Why is maintenance worth it ?

The average annual cost of maintaining a car is $900.00 per year. High-end luxury or performance cars can average as much as $1800.00, yet that's quite a bargain when compared to replacement costs. Regular maintenance extends the service value of your car.

Well-maintained cars are a pleasure to drive no matter how old they are. And it's comforting to know that questionable parts of the car have been repaired or addressed. Even if you don't fix everything that breaks or wears out, at least you know where it stands!

If cars depreciate so fast, what's their real value?

Let's face it. All cars are a bad investment. They don't increase in value like a house, in fact a car that started out as a $30,000 or $40,000 purchase is worth only $5,000 to $8,000 after ten years. But if your car is well-maintained, it still has tremendous value to you even though it may have little "book value".

"The real value of a car comes in its longevity, its ability to outlast the payment schedule and continue to perform well for you." - Norris

What is dependability worth?

In reality, that seemingly used-up older car still has many functional systems. Not all of the systems need repairs. In fact, some of those expensive parts will NEVER need to be replaced.

Maintenance pays. I never hesitate to spend money for regular maintenance and repairs on my car because I know I am really SAVING money. It feels good to know that if I decide to drive back home to see the family or go on a long trip my trusty steed will get me there and back without a worry. Remember, even new cars can and do break down. Why waste money on car payments until you have to?

Not convinced? Let's do the math.

Say that if a 10 year-old car worth $5,000 goes to the shop for service and ends up needing $2,500 worth of repairs, it doesn't seem like a good investment—until you examine what that car is worth TO YOU and not what the "book value" says it's worth to someone ELSE.

You could take that same $2,500 and apply it to the purchase of a new or slightly-used car only to discover that it costs the same amount JUST to pay for taxes and license plates. The smart thing would be to apply that $2,500 to maintenance that allows your car to last another 2 years! You have a well-maintained, known vehicle to depend on AND you just saved a LOT of money.

then the hidden costs of replacing a car

Time is money. Car hunting, pre-purchase inspections and waiting in line at the DMV take up a lot of time, and what is your time worth? What do taxes and plates cost? Will this new car break down and leave you or your family stranded? Then there are the unknowns of a car with possible significant but hidden repair costs.

Let's total up what your expenses might be:

$50.00 to $150.00, Pre-purchase Inspection (at an independent garage, by an expert), or
$40.00 to $100.00, Mobile Inspection (by a diagnostic only-type franchised checklister filler-outer)
$50.00 to $450.00, Plates and Registration (gotta pay the man)
$200.00 to $3500.00, Taxes (gotta pay the man again)
$1200.00 to $5500.00 a year for 3 to 6 years (Oops, forgot about car payments)
Preparing to be lied to by the car seller.....Priceless!

Maintenance on car, year maximum = $ 1700 or
Replacement of car, year maximum = $ 9600

--- Couldn't you find a better investment for that $ 7900 you just saved ?

Track your car's actual maintenance history

Saab engine maintenance Spend just a few minutes to track the monthly average cost for maintenance. If you have any service records for your present car, save them and organize them. How much have you spent? Include tires, oil changes, cleaning, repairs, and scheduled maintenance. Chances are it is MUCH less than even payments alone on a new car.

What is it that you like about your car? Will those features be available on your next car? Maybe you like the seats or the handling or the trunk space of your present car. If you like driving it, think about keeping it.

Is your car safe enough for the road?

In 1996 safety became a widespread issue as news stories of unsafe cars and personal injury or death exploded across the media. Wisely, car makers focused their efforts on safety, and cars in question were improved for future model years. Some car makers made extensive changes in just one year. Subaru and Toyota, for instance, are very different cars between 1995 and 1997 even though they may look the same from the outside. See Crash test ratings: get the real story for more info.

Luxury cars in particular were ahead of their time in terms of safety. For instance, SAAB was leading the way with safety-minded construction long before it was fashionable. Frequent and dangerous moose-car accidents in Sweden were and still are a big issue. Most cars built after 1997 are very crash-worthy and, with a few exceptions, are worthy of repairing and preserving.