save not only due to lack of car payment also due to lower insurance premiums and registration fees, not to mention the tax and licensing associated with the new vehicle sale. *On an average to recuperate the purchase of a new vehicle, it will need to be kept for ten years. *
*Not having to write a check for a car payment each month amounts to tremendous savings.* Just imagine having an extra three hundred and fifty dollars, the average car payment, left over at the end of each month. The savings incurred could pay off debt or even used to begin a retirement or savings fund. Ask yourself this, “Do I really want to have that chunk of money coming out of my pocket each month again?” Holding on to your current vehicle for even three more years and putting that three hundred and fifty dollars away each month, you’ll have over twelve thousand dollars to put towards your next vehicle to lower your monthly payment, or to put into your existing vehicle and keep the savings rolling in.
I’m sure you have heard this a thousand times, but it is important to remember when the attraction of the new vehicle is so alluring; A new vehicle depreciates immediately as you drive it off of the lot. Roughly there is a *50% loss in value for the first five years of owning a new vehicle. *If you compare the depreciation to the cost of maintaining the current vehicle, Old Reliable is looking pretty good now.
If you are worried about the costs of maintaining your current vehicle, come in and talk to us at Oceanside Motorsports. We will tailor a maintenance and repair plan for you so we may together accurately weigh out the benefit of keeping your current vehicle.