Why do people buy new cars when they lose like 4000 as soon as you leave the lot?

If you're not planning to trade the car the very next day, it really doesn't matter if it depreciates after you drive it home.

I bought my car brand new and I've had it 4 years. The fact that it depreciated 30 minutes after I bought it is of no consequence now.

 

Children should be seen and not heard.

Would you rather have a new bicycle or one from the thrift store?

 

if i was rich i would buy brand new everything.. but for now.. ill settle with my used car.. even though i still get fucked on payments

 

Because, new cars can be nice, only you owned it, nobody else, you have a good warranty for defects (some companies). Just never will buy a GM car again. Had one lemon and had a hard time getting rid of it.

 

Yes but not a lot of people can afford nice. They lose a lot when they drive off the lot and they pay A LOT in interest on those big loans. Its like throwing away money and then the next minute they complain they are making car payments and dont have a lot of money.

 

Then they should not buy a new car. You should not buy a lot of things if you can not afford it.

 

That's exactly what a financial advisor told me. He told me that rich people don't buy expensive cars. Why do that when they lose value the minute you drive them off the lot? Rich people put their money into stuff that increases in value.

 

Look at whats happening to the economy. And then look at the stupid replies in this very thread.
And more than anything I have to agree with gotwebhost here. Your average new car isn't an investment.

 

Some people can get tax write-offs for buying newer vehicles. Plus, newer vehicles always tend to be in better shape than a used one... (obviously right?) Even if the used one is still in great shape, it will still have some mileage on it which is seen as a negative aspect. New vehicles are farther advanced when it comes to MPG, and all that stuff... so the reasons for getting a new car instead of a used car are abundant?. There are also plenty of reasons why getting a used care in good shape instead of a new car would be good.

 

I don't understand either.
I have the oldest car and often people will say "when are you buying a new one". I'm happy to just continue on replacing what needs replacing to this one, at least I know what to expect in terms of mechanical problems. With a new car, who's to say I won't run into the same issues...

 

in India we have income tax benefit from new car , thats why

 

Rich people will buy a expensive car if they are making a good amount of money but yes they invest there money and thats how they get richer while the poorer save up money and then go blow it.

People seem to think after 200k miles your car is done for when some cars have went on for 350k or more miles and had no issues.

 

hmmm... I never thought of that

 

What is your definition of rich?

 

The real definition of rich is this:

Anyone who makes or owns over 2000 bucks worth of anything is in the top 1 or 2% of the world.

When I was saying rich I was saying people who have like 100k a year or more. What do you consider rich?

 

Best to get a used car that you can pay in cash, so you don't pay extra in interest or is a very high bloated price(like new cars).

 

You are very young if you think making $100k is rich.

$500k maybe.

 

Smart ppl spend the money wisely, invest in the right way and appreciate the chances ...

Dumb ppl save their money wisely, blow it and wasted their chances by complaining other been rich .....

we live in the same world, we have the same tool, just depend how u use it wisely .....

 

GotWebHost, just read his story about grandma sandals

To topic: yes, rich people don't buy brand new cars...but maybe they are not so rich to afford it ? Really you can buy new toyota camry or used lexus. Money is equal, moreover speed and rate of depreciation is the same here in this example. But if you want new lexus and have money only for new toyota go for toyota. Moreover if all you have can buy you only used toyota do it.

Rich people can buy used only to be smart - it's habbits of rich class, some have them and some not. New is new and is better than old. I will laugh on anyone who have few millions (even few hundreds of thousands) and look to save some thousands buying used car, it's just not worth it. When he doing it he also want to ...emm..stand out by buying cheap things, being smart, etc.

And yes, $100k is rich ? lol, kinda wealthy guy for decent amount of people but rich ? oh come on. Even on 3rd world many businessmans make $100k a year.

 

Oh, and you are talking about US. You guys have so cheap cars and so great terms of obtain them that it's not worth to talk about it