So Your Car Hit 100k Miles – Should You Buy a New One?
It’s a dilemma many of us have faced: your car has finally reached 100k miles, and is probably putting on the years too. Do you finally say your goodbyes and trade it in for a brand new ride? Or should you keep your old car for as long as possible?
In this article, we’ll go over many of the potential advantages of putting off a new purchase and keeping your old car. After all, in uncertain economic times like these, putting off big purchases is a great way to keep your finances in a good spot – at least, until things get back to normal.
Now, you may be thinking – “isn’t now actually the best time to buy a new car”? And yes, while car dealers across the country are offering potential buyers more incentives to buy a new car now, you probably won’t be able to get the best deal if you’re looking to trade-in. Right now, dealerships are sitting on fully-stocked pre-owned inventories, so your old car is currently worth less than it would’ve been in February. Cue sad music.
But apart from that, there are still several other good reasons you should keep your old car. Let’s take a look at some of the other advantages.
Avoid depreciation
You may have heard it a thousand times before, but that’s because it’s absolutely true – the minute you drive off with that beautiful new car, it starts to lose its value.
And while the loss depends on the vehicle, you can expect to lose about half of its original value in the first five years. Now compare that loss to the current cost of maintaining your car. You’ll likely discover that it’s a much better overall value to just keep driving your old car.
More savings in your bank
Everyone loves discovering new ways to save money, and right now, savings are on even more peoples’ minds. As the country deals with economic uncertainty and many are worried about their own job security, every penny saved can help people feel more prepared in case of an emergency.
By keeping your old car, you’ll be able to save a lot of money. No new car equals no new car payment, which could save you hundreds of dollars a month. Plus, most new cars come with higher insurance costs, so keeping your old car can land you some serious savings there too.
DIY opportunities
For DIY-enthusiasts, one of the biggest benefits of keeping your old car is all of the potential car upgrades you can make. From customizing the interior to restoring your headlights, there are countless ways to breathe new life into your old car.
Plus, with DIY-ing comes even more opportunities to save. Taking your car in for a repair can run you hundreds, or even thousands of dollars. But, if you know your way around a toolkit, you can often manage the same repairs yourself for much, much cheaper.
Vintage appreciation
Finally, a great reason to keep your old car that you might not have thought of, is its potential future value as an antique or vintage car!
Everyone loves vintage cars, and if you have an older car that can qualify, why not hold onto it? Consider entering it into a virtual car show to give it some appreciation and potentially show it off to the world!
At the end of the day, there are so many good reasons to hold onto your current car – even if just for a bit longer. From saving more money to giving yourself the ability to DIY your own car projects, keeping your old “clunker” around can reap more benefits than you might’ve previously thought.
What is your reaction?
Great article and read! Thank you!
Having an older car with no payments has so many life benefits, with savings being the leading one. Just remember that you still need to keep up the maintenance, which may be more costly on an older car. Cutting that car payment in half or even thirds and putting that money into the vehicle every month or two is a great practice.
As kennedy said above, it’s entirely worth driving an older car until the wheels fall off, so long as you aren’t falling prey to the sunk-cost fallacy.
This is so true. Keeping your old car really can save you a lot of money. Especially If its paid off, its great to not have payments anymore and it puts you in a much safer financial position.
There are a lot of perks in keeping your old car. However, you definitely need to have it serviced regularly. A fresh coat of paint and changing your headlights out will make it look brand new.
Depending on the car, it could make sense to just restore it. If you’re an auto-hobbyist, antique cars could be the way to go for you. Otherwise, a lot of foreign cars are known for their longevity (Toyota, Nissan, Honda). With proper maintenance, cars like that can last well past 100k.
I think if your a first time buyer/driver those miles dont matter as long as you maintain the car properly it will be ok. Plus during these harder financial times a little TLC on older cars will cut your costs and no need to worry about monthly payments either.
It’s always a good idea to have a few types of vehicles you would consider purchasing, so you have knowledge of the model and value. Then you are prepared when you need to get a vehicle to replace yours.