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Cars - It is the Season to Save Money © 2002 by Kyle
Busch, author of: "Drive the Best for the Price ..."
Summer is the season when many people purchase
transportation. The weather is warm and there is plenty of
sunlight.
The cost of new transportation is expensive. However,
there are several used vehicles that you might want to consider. The
following vehicles all have good ratings and current market forces have
made them available at very reasonable prices.
Four vehicles worth your consideration:
1. The Toyota Camry has been one of the best vehicles in
America for years. New Camry LEs cost $18,500-$25,000. Now that the
redesigned 2002 Camry is circulating in the market, you can buy (if you
shop carefully) a used 2000 Toyota Camry LE with 25,000-30,000 miles for
about $10,500-$11,500. I consider this car to be an excellent value for
this price. The vehicle should still have at least 6 months remaining on
the manufacturer's bumper-to-bumper warranty and 2.5 years remaining on
the power train (engine and transmission) warranty. This vehicle can be
driven for hundreds of thousands of miles.
2. The Honda Accord has also been one of America's best
selling automobiles. New Accord LXs cost $18,500-$26,000. The Accord
will be redesigned for 2003 (due out in about September 2002). You can
buy (if you shop carefully) a 2000 Accord LX with 25,000-30,000 miles
for about $11,500-$12,500. This vehicle should also have at least 6
months remaining on the manufacturer's bumper-to-bumper warranty and 2.5
years on the power train. This vehicle can also be driven for hundreds
of thousands of miles.
3. The Mazda 626 has also been a reliable vehicle. New
626 LXs cost $17,500-$24,000. The 626 will be redesigned for 2003
(renamed the "6"). Mazda does not quite have the name of the
Toyota or the Honda.You can buy (if you shop carefully) a 2000 Mazda 626
LX with 25,000-30,000 miles for about $9,000-$10,000. This vehicle
should also have at least 6 months remaining on the manufacturer's
bumper-to-bumper warranty and 2.5 years on the power train. This vehicle
can provide many years of dependable transportation.
4. The Nissan Altima is also a pretty good value. New
Altima 2.5s cost $17,000-23,000. The 2002 Altima was redesigned to be a
much larger car than the previous model. If you are on a transportation
budget, you can buy (if you shop carefully) a 1995 Altima GXE with
60,000-75,000 miles for about $3,500-$4,500. At this age and mileage,
the vehicle will likely not include any remaining manufacturer's
warranty, however, the Altima is quite reliable and economical to drive.
This car can provide a number of years of good transportation
service.
If you are in the market for a vehicle, do your
homework. Consult Consumer Report's automotive issue (April). Also, be
sure to read a couple of archived new vehicle road tests (review road
tests that were conducted at the time the vehicle was new) on the used
vehicle of interest in auto magazines (many are archived at your local
library) or Internet sources such as Car and Driver, Motor Trend, Road
& Track, or MotorWeek. Information from the road tests will allow
you to zero in on which of the vehicles discussed above will be the best
for you.
For example, if you prefer a softer ride consider the
Camry; if you prefer a stiffer more European ride, consider the Accord;
and if price is the major consideration, consider the Mazda or the
Altima. Last, but not least, if you are going to buy a 2 to 3 year-old
vehicle, try to get the 2000 model rather than the 199... model. Years
down the road when you sell the vehicle, the 2000 model will be worth
more than the "past century" vehicle.
How to Evaluate a Used Vehicle: Kyle Busch has over
300,000 miles on his 1986 Volkswagen Jetta - a used vehicle that he
bought in 1991 for $2,600. Busch is the author of Drive the Best for the
Price: How to Buy a Used Automobile, Sport-Utility Vehicle, or Minivan
and Save Money. 1 800 839-8640 or www.drivethebestbook.com.
The web site accepts all transportation questions.
Questions and Answers for Saving Money on Transportation
© 2002 by Kyle Busch, Adapted from "Drive the Best ..." With
a soft economy and an uncertain stock market, more and more people are
keeping an eye on spending and they are interested in getting more for
their money. Kyle Busch has over a quarter-century of experience saving
money on transportation. He answers ten commonly asked questions about
purchasing vehicles and saving money.
(Q) Why does it make sense to consider buying used
vehicles?
