Would you spend 1 year of living expenses on a new car?

[Lizard Queen]

Dec 18, 2016 11:05:12 GMT -5 The Walk of the Penguin Mich said:

Dec 17, 2016 23:00:01 GMT -5 Lizard Queen said:

Sounds like you can afford it, but why new? Also sounds like you're not going to use it that much. Lately my mantra has been: buy as much as you're going to use. I really think you maximize value and satisfaction that way. This seems like a lot more than you're going to use.

Have you ever tried to find a gently used Subaru?  For the most part, they cost as much as new if you can find one, and those that don't have a buttload of miles on them.

My NEW Forester cost $2000 less than the 3 year gently used one I managed to find but it had 50k miles on it.  

As a matter of fact I have--very recently, in fact. I didn't understand the need for a "Subaru" either until a much more recent post. (There are lots of good vehicles that aren't Sub's, you know.) This one makes more sense to me now if she does indeed take it out on dirt roads and the like that she describes. For just a quick in-town commute, it doesn't make much sense.

[8 Bit WWBG]

Would I?  Yes, I would.  I'd probably go up to $35K, maybe $40K for something I really want.  But on a 5 year loan, that would be $700/mo on payments.  That is a lot to swallow, and would eat up a lot of money that is currently available for other things.

[jenpen]

Dec 18, 2016 11:00:41 GMT -5 Rukh O'Rorke said:

based on this, it's a bit of toss up as to spending this on a car. You are in great financial shape, but not very heavy on savings.

How secure is the pension if you did lose your job? Will you still get it? reduced percentage?

If I lost my job today, I could get a reduced pension starting at age 60, but I'm not sure how much.  If I don't lose my job, in 5 years (at 20 yrs of state service but under age 60), I'll be eligible for a reduced pension of ~2k/month.  In any case, I'll also be eligible to participate in the State Health Plan when I start taking my pension. Currently, it's possible to have $0 premiums.  Obviously that could change.

On one hand, my job seems very secure: It has become incredibly stressful in the past year. Early this year, I mentioned to my boss that I'd considered asking for a demotion and cut in pay because the stress was affecting my health.  He took that to mean I was looking to leave altogether, and an hour later called me into a meeting with himself, our Center's business office manager (who has been there for 40 years and secretly runs the place), and our Center Director.  They all wanted to reassure me that they did not want to lose me and that they'd support me 100% in whatever decisions I wanted to make to resolve the 2 situations that were causing the most stress (one situation involved another employee who -- before I got involved -- had dragged all of them into the drama, with threats of filing a formal complaint against my boss).  

On the other hand, I work in mostly federally-funded (NIH) research. There's always a chance that money goes away. Still, even if my position had to go, I'm pretty confident I could move to another research unit thanks to the relationships I've built with leaders in the Infectious Diseases and Cancer areas that are pulling in a ton of new research dollars from both private and public funds.

[jenpen]

Dec 18, 2016 13:00:34 GMT -5 Anne_in_VA said:

I'd say wait and go for it when you retire.  At this time I'd rent a similar car for your trips and see if you still like it as much as you do now.  When you return, keep looking for a gently used car that fits your needs.  

Dang it, now why did you have to go and give me a perfectly sensible option when I'd just about made up my mind?!?!?  Seriously, that's a great idea. I actually used to rent a car to do longer trips when the Mitsubishi got old enough that I didn't trust it anymore.  Hmm, I need think about this one. 

[Anne_in_VA]

Dec 19, 2016 8:29:25 GMT -5 jenpen said:

Dec 18, 2016 13:00:34 GMT -5 Anne_in_VA said:

I'd say wait and go for it when you retire.  At this time I'd rent a similar car for your trips and see if you still like it as much as you do now.  When you return, keep looking for a gently used car that fits your needs.  

Dang it, now why did you have to go and give me a perfectly sensible option when I'd just about made up my mind?!?!?  Seriously, that's a great idea. I actually used to rent a car to do longer trips when the Mitsubishi got old enough that I didn't trust it anymore.  Hmm, I need think about this one. 

