First couple years depreciation is a big hit, though I don't have exact numbers, because I'm not in the market for vehicles. And the stuff I do tend to buy is so weird the depreciation curves... yeah, don't ask. There's not a generally functional market for Russian sidecar motorcycles in the US, you sort of take what you can get.
So what you're saying is that you just made up that scenario.
Crappy econoboxes made by Fiat/Chrysler or luxury cars may see depreciation numbers like you quoted.
But the fact is, it is extremely rare to find a 1 yr old vehicle with 20K miles, from well-regarded brand, at a 30% discount from real-world new car prices.
You clearly like your new cars.
You've clearly found a variety of math you like that "proves" it's a better deal.
And you're pretty well in the weeds of this forum. Suggesting people buy brand new cars is pretty far away from the general ethos as written in the blog.
I like new cars in some cases, because I've done the math, and found them to be a better value than the used cars I've considered.
And it is not "my variety of math." It is a simple calculation that can be applied to any new vs. used scenario.
As I've mentioned earlier, people don't think critically about this, they just look at the price differential between MSRP and used car prices.
They don't factor in the amount of life left in the used vehicles, or the fact that MSRP is a fantasy number that no one pays.
Because I don't approach my transportation needs based on popularity?
It is not about "popularity". It is about simple consumer behavior. The vast majority of consumers do NOT keep their cars till 300K miles, for whatever reason.
It's great to talk about driving cars to 300K in theory. But in practice, it rarely happens.
And if you're selling a car that will run to 300k miles at 200k, the value is far higher than "scrap value," which your math conveniently ignores.
I didn't include the resale value of EITHER the new or used car in my calculation. If I accounted for resale value, the math would tip the scales even further towards new being a better value. Which do you think has a higher resale value (assuming both were the same make/model)...
- 1 owner car, 100% adult driven, meticulously cared for, all maintenance/repair records
- 3 or 4 owner car, unknown driving history, unknown maintenance history, minimal records