A lot of people will hold on to their cars for longer than they need to. Without a car payment, you can get ahead financially, but even the most durable cars eventually wear out. Deciding to purchase a new car is a tough decision, but there are telltale signs that point you in that direction. Here’s a guide to follow to help you make that choice.
Frequent Breakdowns and Repairs
Do you worry that you won’t make it to the grocery store and back? If you have more than two serious car repairs in one year, it may be time to part ways. Cars that become unreliable are not worth keeping.
Repairs Outweigh the Value of the Car
A car note is nice not to have, but investing more than the car is worth doesn’t make sense. You are just buying time if your vehicle has multiple issues, and it becomes impractical to invest large chunks of money.
Your Safety is Compromised
It’s a good argument that newer cars have much more advanced safety features than older ones. You’ll regret not buying a more modern car if you are involved in a car accident due to neglecting the problems. If you get anxiety every time you step into your vehicle, it’s probably time to upgrade.
Car Insurance Keeps Going Up
It’s more expensive to insure older cars since newer cars quality for discounts from added safety features. Your annual premium can continue to rise even with a spotless driving record.
It’s a Gas Guzzler
Depending on your commute to work, you could be losing thousands per year by driving an older car. Older cars are not as fuel-efficient, and your trips to the gas pump will be a lot more frequent. Newer cars have hybrid options and other gas-saving technology to keep more of your money in your pocket.
You Want to do Something Nice for Yourself
Life is short, and you work hard. Aside from the practical reasons to get a newer car, there’s no harm in spoiling yourself within reason. As long as you’re smart about it and purchase a vehicle within your means, then go for it!
You should evaluate the decision to get a new car carefully. List out all of the pros and cons of keeping your vehicle versus trading it in. Test drive a lot of different vehicles to see which one suits your best.