New or Used: To Jeep Or Not To Jeep

Adam writes:

I’ve been mulling over a car-buying decision, and see you post similar things to the main page from time to time. Here’s my dilemma if you need some more copy.

I have a 1995 Jeep Cherokee Sport 5-spd as my skiing, biking and camping car. My mom got it new, and I bought it from her in 2000. It now has almost 200k miles, but it has led an easy life- it still has the original clutch. Oil has been changed every 3500 miles or so, and it’s been generally reliable, but it has the brake-pulsation problem I can’t track down, several rapidly worsening oil and coolant leaks (main seals, oil pan, valve cover), all the rubber parts on the car are rapidly deteriorating, and it needs tires, some front end work, etc. Figure about $1500 in repair. However, then I’ll still have a 16 year old 200k car I’m relying on to get me 150 miles home from the mountain on a 15 degree snowstorm. I’m afraid electronic parts and sensors may soon leave me stranded. It’s worth high $2000 range- it runs fine; the body and paint are very good.

My wife has a 1998 Accord 5-spd – her daily driver for the past 11 years, which we also bought from my parents. It has 186k and drives almost as good as new. I give it synthetic oil every 6500 miles- my wife has a highway commute. It gets 29 mpg around town, low 30’s on the freeway, even going 85 mph. The interior seems to be nicer quality than a lot of newer cars. It’s also in good shape and worth high 3k range.

I have another car as my DD, but we’re considering selling both the Jeep & Honda and getting a RAV4 V6 4wd to replace them both. We also considered a 6-spd Outback, but there is a steering shimmy issues Subaru has been unable to solve- lots of lemons. The 4-banger is also totally gutless at my altitude, and the H-6 is a high dollar upgrade. The benefits of the RAV4 are…

Power, modern safety features (ESC, ABS, side airbags), new-car reliability, and an awesome cargo area- much bigger than the Jeep’s. It’s a lot more comfortable and efficient for a ski-car, too. My wife also gets to drive a newer car.

On the negative, the Honda has tons of life left, gets better mpg as a DD and road trip car, and for the price of the sales tax and the first couple of payments, I can fix the Jeep up pretty nice. It’ll still be an old Jeep though, liable to have some little sensor or something leave me stranded on a cold dark night. It’s also nice to have an extra car. Also, the crash-test scores for the Toyota are only about 30% better than the old cars (except side impact- much better there), and the Subaru has about twice as good of scores as the RAV4. The RAV4 MIGHT also be getting a redesign next year.

Oh yeah- we’re looking at a base model with V6, 4wd, and a few other options like alloys. Invoice is $26,200, and I have ‘em down to $24,900 . MSRP is about $28k.

So…what to do: sell the Jeep and Honda for the RAV4, or keep driving them?

Steve Answers:

When does it make sense to get rid of your ride? Well, I always ask folks to consider three questions.

– Will the repairs on your Jeep (car) cost more than buying a similar vehicle that does not need repair work?

– Does it have terminal rust or other structural issues?

– Did someone die in it? Or if it’s an inherited vehicle, would keeping it remind you of their passing?

You should get a second opinion on numbers one and two. The Jeep has hit a notable milestone being 15 years old and 200k. But the difference between the mountains in say Michigan and the ones I encounter in Georgia are night and day. A thorough inspection from an independent shop would be worth the money. In fact, I would opt for a second inspection if you are concerned about the longevity of this vehicle and have the will to put in the best parts needed to replace it.

That last comment is the one you truly have to consider. Are you willing to buy parts that are just as good, or better, than the ones that came with the Jeep when it left the factory? I was on the exact same precipice about five years ago when my 1994 Camry Coupe had 239k on it. I sold it. But only because I was no longer driving it on a daily basis. If you need two vehicles, I would weigh this in. Oh, and keep the Honda.

Sajeev Answers:

You have a third vehicle (which you are too shy to describe, why?) for a DD, so I really don’t see the problem. Use that exclusively while the Jeep is down for a number of component replacements/reconditioning. Putting a fresh set of springs, shocks, bushings in the suspension, gaskets on a low mile junkyard motor is cheap when you think big picture. And it might be the best SUV on the planet, especially on our continent.

But let’s assume that answering Steve’s questions creates this conclusion: the Jeep is too old for you. And that’s fine, it’s gotta go and the RAV4 is a good choice for your needs. But there’s probably less reason to buy new over used, this bodystyle is a little long in the tooth. Judging by your automotive knowledge, buy a 2-4 year old example with reasonable miles, good service records, and treat it with the same level of (mechanical) respect as your current Jeep. Even with Toyota’s shocking level of incentives and low financing, you’re probably gonna save thousands in the used car market, CPO sales aside…and I am sure you can find a better place for that cash.

Need help with a car buying conundrum? Email your particulars to mehta@ttac.com, and let TTAC’s collective wisdom make the decision easier… or possibly much, much harder.