Should I sell my car for an older, cheaper one?

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Expensive_Plant_9530@reddit

Without knowing the rest of your financial situation (Income coming in, whether there's the possibility of working OT or getting a second job, etc, vs a list of expenses), there's no clear answer to this.

It's probably not worth it, certainly in the long run. Any car you could replace a 2020 Accord with, and end up saving a lot of money on the purchase price, would inevitably end up being significantly worse, have more wear and tear on it, and likely end up costing you quite substantially in repairs and maintenance.

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Opening_AI@reddit

You must be on crack....lol.

Seriously, its paid off. You know the car, why would you sell it?

Buying used is buying other people's problems. The difference would come out when you run into problems buying a used older car. You should realize that parts/labor are expensive these days.

You have a great car that should last you at least another 10-20 years if you keep up with the maintenance (even if you buy an old beater).

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skeeter04@reddit

Absolutely not. you’ve got a low cost of ownership car with a high resale value and it’s paid off any other decision it’s likely to result in less financial benefits

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Lonely_Baby7264@reddit

Yeah this economy sucks. If you get another Honda/Toyota it won’t matter as much if you downgrade year wise. How old were you thinking?

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ruinedRX7@reddit

my daily's over the past 3 years:
84 bmw 528i 5spd
95 bmw 325i 5spd
09 bmw 128i 6spd

what do you mean by older? early 2000's low mile toyota's or honda's will make it to 300k at least. you can probably find a highly optioned out avalon with under 100k miles for like $10k or less and enjoy luxury

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Team-ING@reddit

Howmuch

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glade_air_freshner@reddit

Selling a newer, paid off car should only be done in emergency situations. Like, you need to cough up a bunch of money NOW, or there will be dire consequences. You have a new, paid off, reliable car that will last you another 10+ years. Hold onto it.

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111meatman@reddit (OP)

That makes sense, it isn't an emergency situation so I decided holding onto my current car would be better in the long run.

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JCDU@reddit

You know your car, as long as you keep it maintained you will likely not find a better more trustworthy car than the one you know the history of, and it should cost you very little over the next few years to keep it going.

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Purithian@reddit

This for sure. I'm still driving a 2002, but that's only because I know what's been done to it and what may go wrong in the future.

Buying a used car is like buying a mystery box in cod zombies. Might get the raygun, but you might get the teddy lol

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kzx600@reddit

I needed to hear that. I absolutely hate paying off my new car. But I've never had any luck used. Every single one ate oil

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aa278666@reddit

Do not sell a paid off car.

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Demeter_Crusher@reddit

Since its neither new nor luxury, likely not, unless you don't actually need a car, in which case it night be a luxury.

You'd have to leverage the money you'd get from the car to make it worthwhile - eg preventing repossession of your house or clearing expensive debt.

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KeeganY_SR-UVB76@reddit

Not worth it. The car is a known quantity, it's paid off, you know how it's been treated. Buying a used car is not a good idea unless you have money to throw at it since you can't know everything.

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clever_wolf77@reddit

This.

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megasmash@reddit

The devil you know is better than the devil you don’t know.

Yeah you might be able to sell your car for $20k, buy a beater for $2k and pocket $18k.

Or your $2k beater could wind up nickle and diming you $10k over the next 3 years, not to mention the cost of tow trucks, rental cars, inconvenience…

There’s also the safety aspect - whether you feel comfortable putting your family into an older vehicle with less safety features than your current one.

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Fancy_Chip_5620@reddit

My 15 year old bmw hasn't cost 10k in the 5 years I've for maintained it... And it has 257k miles

It only ever saw a tow truck once when the alternator gave out but that was in 2019

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sllewgh@reddit

And that's assuming you place no value at all on comfort, convenience, or driving experience.

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Turbulent-Pay1150@reddit

Or the beater could cost you 30k in the next 5 years - not unheard of (probably 2-3 beaters but each one with issues).

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Psyko_sissy23@reddit

In most scenarios, that would be a bad idea. Your car is paid off. I'm assuming it's pretty reliable. Why would you chance the reliability of an older cheaper car. What if you buy it, but it breaks down and now you gotta fork out more money to fix it.

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do2g@reddit

Pick up some extra jobs - would be better than trading down for a blind box.

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Sauceman9000@reddit

Hear me out.... Modern cars in 2020 & beyond most likely have something in it that collects data on you without your consent. Decide what you will with that going forward. Tesla is the worst in this regard.

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Fancy_Chip_5620@reddit

Wouldn't be the worst decision ever but still Not worth it...

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sushpep@reddit

If a one time gain of 10k won't move the needle much, then Id probably keep what you have unless you absolutely do not need the car.

