If you want to be rich, never buy a brand new car or a car in its first year of redesign. I've been a car fanatic forever, but I've also been a personal finance blogger since 2009. My goal for everyone is to reach financial independence sooner, rather than later.
After owning Moose, my 2000 Land Rover Discovery II for nine years, in 2014 I decided to lease a more fuel efficient car named Rhino, a 2015 Honda Fit. Since I was a kid, I've always loved the sportiness and reliability of Hondas. My parents always drove very used Japanese cars.
Even when I owned an $80,000 Mercedes G500 as an idiot 25 year old back in 2002, my fondness for compact cars never waned.
The older I got, the less I cared about driving a fancy car. All I wanted was to have a reliable automobile that required a minimum amount of maintenance so I could cherish my valuable time. I thought Rhino would be that perfect car, but he's not turning out this way!
New Cars Are Not Necessarily More Reliable
One of the biggest fallacies is the belief that new cars are more reliable than older cars. Based on my experience of owning 10 cars over the past 20 years, I feel that used autos are often more reliable than new cars because they've already gone through the “break in” period.
When I was still looking to save every penny I made before retiring early, I would look to buy cars within a year AFTER they completed their major 50,000 or 100,000 maintenance schedules. By then, the greatest depreciation hit had already been taken, and the big maintenance cost had already been spent.
Instead of feeling nervous about reviewing the mounds of maintenance records when buying a used car, I felt happy that all those maintenance issues had been already taken care. The more maintenance records provided, the more confident I was in buying the car. Besides, I had a trusty cheap auto-mechanic from my days living frugally in Chinatown.
After I bought a new Mercedes Benz G500 in 2002, the car was in the shop at least once a quarter during the first year due to electrical gremlins. Since that car, I swore never to buy new again until I relapsed in 2014. I figured, surely a Honda Fit would be one of the most maintenance free cars ever because of its awards, track record, and popularity. I was wrong.
Related: Check the NHTSA website for the latest recalls
Problems Begin To Mount With My New Car
Check out this image I took from the service man's computer of the various Honda Fit service recalls since I bought the car in September 2014.
Since I bought Rhino, I've had to change my front bumper because of a crash safety test failure issue, do a couple other things I don't understand, and lubricate all my door handles because of some corrosion problems. These were all mandatory recalls based on my lease terms.
I'm glad Honda Corp is being proactive in making the Honda Fit as safe as possible, but they should have built the car right the first time because they've been making motor vehicles since 1959!
All told, Rhino has been in the shop twice for 8 hours, and I've had to rejigger my schedule by another 4 hours to drop him off and pick him up. In fact, I wrote this post at a coffee shop as I waited for them to finish my door handles.
To make the most out of an unexpected situation, I made $10 picking up a passenger along the way to the dealer from home, ate a power lunch with my largest online client downtown, saw another friend for coffee, and pounded out this post. Thank goodness for being able to kill time working online!
Auto dealers actually love recalls because the car manufacturer pays its service department to fix the problem. The gross margin for service and parts is over 50 percent for most auto dealers vs. just 8 percent for new-vehicle sales. If auto dealers can successfully sell you a junker for 0% profit margin, they probably would.
The cost to fix newer cars nowadays is outrageous!
Now The Automobile Won't Start
Just the other day, after two hours at the tennis club, Rhino wouldn't start. Even though none of his lights were on while I exercised, the motor wouldn't catch because the battery somehow died. I had driven him for over 50 miles the weekend before as well.
Luckily for me, I pay $2 a month for roadside assistance. Unlucky for me, I had to wait another hour for them to come out to jump my car. When the guy finally came, of course Rhino's engine could start on its own.
The technician told me to always turn the auto headlights off during the day because even though the lights are off, they drain your battery while your car is off. He also said car manufacturers with this feature don't tell you this so they can make more money on service and battery sales. Not surprised.
A week later, Rhino wouldn't start again so I finally sent him to the dealer to get serviced. They told me there was nothing they could do because he started up just fine. Murphy's Law of course.
I told them that they should keep him overnight for at least two days, give me a free rental car, and then try again. Lo and behold, they couldn't start him up on the third day and found out he has a malfunctioning battery sensor. Rhino will be in the shop for a total of six days because they've got to order the part!
At least I get to do donuts w/ my brand new VW Passat I'm borrowing from Hertz!
