Ask the Car People.SM


Compact Sedans

296 messages,  Last post on Jun 02, 2012 at 7:00 PM

You are in the Sedans Forum.

What is this discussion about? Chevrolet, Ford Focus, Honda Civic, Hyundai Elantra, Toyota Corolla, Mazda MAZDA3, Nissan Sentra, Kia, Volkswagen Jetta, Car Comparisons, Sedan

Messages Page 22 of 31

#204 of 296 New VS. Used by sandman_6472

Sep 18, 2011 (11:24 am)

My wife will only buy a new car and she's willing to pay the price premium to get one. Funny, I just showed her the new Jetta, Mazda3 & and IS250 as we were walking into the ATT store to look at a smart phone for her. I've bought used before and have had some problems but I would look at used again when I get ready to buy my next car as I'm definitely going to get a power seat and a more luxury car that I have now since I've never had one before...price was always an issue.
 
So she'll need a new compact or sub-compact car for her next ride. And I've got a feeling that around $22k will be her upper limit, so that narrows the list down quite a bit I'd say. From her talking about it, she really seems to want a smaller car like the Accent or Rio size. I personally think a compact would suit her better but it's her choice. I like the looks of the Fiesta myself but from the pics I've seen, not to many little bins to put things in the dash like our current cars and she likes that feature. The Focus might have more, we just haven't checked that yet. And we've never had a Ford in our 30 year marriage yet, so a 2013 model might be doable. Have seen a few of both the Fiesta & Focus on the roads and they look pretty nice on the outside. And there's a Ford dealer not to far away.
 
Since we're just starting our search, is it better to call the internet person 1st to meet him so if we do decide on a Ford, we could go through him or is it best to just walk in and let a regular salesman take the lead. We've bought the last 4 cars by going through the internet person all with good results.
 
T I A for any help folks.
 
The Sandman

#205 of 296 Re: New VS. Used [sandman_6472] by plekto

Sep 18, 2011 (3:43 pm)

Replying to: sandman_6472 (Sep 18, 2011 11:24 am)
So even a 1 or 2 year old certified car is out? Man, I feel for your pocketbook, especially in this tough economy. You can get SO much car a year or two old these days. Dealers literally have thousands and thousands of CPO cars rotting on their lots right now as everyone is afraid to spend a dime on anything.
 
And, as I pointed out, a you can get car with a much better original price range. ie - if your budget is 20K or so, you can even be looking at 1 or 2 year old Accords and so on. I've even seen 2 year old TSXs going for around 22K. Since most cars depreciate 30-40% in the first two years, that means a 30K car for 22K or so. Still has a warranty, still smells pretty new, and often you can find one with 10 or 20K on it - barely broken in. And if we're talking domestics, well, it's pretty much anything you want. I've even see CPO Cadillacs going for 22K or so.
 
If it HAS to be new, though, there is only one choice - get a Mustang. 300HP, 30mpg highway, and 22K before year-end rebates. Truecar.com has a 2011 Mustang for $20,650. It's without a doubt my top pick for around 20K. Add a couple of basic options and it's way more fun than any economy car.
 
P.S. The Cruze is classified by the EPA as midsize. GM just chooses to lie in its marketing and say that it's a compact.
 
Also, I obviously meant to get the Corolla instead of the Yaris. You never want to buy any maker's absolute bottom model as they cut corners that really shouldn't be cut and leave out things that you want like garage door openers, keyless entry, power seats, side airbags, and so on.

#206 of 296 Re: New VS. Used [plekto] by m6user

Sep 18, 2011 (6:02 pm)

Replying to: plekto (Sep 18, 2011 3:43 pm)
You can get SO much car a year or two old these days. Dealers literally have thousands and thousands of CPO cars rotting on their lots right now as everyone is afraid to spend a dime on anything.
 
This may have been true 3-4 years ago but not now. You really need to get out more or at least read more. Many used cars, especially CPOs, are selling for as much or more than the same car brand new. Used cars in general are hot commidities and are in short supply. Used cars rotting on lots is just not the case and that has raised prices on both used car and trade-ins. There has been many news articles and magazine items discussing this. Used car prices for the same car (but a year older) are actually up versus what they sold a year ago.
 
I'm not saying that it isn't possible to find a deal on a CPO but it isn't easy right now. Besides, you are looking at it from a strictly financial point of view. Many people only buy a car after many years and just want a new car. It's nice to try and "educate" people but you assume they don't know that a car already suffering a huge chunk of depreciation is fiscally frugal. I think most people do know this but are willing to drop the coin to get something brand new. I bought used cars for years but for the last twenty or so have bought nothing but new vehicles. Would I have $40-50k more cash now if I had continued to buy used cars all those years? Most certainly but money isn't everything and if enough people followed your advice there would be no CPO cars because the car companies would be out of business.
 
I just ask that you quit trying to make anyone that buys a new car sound naive or wasteful. The vast majority are neither. They just have different priorities than you.

#207 of 296 Re: New VS. Used [m6user] by plekto

Sep 18, 2011 (10:11 pm)

Replying to: m6user (Sep 18, 2011 6:02 pm)
But wait... one SHOULD look at it from a strictly financial point of view when making a large financial investment.
 
If you can get a car with 20K on it for 5K less, and the car in question is known to be good for 200K+ miles, sacrificing 10% of its life for a 25% reduction in price is a complete no-brainer.
 