You're welcome!  

[Tiny]

I've had the 30K car... and in 10 years it was worth 2500 in trade in value (and had about 4K in various repairs the last two years I drove it.). It was a fun car and I don't regret buying it (I was earning about 50K when I bought it).  I won't be spending that much on a car again.   It just wouldn't fit with my lifestyle and future financial plans.     

I'd suggest considering what you will be giving up by buying the new car.  Look out to the next year or two or three or five and see how the cost of this vehicle fits into your long term plans.   Also look 10 years out (when you may need to replace it or it may need some big expensive fix - bells and whistles break).  If you aren't giving up much of anything - I'd say go for it. 

FWIW:   I'm a low mileage driver - and so far at about age 10 every car I've had started to suffer some difficulties.  Parts dry out, parts wear out, parts get old.    I do realize that Subaru's and Toyota's last for ever - but I suspect even at the 10 year mark they are showing a little wear and tear even if they've only got 90K miles (or less) on them. 

 

[jenpen]

Dec 18, 2016 12:02:31 GMT -5 GRG a/k/a goldenrulegirl said:

Dec 18, 2016 10:32:45 GMT -5 jenpen said:

Why new? Why top of the line?  
I've been checking almost daily for used, and none have had the safety features I want. I could be patient and most likely the right car would come along w/in the next 6 months. But in 5 days I'll be driving through the mountains, into the Polar Vortex to visit family in OH and friends in MI. Then plan to go back to Ohio again in mid-January to see a close family member for the first time in over a year. The Fit makes me apprehensive about making these trips.  The thought of making them with the new car has me really excited about the drive.   

Double check if there is a break-in period: usually the first 1,500 miles require you to drive 55 or less.  That might cramp your first trip.

Wonderful point, I hadn't even though of. Thanks, GRG (btw, as a long time lurker I know what your name stands for, but you'll always be "Georgie" in my mind!  I hope you don't mind !  

Thanks to you, I did ask about this a couple nights ago when I went for a test drive.  They say the break-in period applies to the high-performance cars, like the WRX.  They'd had a guy come in recently and buy a non-high-performance car and drive it to NY the next day.  So I should be okay.  The main thing for me will be to avoid flooring it and making hard stops, which really I should be doing anyway

[jenpen]

Dec 21, 2016 18:32:22 GMT -5 Tiny said:

I've had the 30K car... and in 10 years it was worth 2500 in trade in value (and had about 4K in various repairs the last two years I drove it.). It was a fun car and I don't regret buying it (I was earning about 50K when I bought it).  I won't be spending that much on a car again.   It just wouldn't fit with my lifestyle and future financial plans.     

I'd suggest considering what you will be giving up by buying the new car.  Look out to the next year or two or three or five and see how the cost of this vehicle fits into your long term plans.   Also look 10 years out (when you may need to replace it or it may need some big expensive fix - bells and whistles break).  If you aren't giving up much of anything - I'd say go for it. 

FWIW:   I'm a low mileage driver - and so far at about age 10 every car I've had started to suffer some difficulties.  Parts dry out, parts wear out, parts get old.    I do realize that Subaru's and Toyota's last for ever - but I suspect even at the 10 year mark they are showing a little wear and tear even if they've only got 90K miles (or less) on them. 

 

The bolded part of your message is what prompted this thread.  For 14 years I loved my job, thought I'd hit some kind of career jackpot, making good money and doing work I absolutely loved with the most wonderful coworkers I could imagine, while making some positive difference in peoples' lives.  Then a year ago it all went to shit.  I hate my job and can't wait to get out.  I was sitting in front of my computer, looking at my Quicken Income & Expenses report for the past 10 years. I was noting that, when I take out taxes, and take out the extra 17K spending in 2013, the year my home flooded, my annual expenses have stayed pretty steady at around 30k/year.  That was when my sister called and we started talking about me possibly buying a 30k car, and I realized what that meant.  One year of my life spent at work or doing something else I love.  I know annual expenses isn't a way to judge if I can afford this car financially, but it is an emotional judgement point for sure!