Related: Consumers Stand Up For Your Rights: Honda MPG And Recall Issues
The Right Age Of Cars To Buy
I leased a new car $20,500 car because it complied with my 1/10th rule for car buying and I thought it would save me time. If I could do it over again, here's what I'd do:
1) Buy the second year of a new model. Let the car manufacturer figure out all the gremlins after a year's worth of consumer usage. You can also wait until the third year, but the new model may no longer interest you as much as when it first came out.
Further, a new model might be waiting in the wings, making you feel stupid for not just waiting a little while longer to pay a similar price for an updated model. I only recommend buying new if you have the financial means to do so, have no access to a good auto mechanic, or have no automobile knowledge.
2) Buy a second hand car that is five years old with between 50,000 – 70,000 miles. If taken care of properly, a five year old car still feels quite new. It's past the typical warranty period, so it's important the car has done all the maintenance according to schedule. Make sure you get all maintenance documents. Also make sure the big ~50,000 maintenance has been done. This often costs $500 – $1,200 to complete.
As you can see from the chart below, the average five year old car loses a massive 60% of its original value, from $30,000 down to $12,000, depending on mileage and condition. Meanwhile, cars can easily be owned quite economically nowadays for 10+ years or 150,000 miles. I've owned cars with both high age and mileage attributes with no problem. The only reason I got rid of the cars was mainly due to boredom, then maintenance costs, and finally safety issues.
Planning For My Next Vehicle
As I wrote in The Best Mid-Life Crisis Cars To Buy, I'm currently saving up for a sweet new ride at the end of 2017 when Rhino's $235/month lease is up. There's still a good chance I'll be more financially responsible and just buy Rhino for his residual value of $12,600. But my current plan is to buy a five year old super car for up to $60,000. Given mid-life crisis cars are often second cars with few miles, I'm thinking $60,000 could buy up to a $150,000 original sticker price car.
Unless you are an absolute car nut, we can all agree that cars are a big waste of money. From the valuable time it takes to deal with recalls and maintenance problems to the necessary cost of car insurance, it's no wonder why car sharing companies have grown in popularity. General Motors' $500M investment in Lyft makes absolute sense because they see a future where less people will buy cars.
It's just not worth buying a new car in the first year of a redesign, no matter how reputable the company. If you value your time and money, practice some patience and wait at least one year for all the major problems to be discovered and fixed.
Related: Should I Own Two Cars?
Readers, anybody ever buy the first year of a new redesign and regret their purchase? What kind of car maintenance and recall issues have you had? If you're looking for low-cost auto insurance, check out AllState today. They have some of the best rates around and there's no obligation to get a quote.
Maybe the author knows “finance,” but he know little of cars or auto financing. And the “first year” rule is a myth. To wit: J.D. Power’s Vehicle Dependability Study often ranks first-year models at or near the top of their segments for 3-year dependability. On average, the last few Vehicle Dependability studies prove that first-year models don’t fare any better or worse than their longer-running rivals.
Why wouldn’t you wait until the second year? I spoke to two car engineers and they have both told me that they really don’t know all the kinks until mass production release.
One good reason is listed in my post March 21, 2016 at 8:46 pm :) Seriously saved me a bundle in depreciation. I got one of the first Porsche Macans sold in my area and demand was so strong that it continued to be almost worth what I paid for it by the 3rd hear of ownership. Only now are they starting to depreciate a little more normally as there starts to be more supply on the secondary market. Obviously doesn’t hold true for all cars, but for highly desirable ones, this is something to consider.
The reason it’s best to wait 1-2 years after a re(design)/new design is that many of the defects are corrected post production – i.e., reported by customers, found by engineering later in the cycle because of quality misses, found by 3rd parties/researchers/dealer techs. Cars, unlike software, don’t have a true beta/alpha cycle allowing real customers to try out cars before production assembly.
Isn’t that what I wrote in the post though?
Right. Just reiterating reasons for @fritz why more problems occur in the first year(s) of new models.
Oh yikes, so sorry to hear you’ve had to deal with all of those troubles. I sure hope they get resolved quick. Honda is one of my favorite car brands. Hope they get their act together so you don’t have to deal with any more problems. Best of luck!
Should have gotten an Accord LX instead of a Fit.
I am waiting for autonomous cars before buying anything new. I read autonomous cars will be able to be programmed to go home after dropping you off somewhere.
Therefore, a family can share 1 autonomous vehicle assuming there are no scheduling conflicts. Dropping me off at work, then my family at work and school.