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SignalAlbatross4326@reddit

Is it a 2.0T?

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111meatman@reddit (OP)

Yes

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SignalAlbatross4326@reddit

If it doesn’t have a ton of miles, you might be able to get close to what you paid for it. You could buy a 15-20 year old under 100k miles thoroughly inspected Civic or Corolla for around $7-8K. If it’s a manual, even better. Be willing to spend another $5K as needed, and you could pocket around 12-15K. Insurance should be cheaper also.

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davidwal83@reddit

If it's reliable why don't you do some dashing, instacart.If the vehicle is a four door, Uber or Lyft.

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111meatman@reddit (OP)

Is Uber/Lyft any easier than food delivery? I considered trying it since running around grabbing food is difficult due to mild physical difficulties that I have. I imagine not having to get out of my car while driving would be easier.

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MtnMaiden@reddit

Short term thinking

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111meatman@reddit (OP)

You're right about that.

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Hot_Block_9675@reddit

Take your car - an asset - and put it to work. Uber is an easy and quick way to make extra money fast.

As others have said, don't sell it. It will be a disaster.

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111meatman@reddit (OP)

I tried doordash but it does tire me out after 4 hours and I make about $50 after gas expenses and it doesn't feel like it's worth it, not sure if Uber/Lyft would be any different.

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cmiovino@reddit

It's a Honda, paid off, and as long as you take care of it, it's going to run for a long time. If you sell, you're making a shorter term financial gain and replacing it with something that's \~$5k (because very little $2k beaters are around anymore), then having to deal with repairs, major maintenance, etc. Plus just the unknown.

All depends what you need the car for though. If it's getting to work to make income, keep the reliable car. If you work remote and it's sitting around and only used to get groceries, then maybe there's some remote reason to sell it.

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Hsensei@reddit

No.

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Psychosis99@reddit

Bad idea. It was purchased new. Its paid off. You know it hasn't been abused. You are gambling on the condition of a lesser quality car just to pocket a few bucks. The money you gain will most certainly be spent on repairs of the vehicle you buy. And all used cars need some kind of repair.

There are other ways to make more money.

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precocious_necrosis@reddit

Probably not worth it. The best financial option would be to sell it and live without a car at all. That gives you a cash windfall now and reduces your ongoing expenses in the long term.

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ethnicman1971@reddit

You may save some cash but the time lost taking public transport or walking is a cost as well. I lived in NYC and didn’t have a car. Sometimes it was fine just around the neighborhood or taking mass transit to work but then when I spent 2 hours traveling somewhere when I could go in 20 minutes by car and then I compared it with what my time was worth

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Mysterious_Ad7461@reddit

Most Americans aren’t living without a car.

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Striking-Quarter293@reddit

100% not worth it. An older car will have issues popping up when a new car is still good to go.

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subfreq111@reddit

No way, your equity will evaporate and you'll be left with a less reliable vehicle and still have money problems. Keep the car, fix the money problems elsewhere.

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BookFew9009@reddit

Some questions to ask yourself . Do you need a car ? If yes then keep what you got . If no , sell and pay down debt . If you do sell will family and friends want some of the cash from the sale ? Easier to say no to borrowing car than guilted into “ lending “ some cash . As for cheaper used , really ? Are you that uninformed about cars ? Keep what you got and figure out other ways to provide .

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Boomdarts@reddit

I would say go for it under one condition that condition. Being that you know you haven't kept maintenance up on the car and anytime now it's going to blow which isn't immediately apparent. But you know it deep down in your heart that the car won't last much longer

If that scenario fits you then yes, sell the thing and get yourself something from the '90s. All of those cars seem to run pretty dang good. The ones that don't run anymore aren't for sale

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6786_007@reddit

I think you're better off asking people in /r/personalfinance to help you out. I don't think selling a good working car is a good move.

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Severe-Present2849@reddit

I always recommend driving 10 years or older cars.

Test the waters, see what price other people are getting for the same year and mileage.

Buy a 10 year old Lexus and it'll feel like an upgrade.

But ultimately, it's paid off, it doesn't cost you anything, so no need to be desperate.

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BlusteryIllusions@reddit

Unless you can source a car from someone you know or you are very mechanically inclined, no. Even good appearing cars can have issues and it's not worth it. Labor is high, depending on the year, the parts may be hard to find, etc.

If you don't drive everyday, considering putting the car on turo a few times a week to bring in extra money. Or do gig work. I agree with others in seeing a financial advisor.

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MarkVII88@reddit

What kind of financial hardship are we talking about here. You are keen to say "support myself and my family" and that makes me think this is more of an extended family type of situation. Like your mother, father, siblings, and grandparents have fallen on hard times, and it's somehow your responsibility as a single person with a paid off car to sacrifice so you can give them some money. If that's the case, then I'd say absolutely "Hell No!"

