hybrid vs used compact car

If people didn't buy new cars; there
would be no used cars. Also car companies
can not make "Used" cars. The need
customes to buy there new cars to
finance research and developement of
even better cars.

Look at the Prius when it first came out, look in
a little over 10 years how it advanced.....

 

My advice is to not incur debt. If I could I would go back and kick my young buttinski for doing just that. Bite the bullet and buy a used car, learn to do your own maintenance, drive your cheap car for a while, and save your money.

I just sold my 1989 CRX for more than I paid for it 4 years ago. Now I'm in a position to buy this new Prius C. And I can park it next to all my other paid off hot rods,trucks, and motorcycles.

Do right by yourself...be smart. Pay your dues and enjoy it without worry when the time is right. Oh, and if you have four grand for a car,don't forget tax and tags. And whatever else thecar may need to start out with.

 

I say buy used for now. No offense to Toyota, but the c model did just come out and there may be a couple tweaks needed or coming in a couple years. ... For example, the 3rd gen Prius, 2010 was refreshed for model year 2012 and gained a new intake manifold and rear engine mount, freshened front grill and other things.

I think it's good to get a new edition car in about its 3rd model year when some of the kinks worked out. But, some people like the first cut of a brand new thing and that's ok too. Toyota's kinks are usually pretty minor.

 

I don't envy you. Read ttac.com for used car auction news by Steven Lang. Prices are double what the car is worth due to low supply. Cash for clunkers, anyone? Pria cost too much new or used for a recent grad. You didn't say how much driving you have to do or if you are in a job search. Moving close to your job may eliminate the need to drive. Then you can pay yourself first.

 

If you are asking for help with arithmetic, you have to provide numbers.

Annual mileage:
New car OTD cost:
Used car OTD cost:
Insurance cost delta:

 

Used, buy used. Until you are more settled and have a good income, buy used. You have $4,000 so if you found a gently used Gen II Prius, you could still get 50 MPG and probably only have to take a $4-5K loan. Prius have no problem going 200,000+ miles with little in the way of maintenance issues. You can check them out across the whole USA on cargurus.com

Plenty of Corollas (super reliable), Matrix and Vibes (Vibe= Matrix, all Corolla based) out there for fairly inexpensive admission. If you buy one of those with a manual transmission, you can get upper 30s to near 40 MPG. Price of those could be close to that $4K that you have.

So, you could buy a reliable used Prius for less than half the price of a new c or a Corolla for about a third the price of a c, depending on the year. Doing that will allow more of your money to go into the bank, until you have enought to buy a c or something like it in short time. Just don 't go into deep debt, ever. Too many people get into financial trouble that way.

Good luck!

 

Honestly, if you do not drive much, the gas savings between a Prius and most 25-30 mpg vehicles does not amount to much money anyway.

You may as well find an inexpensive, relatively fuel efficient used car and not get too caught up with finding the most efficient vehicle.

There are lots of relatively fuel-efficient, fun and reliable vehicles for under 10k.

 

I don't think I will ever finance a used car again. Even the most reliable brands (Honda, Toyota) are not what they used to be. My 2006 civic Si with 46k is getting a new transmission right now from the dealer good thing I bought it as a certified used vehicle and the warranty is covering it. My opinion buy a used car with your $4000 or an affordable new car. I wouldn't go in between... but that's just me.

 

Well, when it comes to a car, I depend on it. Don't wanna spend time in the repair shop. Been there done that when I was younger.
I'm a cash and carry person except with my home mortgage and my car - which I purchased with the proceeds of my 2006 Prius (after 105K miles) and a home equity loan for the balance.
That means the interest on the car loan is deductible and the monthly payments are very low and if I can pay it off sooner... the better.

There's always a way to work out what one needs. The best part- 61 mpg and no buyer's remorse.

 

i changed your quote a bit.
How much HELOC interest can I deduct?
To put it simply: If your HELOC was used to improve your home, you may deduct interest on lines up to $1 million ($500,000 married filing separately). If your HELOC used for other purposes, you may deduct interest on lines up to $100,000 ($50,000 married filing separately).

 

When I was 21 (2002) I purchased a 2003 Toyota Matrix. After having several used cars I decided it was best for me to buy a new car. My reasoning behind it was that I got sick of having to repair my used vehicles constantly and wanted to buy something that I could just drive. Not having to worry about breaking down or wondering what would give out next was well worth the five years of car payments. Used cars are always a gamble since you don't know how well it was taken care of or how it was driven.

I planned on keeping the Matrix until it fell apart but unfortunately it met an untimely death when I got hit head on, 5 payments before it was paid off. If it wasn't for that I would still be driving it today. Fortunately most people never have to deal with a total loss and ending up back at square one.

Depreciation is something that you cannot avoid unless you plan on walking or taking public transportation for the rest of your life. A car may not be an "investment" when it comes to money but if you buy a new car and take good care of it you are making a great "investment" for reliable transportation for the future.

I bought my C with the intent on keeping so I really don't care how much it is "worth" when it's paid off. You will more than get your money's worth if you buy a car and maintain it well and keep it until it is no longer reliable. I am spending less than half of what I was on gas so even though my payment is $273 and my insurance is $106 a month I am only paying about $190 more per month than I was before (My insurance on my previous car was $66). Even after its paid off I should easily get another 10-15 years or more out of it so that initial investment would be well worth it.

If you don't have a car or at least a fairly reliable one I would do as others have suggested and buy a used car until you can afford the car payment. If you drive a lot of miles and the potential savings would offset a significant portion of the payment I would at least consider buying a new Prius but only if you plan on keeping the car for the long haul.

 

If you can drive a stick I STRONGLY suggest a used Neon 5 speed. The 98s were rated at 41 but only got that after mods. My 95 was rated at 38 but gets 46. The way to obtain this kind of gas mileage is:
Slightly larger TB from one with an automatic
CAI
bigger cat
rear muffler replaced with the cheapest generic one you can get for a Mustang or Camaro V8
manual steering rack

On my 98 I got 41 best with all of the above mods except steering rack.

My 96 Geo Metro 3 banger was rated at 49 but got 60.1 by removing 140 lbs, to include lighter rims, aero mods by the way of headlight covers and a grill block.

Both cars will likely need work. On the Geo you must look at the sub frame rusting out around the axles. The Neons are prone to headgasket problems and water pump troubles. Once repaired with quality parts you can drill a 1/8th inch whole in the outside edge of the thermostat so that coolant can seep past the closed part and not cause a thermal shock between the alloy head and iron block. My 95 had the headgasket and water pump replaced by the owner before it hit 80,000 miles and the car is now nearing 180,000 mile. BUT....the Prius will help pay for itself with its gas savings. The wife did not WANT a Geo or Neon...the new or used Focus would take longer in gas savings to pay for themselves, so the Prius was the choice. I REALLY wanted to buy American, but none had the mpgs to pay for themselves. Nearly all of the wifes driving is in town.

 

side note, don't forget that Toyota gives you a free two year Toyota Care contract with a Prius C. that means ZERO maintenance costs for 24 months including free roadside assistance. a used car has no such guarantee, especially I'd you're buying one from a private party.

like my grandfather used to say, "buying a used car is buying someone else's headache". you might get lucky, but it's always risky.