[Knee Deep in Water Chloe]

Currently, we are in our vehicles for about 40,000 miles per year. We live in a county that floods often and throughout the year. We live in an incredibly rural area (Less than 65,000 people in the county of 1800 square miles). So, taking all of that into account, yes we have spent a year's worth of living expenses on cars. There have been times when that was not a viable financial plan, but in the previous two years we've been able to afford it.  

[jenpen]

Knee Deep in Water Chloe, 40,000 miles per year for each of you, or combined?  Either way, I just can't imagine!  I didn't realize you were that rural -- my university town has 50 - 55,000 people, but we're right on the county line, over which is one of 2 large cities w/in 20 minutes drive.  I'm glad the car situation is working out you the past couple of years. I know you've had enough else on your plate and been working your butt off to deal with your MFH and other house. 

[milee]

jenpen, the only things that might give me pause are related to the model of car itself.  The Crosstrek is incredibly appealing - looks really fun, especially the great colors.  And I'm a huge fan of Subaru.  If you didn't have budget concerns I would say this is a reasonable choice.  But... overall I wouldn't say it's necessarily unreasonable to get a new(er) car, but given what you've described, I'm not sure I'd pick this particular car.  

1)  The silly high resale prices for used Subies have been based in part because of their quality ratings/reputation and in part because of scarcity.  Both those things have very recently changed.  Subaru had a huge decline in quality rating at Consumer Reports this year, dropping out of the top 10 most reliable manufacturers; if the decline in quality continues it will tarnish the reputation and hurt future resale values.  The prior scarcity was caused by a lack of production capability, which should have recently ended when Subaru's deal to lease a significant amount of plant space to Toyota ended this fall.  So the next few years could see a double whammy of Subaru having a lot of cars available just when people are hesitating to buy one because of the quality problems they're hearing about.  In other words, don't count on your resale value staying as high as Subie resale is right now.

2)  Subaru just released the redesigned Impreza upon which the Crosstrek is based, which means the Crosstrek (which hasn't been a favorite of car reviewers, who routinely point out how it's smaller and noisier than competors or even the Impreza wagon, for the past few years) will also have a redesign very shortly.   As soon as the new Crosstrek is released, the value of the existing Crosstreks decreases as that's what the market does to an obsolete model.  This could happen tomorrow or next year, but it will happen in the not too distant future.  If you love the current model more than the new one, you might even want to wait and get one of the good deals they'll offer when they clear them out, but buying now guarantees that you won't benefit and are likely to take a hit when the inevitable new model comes out fairly shortly.  Another hit to your resale value.

3)  Subaru is good at building basic cars that are capable and durable.  In my personal opinion, they are not as good at the upscale touches like leather, automatic lift gates and sunroofs.  Their fit, finish and quality of those things - especially the leather - is poor.  IMHO, the best way to know what options to purchase is to understand what Subaru is good and bad at.  In other words, stick to basic trim and equipment and expect it to last.  Don't make a huge financial sacrifice to get leather and have a nasty surprise that it's not good quality, wears poorly or just isn't nice.  Especially on their entry level model - Impreza/Crosstrek.  At $30k, that sounds like this entry level model has been loaded up with every single option known to man including the Yosemite Sam mudflaps.  That will impact resale for the first few years as buyers think - heck, I could get into a Forester or even an Outback for that amount.  Plus, buyers of used cars tend not to price in much value for most options.

If this weren't such a major financial impact for you, I wouldn't even point out those things since it feels like raining on the parade.  And I don't think the Crosstrek will be a lemon or anything dramatic like that.  I just wouldn't stretch myself financially to get into a loaded entry level model that only gets "meh" reviews overall.  To put it in perspective, you could buy 2 of your current car for the price of this one car you're considering.  Is the newer car nicer?  Sure.  Is it twice as nice?  I dunno.   

