Quote:
I was figuring on a more expensive car -- you are replacing a Mustang, so I figured to replace it with a really nice Mustang GT Convertible, well-optioned. That would run at least $32,000, maybe more, so a $10K depreciation in the first year might indeed be a possibility, but you're probably right, $6K might be more in line. How about $8K as a compromise?

Ah, okay, your example was guessing at *my* cost of ownership, not the "average American's." Different story, indeed. A GT convertible sure would be nice, but I have to say that Ford has probably lost me with their over-retro-ization of the '05 models. I will probably test drive a GT (no convertible, not enough nice days here to make it worthwhile) but as I mentioned earlier in the thread, my heart is currently set on the new Charger, which, with the options and model I want, comes in right around your $32k number.

Yeah, I know what you're saying about being "car poor." In my last job, I had several cow orkers who financed cars that were way above their means. As for me, I did 4 year financing on my Mustang, and paid it off 8 months early. If I do get the Charger, I will probably try for 3 year financing at around 4.45% through my credit union with a hefty down payment to bring the monthly payments to around what they were when I was paying off my Mustang. In other words, I'm not one of the careless people you speak of, but I have seen it happen, and the results are not good.

To turn the tables a little bit, I think you should look at why liability-only insurance is costing you $1,000 per year!