Figures on a new(er) car?

My boyfriend thinks he needs a new car, I think he needs to save his Money untill we can better our finances, please help me prove him wrong.

He wants to get a %26quot;low book%26quot; car that he can get a %26quot;low payment%26quot; and I know there is more than that to it. I know there is extra cost for taxes, and get it registered, and all that stuff. Granted we could use the new car, but I could use a million dollars too... So how can I make it sound like a lot more money than the sales men do? I need all the information possible! Thanks

Figures on a new(er) car?

Yes, you are right, the low payment can really add up over time. First you have to add the tax, title, and plates to the car. Then you have to look at how long you will have the car and if a warranty makes sense. This could add $1000-2000. Are you putting money down? If not more than $3000, you%26#039;ll want to add gap insurance to cover any deficit in the car value compared to what you owe in case of a total loss. Does he still owe any money on his current car? If so, almost for sure he is upside down on value and that will get added to the new loan as well and jack up the payment further. Finally, how is his credit? If excellent, great, 5-6% for the loan won%26#039;t be bad, but will still cost you an extra several thousand over time. If it%26#039;s marginal to bad credit, now your looking into the teen%26#039;s for interest rate, and this will cost dearly over time.

Cars are depreciating assets. You are smart not to want to throw money out the window. The newer the car, the more you LOSE in the first 3 years you own it. Most brand new cars drop 50% of their %26#039;book%26#039; value in just 2-3 years. Used cars will still drop about 33% of their value in that time as well. Save your money and make it work for you. Sink it into %26#039;appreciating%26#039; assets such as real estate, mutual funds, etc. You will be better off in the long run!

Figures on a new(er) car?

Just show him how much the total of the new car is with interest payments vs the cost of a reliable used car.

Probably in the range of $10-$20 k difference.

Figures on a new(er) car?

selling price of the car + tax, title, license + dealer fees = total price of the car.

You will probably be making payments, so you can take the selling price of the car and figure out what the payments would be at a certain interest rate (link below). Take that monthy payment and multiply by the number of payments. That figure right there is enough to scare most people.

You may also want to add a couple of thousand in possible repairs.