Many new vehicles are financed, it’s why most ads here (Canada) will give you the biweekly price. Annoyingly, when you do go to a dealer, they are usually able to give a better deal when you finance compared to if you buy outright. The nice thing is though legally we can’t be penalized for paying it down early, so there’s nothing to stop you from financing and then paying it off.
Car payments are a pretty common thing, $1400 monthly in car payments not so much.
I’ve purchased two cars new. Still own both of them.
One is a Chevy Sonic that is a reliable little stick-shift hatchback that was inexpensive when I bought it, and have used for over a decade. The design had hardly changed between years and was known to be reliable. It probably didn’t drop in value nearly as much as most other cars - I admittedly wouldn’t know because I’ve had no interest in selling it.
The other is a Toyota RAV4 plug-in hybrid, which essentially didn’t exist used when I got it. They continue to be challenging to acquire. I wouldn’t be surprised if I could sell it for more than I still owe on it, and I got it on a lease-to-own with zero interest (the dealership wants the opportunity to upsell me when the lease is over).
It’s possible to buy new and not get screwed over. It’s not common, though.
No, it’s not. At least for less than multi-millionaires with 10+ figures of income a year. And most banks are smart enough to not lend people that kind of money for more than one showy vehicle like that. Banks understand the depreciation involved.
Why would anyone take two loans to buy two cars? Is this normal in America?
Car loans are depressingly common. It’s like normal people haven’t heard of second hand vehicles.
Two loans is pants on head territory though, even for the US.
I have heard of them. That’s why I take loans for secondhand cars.
Many new vehicles are financed, it’s why most ads here (Canada) will give you the biweekly price. Annoyingly, when you do go to a dealer, they are usually able to give a better deal when you finance compared to if you buy outright. The nice thing is though legally we can’t be penalized for paying it down early, so there’s nothing to stop you from financing and then paying it off.
Car payments are a pretty common thing, $1400 monthly in car payments not so much.
Which is why I have not, nor will ever buy a new car in my life. Regardles of any “deal”, you piss away 20% of value just driving it around the block.
I’ve purchased two cars new. Still own both of them.
One is a Chevy Sonic that is a reliable little stick-shift hatchback that was inexpensive when I bought it, and have used for over a decade. The design had hardly changed between years and was known to be reliable. It probably didn’t drop in value nearly as much as most other cars - I admittedly wouldn’t know because I’ve had no interest in selling it.
The other is a Toyota RAV4 plug-in hybrid, which essentially didn’t exist used when I got it. They continue to be challenging to acquire. I wouldn’t be surprised if I could sell it for more than I still owe on it, and I got it on a lease-to-own with zero interest (the dealership wants the opportunity to upsell me when the lease is over).
It’s possible to buy new and not get screwed over. It’s not common, though.
Agreed. The closest thing to “new” I’ve gotten is 2 years old after a lease has expired.
No, it’s not. At least for less than multi-millionaires with 10+ figures of income a year. And most banks are smart enough to not lend people that kind of money for more than one showy vehicle like that. Banks understand the depreciation involved.