If this technology is slower than expected, I will buy a used vehicle. I also read a recent WSJ article about how a larger % of vehicles are being leased vs. bought. predicting a large supply of used cars to flood the market over the next 3-5 years.
Buying 2nd year isn’t always the best move. I’ve now purchased 3 Porsche’s within 6 months of when they were released, and it has saved quite a bit on depreciation. The reasoning behind this is that for the first few years after a new release on many Porsche models, there is very strong demand which keeps resale values high. If you were to purchase in year 2 after release, you’d be looking at the next get model being released 1 to years later which will cause you vehicle to depreciate much more quickly than if you’d purchased within a few months of release and ideally sold about 2 years later. Porsches and most other cars generally have a 4 year life before the release of an updated model.
Examples:
Purchased 2015 Cayman (dealer demo) in March 2014 for $54,000. Sold April 2015, 13 months later for $2,000 profit. Put 7,000 miles on it.
Purchased Porsche Macan S for $57,000 in Oct 14 for $57,000. Still have it but could easily sell for $54k with 11,000 miles on it. 5% depreciation over 18 months on a brand new luxury SUV is not bad! These have been sold out since they were released, and Porsche increased the price quite a bit in 2nd model year which really helped my resale value.
Purchased Porsche Cayman GTS 3/15 for $84,000. It’s now worth about $80,000. Didn’t fare quite as well with this one, but still only 5% 1 year drop on a brand new car which I love.
As far as problems, I’ve had zero. Porsche and Lexus consistently trade places for the #1 most reliable auto manufacturer. When it needs maintenance I just schedule an appointment with the dealer, drop it off, pick up the loaner Cayenne they have ready and waiting, and come back after work. Total time wasted is about 5 min at the dealer to drop off, 5 min to pick up, and 10 min driving off my usual route to work.
So anyway, consider a Porsche :) Extremely fun to drive, most reliable manufacturer, and very low cost of ownership relative to purchase price if you play it right.
Thanks for the tip on a Porsche. I love them but never owned one. I’ll keep that in mind.
Do you have an article on Leasing new vs Buying a CPO car?
Im surprising you are leasing currently.
Anyways, I’m looking to upgrade from our 1999 Toyota Camry soon (we bought it 9 years ago) and I’m looking at a Honda CRV myself.
Hey FS,
Yeah man. Can’t agree more. My daughters 2015 Fit is riddled with recalls. Quality is not the same as it used to be especially with Hondas…went downhill after 1994. They care about $$$ now that brand was in place. I know it’s tempting to get brand new models. They should give discounts to early adopters using beta and sometimes alpha products.
First year major redesign models should be avoided until 2 years in!
We bought a new Honda CRV Two years ago, really happy with it so far – my wife’s family has been driving Hondas for a long time and I am impressed with the durability ( coming from a Ford family)
Kinda bummed you are having issues, the only reason to buy a brand new car is you know that no one was spinning out and driving around like a crazy SOB before you got it
I love cars and have only ever leased or purchased new Acuras, BMWs, Mercedes & Audis. I’m not a fan of used cars. I really do like the new car smell and the driving dynamics of the German brands can’t be beaten.
My last car was an E Class Coupe which was absolutely stunning and glorious to drive, but also annoyingly unreliable. It cost me a small fortune on payments and maintenance too. I was happy to return the car once the lease term finished and I am now happily leasing a VW for one third of the cost. (I’ve been at least disciplined enough never to break my lease. I’ve had friends do it and you lose so much money.) Anyway, I’ve ‘saved’ over $5000 in just the past six months by not getting another high end car.
I will say however that I’m really itching to get a second car for the family and would love to have a Porsche Macan, Lexus RC or BMW M235.
If you haven’t driven an M235i please give it a shot. Once I drove one I was sold. It’s a 6MT car which is not everyone’s favorite but I like “rowing the gears”. The purist M car folks say it’s not a true M car but no biggie for me. I came from a E46 M3 and love the M235i.
Congrats on the car. I’ll check it out. It’s a sweet ride.
Wow! Back in December of 2013 I bought the same car, except mine was the 2013 model – the one before the redesign. I thought about waiting for the new model then, but decided to pull the trigger. It sounds like I made the right choice. Wish you were having better luck with your Fit, it really is a great car. Like you said, hopefully in a year or two all the gremlins will be worked out of them. Long time reader here, thanks for all your great posts!
You mentioned that you leased a car. Why didn’t you buy a used car in cash outright? I often read that that is the most financially sound decision. (Sorry if you’ve written about this already.)