EDITED TO ADD:  This is a long winded way of saying - I think you could do better.  You drive very, very few miles.  You say you don't "give a crap" about cars.  You rarely offroad.  You seem hesitant about this purchase.  While I don't think this is a "bad" car, I think it's an expensive solution to your minor problems and will end up costing you more (mainly through depreciation) than you think.  If you want a newer car, then you can afford one, but I think there are better choices for that amount of money.

[Regis]

Our rule of thumb is that we never have vehicles (including boats, RVs, ATVs, etc.) worth more than half our combined salaries.  It makes payments pretty palatable.

[cronewitch]

I am retired and drive about 450 miles a month so my 2007 has about 55K miles on it now. I was looking to see what a new one cost and they don't seem to have them anymore. One almost like it is about 30K and has a back up camera, I might like a back up camera but never back up except twice a month or so grocery shopping. Mine is dirty and needs an oil change I get free oil changes for life and a car wash is $6. Not worth buying a new car at any price. At age 68 my next new car might be my last if I wait a few years to buy it.

[Knee Deep in Water Chloe]

Dec 21, 2016 22:36:36 GMT -5 jenpen said:

Knee Deep in Water Chloe , 40,000 miles per year for each of you, or combined?  Either way, I just can't imagine!  I didn't realize you were that rural -- my university town has 50 - 55,000 people, but we're right on the county line, over which is one of 2 large cities w/in 20 minutes drive.  I'm glad the car situation is working out you the past couple of years. I know you've had enough else on your plate and been working your butt off to deal with your MFH and other house. 

It used to be that much per car, but we're down to 40,000 miles per year combined. The truck we purchased brand new in November 2014 is about to hit 60,000 miles. The Accord we purchased brand new in May 2015 has just passed the 35,000 mile mark. 

[phil5185]

I think it's an expensive solution to your minor problems and will end up costing you more (mainly through depreciation) than you think. If you want a newer car, then you can afford one, but I think there are better choices for that amount of money.

But depreciation depends on your longterm plans. We put 205,000 miles on our last Toyota, it was 11 years old.  I expect a car to be valued at $1500 to $2500 when I sell it. Ie, I think of it as 100% 'consumed' when I buy it, I don't care what it's 2 year, or 3 year, value will be.

Subaru is good at building basic cars that are capable and durable. In my personal opinion, they are not as good at the upscale touches like leather, automatic lift gates and sunroofs. Their fit, finish and quality of those things - especially the leather - is poor. IMHO, the best way to know what options to purchase is to understand what Subaru is good and bad at. In other words, stick to basic trim and equipment and expect it to last. Don't make a huge financial sacrifice to get leather and have a nasty surprise that it's not good quality, wears poorly or just isn't nice. Especially on their entry level model - Impreza/Crosstrek.

A 2017 Forester costs about $23,000. And I agree - if you avoid leather, sunroofs, yada, and buy for function the Sub is a super value. If you drive up to a ski lodge, you'll see jillions of them in the parking lot.  And when you're driving in the dark, in fresh snow, in howling wind, it's really nice to be able to drive past those flashing signs that say "CHAIN UP except AWD",

[WholeLottaNothin]

Dec 22, 2016 7:58:31 GMT -5 milee said:

jenpen, the only things that might give me pause are related to the model of car itself.  The Crosstrek is incredibly appealing - looks really fun, especially the great colors.  And I'm a huge fan of Subaru.  If you didn't have budget concerns I would say this is a reasonable choice.  But... overall I wouldn't say it's necessarily unreasonable to get a new(er) car, but given what you've described, I'm not sure I'd pick this particular car.  

1)  The silly high resale prices for used Subies have been based in part because of their quality ratings/reputation and in part because of scarcity.  Both those things have very recently changed.  Subaru had a huge decline in quality rating at Consumer Reports this year, dropping out of the top 10 most reliable manufacturers; if the decline in quality continues it will tarnish the reputation and hurt future resale values.  The prior scarcity was caused by a lack of production capability, which should have recently ended when Subaru's deal to lease a significant amount of plant space to Toyota ended this fall.  So the next few years could see a double whammy of Subaru having a lot of cars available just when people are hesitating to buy one because of the quality problems they're hearing about.  In other words, don't count on your resale value staying as high as Subie resale is right now.