I'm not picking up on a "supporting my wife and kids" kind of family vibe here.

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retrobimmers@reddit

Do you like to fix cars?

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jcquik@reddit

I had a similar situation and worked with my credit union to take out a small, low rate loan with the car as collateral. Have me the boost financially to get through without losing my trusty Honda that got great mpg

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Rotor4@reddit

I tend to agree with KeeganY but there's always options with transport walking being one. If time's are tough your immediate family comes first.

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squirrel8296@reddit

That should be your absolute last ditch effort. You will not get enough money to make it worth it and to get anything that would be somewhat decent will cost almost close to what you would get as a trade in.

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Talentless_Cooking@reddit

Normally, I would say no, but in this case, I would say yes. The biggest reason is there is a depreciation curve to this car that will start to fall quickly and soon, whereas the civic has a more gradual sloping depreciation. Sell it in a private sale to get the most money, then buy about a 10 year old accord at a massive discount, and it will still be very reliable and good on gas.

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SalamanderNo3872@reddit

Not if the car is paid off.. makes no sense

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bullgod1964@reddit

No a good reliable car gets you to work to make money. Used car prices are high so you will overpay for a much worse car that could put your job at risk. That said it depends on if you can rely op public transportation. Where I live that is not an option

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Shadowcard4@reddit

You have a good cat, it is paid off. Keep driving it. Cheaper cars are generally only good if you do your own work as that’s why they’re cheaper.

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Crazy-Airport-8215@reddit

This sounds like a problem for r/personalfinance, not r/askcarguys lol. I recommend that sub, but bring specific numbers or nobody can give you advice specific to your situation.

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Northern_Blitz@reddit

The thing to do is keep that car for at least another 10 years IMO.

Buying a new car (I'm assuming) probably wasn't the best call if you were having trouble then too.

If you had big payments on it, I'd be for selling it. But since it's paid off, I'd try other things first. And ride with this care until it dies (which will be a long time from now).

If the choice is selling this car or living on the street. I sell the car. And then I go work my ass off to do what I can to be making more money before I spend through cash I make on the sale.

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Anachronism--@reddit

In addition to the reasons already stated changing cars has a lot of costs. You probably paid $1000 or more in sales tax on the accord you won’t get back. A replacement car will have title and registration fees and if you buy from a dealer you are going to have to pay more fees (if you buy private you will pay more sales tax in most states) For a cheaper car you are probably going to want to have a mechanic inspect it, another cost.

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Alcarain@reddit

Take care of that car, and it'll still run in 20 years.

Japanese sedans are some of the cheapest vehicles to maintain.

I'd start looking into cost cutting in other areas or possibly working more.

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Old_Confidence3290@reddit

Unless you are capable of repairing the older, cheaper car by yourself, keep your current car.

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Routine_Cellist_3683@reddit

If you need the car to make money for you, get a gig with Uber or Lyft using your reliable car.

You are the original owner of a 2020 Honda. What could be more predictable? Buying a used car is a gamble and may need repairs immediately. Not for the faint of heart or financial instability.

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Kev50027@reddit

It usually isn't worth it, because you would be realizing a huge loss in your current car, so you wouldn't get nearly what you paid for it. Also, you know your current car and it's always a risk to buy a different car when you may not know all of the issues it has.

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headedtothetrash123@reddit

I'm going to give you a different opinion than the rest. Depending on the trim level and miles, it's a $20k car. Assuming you use $10k on an older car, that other $10k could go a long ways to paying off a credit card or medical bill that would free up extra cash every month.

I drive a 09 Chevy Malibu and I've fixed it and kept it running and it's got 430k miles and still going. Do some research on what cars are typically very reliable as they age. And if you're ok doing maintenance and repairs yourself, cashing in an asset that will only be worth less and less every year could be a good way to free up some much needed cash.

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Nappy_Ty@reddit

you have a paid off honda. keep that shit. it’s going to last you a long time

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vmsucks@reddit

If you have a decent scanner, diagnostic tools and are able to do most of your own mechanical work, definitely. But if you can't figure out an electronic fault or mechanical issue, an older vehicle that's after the 2010s can cost a fortune if you have to pay someone when issues happen.

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Bat_Foy@reddit

what makes an obd scanner good or bad? from what i understand is that they just tell you the code and an option to clear it if possible, right?

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vmsucks@reddit

It has to be able to read manufacturer specific modules and codes, along with 2 way communication to activate desired components for testing or maintenance.

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Trogasarus@reddit

That would just be a code reader. Some will show you emission monitors and if theyre set/ready.

