Buying a New (To Me) Car (2 Viewers)

[Burke]

Hey All,

I was hoping to gather some advice regarding new(ish) cars. My wife and I are in need of a new car within the next 12 months. Normally buying a new car for me just means getting another beater and milking it for all it's worth, but I don't think I can really do that anymore. It is not my wife's preferred style but she has gone along with it in attempts to be frugal and she trusts my family's ability to economically fix/maintain these old cars.

Just to give you a feel for the cars I have driven primarily over the past 10-15 years: 1988 Crown Victoria, 1994 Buick Roadmaster x 2, 1995 Toyota Camry, 1999 Lexus RX 300 x2, 2009 Ford Edge. I currently drive the Lexus RX-300 and she drives the Ford Edge (both with over 200k).

Anyway, we now have a newborn and I'm much more interested in something safe and reliable. I know cars have come a good ways in terms of additional safety features.

I would like to get a new car primarily for her. I just don't want to break the bank and know the used car market is a bit insane right now. We certainly don't need top-of-the line. I'll probably use the Ford Edge and keep the Lexus in the driveway as a backup.

Looking for something to fit these categories:
- Midsize SUV
- Less than 100k
- Within past decade
- 15k range

Anyway, thanks for reading. Any starting advice would be appreciated!

 

[doublebooyah85]

I’m in car sale sales. The new car market is just as insane. Expect to pay MSRP and no dealer discounts nor rebates for the next 6-12 months due to the micro chip shortage. A Subaru would be the ideal choice. Nothing holds its value better and they are extremely safe. I would recommend the Forester or Outback.

 

[Burke]

I will still buy a used car!

 

[doublebooyah85]

I will still buy a used car!

I would look at Certified Subarus. They come with an additional 7 year 100k mile factory powertrain warranty. They would be a 2017-2020.

 

[gopherblue]

^^^ +1 to the Subaru. Everyone I know has one (although I don’t since I already have a VW Passat wagon with AWD), but the Subaru wagons and midsize SUVs are great.

 

[Seeking Alpha Social Club]

I will still buy a used car!

2 to 3 year old, 20k to 40k miles has been the sweet spot for Molly for nearly 20 years. Considerably cheaper, we owned each one for years, and never had mechanical issues.

Also, last year we bought her a 2019 vehicle from Hertz in Richmond. We shopped for a long long time, and we were going to go with a 2017, similar mileage, for what she wanted. It turned out to be an AWESOME transaction with us getting 2 years newer (only 1 year old at the time of purchase).

Secure financing in advance, that's what I do. The finance guy at Hertz asked me what my rate was and if they could try to match it. I told him, "I'll show it to you after you run the numbers, and I'll go with whichever is lower." They beat my credit union rate by over half a percent. It was a great transaction.

Good luck my friend!!

Edit: And Molly always goes with large to mid sized SUVs.

 

[Seeking Alpha Social Club]

And don't be afraid to lease. People have strong opinions on leases, but my personal experience with it was AWESOME!!

We were just married and Molly absolutely positively had to have a brand new full size SUV. We ended up leasing a Ford Expedition.

MSRP was $36k (yeah, I've been married a while now...LOL)
Monthly payments were $383 per month.
Lease term was 5 years.

At the end of 5 yrs the bank asked us if we wanted to least for 2 more years for some stupidly low lease rate, something like 0.2%. Payments were less than $200 per month.

At the end of 2 years, they asked if we wanted to buy if for $7k and we passed.

But my point is, we owned a brand new vehicle for 7 years and paid (in principle and interest), about $8k less than the original MSRP.

I did have a calculator that told me whether the lease or buy option was better. You can probably find one on line.

 

[dkellerd]

It’a easier to recommend cars if one knows the budget…what are you trying to spend on the used SUV-ish?

 

[doublebooyah85]

I usually recommend leasing but based on his previous buying habits, leasing isn’t for them. Plus right now with low new car inventory, the lease specials are awful. (But your’re right…sometimes lease to buy is better than buying outright other than the double tax you end up paying).

Certified Subarus also carry a special low APR usually 1.9%, sometimes even lower.

Sounds like you had a good experience last time at Hertz, but I would avoid purchasing from a rental company. Your buying a used vehicle, driven by hundreds of people, and the rental companies often take shortcuts when it comes to the maintenance, oil changes, tires, brakes etc.

