Overhaulin'

Should I get a new car or a used one? What car would you suggest?

I'm a 25 yr old graduate student in need of a reliable car. I want to have good gas milage (at least upper 20s) and lots of room. Of the new cars I like the functionality and reliability of the Honda Element, but think it sucks too much gas. I am thinking more along the lines of the Toyota Prius or Matrix. Maybe a Honda Civic hybrid. As you can tell, if I got a used car it would probably be either a Honda or Toyota. However, I will listen to ANY suggestions! I have around $23K to spend.

Public Comments

1. tell how much money you have first then ill answer again
2. The biggest cost of a car is the depreciation factor. Most vehicles depreciate by 33% after just two years. After that they deprectiate at about 10% per year. (Different models vary). So, if you want to get the best deal, buy a car that has 24,000 miles or less on it and it only two years old. Hybrid cars are not worth the money right now. They depreciate faster than normal cars because of the rapid changes in technology (everyone wants the latest). If you price out the cost of gas for the miles you'll drive you'll see that the hybrids don't save you anything unless you drive a ton of miles (20K-30K miles per year).
3. It depends on what you are looking for. $23,000 buys a pretty decent new car. You can get a Hyundai Sonata LX, a Honda Accord EX (if you bargain hard), or the last of the 2006 Camrys. I would also look into a Prius, but those are typically going at sticker right now and it will be hard to find deals. If you are willing to buy used, I am going to suggest getting a Certified Pre Owned Infiniti I35- it is a roomy, comfortable car, gets decent mileage for its size and engine (255 horsepower with 25ish MPG) and you get the nice dealer service that goes with owning an Infiniti. For $23,000, if you want and/or need a small SUV, a Toyota RAV4 would be an excellent choice for your money.