It's all about quality. Many CPO cars are so close to new that you can't hardly tell that they've ever been owned before. This also includes dealer and program cars, which are basically "new" but with 2-5K on them. These can also save you a ton of money. Of course, the best deals are domestics, naturally.

#208 of 296 Re: New VS. Used [m6user] by sandman_6472

Sep 19, 2011 (9:47 am)

Replying to: m6user (Sep 18, 2011 6:02 pm)
You are exactly right...not everyone wants a used or CPO car...my wife is one of those folks. Being a CPA, she understands things from the financial side but she wants what she wants...and she can afford it! So I just give her a list of what I think we should test drive and we go. The eventual decision will be hers...it'll be her daily driver and "she must be happy"! We live a very frugal lifestyle but we decided long ago that she will always get what she wants...which is new. And right now, we've decided to try to go over 100k on her car, a new record for us.
 
But Plekto, I understand exactly what you are saying and have done that in the past and might do it again in the future. But this world has so many people with different opinions on everything, as I'm sure many households go through the same dilemma about new vs. used. I wish everyone luck with whatever they purchase. I just know one thing, there will be a new car on her side of the garage within the next 12 months!
 
The Sandman

#209 of 296 Re: New VS. Used [plekto] by fushigi

Sep 19, 2011 (11:23 am)

Replying to: plekto (Sep 18, 2011 10:11 pm)
While the financial point of view is important, I disagree that "one SHOULD look at it from a strictly financial point of view" to the exclusion of other factors. Also, there are financial issues beyond initial purchase price.
 
- Safety: New cars are the most likely to have the best safety ratings and most modern safety equipment. Better safety may net you cheaper insurance premiums.
- Reduced operating costs: Newer cars are sporting longer maintenance intervals and better fuel economy, both of which can mean buying a new car costs less over the ownership period even if the car costs more initially.
- Availability of specific features. Example: Now that using a phone is only legal if using a hands-free system, BlueTooth support is mandatory for people who for whatever reason use a phone while driving. BT has been available for years but it's only now starting to actually be a standard feature v. a semi-expensive add-on (which makes it harder to find in a used car).
- Better finance rates: With few exceptions, if you finance your car like most folks do you'll find cheaper interest rates on new cars.
 
Besides, new car depreciation isn't what it was five years ago. Right now I see a nearby dealer has a 2011 Elantra Limited with over 23K miles for $21,995. Let's assume we can talk the dealer down to $21K even. Compare that to my wife's $23.3K negotiated price for a '12 Elantra with navi/camera, sunroof, and every other option & accessory except HomeLink. For the $2300 difference she'd get navi, a rear camera, a sunroof, the entire factory warranty, and a car that no one else has driven. And the understanding that if she were to drive 20K miles in the first year it'll probably lose only around 10% of it's value.

#210 of 296 Re: New VS. Used [plekto] by aviboy97

Sep 19, 2011 (12:08 pm)

Replying to: plekto (Sep 18, 2011 3:43 pm)
So even a 1 or 2 year old certified car is out? Man, I feel for your pocketbook, especially in this tough economy. You can get SO much car a year or two old these days. Dealers literally have thousands and thousands of CPO cars rotting on their lots right now as everyone is afraid to spend a dime on anything.
 
Being in the business, I can promise you that this statement could not be further from the truth. Pre-owned cars are at an all-time high. Auction prices are almost near retail. Manufacturers are up charging for lease returns, in many cases several thousand over the residual buyout that a customer can pay, if they wanted to buy out their lease.
 
Now is a terrible time to buy a used car, from a financial perspective.

#211 of 296 Re: New VS. Used [aviboy97] by plekto

Sep 19, 2011 (9:55 pm)

Replying to: aviboy97 (Sep 19, 2011 12:08 pm)
Funny, though... I seem to find many listings near me that are at a reasonable price. They can ask anything that they want. But the car can also rot on the lot for six months as well, because unless it's an exotic or something, all of these cars are easy to find 40 or 50 for sale in most major cities. Most dealers will sell their cars for a lot less than they advertise.
 
But this aside, if it has to be a new car, the most car for the money currently, in your price range is the new V6 Mustang.

#212 of 296 Re: New VS. Used [plekto] by m6user

Sep 20, 2011 (6:46 am)

Replying to: plekto (Sep 19, 2011 9:55 pm)
But this aside, if it has to be a new car, the most car for the money currently, in your price range is the new V6 Mustang.
 
Is this a compact sedan? You are consistently talking about cars other than what the discussion is about.
 
Used CPOs are selling for very close to new car prices and all cars are selling at discounts from "asking price".....old and new. It just so happens that at this point in time new cars are the better deal. It's all over the press and internet...not hard to find if one only looks.

#213 of 296 press request by kirstie_h HOST

Sep 20, 2011 (7:48 am)

A reporter is interested in talking with consumers about how fuel economy requirements are changing what people drive. He is looking for consumers who consider fuel economy their top consideration while shopping for vehicles that range from pickups to luxury cars to EVs. If you are interested in commenting on your experience, please reply with your name, phone number and email address to predmunds.com no later than 5pm Pacific this Wednesday, September 21st.

Messages Page 22 of 31

To POST a message, please Sign In.

Advertisement

Browse by Category

Browse by Vehicle
   View All Vehicles

Browse by Board
Browse by Topic
View All Topics

Edmunds Community

Advertisement