I go into detail through the linked article. Essentially the reasons are: my car is a business expense and I also don’t want to go through the hassle of selling a car anymore. When I was younger I love to buy and sell cars, now that I have more money and I’m older I can’t be bothered. Also, the residual value for my car is $12,600 which I can buy also, the residual value for my car is $12,600 which I can purchase outright.
I have to pay about $700 or for leasing the car over three years. But that extra cost is worth it to me for the option of adding back the keys or just buying the car. This type of car, the extra cost is really low. If I were buying a higher price point car I would’ve ironically just pay cash.
Bottom line: the older and wealthier you get, the more you value time over money.
I always wait out the first release of things like game consoles and Windows versions, but I never thought about cars that way. Thanks for the educational post. I’ll definitely take it into account the next time I’m looking for a new car.
Sam,
I’m going to nitpick because as a car geek, I feel compelled to point out that not ALL cars depreciate in value. Some modern used cars hold their value very well and others have begun to appreciate. This doesn’t happen frequently, but here are some examples of super cars you could pick up used that are within your budget: any air-cooled Porsche 911 coupe, Acura NSX, BMW 1M, and the S54-powered Z3 M coupe. You’ll spend on maintenance, but you can be reasonably confident your money won’t vanish over time.
Thanks for your in-depth blog posts. In my opinion this is the best personal finance website out there.
How do you go on dates with a Honda Fit?
This is a great comment. Can you elaborate? I’m working on a post about status symbols, financial freedom, and self esteem. Thx!
I’m trying to think of a politically correct answer. When I think of California or Hawaii I think of a nice BMW convertible, Cadillac with leather interior, porsche….etc. Honda Fit is economy….I’ll put it like this: a S250 pair of shoes are a waste of money but you might attract and marry a rich oil heiress….
Interesting. From your POV, the idea is to drive a car to attract a wealthy mate?
I would rather be wealthy already, and attract someone who has no idea I’m wealthy and finds out eventually over time. Money tends to convince others they are more attractive than they really are. It’s a much better challenge and end result to attract someone where money is OUT of the equation.
I have to say, what we are willing to spend on cars is ridiculous. Auto manufacturers have been brilliant in transforming the car from a form of transportation into the ultimate status symbol. For many, auto expenses (car payments, insurance, maintenance, gas) rivals their mortgage as their largest expense item.
That said, I started off buying new cars. And even though I’m sure I violated the 1/10 rule, I did keep them for 10 years, so I think it averaged out over time.
My most recent auto purchases were both used, second hand luxury cars, 2 to 3 years old. If you are buying lease returns through the dealer, most of them come factory refurbished with 100K warranties, so they tend to be in decent shape.
And in addition to the cost savings, when the car is gently used, it takes some of the worry out about every little thing. Especially with kids riding around in it all the time.
I think this will be the way I go again, but I’m not planning on buying another car again for a few more years.
Thanks.
I have a difference of opinion. My parents only owned second hand cars and it used to drain our finances. When I started working, I bought two new cars, in 2007 a Nissan X-Trail and in 2008 an Opel Corsa truck. Apart from the standard maintenance (admittedly the truck’s got annoying LHS globe burnout problem which is probably a factory fault), we haven’t had to do much on the cars. Last year was the first time I changed the brakes on the bakkie and this year the clutch on the X-Trail.
No hunting for spare parts, no forking out obscene amounts of money to spares shops and no scratching heads trying to figure out what is wrong with the car (my dad’s job, he did all the mechanical work). Parts are expensive and for older models, very, very hard to come by. Pirates parts are often bought instead.
The condition of the cars may have to do with the fact that most of our cars are manual gearboxes and a lot of people buy their drivers licence. Second hands are notorious, especially Golfs, BMWs, etc. You have to see these guys hammer their cars on the roads. Do you really want to buy that and keep forking?
No thank you.
You bought TWO new cars back to back? May I ask how much were you making in 2007 and 2008 and the cost of the cars?
If you are happy with your financial situation now, that’s all that matters. However, most people I know can’t afford your luxury.
I was making below market for an engineering grad student at the time (probably less than $800?) but hey, I was happy; I had my dream job and a nice kickstart to my savings in the way of a late bursary.
First car was maybe around $30000 and a combined effort between my parents and I. It’s the family car and we used my uncle’s old car to trade-in and our savings. I did pay my parents back for the portion they put in.