If you want to travel to Ohio DM me and I can share what Subarus we have here! Also offer Honda, Hyundai, Kia and Ford.

I would also recommend cargurus.com. They make it easy to identify good deals. However I would shop by the freshest, newest cars that hit the website. There is a reason it’s a GREAT deal and no one has bought it yet usually!

 

[Burke]

It’a easier to recommend cars if one knows the budget…what are you trying to spend on the used SUV-ish?

Good question - $15k. I think @doublebooyah85 is correct. I really can't see myself leasing. That being said, I started this thread to investigate some more options. Truthfully, I loathe the idea of a monthly payment in general.

 

[doublebooyah85]

Facebook Marketplace also can have very good used vehicles. Someone that may have been very proud of their vehicle and didn’t get enough on trade. As someone mentioned, secure financing at your local bank to compare rates, have a local mechanic inspect, and often you can find some of the best vehicles on the private market.

 

[doublebooyah85]

$15K will get you a nice SUV with AWD/4WD around 80,000 miles. Very popular budget.

I would really focus on the private market (once you know a make/model) for a customer that was only offered $10,000 for the trade but they knew it could bring $15k etc.

Whose your local mechanic or service dept? What do they have familiarity on repairing?

 

[warma]

A friend loves their Hyundai Santa Fe, the newer(ish) model, not the really old version.

 

[HeWhoWouldPun]

My wife drives a 2009 CR-V and loves it. We got it when there was only one little person in the family and now there are three not so little people. Have not had any major problems with it. Would happily buy another one (or any Honda).

My guess is that the used market for CR-Vs won't feel like much of a deal because even pre-pandemic they kept their value really well.

 

[Burke]

I would really focus on the private market (once you know a make/model) for a customer that was only offered $10,000 for the trade but they knew it could bring $15k etc.

I like this - how do I best identify these sales. Just read description essentially?

Whose your local mechanic or service dept? What do they have familiarity on repairing?

I don't necessarily rely on one local mechanic. When things are wrong with my car I usually fix it or it's not worth it (see cars listed above). More my dad than me. This means mostly routine things - CV joints, tie rod ends, wheel bearings, spark plugs, ignition coils, brakes/rotors/calipers, tires, hoses, bulbs, battery, oil changes that stuff. Have done some larger projects as well.

But this will change. I've never really had much time, but I like saving money. I now have even less time and it won't be worth it. My dad is getting older and even though he likes doing this stuff, it isn't going to be feasible anymore.

 

[Seeking Alpha Social Club]

Good question - $15k. I think @doublebooyah85 is correct. I really can't see myself leasing. That being said, I started this thread to investigate some more options. Truthfully, I loathe the idea of a monthly payment in general.

Completely agree....payments SUCK!! But you a family man now my friend, so broke down on I95 with a child isn't an option for your wife. Trust me, it's much less painful to give into the fact that you will have a revolving car payment for the next 18 years now rather than fighting it...LOL.

Plus, it's a bit harder to win that argument with the job you have.

 

[dkellerd]

I’ve been researching the past hour or so…seems like a Mazda CX-9 should be added to your list to check out.

I’d attempt to test drive and compare most of these if they pass your wife’s visual test…these are the top rated for safety by the iihs.

https://www.iihs.org/ratings/safe-vehicles-for-teens

 

[JustDave]

Toyota Highlander(if you can even find one at any price). There is a reason every 'young family' seems to be driving them around a few years ago.

 

[Burke]

@dkellerd! thank you

 

[Burke]

Completely agree....payments SUCK!! But you a family man now my friend, so broke down on I95 with a child isn't an option for your wife. Trust me, it's much less painful to give into the fact that you will have a revolving car payment for the next 18 years now rather than fighting it...LOL.

Plus, it's a bit harder to win that argument with the job you have.

This may be the quote that makes me OK with having a car payment. If my wife were to find out that I was convinced by my poker friends she would probably cut me a lot more slack!!!!!

 

[Burke]

Toyota Highlander(if you can even find one at any price). There is a reason every 'young family' seems to be driving them around a few years ago.

My mom just bought a Highlander and I drove it to Charlotte, NC and back. I definitely liked it a lot. Wife's parents have a newer Edge which I drove to Maine a year ago. I liked that as well.

