To trade or not to trade?

pjaymac1

Hi.

Was wondering if the folks at Edmunds might have an opinion on my dilemma.

I have an '06 CR-V EX that, aside from a couple of recalls, has been absolutely trouble free. I drive about 7,000 miles a year. I use the car recreationally, not for work.

I was curious as to what I could get for the vehicle if I wanted to trade it in. Last week, I took it to a couple of dealerships. One dealer is offering $13,000 (I bought it for $23,000) plus invoice price on a 2011 AWD CR-V EX.

I can swing the payments, which would be about $60 more a month than I'm paying now. But I don't NEED a new vehicle.

However, when will the resale value of my '06 ever be higher? And when will I ever see a new EX for, essentially, half off (MSRP is $24,255) and at invoice price?

Is this deal too good to pass up, even for someone who doesn't drive as much as many people do?

Thanks if you have any thoughts!

isellhondas

Well, you certainly don't NEED a new car and it sounds like you are aware of that.

You'll just have to decide what to do.

toledo73

I NEVER need a new vehicle! Change every 3 yrs or so and love it. But, I would trade for the new 2012, a huge upgrade from your 06. Why do you still have payments on an 06? Go for it! Life is short!

pjaymac1

Thanks, isellhondas.

pjaymac1

Toledo73, I might yet end up trading in for the '12.

My financial institution gives long-term loans, which makes the payments very affordable.

There is validity to the "life is short" philosophy. And I am on my 10th new car in the past 21 years, so I know from car buying.

But I am getting to the age at which I wonder if I will have any retirement savings and whether my industry will even be around in 10 years. So the money that would be going to a car payment for a vehicle that didn't need to be replaced might be better devoted to investments or vacations.

Last week, two relatives told me about the long-term mileage on their vehicles, both bought new: one a '91 Acura MDX with 300,000 miles and the other a 2002 CR-V with 120,000 miles. The V owner said he hoped to get at least 200,000 miles out of it. The MDX owner shows no interest in shopping for a new car.

So, it's all food for thought.

stever

We have a support group for you here. :shades:

Chronic Car Buyers Anonymous

(Not much support though; mostly it's a self-feeding frenzy, lol).

pjaymac1

Heh-heh. Thanks, Steve. I had checked out that thread, coincidentally.

godeacs

Whoa!....1 new cars very 2 years - sounds like you've spent/lost a ton on depreciation as well as constant car payments with interest. I'd vote for keeping your current vehicle and pay it off and save your money, especially if you are worried about the future. Also, IMHO, if your car loan is for more than 60 months, you probably shouldn't be buying that vehicle (unless you have a super low interest rate).

pjaymac1

Heh-heh, godeacs. I have held on to some of my cars for a while; I've had two for four years each and have had my current CR-V for 5.5 years.

Thanks for the advice, though. I'm leaning toward hanging on to my car.