Second car was maybe around $8800 between my dad and I. He traded in his old car and I put in the rest from my savings which I’d accumulated in one year of working. (Told you we’re supersavers!)
We negotiated hard on the prices for both cars and got great discounts (around 15% off the advertised sale price) because we paid cash up front. And this was just before car prices became over-over-inflated.
The cars haven’t been a financial burden on us. Whatever was blown out of my savings, I put back in within 4 years and then some (and I wasn’t even investing at the time, just saving).
I’ll take the luxury of a new car that doesn’t break down in the middle of hijack central over a new phone/clothes, etc. any day!
I’m not happy with my financial situation, mostly because my job is no longer secure. I knew so little about finance and financial history, I thought 2008 was just a blip and the future would be better. I didn’t know about the dotcom bubble and all the other mini bubbles. I was an overly optimistic person and also overestimated our political and economical climate.
If I’d known then what I knew now, I would’ve invested like crazy (instead of starting in late 2011) and I probably would’ve reached FIREFUM by now even with the cars and three overseas holidays (two for my parents and one for myself). But hindsight is 20/20.
I also forgot to mention the envy I attracted at work. Everyone assumed I was being showered with money, when in fact I was smart budgeting and cutting corners.
The cost of living has since tripled so it’s unlikely I will be doing that again.
Well now, it seems I’m quite a naughty, wasteful person. I buy new cars and will keep buying new cars. Yay new cars! Specifically, Toyotas made in Japan. I don’t give a shit about first year design etc, but appreciate folks who enjoy that stuff – just ain’t my thing. I used to drive a lot for my job, so made a point of trying out a bunch of cars and test driving them in all kinds of conditions. And, after all that testing, went for Toyotas made in Japan and have been as happy as, well, happy as a guy in a great car.
I grew up driving junkers and had my fair share of zen time sitting in a freezing car in the middle of nowhere in a Pacific Northwest winter storm waiting for the cavalry. Used to keep blankets and water in the back just in case. Never again. Will never forget the day my dad left our old 70s Ford station wagon to warm up for a few minutes and, after idling for a while, it decided “D” for Drive was sexier than “P” for Park – and that old paneled pile of metal drove itself across the street and through our neighbor’s fence. Thankfully, people weren’t so litigious back then. :-)
I bought a 2004 Toyota Tundra new with the off road package etc….mmmmhmmm, yessir, what a truck. Drove it everywhere for 10 years without a single problem and sold it for about half of what I originally paid for it to a guy who almost had tears I his eyes cuz he was so happy to get a beautiful truck with 10 yrs of maintenence records.
I 2010, bought a new Toyota Highlander and still love it. It’s had what, 1? 2? recalls over the years, but I don’t remember what the recall was about and didn’t bother me because I just took care of it with regular maintenance and drove a loaner car while they did the work – no waiting.
Anyhoo, ya, I get that I could save some cash by buying used cars. But I don’t care. My enjoyment of certain new cars and the new car experience…the virgin leather and sweet knowledge that no former owner’s teenager came home and said, like my teen daughter once said, “Hey dad, I can’t get mom’s car to drift”….ya, I’ll pay extra for a new car and I’ll like it. Oh, and I hope none of you used car driversavers are sipping a glass of wine while you read this, cuz that’s a waste of money. Water! Drink your water. It’s free. ;-)
lol :D . great comment! Couldn’t agree more!
My wife owns a VW Jetta TDI, it was the first model year the car came out. Thats the infamous diesel that has brought VW to its knees in terms of investor and consumer lawsuits. I am hoping for a buyback from VW. Don’t think I will ever buy another VW again, their near term future in the US is uncertain at best. Also I think its a total sham that they willfully cheated US emissions and the US consumer. (My wife and I thought we were doing something that could help save the planet not pollute like an 18 wheeler). So much for trust of large corporate entities. We will see how it all ends up.
Saving the planet is buying a hybrid or electric and DEMOLISHING your old car. Because if you don’t take your old car off the road, you are now helping contribute to double exhaust, consumption, and traffic! Even better, just take the bus :)
I got a free electric car and I love it. I went from a Sequoia Limited 4wd to a VW e-golf. 7500 fed tax credit passed through on lease, 2500 rebate check used as a down. Leased through my business so business write off 30-40%. Lease pmt is 169 month and I am saving 250 month in fuel costs. My electric bill also went down 80/ month due to EV rates. It’s actually cash flow positive. Also hov sticker.
