strategies behind buying a new or used vehicle

[ez]

we are the kind of people who keep vehicles forever...we cant stand to have a car payment. We have 2 vehicles a 94 mitsubishi 3000gt which we bought in 98 for 14,000 and a 96 dodge caravan which we bought new for 16,000. I looked into cASH FOR CLUNKERS ON THE MINIVAN BUT WE MISSED QUALIFYING ANYWAY BY 1 MPG. Now the 3000gt is still a very attractive vehicle and runs great, we dont use it very often only a few times a week, it has 106,000 miles on it, and a trade in value of 3500. The dodge has 160,000 and a trade in value of 244.00!!Anyway my 15 year old bashed up the minivan but good the other day in the church parking lot while her dad was trying to teach her to drive...to the point where I am even embarrassed to drive it, and that takes alot, but the damage would probably be in the thousands to fix...and the van is only worth a few hundred. Anyway any suggestions for repacing our minivan??(we love minivans)new used??right now what is the most bang for the buck out there???...it seems our mitsubishi has kept its value better than the minivan, I know there is a lesson to be learned there but cant figure it out1 thanks!

 

[golfgal]

Toyota or Honda--they maintain their resale value better than any other car on the market and you can drive them forever. As far as new or used, personally we try to find a year or two old car off a lease return when possible. Since people are leasing them they tend to take care of them more because they don't want to have to pay for any 'damage' when they turn them in.

My next car will probably be brand new because I use it for business and can take advantage of some tax breaks.

 

[Frantasmic]

My understanding is the Cash for Clunkers basically cleared a lot of good used cars off the lots, so what is left isn't as good a deal as normal for used cars.

If you enjoy mini-vans and want a good deal, I'd suggest the Kia Sedona. It has a good reputation, is similar to the Honda Odyssey and can be had fairly well-equipped for about $18K (that's with a good 3 year warranty as well).

 

[mickeymedic]

Once you find what you want - new or used - go to edmunds.com. The site will tell you what you should expect to pay for the vehicle you want. I have found that if you walk into a dealership with an edmunds report in hand they will generally give you the best price upfront without a hassle. Good luck!

 

[The Mystery Machine]

Private party you might get 500-1000 if runs and is not really heavily bashed and useable.

As far value retention mini vans are not not going to give you a bang for your buck.

I do agree that the Toyota/Honda has a better track record for value long term.

However since you love mini vans and keep your cars to the end, I would not worry about value retention to be honest.

We only buy used mostly thru private party and you win some, you lose some. We bought a used convertible Camaro '99 which has gone up in value. But it is "fluff" car and we have it for sale right now.

 

[stevenpensacola]

Make sure you go to this website:

http://www.carbuyingtips.com/

LOTS of information there...can save you a lot of money. Does a really good job of explaining the tricks the dealers will try and pull on you.

Do ALL of your negotiating on-line via email. Let them know you're shopping other dealers. When you're sitting at home on your couch, you really take the control away from the salesman/dealers...not able to play on your emotions, etc.

 

[pumba]

we just got a new car and kept our truck for winter traveling in snow and going hunting.
SO we did alot of research and found that you go to the dealerships at the end of the month...closer to the end because they want to make their quota and sell something...we got our car the last weekend of November and we were able to talk turkey....
On the research we found out that the Toyota's have a great resale if we decide to get rid of it in a few years down the line......they are a great car....we only have 75 miles on it but we know that it drives good ......
Good luck in your search

 

[golfgal]

Make sure you go to this website:

http://www.carbuyingtips.com/

LOTS of information there...can save you a lot of money. Does a really good job of explaining the tricks the dealers will try and pull on you.

Do ALL of your negotiating on-line via email. Let them know you're shopping other dealers. When you're sitting at home on your couch, you really take the control away from the salesman/dealers...not able to play on your emotions, etc.

This is good advice.

 

[LoraJ]

Don't buy online off of Craigslist if they say they can only ship you the car. Scam! Run away.

 

[stevenpensacola]

This is good advice.

last several new cars we've bought...all we had to do at the dealership was to pick out the actual vehicle, and sign the papers...all negotiating had been done before we got there. I specifically asked them (several times) for the final, out the door price...did not want no last minute fees or add-on's to mysteriously appear when we signed the papers.

The key is to let them see that you've done your homework, and that you're not willing to play all the games...and that you are willing to go somewhere else the minute they try any foolishness.

Makes buying a car much more enjoyable when you are in control of the situation.

 

[tinatark]

How much do you want to spend? Are you planning to finance or pay cash?

While I agree the Toyota/Honda vehicles typically hold their value, etc., if you have been happy with the Caravan, since they do lose so much value initally, you can get a great deal on a 2-3, even 4 year old one with good miles. More bang for the buck, too.

 

[mikehn]

Why are people so obsessed with residual value. The OP already said they run their vehicles into the ground. Resale value has no bearing here. you guys are a car salemans dream.

 

[Golf4food]

Why are people so obsessed with residual value. The OP already said they run their vehicles into the ground. Resale value has no bearing here. you guys are a car salemans dream.

Exactly. If you keep your vehicles for 10-15 years then they aren't going to be worth squat no matter what brand they are, and there is no way to accurately predict the resale value of any vehicle 10-15 years from now - Toyota might be out of business in 15 years for all we know and you'd get zero resale value then!

I would suggest you find what you like and get it regardless of the name on the side as long as they are a generally reliable brand right now - Honda, Toyota, Hyundai, Ford, Subaru, etc. I'd probably avoid a GM or Chrysler at the moment, especially Chrysler.

There are a lot of great offers from manufacturer's for zero % or very low % financing right now and with the rebates and low number of good used vehicles (thanks to the Cash for Clunkers program) you might actually do better getting a new vehicle than a used one. I'm generally in the camp of "only buy used" but the deals right now are so good they are hard to ignore - you can get a brand new car with zero % financing and with rebates for almost the same price as a used vehicle, but you won't get zero % financing on any used vehicle, so by the time you factor in interest and having no warranty on the used vehicle (most likely) then you might find a better deal going brand new.

 

[tonilea]

Get my BIL to negotiate for you - he is sick and twisted. I think he actually likes torturing the sales men and finance guys at dealerships.

 

[John VN]

There are a lot of great offers from manufacturer's for zero % or very low % financing right now and with the rebates and low number of good used vehicles (thanks to the Cash for Clunkers program) you might actually do better getting a new vehicle than a used one.

Yesterday, the head gasket blew on my 1987 Toyota Corolla with 160,000 miles and I am pretty sure no matter how great the offers are out there for a new car they will not have one for $4,000. Just because there might be a 0% rate does not mean one can afford a new vehicle. Buying within one's means might have prevented some of the current financial mess so many are in.

Wouldn't it be great if the "eyes are bigger than the stomach" syndrome was outgrown as one gets older. Might lead to better finacial and physical health.

Good luck to you as we will also be looking for a replacement today.