Ughhhh, to buy or not to buy...that is the question

[marsh]

Ya we have been thinking hard about the 2019 Highlander w/the 0% financing.
We are in a tough spot bc we have to replace the Mazda CX-7 (timing chain is about to go), and I need a safe vehicle for the wife and kid. I'm still driving my 96 XJ and have to either sell or put some more $/time into it before winter.
Not having a car payment for 10+ years, I think it would be too much of a shock to the system to pay so much monthly. I'm looking at a few years old 4runner, Highlander or Outback, have it paid off in 2 years and have my son inherit it when he starts driving in 8 years.

[steveoz]

Yea I made the mistake of going to the big auto show in Ft Lauderdale just to rub my butt on all the new cars - originally was eyeballing the new Rav4 - but the Highlander was so rooooooomy! and leathery smellin ....

[steveoz]

Well after some deliberation I decided on a 2015 Lexus ES350, mom couldn't hop into any of the SUV choices, and if I had to go the car route I wanted something nice with a touch of luxury that I wouldn't mind spending time in while driving. The price was much lower than any of the SUV choices, the miles were low so back into payment mode I go....

[steveoz]

Originally Posted by steveoz

well after some deliberation i decided on a 2015 lexus es350, mom couldn't hop into any of the suv choices, and if i had to go the car route i wanted something nice with a touch of luxury that i wouldn't mind spending time in while driving. The price was much lower than any of the suv choices, the miles were low so back into payment mode i go....

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[steveoz]

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[zmalwo]

Originally Posted by steveoz

Been driving my Tacoma for 13 yrs, and while it has reasonably low miles it does have a bit of age....and I am now having to drive mom around a bit...so make payments on a 0% interest deal on a new Highlander?....keep driving the Tacoma...

Tacomas hold value. trade it in and get a Toyota hybrid. Corolla Camry Prius anyone of them will do. 53/52 MPG in 300,000 miles it will save you enough money to buy a new Highlander.

[Louis]

Are you keeping the truck, or selling / trading it in?

Will a bike fit in the Lexus?

[farmallguy]

People who don't want to borrow money at 0% aren't making sense. If you have cash to buy a vehicle it's a choice between having a new vehicle or keeping the cash. If you finance at 0% you get both. You get the new vehicle and keep the cash which earn money if invested.

[oldpotatoe]

Originally Posted by farmallguy

People who don't want to borrow money at 0% aren't making sense. If you have cash to buy a vehicle it's a choice between having a new vehicle or keeping the cash. If you finance at 0% you get both. You get the new vehicle and keep the cash which earn money if invested.

BUT, getting that 0% also means you pay closer to MSRP, yes?
I think paying some in interest and getting a lower price would make sense.

So..0% for 5 years for $40,000 or 2% at 5 years for $32,000

$8000 per year/$667 per month or about $100 less per month..

[farmallguy]

Originally Posted by oldpotatoe

BUT, getting that 0% also means you pay closer to MSRP, yes?
I think paying some in interest and getting a lower price would make sense.

So..0% for 5 years for $40,000 or 2% at 5 years for $32,000

$8000 per year/$667 per month or about $100 less per month..

Not in my experience and if it does , go to another dealer. My last vehicle, 2 years ago, was same price either way.

Even at 2% for the loan you at least break even because you can earn 2%in an online savings account. And you still have a new car and the cash.

[steveoz]

Sooo maybe my update wasn't clear , the SUV were taken out of consideration - I bought the Lexus and traded in the Tacoma...

[zmalwo]

The end of this month is the best time to buy a 2019 model. Dealer's monthly, quarterly, and yearly quota all piles up at the end of December each year, plus they need to get the 2019 vehicles off the lot cuz as soon as the calendar turns 2020, 2019 models become obsolete.