Freedom Lives

August 18, 2004

It is about the money

My friend Mr. Lion pointed out that he considered a new car a waste of money when you could get a pre-owned a lot cheaper.
Good point but you have to factor in the financing.
Suppose I buy a pre-owned car for 15k and get a 5 year loan for 10%. My total cost for the car is 22.5k.
Or I could buy brand new for 21k at 1% and over 5 years pay 22.5k.
Ok I might be able to do better on the used but not by much or I might not and new car rates of 1% or lower are not unheard of.

If the ultimate cost is pretty close I would rather go for a new car.

Posted by Starhawk at 07:36 PM | Home and Family | Comments (2)