2)  Subaru just released the redesigned Impreza upon which the Crosstrek is based, which means the Crosstrek (which hasn't been a favorite of car reviewers, who routinely point out how it's smaller and noisier than competors or even the Impreza wagon, for the past few years) will also have a redesign very shortly.   As soon as the new Crosstrek is released, the value of the existing Crosstreks decreases as that's what the market does to an obsolete model.  This could happen tomorrow or next year, but it will happen in the not too distant future.  If you love the current model more than the new one, you might even want to wait and get one of the good deals they'll offer when they clear them out, but buying now guarantees that you won't benefit and are likely to take a hit when the inevitable new model comes out fairly shortly.  Another hit to your resale value.

3)  Subaru is good at building basic cars that are capable and durable.  In my personal opinion, they are not as good at the upscale touches like leather, automatic lift gates and sunroofs.  Their fit, finish and quality of those things - especially the leather - is poor.  IMHO, the best way to know what options to purchase is to understand what Subaru is good and bad at.  In other words, stick to basic trim and equipment and expect it to last.  Don't make a huge financial sacrifice to get leather and have a nasty surprise that it's not good quality, wears poorly or just isn't nice.  Especially on their entry level model - Impreza/Crosstrek.  At $30k, that sounds like this entry level model has been loaded up with every single option known to man including the Yosemite Sam mudflaps.  That will impact resale for the first few years as buyers think - heck, I could get into a Forester or even an Outback for that amount.  Plus, buyers of used cars tend not to price in much value for most options.

If this weren't such a major financial impact for you, I wouldn't even point out those things since it feels like raining on the parade.  And I don't think the Crosstrek will be a lemon or anything dramatic like that.  I just wouldn't stretch myself financially to get into a loaded entry level model that only gets "meh" reviews overall.  To put it in perspective, you could buy 2 of your current car for the price of this one car you're considering.  Is the newer car nicer?  Sure.  Is it twice as nice?  I dunno.   

EDITED TO ADD:  This is a long winded way of saying - I think you could do better.  You drive very, very few miles.  You say you don't "give a crap" about cars.  You rarely offroad.  You seem hesitant about this purchase.  While I don't think this is a "bad" car, I think it's an expensive solution to your minor problems and will end up costing you more (mainly through depreciation) than you think.  If you want a newer car, then you can afford one, but I think there are better choices for that amount of money.

I was going to say the same thing, but was hesitant to rain on the parade, so to speak. I have mentioned before that my DH and I have an outback and a legacy. I have a co-worker who has a crosstrek and I have ridden in her car before. Our outback and legacy are a smoother and quieter ride. I do like how the Crosstreks look though, so I can understand the appeal.

[bean29]

We just bought our Daughter a Legacy with the eye sight package. The eye sight pkg added about $617 to the price DH negotiated. We paid just over 26,000 for the Legacy and let me tell you it is a pleasure to drive and has top safety ratings. I will look at the Legacy and the Forester when I go look for a new car, although my next car has to have a heated steering wheel (I am about the same age as you and even with gloves on my hands get very cold in the car). I told DH that to get a heated steering wheel on a Forester, I had to buy a pretty much fully loaded car, so I would look at maybe a higher model like the outback and hope that I can get a heated steering wheel without lots of bells and whistles. I drive a CRV and I also have a lot of blind spots. I had to back up this morning in a parking lot and my backup camera is dirty, so I really was worried something might be behind me.  Other than the blind spots, I like my CRV a lot and would prefer to stay in that size range.

