Unfortunately, no car lasts forever.
There will come a time in your car’s life where you’ll have to ask the question: should you fix your old car or should you buy new?
While there is no flat out yes or no answer to this question, there are some things you should think about.
Fixing an Old Car
Cars aren’t meant to be driven forever. And when your car starts having problems the frustrations begin.
In my experience when the first break down happens I can expect it to happen again in the near future. It seems like once you get one thing fixed another goes wrong.
A cycle is born and your car becomes a money pit.
You spend so much money repairing your vehicle that it would be better off to buy a new car.
This is what you need to evaluate. Will it be more expensive to repair your old car or buy a new-to-you vehicle?
If your vehicle is an older model and has had multiple problems then it may be time to move on. However, if you have a newer model and have only ran into one or two problems then it might be cost effective to repair your car.
My advice: talk to your mechanic. Your mechanic is going to have much more insight into the problems with your particular make, model, and year of car than you or I will have.
Buying a New Car
If you’re convinced that your old car is turning into a money pit then it’s time to move on to something new.
Obviously, you don’t want to fall into the same problems you’ve just gotten out of. Here’s what you should be looking for
- A quality car, with relatively low miles
- Good on gas
- Affordable purchase price
- Affordable to make repairs
In addition to these qualities another important thing to look for is service. For instance, Mini Cooper service is great. It’s easy to find fully trained Mini technicians and you know your car will get the service it needs. Plus if any problems do occur you can get advice from mechanics who specialize in Mini’s.
So think about not only the quality and price of the vehicle, but the service you’ll get after you purchase your car.
Final Thoughts
Sometimes it makes more sense to go ahead and purchase a new vehicle instead of repairing your old car.
If you’re torn between the two options calculate all the costs you’ve put into your old car so far and estimate your future expenses. You can then take this number and compare it to buying a new or new-to-you vehicle.
How did you know when it was time to replace your old car?
James Hendrickson is an internet entrepreneur, blogging junky, hunter and personal finance geek. When he’s not lurking in coffee shops in Portland, Oregon, you’ll find him in the Pacific Northwest’s great outdoors. James has a masters degree in Sociology from the University of Maryland at College Park and a Bachelors degree on Sociology from Earlham College. He loves individual stocks, bonds and precious metals.
