Are you debating selling your car? You may be comparing the current maintenance cost of your vehicle to the payments of a new one. When I sold my car, I saved more than $3,500. This article will discuss my experience and give you insight into making your decision.
My Lovable, Durable Car
In 2008, my husband and I purchased a 1996 Chevy Lumina. It already had 147,000 miles and our friends and family were skeptical about the purchase. However, we loved the car with its great gas mileage and safety features. By the time we sold it four years later, it had traveled 212,000 miles.
The Decision to Sell
As with any old car, it progressively became more expensive to maintain. In 2012, we moved to a large city with public transportation. The three weeks before the move, we debated whether to bring the car with us or to sell it. Ultimately, it was the amount we would save that made us decide to sell it back to the dealer.
How Much Did I Save?
We owned our car by the time we sold it, so we had no car payments. However, if you’re paying a monthly payment (ours was $220), that can be an incentive for you. Nevertheless, we had costs besides a car payment that became very expensive.
Our annual expenses with the car are shown below:
- Insurance: $564
- Gasoline: $2,089 (That was even with the great gas mileage.)
- Oil: $84 (We had a slow leak by the time the car hit 200,000 miles.)
- Oil Changes: $72
- Maintenance: $600 (We were spending approximately $50 each month on parts and labor.)
- Towing Fee: $50 (The car was towed at least once a year.)
- Tires: $80 (We were replacing all the tires every 18 to 24 months.)
Combining these expenses totaled $3,539 every year. It was certainly cheaper to rely on public transportation. (Plus, it’s better for the environment.) In addition, the dealer gave us $400 for the car, which he was going to use for parts.
If you are pondering buying a new car, consider that you will have few expenses other than gas and insurance, thanks to a standard warranty that now comes with almost any vehicle.
Living in a bigger city, I’ve needed the money we saved for higher rent and utilities. I have no regrets about selling my car. Hopefully, this article helped you make a decision about your own situation.