A co worker is driving the Crosstrek, and she is happy with it.  DH just had one as a rental while his car was being fixed and he kept asking me to drive it.  I drove it one day and it is a nice car, but just a bit smaller and less comfortable than I prefer.  I suggest you look at the legacy, it is a very nice car.  I like loading stuff in the hatch back, but really don't need much cargo or passenger space as it is just the two of us at home most of the time now.  (DS graduates from College in spring and DD has a few years to go).  I am interested in  the new 2017 CRV which is supposed to be at dealerships this week.  It is supposed to have more comfort/convenience options than the CRV's had in the past.  I will wait another year or two before I buy something.  The Consumer's report that I was looking at on the Forester suggested I look at a Ford Escape if I wanted more options/value for my $$.

You have a good income, and a short commute, so the need to have a high mpg car is not that great.  I would pay attention to comfort/road noise and safety.  I agree with you on the blind spot and other safety features.  One other think I find lacking on my CRV is that it has very slow acceleration ... if I buy a 2017/2018 CRV I will opt for the new beefed up engine, same with the escape - I will buy the bigger engine.

I will get navigation on my next car if it Is very cheap, but the cell phone integration with the radio systems these cars have now is practically the same thing.  Did you explore that option with your salespeople?

[TheOtherMe]

I have a 2012 Fit, which I love.  Call the dealership and demand they do the air bag fix.  I did that and mine is now fixed. 

The blind spot issue seems to have been fixed as I am older than you and I am not having that issue.

With the exception of a lemon Ford Escort 30 years ago, I have only drive Toyotas or Hondas.  I drive them until they die and am very happy with them.

I could never spend $30K on a car.  Never. 

[jenpen]

The blind spot issue was notorious on the 2007-2008 models. Yes, they fixed it after that. 

[jenpen]

Oh dear, I'm afraid I'm about to get kicked out of YM.  I literally was at the dealership, in a lull between signing papers, when I pulled up YM and started reading milee's post.  At first I was laughing at the irony, but then had to stop reading before I started crying!  Milee, I do thank you for your very thoughtful response! And WholeLottaNothin for seconding the sentiment, as well as not wanting to rain on my parade

I went to test drive the Crosstrek on Monday night.  About 2 minutes into the drive, it hit me: OMG, I can sit in and drive a car without being in pain!  I don't know what it is about the angle or whatever of the seats in both my Fit and the Mitsubishi, but it is hell on my lower back from the moment I sit down.  It also became clear that the Premium trim would be perfectly fine as long as it had Eyesight and blind spot/rear x-traffic detection (these were my only deal-breakers).  I hadn't seen any Premiums w/those features listed, but apparently they had one.  They sent me a quote the next day, and it was "only" $1k less than the Limited edition, which i'd already negotiated getting some dealer-installed features added with no increase in the original quote. From all my research, the original quote was very fair.  So I decided to go with the Limited.  Yes, it does have leather seats and a moon-roof.  I had a sunroof in the mitsubishi which I never used and I will probably forget I even have it now. Leather seats seemed nice, but definitely are not something I went in looking for.  I hope there's no serious wear issue, like Milee pointed out.  I don't have kids or dogs, so maybe that'll help.

I called that same day and put a deposit to hold the car.  I couldn't sleep that night and almost got up at 4 am to email and cancel.  After thinking on it more the  next day, I couldn't sleep that night due to my excitement.  

I'm fully admitting to myself this is probably 85% want, 15% need.  One of the things I got the dealer to add at no additional cost was the remote engine start.  My condo has on-street parking and I have Reynaud's: getting to work on winter mornings can be really painful. Technically that's still a want, and it's something I'll probably use only 2-3 months of the year, but it's something I've dreamed about having for years. I wanted a Subaru back when I bought my Fit, but felt it was way too expensive given that I still had a student loan and I just couldn't fathom spending that much on a car.

IDK, guys.  The consensus here seemed to be that I wasn't being a complete irresponsible idiot for even considering this, so I went with that.   I'm super happy with the decision at the moment, but I guess the next few years will tell.  There's so many very minor things that, on their own, I could forget about/deal with.  But all combined, I just really needed to be done with the Fit.

[❤ mollymouser ❤]

Would you spend 1 year of living expenses on a new car?

