So we are a two person family with three cars. It's not as bad as it sounds as we just inherited one of these cars. Anyway, we are relocating from suburbia to a walkable downtown area and are seriously considering becoming a 1 car family as only one of us will then need to commute. We definitely need to get rid of one of these cars but possibly two of them. Here are the details:
Car 1:
2016 Toyota Corolla, 15k miles
$18k owed at 0% interest, $300 monthly payments (Probably about $6k underwater), 1 year of warranty left
Car 2:
2011 Mazda 6, 70k miles
Nothing owed, worth about $6k
Car 3:
2007 Toyota Camry, 40k miles
Nothing owed, worth about $6k
We need one car for a 30 mile roundtrip reverse commute, road trips and the occasional errand that isn't doable by walking or bike. My initial instinct is to get rid of Car 1 since we owe money on it but it's painful having to make up that difference. Another option would be to sell Car 1 and Car 2 which would have us break about even and get rid of a car payment. All three of these cars are well maintained so I don't expect any maintenance for any of these vehicles in the near term. Could really use outside opinions of which I should ditch if I were to get rid of 1 or if I were to get rid of 2. Not really sure how to analyze paying $6000 to get rid of a car 1. I'm sure in the long run it is better but it will take awhile to make up that amount in saved payments and we lose the newest car and we've already taken the hit on depreciation and we aren't paying interest. Thanks for your help.