Experts Say 'Don't Buy A New Car' in 2024

[barneyboyle]

Depends on financing terms
Used 2021 CX-5 for $25k at 8%/60mo
New 2024 CX-5 for $30k at 0%/60mo
They cost the same in the end

[makemydaymag]

“Lower your expectations and buy older, cheaper, and uglier” that’s my grandpa’s advice for finding a wife. He drove a Porsche

[Jasona]

Last summer I bought a 2 owner (elderly women) 2013 Lexus ES 350 with 25, 000 original miles and in like new condition. Paid cash....it drives, looks and feels like a new car. I love it.

[mugentuner]

Well the nice thing is most of the people that constantly buy new and don't have a million in net worth, will probably never see that net worth. Usually because there focus are usually invested in liabilities and high loan and credit card debt

[barneyboyle]

These “experts” feel comfortable recommending used vehicles because they would never be the one to perform repairs/maintenance and whenever they found a moment to brag about the great deal they got from buying used they would leave out all the money they spent paying someone else to maintain it. If they happened to wind up with major issues they would brush it off as a fluke and just buy something else. For us working class people that’s not an option. You need accountability from your seller and with how much our society’s basic sense of honor has degraded I literally can’t afford to trust a stranger anymore

[Kevin-xzjq]

For the majority of Americans, its good advice. The amount of family and friends i see with 600-1200/mo car payments is shocking.
The car debt trap is incredibly hard for many people to escape.

[thebigguy]

My way of thinking is to try and minimize the amount you spend on transportation. An old car can cost as much in repairs as a new one costs in loan payments. There is a sweet spot in the middle where the repairs are not yet an issue, but neither is the loan payment. I purchased my current ride when it was 10 years old and had 137K on the odo (and yes, I paid cash). It's now 16 years old with 193K miles and while I've had to spend some on repairs, it's still nowhere near the levels of a new car payment. Purchasing slightly older reliable models has been my go-to model for many years.

[salimrandall]

It depends on what car you’re buying, and how long you’re keeping it.

[Fred]

They produce new junk overpriced vehicles, they can keep them.

[erksworld]

What about the "NEW FTC (Federal Trade Commission) LAWS" that take effect on July 30, 2024?
The laws that are supposed to stop dealerships from swindling customers?
No more selling you special air for your tires or oil changes for electric cars.

[joepfeiler]

Me and my wife buy new cars and trucks. It cost more than driving something older. I am a non smoker. I know people who spend more on cigarettes than what it cost per year when I trade up every four years.

[tombox]

I purchased 2 new 4runners just last week. I am not a expert but I love my trucks. Oh maybe I am a expert as I have no loans.

[martyi]

That's hilarious i would never accept retirement or car buying advice from Dave Ramsey or Suzy Orman, if folks didn't purchase or lease new cars their would be no used car market!
Granted in this market environment right now for example if your shopping for a full size truck it would be worthwhile looking into a preowned model, (I'm seeing some good prices) although prices are so inflated on these vehicles even with incentives they are still too expensive for the average income person!

[codys]

Ramsey's advice is sound. Bought a new car at 21 y.o. with cash and still have it as my daily beater 16 years later. Also bought all of my other vehicles used but with cash and have 5 rides including 2 lexuses. It can be done but takes financial discipline

[Selahree]

Why can't i just buy my new car with cash?

[gecko]

Yes I agree it’s better for the economy for people to buy and buy and buy new cars, but for me getting a good used car saves me money and I get just as much enjoyment as a new.

[tylerproctor]

I've said it so many times om other channels. As soon as someone tells you to pay cash for a car they don't know what they are talking about. I'm not stealing from my investments paying me 7 percent to pay for a car i can finance for 3 to 5 percent or less. That makes no sense. Cars are a depreciating asset yes but the are also means to wealth. You have to have a car to get to work. How much money do you lose if you miss a day of work cause it broke down. If you want to increase your wealth you should start with the money you spend that disappears. Like vacations, going out to eat, and for the most part the latest electronics. That money is just gone.

[juniorjones]

I agreed with Dave until i had to get under a car every month to fix that piece of junk i was sick of it!! The thank Jesus for the ability to buy something new with less hassle

[Blue-moon]

I went to buy a used 2021 Nissan Titan here in Canada (Titans were discontinued for the 2021 year) and it had 50k kms on it. It was cheaper for me to buy a brand new Frontier Pro 4x, better discounts and finance rates. Albeit different trucks, but sometimes it's more worthwhile buying new depending on the rates offered.

[rickj]

Ramsey's general advice is good for someone starting out but he irritates me because he lectures all of us about never buying a new car when he's a multimillionaire because he sold a bunch of books telling us not to buy new cars… He was bankrupt at one time himself… I do think if you research cars you buy make sure you buy cars that are reliable and have a good reputation for holding their value, take very good care of them pay off a car then if you've taken good care of it you'll have some equity in it and maybe have some cash with it first a good down payment on another new car and you won't have a big loan because you put trade equity and maybe some cash down to offset the cost of a long-term loan… If you keep this cycle going you should be fine… I agree that it's not smart for someone on a very tight budget to go in and buy a $60, 000 pick up truck and finance it for eight years… That's not smart obviously and it does happen a lot but if you use your head you don't have to follow Ramsey's advice and you can still be just fine…