Knowing just when to get a new car is a difficult thing to determine. There are many elements that go into deciding to buy a new car. Because of this, it is important that the investment is necessary and cost-effective for the future. Below are four signs that you are probably in need of a new car.
Car Worth Less Than a Current Repair
The older your car is, the more it drops in value. When a car gets old enough, it can quickly get to the point where a major repair is actually more than the car itself is worth. When you encounter this kind of situation, you would be better off asking yourself: “Should I just sell my car?”, rather than keeping it and letting the repair bills stack up.
Car is Too Old
When cars become too dated, they can end up costing the owner big money. Determine how old your car is and if it will end up costing less to keep it and eat the inevitably upcoming repair bills, or to simply purchase a new one.
Car has Major Upcoming Repairs
At a specific mileage, major systems of the car begin failing and need repairs. In many cases, putting thousands of dollars into repairing these systems on a car that has high mileage is less productive than simply purchasing a new vehicle altogether. Consider getting cash for cars that are older and using the money as a down payment on a new vehicle.
New Car Payments Will be Less Than Monthly Gas Bills
Each year, cars become more fuel-efficient. If you have a dated vehicle and are wasting hundreds of dollars per month on gas due to lack of fuel efficiency, it would be more cost-effective to buy a more fuel-efficient new car.