My Mache is down to 32%

[DennisD]

Depreciation in first 2 years was $6000. Since 1/1/23 it dropped $19000+ . Normal depreciation and you keep the car . THIS big of a hit and you RUN AWAY .
IF I totaled that car in a few months I would've received a payout that was less than the remaining payments due because of "fair value" Id have no car and still need to pony up cash to get out of that ride/loan .
I basically"converted" my loan to a 3 years lease and dumped the car at the end of the 3 years .
No money due on the old one and no money down on the new GT .

If you are happy with the math, that is all that counts.

You lost your "ass" on a 21 MME and you diverted what was left of your money into another newer MME.

Most of us are in the same boat but if you are fine sinking more money into another known depreciating asset, go for it.

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[DennisD]

I don't keep a lot of cash on hand, but I work at LRCX and now have a lot of stock I can liquidate if needed. I think the lucky part was getting a car loan at 2% right before rates took off.

I usually keep a little of my money in a money market for emergencies.

The 08 stock drop did hurt and I don't take anything for granted going forward.

Would you be better off on average to borrow money with interest low? More times than not, yes. I place a large portion of money into stocks on a monthly basis and the little cash that I used to purchase the MME does not cause me to lose sleep. I sleep well in knowing if the stock fell off the face of this Earth, I would not go hungry anytime too soon.

 

[AngryMan]

Title of the thread is "my Mach is down to 32%"
MY Mach was down 56% and losing $1200 a month on average in the last year plus.
Further drop in March and Id be upside down. Ive never been anywhere near upside down on any of the vehicles Ive purchased prior .
Since I bought $11000 under MSRP I'll never be upside down on the GT . Ill never have the chance to buy a GT for $42000 again .Thats a fact I think we can all agree on

 

[NewGuy]

You paid 50k for a rwd select?? After all the discounts/rebates I was OTD for like 35k for a 21 rwd select with California tax lol. Taxes and rebates don’t count towards your car value btw.

This was my question too. I have a 22 AWD Premium Extended range. I think MSRP was like $57k or so. Ford had $6500 in incentives, the feds paid for $7500 of it. I only paid about $43,500.

 

[Harwick]

The resale value on these cars has dropped like nothing I've owned in the past. I purchased a '21 Premium AWD Ext with 20K miles, in June of last year for $40K. As of today Carvana says they'll only give me $28K.

Looking at price history: 2021 $56K MSRP > 2023 Dealer Retail ~$40K > 2024 Dealer Retail ~$32K

I hate this car and would love to get rid of it, but I'm stuck for the time being since I'm underwater. I hope to god that the depreciation finally levels off this year.

 

[kkgg]

I saw my local dealer has a GT for 50k. So went there to check tradein value for my "22 premium AWD ext" trade in. They quoted 27k(I bought it for 57k, I got the 7.5k refund)

I felt sick and came back

 

[intoMME]

If money matters to you, keep the car until it completely fails. Average cost of owning a car is 44 cents per mile. If I accept that, my $55K Mach E needs to last 125,000 miles. My dealer contacted me about the great deals on their new inventory, since my Ford Options contract ends in July. Sure, I would love a GT at $8100 off MSRP, and 0% financing. The dealer said I could probably get the same monthly payment, but I'd still be paying about $35,000 more for the GT than I would to just keep my car. If you don't care about money, just get the new car. If you are smart with money, keep yours until the doors fall off. Nobody knows yet how long they will last, but it is cheaper to keep her.

 

[Otto klub]

Average cost of owning a car is 44 cents per mile.

Where do you get that from? Must be a California thing.

 

[DennisD]

Where do you get that from? Must be a California thing.

I would assume this source. Yes, I believe California has the ability to search the Internet.

https://data.bts.gov/stories/s/Tran...=2022 Year-in-Review,2020 – at $0.44 per mile.

 

[Otto klub]

I would assume this source. Yes, I believe California has the ability to search the Internet.

https://data.bts.gov/stories/s/Transportation-Economic-Trends-Transportation-Spen/bzt6-t8cd/#:~:text=2022 Year-in-Review,2020 – at $0.44 per mile.

Hey thanks for the link. But, I don't buy it. Maybe east and west coasts. Maybe folks that trade their caddy ever two years. But 44 cents seems very high for an average.
I have a 2018 F 150 with 103k miles, I bought new Oct. 2017. Cost of truck, ins, fuel, maint, everything I have bought for it. Clear down to wiper blades and a tail light bulb. I've got receipts in a folder. Yea I'm that bad. So far, that 103k miles has cost me just over twenty cents per mile.

 

[DennisD]

Hey thanks for the link. But, I don't buy it. Maybe east and west coasts. Maybe folks that trade their caddy ever two years. But 44 cents seems very high for an average.
I have a 2018 F 150 with 103k miles, I bought new Oct. 2017. Cost of truck, ins, fuel, maint, everything I have bought for it. Clear down to wiper blades and a tail light bulb. I've got receipts in a folder. Yea I'm that bad. So far, that 103k miles has cost me just over twenty cents per mile.

That is why it is called an "average".

For you, not so much but if we count everyone in the USA, the average is around 44 cents per the stats.

 

[zvez]

Near where I live dealers essentially never offer a fair price for a trade in, even when taking the small sales tax advantage into account. I always sell privately, even though I hate that.

At the least I go to some of the online buyers like carmaxx driveway and get an offer so at least when you go to the dealer to negotiate you can show them the offer it will almost certainly be more than the dealer offers.

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