NOPE


To me, the better question is should YOU spend 1 year of living expenses on a new car?

[mamasita99]

I'm glad you found a vehicle where you can ride without pain! Priceless! And FWIW, I've already decided that if  I ever live in a place without a garage then I'm getting the remote starter feature. I'm a wuss in the cold.

I pass a new Subaru dealership daily on my way to work, so far I have avoided browsing!

[TheOtherMe]

Enjoy the new car, jenpen!

I was having some eye problems two years ago and had major blind spots.  It was not the car, it was my left eye.  Once that was taken care of, I was back to no blind spots. 

[Knee Deep in Water Chloe]

jenpen, it sounds like everything has worked out splendidly!!!  I'm excited for you!

[TheOtherMe]

Dec 24, 2016 8:25:47 GMT -5 jenpen said:

Yikes, TOM, I'm glad your eyes are okay now!  If I get caught on the road after dark w/out my glasses, the whole world becomes one big blind spot, lol! 

The problem was discovered at my annual eye exam.  Guess that is why you get them every year.

Was referred to medical eye doctor for treatment.  Laser procedure (not lasik) took care of the problem but I did have psychedelic floaters for a couple of weeks. 

[NastyWoman]

Dec 23, 2016 0:32:40 GMT -5 mamasita99 said:

I'm glad you found a vehicle where you can ride without pain! Priceless! And FWIW, I've already decided that if  I ever live in a place without a garage then I'm getting the remote starter feature. I'm a wuss in the cold.

I pass a new Subaru dealership daily on my way to work, so far I have avoided browsing!

Another option is to move to a nice cozy warm place 

[mamasita99]

Dec 25, 2016 16:40:40 GMT -5 NastyWoman said:

Dec 23, 2016 0:32:40 GMT -5 mamasita99 said:

I'm glad you found a vehicle where you can ride without pain! Priceless! And FWIW, I've already decided that if  I ever live in a place without a garage then I'm getting the remote starter feature. I'm a wuss in the cold.

I pass a new Subaru dealership daily on my way to work, so far I have avoided browsing!

Another option is to move to a nice cozy warm place 

Believe me, I'm working on that option!

[happytraveler]

Dec 17, 2016 22:50:54 GMT -5 jenpen said:

For the car, I hope to trade in my Fit for at least 5k, and make an additional down payment to bring the financed amount to $17,500.  That would put my monthly payments around $300.
!

I have always been of the opinion that it is a financial mistake to finance a car. If you really want this particular car, I would save up enough money so you are comfortable paying cash, or consider a less expensive vehicle.

Oops...I see I am too late. Hope you enjoy the new wheels.

[swamp]

Dec 26, 2016 8:13:56 GMT -5 happytraveler said:

Dec 17, 2016 22:50:54 GMT -5 jenpen said:

For the car, I hope to trade in my Fit for at least 5k, and make an additional down payment to bring the financed amount to $17,500.  That would put my monthly payments around $300.
!

I have always been of the opinion that it is a financial mistake to finance a car. If you really want this particular car, I would save up enough money so you are comfortable paying cash, or consider a less expensive vehicle.

Oops...I see I am too late. Hope you enjoy the new wheels.

Even if you have 0% financing?

[happytraveler]

Dec 26, 2016 10:03:22 GMT -5 swamp said:

Dec 26, 2016 8:13:56 GMT -5 happytraveler said:

I have always been of the opinion that it is a financial mistake to finance a car. If you really want this particular car, I would save up enough money so you are comfortable paying cash, or consider a less expensive vehicle.

Oops...I see I am too late. Hope you enjoy the new wheels.

Even if you have 0% financing?

So my experience is that you can typically negotiate a lower price for the car if you pay cash than if you take the financing @ 0%....your own experience may be different, but in buying multiple cars over my life time I can't recall an instance where I would have been better off not paying cash. Some folks have suggested to me that I would have been better off taking the low % financing deal and investing the difference, but the returns there would obviously be less than certain especially over a short time frame..say 24 or 36 months.