 

[doublebooyah85]

Read descriptions, look at photos, check underneath the vehicle, pull the car fax (that will cost you $20), etc. Preferably buy something under 3 years 36,000 so it’s still under factory FULL warranty or 5 year 60,000 engine and transmission warranty. Your budget won’t allow that so I would take it to a local mechanic or *subaru* dealer and pay $100 for an inspection.

I like this - how do I best identify these sales. Just read description essentially?



I don't necessarily rely on one local mechanic. When things are wrong with my car I usually fix it or it's not worth it (see cars listed above). More my dad than me. This means mostly routine things - CV joints, tie rod ends, wheel bearings, spark plugs, ignition coils, brakes/rotors/calipers, tires, hoses, bulbs, battery, oil changes that stuff. Have done some larger projects as well.

But this will change. I've never really had much time, but I like saving money. I now have even less time and it won't be worth it. My dad is getting older and even though he likes doing this stuff, it isn't going to be feasible anymore.

 

[doublebooyah85]

View attachment 803419View attachment 803420I’ve been researching the past hour or so…seems like a Mazda CX-9 should be added to your list to check out.

I’d attempt to test drive and compare most of these if they pass your wife’s visual test…these are the top rated for safety by the iihs.

https://www.iihs.org/ratings/safe-vehicles-for-teens

IIHS is the go to source for safety ratings!

 

[JustDave]

This may be the quote that makes me OK with having a car payment. If my wife were to find out that I was convinced by my poker friends she would probably cut me a lot more slack!!!!!

Yeah, this is what got me out of my wife and I out of mid 90s jetta/4runner and into more modern cars. Modern safety features and just the overall reliability when you've got the little one's aboard. Priorities change big time.

Make sure when you are taking into account a more expensive car that you include the cost for property taxes every year and the increased cost of insurance. Your car note may be 300 a month, but you are going to be spending more than that on the taxes and insurance being more too.

My next car will be a Highlander or RX depending on the market at the time.

It's brand new and hard to find, but the Rav4 Prime plug-in is apparently a great vehicle. I'm still waiting on Toyota to have a full EV.

 

[Burke]

yep car insurance will suck...I guess I will have to start buying collision for the first time

Edit: or even comprehensive

 

[Colquhoun]

Had a Toyota Sienna for years and loved it. When not driving the kids around, the back seats come out and I would be able to fit 4x8 sheets of plywood or drywall flat on the bed, with only 12”-18” sticking out the back.
Space is insane.

 

[Seeking Alpha Social Club]

This may be the quote that makes me OK with having a car payment. If my wife were to find out that I was convinced by my poker friends she would probably cut me a lot more slack!!!!!

One last tid bit to think about. I have no idea if your wife is going to be a stay at home mom or go back to work. Molly was a stay at home mom. I bring this up because it's important when considering mileage. Molly ran all the errands and racked up twice the national average mileage each year. You might not think there is a lot to it, but the miles add up fast.

 

[JustDave]

yep car insurance will suck...I guess I will have to start buying collision for the first time

Edit: or even comprehensive

a few years back I was talking with my dad and he pointed out I had the same car insurance plan that I had when I was 16, on his policy, and driving the family hand me down.

'you have a house, you have a lot more money, you have assets to protect. Cars cost a lot more than they did 20 years ago, especially cars around here. Maybe you want to look at having more coverage.'

Insurance actually wasn't that bad. Having my auto property tax like quadruple YoY was a different story.

 

[JustDave]

One last tid bit to think about. I have no idea if your wife is going to be a stay at home mom or go back to work. Molly was a stay at home mom. I bring this up because it's important when considering mileage. Molly ran all the errands and racked up twice the national average mileage each year. You might not think there is a lot to it, but the miles add up fast.

I'm a '25 miles each way on my daily commute' kinda guy so I had the econo box. My wife is a SAHM and was filling up her Mom's gigantic SUV gas tank maybe once a month or every 6 weeks. But with the last 18 months of WFH I'm in my car once a week, maybe twice and putting barely any miles on it, and she's running all over NOVA doing errands for the PTA or taking my daughter out to hockey games an hour or two away.

 

[CraigT78]

@Frogzilla you should post pictures of your first "family car"