The next step would be one that can see body and abs faults, they usually are fast enough for live data. Then followed by a bi-directional scan tool, which allows you to control things, like headlights, windows and other items controlled by a module.

They are all limited by software, but OBD2 is a standard for automotive.

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Aggressive-Bath-1906@reddit

Not worth it.

I own two cars, a 2024 car, and a 2008 SUV. I spend WAY more money maintaining the 2008 than I do the new car, and I take pretty good care of both cars. No matter how well a car is cared for, things wear out over time, things break, etc., and will have to be repaired/replaced. If you’re trying to save money, this is not the way.

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amazinghl@reddit

You need to fix the income problem.

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Restomodded@reddit

Ive drive a lot of newer cars wether it be customer cars or cars ive bought to resell and im totally happy with my old silverado with 400k miles. Sure the features of new cars are nice but honestly its just a car. If it gets you from point a to point b youre good. You could always get a like a 2010 accord for a fraction of the price. You wont lose any money because they have a strong retail but a newer one will definitely depreciate faster and at a higher rate.

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tmoney645@reddit

If you own the car free and clear, don't do it. Buying a cheaper car is a bit of a gamble, and you could end up with thousands in repair bills if you get unlucky.

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GeckoDeLimon@reddit

You know what your family DOESN'T have right now? Car problems.

You can get where you need to be. Don't invite more trouble.

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TheMadDrake@reddit

Not worth it, as others have mentioned you have a car thats paid off and reliable. Selling and buying a cheaper car would give you a little on hand cash. But it's opening Pandora's box with whatever a used unbeknownst to you car could have. Which can include expensive repairs/ being stuck somewhere costing you additional time.

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D4ydream3r@reddit

Unless you’re in an emergency situation, super bad idea. Your vehicle is paid off and has no known issues or in need of any major repairs.

You might be better off moving down to a lower coverage car insurance policy and cheaper utilities to free up as much income as possible instead.

This car will get you there and back and if you’re in a poor financial situation, the most detrimental thing that can happen to you is not making to your destination because of old car issues.

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Loud_Produce4347@reddit

Not unless you anticipate being much more financially secure in 3-5 years (and even in that case it might be better to take a loan out on the vehicle if you need short term cash), or you are driving very little. You are pretty much in the sweet spot for $/reliable miles of life left.

KBB example: a base 2020 accord with 60k miles is $19100 private party.

A base 2012 with 180k miles is $6140.

Even ignoring the expenses associated with buying and selling a car, you’d essentially just be trading a little more than 2/3 of the remaining reliable life of the vehicle for 2/3 of it’s value.

(yes, I know hondas can last 240k+ miles, but even if they are well maintained any vehicle will start to need expensive maintenance at that point, and there is no guarantee the previous owner of the hypothetical 2012 did maintain it well)

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rampas_inhumanas@reddit

If it was a Lexus or something, the answer would be yes.. But it's not. Keep your car, keep up with oil changes, enjoy not having expensive repairs.

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ThirdSunRising@reddit

A reliable car that’s paid for and has plenty of life left in it, is already as good as it gets financially. Keep driving.

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jibaro1953@reddit

Very much this.

I hate car payments.

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jibaro1953@reddit

A reliable car is a huge asset. Yours is paid for, newer, and has a ,ot of miles left in it.

Unless you want to sell the car yourself, you'll be getting paid wholesale for the one you have and paying retail for the one you want.

So now you've got an eight year old car and a small fistful of money. Then you find out you need four tires and all new brakes.

So you do that for $2,000+ and buy a bunch of groceries, and you're back where you started, but with a car that's twice as old.

You need to either increase your income, lower your debt, or a combination of the two.

Forget about any extravagant spending until your finances are stable.

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FlyingDutchman9977@reddit

It sounds more like you should talk to a financial advisor. It seems like this decision goes beyond just what car is right for you. The real question is "can whatever money you get from downgrading the car, fix your issues".

Let's say you make a net of 10k on the sale, is that going to make any long term changes on your financial situation? If it's a matter of you income not meeting expenses, then eventually, you'll spend the money and be in the same position. If it's a debt issue, it might make a difference, but you ultimately have to crunch the numbers and see if that's worth it to you. Also, worth asking if you'll be able to forgo taking on more debt in the future.

Also, keep in mind that you'd get cash up front, and that creates flexibility short term, but if you have a car that's still under warranty and paid off replacing it with a car that doesn't, that creates expenses, mainly extra repairs. Also, the older car is going to need to be replaced sooner. Down the line, are you going to prepared for that?

There are a lot of variables to consider, and if we're all be honest, strangers on the internet aren't the best people to solve your problems.

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