In 2022 my car (a 2010 Nissan Versa) kicked the bucket. The engine was broken and needed to be replaced. Rather than spending even MORE money on repairs (I had spent a few thousand or so on various other parts at this point), I decided to buy a newer car that would, presumably, require fewer repairs in the short term.

I bought a 2021 Honda HRV for ~$20,000 at 7.59% APR. I pay $414 a month and have $16k left on it. I bought this car under the worst possible circumstances:

  1. Used car prices were very high at this time
  2. Interest rates were high due to inflation
  3. I needed a car because my previous one had died so I didn’t have the luxury of time

My hope, at the time, was that inflation would be tamed and interest rates would eventually be lowered, wherein I could refinance the loan. I no longer believe this is a possibility within the next 4 years or so. I was also hoping to find something small and cheap like a Honda fit, but I learned that they had stopped producing them. An HRV seemed like a sensible kind of car given the modest physical needs of how I used a car at the time

So, here’s my question: Should I just sell my car for something older? Maybe like a 2015 or so? Or should I just stick with my current machine until it’s paid off and try to refinance after 2028?

If I could go back in time, I would’ve sold the Versa in 2020 or so, before I had spent a bunch of money on repairs. Hindsight is 20/20 though

  • CanadaPlus@lemmy.sdf.org
    7·
    3 days ago

    This is highly dependent on where OP lives and what OP needs to do with it. Assuming they’re in North America, If they’re rural, forget about it. If they have a big family it’s a hell of a swing at the very least. If they have a long commute and can’t get out of it or just use a bus it’s also not going to work.

    Rebuilding civilisation to not be car-centric probably isn’t in their budget.

    • sem
      3·
      3 days ago

      And unfortunately a lot of lower-density urban places are so poorly designed that a cargo bike would be impractical or dangerous.

      Of course the more bike infrastructure that gets built, the more people will be able to actually buy groceries and bike home / ferry kids to school, etc.

      Still would like to see a solution for rainy weather but the Dutch survive so that must not be a huge issue.