which car should i purchase?

[FuckRx]

i have 2 options, $2,500 1986 honda crx, good driving condition, 200k miles but well maintained, has had full tune up but no A/C, exterior and interior is a little rough...
option 2, 2012 Smart Car with A/C and pretty much brand new, 17k miles...great condition inside and out...

i can buy either one cash...i really don't drive much, mostly commute on my bike...i'm single but have about 20k in credit cards...i have 10k emergency cash...i just downgraded from a condo i used to own to renting an 800/mo apartment...
i make 200k/year...
i have 120k in student loans but only at 2.8%...
i have 60k in retirement account...

[homemadelatte]

Is the money for the vehicle going to come from emergency cash?

[Carrie]

That honda sounds overpriced for the mileage and model year. 
I wouldn't buy a new or nearly new car while having other debts.  Maybe there are more than two options.

[chasesfish]

I personally don't like either option, I think the CRX is overpriced for what you get and I think the smart car is as well.  Are you limited to these two cars?

[FuckRx]

the money will come from a little cash i set aside, about 12k...
ideally i don't want to use all of it so that i can spend it on a car...
there may be other options but both of these cars are in the 40mpg range...

i could start looking for other cars but i haven't been able to find much in these gas mileage ranges even though i'm sure there is others...

[Another Reader]

Are you buying out the lease on the smart car?  Didn't you lease one?

Did the condo sell?

[mm1970]

Why do you have 20k in credit cards?

[gooki]

That's my question as well?

[FuckRx]

condo is being listed...
i think i can sell it and still cover my costs but a little worried so going back and forth...
it should be listed on 9/17...so just a few more days..

i am trying to get out of the lease...
mercedes benz who does the lease is being a PITA...
so selling the car is easier... or me buying it for a little under 12k..

why 20k in credit cards? because i was an irresponsible impulsive shopper who had no concept of delayed gratification and filled out any credit card application that came my way...face punch administered!

[chasesfish]

I may get tarred and feathered for suggesting this, but if I were in your situation, I would just go buy a new Honda Civic and drive the thing for 15-20 years.  You're income is $200,000/year.

One of my now-retired physicians I knew bought a 1988 Honda Prelude new and drove the thing until he retired in 2005.    Even if you have to finance the thing on a 3 year, 0.9% Honda loan, the $21,000 spread over 15-20 years of ownership is not a bad financial decision.  I think its specs are 28/39 mpg and you'll have a good car with some comforts.

I'm all about total cost of ownership in my purchases, we buy a new car and drive the things well into 150,000/miles and at least 10 years of ownership.   In my opinion, the only thing that (used) to suck about that is my state likes to tax annually based on the value of the vehicle, but that's now been changed to a one-time sales tax at the time of purchase.

Congrats on your progress.

[chasesfish]

I read through some other posts and now understand.  It sounds like you own the CRX and lease the smart car already.

I'd sell the CRX and stick it through the lease until the end.  Once you can turn that car back in, take my advice and just buy a civic and keep it for 15-20 years.

[theSchmett]

200k/year? Did you just start your job? Pay off those ccs with your first and second paychecks.

The car question becomes one of reliability. Do you need a reliable ride to keep making 200k?

If so I wouldn't even consider a CRX with that many miles.

[Mr.Macinstache]

I may get tarred and feathered for suggesting this, but if I were in your situation, I would just go buy a new Honda Civic and drive the thing for 15-20 years.  You're income is $200,000/year.

One of my now-retired physicians I knew bought a 1988 Honda Prelude new and drove the thing until he retired in 2005.    Even if you have to finance the thing on a 3 year, 0.9% Honda loan, the $21,000 spread over 15-20 years of ownership is not a bad financial decision.  I think its specs are 28/39 mpg and you'll have a good car with some comforts.

I'm all about total cost of ownership in my purchases, we buy a new car and drive the things well into 150,000/miles and at least 10 years of ownership.   In my opinion, the only thing that (used) to suck about that is my state likes to tax annually based on the value of the vehicle, but that's now been changed to a one-time sales tax at the time of purchase.

Congrats on your progress.

Bad idea. With a new car you pay huge sales tax, huge property tax, full coverage insurance and then drive off the lot and you just threw away 5-10k in instant depreciation. Never buy a new car. They guy has $20k in credit card debt!

He should pay cash for a $3000 Civic or something and start working toward FI.

[chicagomeg]

If you don't drive that much, why pay a premium for a car that gets 40mpg? Get something more common like a Civic or Corolla that will get 30 or more easily, it will be a better use of your money.

[chasesfish]

[/quote]

Bad idea. With a new car you pay huge sales tax, huge property tax, full coverage insurance and then drive off the lot and you just threw away 5-10k in instant depreciation. Never buy a new car. They guy has $20k in credit card debt!

He should pay cash for a $3000 Civic or something and start working toward FI.
[/quote]

There's the tar and feathering I expected.  The OP currently has both a smart car on lease and a $2500 CRX that won't pass CA Emissions.  He/she should keep the smart car if they can't terminate the lease, but no sense in paying for/owning two cars, especially one of which that can't be driven in the state.  Painful problem