3 ms·
Not taking deprecation in account when buying a car makes the calculation way off. It even applies when you own it the whole way from the factory to the junkyar
by robinwassen 8y ago
Not taking deprecation in account when buying a car makes the calculation way off. It even applies when you own it the whole way from the factory to the junkyard.
A rule of thumb that I use is that the value of the car halves every fourth year. So if I buy a car for $20 000 I can count on a monthly cost of $208 for the deprecation the first four years, that exceeds all other costs of ownership in my case.
- dsfyu404ed 8y agoRegardless of age and mileage there's a floor value for a vehicle based on vehicle type, options and condition. In states with annual safety inspection anything in passable condition gets an artificial price bump of about a grand compared to the same vehicle with a cracked tail light, 1/32 less tread or a missing sun visor.