#CarDepreciation

Buying a new car instead of purchasing a used one is almost justified, if one takes a close look at the numbers.

TTAC Commentator gimmeamanual writes:

Hi Sajeev,

The recent article about the carbon fiber subframe by Magna and the comments predicting vehicle life-ending failures got me to thinking — in the last 10 years or so, has any automaker introduced an innovation or major shift from the norm that resulted in repair costs so expensive that the vehicle would be better off scrapped inside what one would consider its prime service life (say, 10yrs/100k)?

It seems we’re often too ready to predict gloom (turbos exploding, unrepairable aluminum trucks) and not give the engineering teams the credit they deserve. Yeah, some technologies do suck in execution, like the Focus DCT, but they don’t result in scrapyards filling up with otherwise pristine examples.

Remember how Beanie Babies were a national phenomenon in the mid-1990s? The country couldn’t seem to get enough of the little darlings and many ended up going for astronomical prices. But, like most stupid trends, their popularity was short lived. It wasn’t long before the once-collectible toys held the same value as a used pair of underwear.

Subcompact crossovers may be suffering a similar fate. With the CUV craze in full tilt, automakers have been capitalizing by providing budget-minded shoppers with small and affordable variants. However, the group currently faces the heaviest depreciation of any automotive segment.

TTAC Commentator Nick 2012 writes:

Archangel of the Panther Platform –

A nice looking 2005 LWB Lincoln Town Car with only 107,000mi popped up for sale at a nearby dealer with a what-I-hope-to-be-optimistic $8,000 asking price. As any follower of the good book of fat Panther Love(tm), I keep my eye out for a good one on the local boards.

I took a new position a while back that has me commuting about 65mi a day – about 90% interstate. Going from my comfortable, competent Accord to the extremely comfortable TC would cost me about $10/week in increased fuel costs if I exclusively used the TC (which I wouldn’t do).