(A) Transportation is a depreciating asset that loses
value, especially during the first three years of ownership. Buying a 2-
to 3- year-old used vehicle will provide about a one-third reduction in
the cost. Additionally, the initial owner will have "test
driven" the vehicle for the second owner.
(Q) What is a common error than many people make when
buying transportation?
(A) A common error when buying transportation involves
buyers not thoroughly identifying their transportation needs and then
purchasing a vehicle that does not entirely meet those needs. For
example, a buyer might choose a mid-size family sedan that satisfies
many of his or her needs. However, six months after the purchase, the
buyer realizes that another vehicle in the same category provides a
softer ride, better fuel economy, etc. and would have better satisfied
his or her driving needs.
(Q) After identifying transportation needs, what should
buyers do next?
(A) It is worthwhile to visit a local public library to
research which vehicle(s) will indeed satisfy specific transportation
needs and then identify those that have good reliability ratings.
(Q) Is it best to buy a vehicle from a specific
source?
(A) Each transportation source has certain advantages
and disadvantages. However, the important thing to keep in mind is that
a number of vehicle sources should be considered (i.e., private owners,
rental car companies, company vehicles, off lease vehicles, new car
dealerships, bank repossessions, the Internet). When buyers inform a
vehicle source that they are also considering the other sources, better
deals are usually obtained.
(Q) What questions should buyers ask by telephone to
better determine if a vehicle is worth their time to investigate?
(A) - How many miles has the vehicle been driven (the
average is about 11,000 to 12,000 miles per year)? - Is the transmission
an automatic, a semi-automatic, or a manual? If the transmission is not
what the buyer wants, there is no need to ask further questions. - Has
the vehicle been repainted and if so, why? It is best to avoid repainted
vehicles. - When are the next state inspection and emissions standard
test due? The vehicle should have a minimum of at least eight months
remaining until the next required state inspection and emissions test. -
How often were the engine oil and the oil filter changed, and who
performed the service? An acceptable answer would be every 3,000 to
3,500 miles or about every three to four months. - Are you the original
owner of the vehicle? Original owners tend to take better care of
vehicles. - What is the reason that the vehicle is being sold? It is
encouraging if the individual is the original owner and if he or she is
planning to again buy the same make of vehicle.
(Q) What if the owner is lying when answering questions
about a vehicle?
(A) It is worthwhile to obtain as much information about
a vehicle as possible, therefore, buyers should ask questions. The
interior and exterior inspections, and vehicle test-drive help to verify
the information provided by the owner.
(Q) How long should the vehicle test-drive take?
(A) It is worthwhile to test-drive a vehicle for a
minimum of 20 minutes on two separate occasions. The test-drive should
include a variety of roads that buyers will drive day-in and day-out. (
Q) Should buyers take a vehicle to a mechanic before
making a purchase?
(A) A mechanic should confirm what buyers have concluded
after they have inspected and test-driven a vehicle. Buyers should
request that the vehicle be raised on a lift for the mechanic's
inspection and that the mechanic test-drives the vehicle.
(Q) Of course buyers what to save money, but what
protection do they have when purchasing a 2- to 3- year-old
vehicle?
(A) Most vehicles have manufacturers' bumper-to-bumper
warranties of three years-36,000 miles or four years-50,000 miles in
addition to five years-60,000 miles on the drive train (i.e., engine and
transmission). The warranties are transferable to buyers who purchase
the vehicles used. The warranties begin on the date that vehicles are
first purchased from new car dealers. Thus, it is important to determine
the date when a vehicle was initially purchased. Buyers best interests
are also served when they have performed research to identify vehicles
that have favorable reliability ratings.
(Q) What is a long term benefit of saving one-third when
buying vehicles?
(A) The average new vehicle costs about $15,000 to
$18,000. Most 2- to 3- year-old vehicles will easily provide five or
more years of trouble free driving. If buyers invest the savings (i.e.,
$5,000 to $6,000) and they are able to add $800 per year toward
transportation, after a five-year period, they will have the money
needed to purchase another 2- to 3- year-old vehicle without straining
their budget.
For Additional Information: Kyle Busch is the author of
"Drive the Best for the Price: How to Buy a Used Automobile,
Sport-Utility Vehicle, or Minivan and Save Money." 1 800 839-8640
or www.drivethebestbook.com.
The web site accepts all transportation questions.
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