Answers

Ask Questions Answer Questions Browse Questions

Search for questions:

My Answers Profile

Question

Question Details

Asked: Sep 13, 2008 - 09:32 AM

Status: Closed

I am in the US for 18 months. Should I buy a new or pre-owned car knowing I will have to sell it in 18 months?

I am interested in buying a Toyota corolla or Yaris. My budget is very limited. I just want to make sure I will not loose money after 18 months trying to resell it.

In Buying & Selling > Car Values > Trade-In Values
3 answers - 254 days ago

Answer this Question

Watch this Question | Email to a Friend

Note: Per our Visitor Agreement, Edmunds.com does not guarantee the accuracy of any answers. We recommend that you use common sense when following any advice found here.

Answers

avatar

steve_

Date: Sep 13, 2008
Time: 12:49 PM

You are unlikely to break even either way but I think you'll have a better chance of saving money buying an older car with a good reputation.

Check the True Cost to Own tool to get some idea of what your car ownership costs will be. It covers new cars and used ones back to 2003.

If you are moving to a large city and don't plan to use a car for commuting, there are some car sharing programs that you may qualify for. Zipcar is probably the biggest one.

Source: 

avatar

karjunkie

Date: Sep 13, 2008
Time: 12:53 PM

The only way to be sure you don't lose money on a resale, is to lease a new car for the shortest period of time, typically 24 months, and return the vehicle early and pay the penalty. In the worst case, your cost is the down payment and the 24 monthly payments. I personally would buy a used 3 yr old car and resell it after 18 months. You most likely will "lose" the smallest amount of money as a car depreciates the most in the first 3 years. I would go with a used 2005 Corolla as it is easy to find and easy to sell. Carmax says they will buy your car for a fair price so you can easily get a bid for the car from them in the worst case. A long term rental would not be an option as it would be the most expensive alternative.

avatar

motorstreet

Date: Mar 14, 2009
Time: 10:34 PM

The Corolla and Yaris don't hold their value well at all and aren't good to drive or use. You should look for a used Scion xB, it's much nicer to use and drive. The xB also hold it's value well. In 18 months you should be able to sell it for about what you bought it for unless you put a lot of miles on it. A lease or ZIPCAR program would be another good option, but you are hold responsible for any damage, whereas owning the car you can do whatever you want with it.

Answer this Question

View More

Top Car Values Trade-In Values Experts

Rank Leader Points
1. mr_shiftright 310
2. karjunkie 220
3. steve_ 180
4. morin2 90
5. coldcranker 65
6. boomchek 60
7. greanpea68 45

Edmunds Newsletter

  • Subscribe to the Edmunds Automotive Network Newsletter and enter the $500 Gas Card Sweepstakes. Sign up now and enter for your chance to win a $500 Gas Card! Official Rules