We’ll I remember my first car, which happened to be a 1st year car. It was a 2001 Ford Escape 4WD for those Chicago Winters. My prior vehicle to this was a 2004 April Moped. That bad boy was sweet at over 70 miles to the gallon!. That was back in IRL. Anyway, my 1st year ford Escape started off well but the problems soon emerged. After I relocated to Miami, and still had the Escape the problems continued. The amount of time I spent trying to get my car fixed was a joke. The service in Miami was sub par to say the least. I off loaded that car and moved onto a New Toyota 4 Runner. Never had any problems. It was a great Vehicle. Slainte.
Correction, 1996 Aprilla.
I have only bought 1 new car which after the lease was up bought out right then drove into the ground. All other cars that I have gotten are useed with 30-40K miles on them including my 1948 Lincoln Continental.
Hey Sam,
I definitely agree, new cars are some of the most overpriced things out there. You can see that in action with how much they’re worth as soon as you drive it out of the dealership.
Luckily we (as a couple) only have 1 car which we bought second hand and we plan to hold for 10+ years. We only have 1 car because I use public transport to get to & from work.
Tristan
Good post. I have never owned a new car and the last three were between 1-4 yrs old. Have a friend who keeps an eye out for cars coming off lease. Sounds crazy but he swears by it since leased cars (BMW in my case) have scheduled maintenance as part of the pkg. So all the service records are there. So one cars ago I was able to get a 2004 M3 (in 2008) for $30.5K. 40K miles. Very nice car that I drove for 7 yrs and traded for $13K (see below).
I didn’t follow your 1/10th rule this time and bought 2014 M235i that had depreciated 20% (9K miles). More money than most would spend on a car but it comes with maint and warranty. 0-60 in 4.9 secs will put a smile on your face. It helps “ease” my M-F commute (Seattle WA traffic–eek!).
0 to 60 in 4.9! Not on the 405 or the 520 or I -5 north or south! A washington eastsider here. I have no idea how you do it! A great place to visit but could never handle the traffic
Yea, 3rd worst traffic in the U.S. now. For commutes it 0-20…Lol. You in Spokane?
4.9 seconds? My grandma’s 81 Chevette will do that! Lol, just teasing…I understand what you are saying since I can’t imagine giving up my straight out of the factory ride used car that does 0-60 in 2.7 sec, you can feel your brain compressing to the back of your head when you floor it : )
I completely agree, as a practicing engineer, on buying the 2nd model year. We don’t always get it right out of the box!
From my experience in the business, the dealers don’t necessarily want a brand or model that has a lot of recall or service campaigns since the manufacturer makes it incredibly difficult to fix within the amount of time they reimburse at. Plus, it just degrades the overall brand and makes futures sales that more difficult (new or repeat). No body gains from disgruntled customers other than the competitor.
In general, they’d prefer the occasional ‘fluke’ issue that is covered by warranty and isn’t timed down to the nano second by the manufacturer. They can bill the time needed to fix it and look like a hero to the owner.
The ideal car for a dealer is one that needs steady, continuous maintenance (frequent synthetic oil changes, brake fluid, etc) billed at THEIR OWN rates, that brings in the customer multiple times for other possible upcharges (new tires, brakes, wipers, car cover, license plate holder, matching gloves!, etc). Plus if the parts are proprietary, its a win-win for the dealer and manufacturer; lose-lose for the customer, independent mechanic, and local Pep Boys or NAPA.
Sam,
Totally agree but want to point something out to you as well about this particular vehicle. I was shopping for a Fit myself and decided on the 2013. The 2013 was the last year of the 2nd gen Fit and also was manufactured in Japan. Your 2015 model while a bit “snazzier” was most likely manufactured at the new Honda plant in Mexico. Not only a new gen but a new plant as well.
I found this out during my research of Fits and decided against a 2015. I picked up a 2013 Sport with 40k miles last month for 12k and saved 7k in depreciation from sticker. Hopefully this Fit has the longevity that my Accord had.
Cheers.
I’d love to get your insight (or a future post) on whether it is economical or in some other way beneficial to have a “beater” car. My dad gave me his 04 Civic with only 90k miles on it. I use it to daily commuting – about 60 miles round trip and drive my 09 C-300 Benz once a week. I’m still planning to pay him maybe 2-3k for the car cause I feel bad he just gave it to me.
At what point is it worth it for me to keep this Civic considering incremental cost of insurance, wear and tear each year. Yet still there is the benefit of regular VS premium gas and better gas mileage. Any thoughts?