In news that will shock precisely no one, the current car blitz is partially fueled by longer loan rates, higher monthly payments and an increasing prevalence to finance our new cars from the automaker themselves — when we’re not renting it from them in the first place.
Experian released Wednesday its data on third-quarter sales and financing and found, on average, that borrowers’ credit scores were at the lowest level since before 2008. According to the credit agency, car buyers had an average credit score of 710 when they financed their car — which happens in 86.6 percent of car transactions, an all-time high.
Buyers opted for longer loans too. According to the data, new car loans longer than six years increased to 27.5 percent for the third quarter, up 17.1 percent from the same period last year. Loans between five and six years accounted for 44 percent of new vehicle financing.
TTAC Commentator NotAPreppie writes:
Hey Sajeev … or Sanjeev … I’m not feeling picky,
Am I insane for considering buying the same Mazda RX-8 twice? Alternate title: A car so nice I want to buy it twice. (Thanks for that – SM)
Backstory: Three years ago, I sold my daily driver and autocross car (2005 Mazda RX-8 Sport) to a car club buddy when living and going to school near downtown Chicago meant that it sat in a parking garage for months on end (physical chemistry was intense). I graduated and got a job a year ago and bought a new autocross toy: a 1995 Miata, now with 70k miles.
The Miata has turned out to be something of a mongrel. Anywhere fluids can leak, they have. Not having a garage to wrench on the car myself, it’s nickel-and-diming me to death. Also, I’ve discovered that while it’s a Great Car™ during the 60 seconds of an average autocross run, it’s pretty awful to live with day to day. Maybe if I didn’t live in a major metropolitan area, I’d see the appeal of a soft top. To add insult to injury, I think it aggravates my sciatica.
My wife and I are planning on taking a large 20 day vacation this summer where we plan on driving aver 5000 miles with our three older children. My wife drives a 2008 Ford Taurus X, which we love, but does not have enough space for a family of five for such a long journey. We were originally going to rent a minivan from the local enterprise, but a two week rental will set us back $1,300 with tax.
About five years ago I bought a 1982 Alfa GTV6 from a kid who was in over his head. I paid exactly $2,000 for the car, drove it home, fixed up the ignition system, suspension, various other bits, and drove it on weekends or whenever the traffic in Austin wasn’t too atrocious. I enjoyed the hell out of it, rusting fender wells and kick plates notwithstanding. The engine is amazingly, shockingly, damn near perfect. For all of the rust and decay elsewhere, the drivetrain was well cared for, and ran like a top.
With the help of the AlfaBB guys, I got the car into shape. It spent almost two years in a DIY restoration that involved removing all rust, straightening the body, and paint. Of course it still needs work; it is, afterall, an Alfa. I installed some later Recaro mesh head seats, cleaned up the interior, rewired schizy electrics, etc. In terms of show car score, maybe a 4/10. But in terms of every other GTV6 I’ve ever seen on the road? It’s an 8/10.
TTAC commentator zamoti writes:
I have successfully nursed along my aging Maxima without replacing the transmission, but now sans muffler, balding tires and growing rust, I feel it may finally be time to part ways. Though it is fun to offer my fellow motorists a dose of the sound and the fury of the delightful 3.0 VQ, I have decided that it is time to grow up and select a more dignified form of transportation. Plus my wife calls me a hillbilly.
First, a big “thank you” to you and all of the contributors and commenters on TTAC for hours of free entertainment. Keep up the good work! Now that I’m done buttering everybody up I’ll get to the matter at-hand. I have a 2005 Subaru Outback 2.5i (base) which has been my wife’s daily driver. (pictured above, literally – SM)
Hi Sajeev –
I’m a longtime reader of the blog, and also have been car less for the past 17 years. I live in a major Pacific Northwest city and haven’t needed a car. But I’m getting older, I’m partnered up and need to visit in-laws out in the boonies, and I just find myself wanting a car. I don’t want an older car. The two cars I did own back in my teens and early 20s were a 1980s Buick Skylark and a 1988 Dodge Omni. I think dealing with the repairs on those two beaters put a bad taste in my mouth for very old cars. So I’m looking at new or slightly used.
The Lord Needs No Restraint
Gentlemen, there’s some automotive/emotional baggage that I need a resolution for.
I’m finally in a position to replace a Celica with something that will possibly see an HPDE, and the occasional autocross. I have $9000 to spend. Although the Celi drove beautifully, it wasn’t a viscerally thrilling car and I’d like to learn the dynamics of a rwd platform.