Why are car prices so high?

andygb

joolsybools wrote: »

Why do you need to but a new car every 3-4 years, is it broken?

I agree, this is MSE after all (I wish I had a fiver for every time I have said that). I have never purchased a new car, simply because I can do the maths on depreciation. If you buy a three to five year old car with FSH, low mileage, in great condition, then you should have a vehicle capable of doing another 100K miles at least. Pick a good car, and all the early teething problems should be sorted.
I would bet that anyone who buys a new car, and then sells it in the third year, will then have lost enough money in depreciation to buy me an acceptable car.
My own car is nine years old, bought at auction for £2000 five years ago, and there are still models with similar mileage to mine selling for around £1800 - £2000.

thescouselander

andygb wrote: »

I agree, this is MSE after all (I wish I had a fiver for every time I have said that). I have never purchased a new car, simply because I can do the maths on depreciation. If you buy a three to five year old car with FSH, low mileage, in great condition, then you should have a vehicle capable of doing another 100K miles at least. Pick a good car, and all the early teething problems should be sorted.
I would bet that anyone who buys a new car, and then sells it in the third year, will then have lost enough money in depreciation to buy me an acceptable car.
My own car is nine years old, bought at auction for £2000 five years ago, and there are still models with similar mileage to mine selling for around £1800 - £2000.

I disagree. MSE is about getting what you want at the best price. Therefore if you want a newish car it is not MSE to go out and buy a 5 year old one.

I'm changing my car for a newish one on Saturday. Although my current car is in very good condition the new one is so much better in every respect. Yes, I'll have to absorb the depreciation but I'm prepared to do that in order to have a nice motor. I also like the idea that my car will still be under the manufacturers warranty.

mark5

Couldnt have put it better, thescouselander!