Keep used or buy new?
Should I keep my 2017 Toyota Corolla LE or buy a 2026 Toyota RAV4 Limited?
- current car: paid 100% in cash; cheap insurance; have had for 6 years; no major repairs
- new car: ~$50k. Could pay in cash or finance partially for 1-2 years to keep more $ in my savings/investment accounts; plan to keep 10+ years
- usually drive inter-city for ~30 minutes in the car 4-5 days a week but spend several hours driving on interstate/highway on most weekends due to family, friends, traveling, etc. The RAV4 cargo space and interior comfort is a huge upgrade for me.
- financial situation….
- 30 years old
- at the start of my career. $200k salary
- significant student loan debt. on a 10-year repayment plan
- renting currently. planning to buy a home potentially but wouldn’t be for another 1-2 years from now
- Have $ in investments and retirement accounts that I won’t touch
- would spend about half of my savings account to purchase this new without financing
- planned to give current car to my dad to upgrade from his 2005 Toyota
Lay it on me.
u/Educational_Cow_6504 — 4 days ago