You might want to do more research.

 

Well I have to admit that was a general assumption based on my search for used VW's, but even according to Edmund's the VW has the least depriciation between Jetta, Civic, & Focus. Yet, the total cost of ownership is the greatest of the three...

I originally ruled out the Jetta because it is a few grand more than it's counterparts and they aren't known for their reliability.

http://www.edmunds.com/new/2006/volk...2&setzip=92672

 

Honda Fit or Mazda MX-5.

 

Those two cars arent really in the same class. I dont like the fit, and the mx-5 is WAY too small. Looks like a fun car to drive though.

So I talked the dealership down to a couple hundred above invoice price for the Mazda3. Seems like a pretty good deal to me. I will buy it on Friday. Hopefully my Lex will sell, and one day I will be back rockin a GS450h.

 

The warranty is only for 06. The 07 will be 3/36 bumper to bumper with 5/60 powertrain.

As for price, shoot for invoice. I've seen people get lower than invoice but it takes a little more work/bargaining/cross-shopping/...

 

That is interesting to know about the warranty and makes me kinda happy about the 06 purchase. I suppose I could haggle over a couple hundred bucks, worse thing is I could go to the other stealership a few miles away.

 

I hate to be the one who brings this up, but how much is a used '98 GS400 worth, anyway?
Perhaps $15-$20K if the car is pristine, low miles, and you have the perfect buyer?

You're talking about replacing it with a $17-20K car. If I were in your shoes, I'd just keep the GS... especially if it's paid off. The other cars WILL get better gas mileage, but insurance may be higher and they won't be as roomy as the GS. I would ditch the monster stereo gear in the trunk to make room for a stroller & baby-related stuff and enjoy the V8 power. Are you commuting a long distance? If you're not driving it 20K+ miles a year, I don't feel the difference in economy will cause you an undue financial burden.

I hate to see guys sell their toys because of marriage or babies. I think a balance of fun & responsibility can be achieved.

For a sub $20K car the only practical one that interests me would be the 5-door Mazda 3.
They look so cool with the 17" upgrade wheels... I saw a dark PURPLE metallic one the other day! Awesome! Neo can tell you all about these cars.

 

I am thinking about selling my Xb to get the honda Fit... they are so cute and fun while economy....
trading my GS for it? no way, I am only will get rid of my GS unless I am to get something better ( CL55 comes to mind )

 

You do have a very good point (and yep, I tink it's the 3 that I'm going to get), the vehicle values are a wash and it's a downgrade that will cost me a couple of grand at first for tax, registration, etc. Here's my reasoning. I can get maybe $15k out of my car (including selling some stuff I have already sold, LSD, TC, etc). I am going to take that $15k, plus another $5k and invest $20k in some things that should yeild me about 10% per year. My new auto loan will be six years. At the end of that six years, my $20 should be about $35k and continuing to compound.

Meanwhile I will have a $290 new car payment to deal with. Right now I drive 17k/yr at $3.50 gal, get 16 mpg, that's $3700/yr. If I can get 30mpg out of the new rig, and I can buy 87, it should be roughly half the cost. Saving about $1800/yr. Now take insurance. It's $200/yr cheaper, and maybe less if I get less tickets in the new car because it's slower. Add savings of tires. Regular tires should last about 40k miles, mine last me less than half that and are way more expensive. Let's just say I save an estimated $500/yr on tires. Oil changes are included with the new car, saving me $250/yr. I'm saving a total of $3000/yr or $250/mo even after paying interest on the loan. So I'm spending about $40/mo more than I was, except I have an extra $15k earning a return.

Also, the true cost of ownership will save me even more considering that in the next 4 years or 50k miles, my 98 GS WILL at some point break down and need repairs on something, or even need to be replace with a new car. The new ride is covered under warranty for this period. At the end of my new loan term, I have $35k extra and a car worth $5k. Netting a conservative $35k from this transaction.

If my math or reasoning is totally off, or I'm not factoring something in, help me out here and let me know. I love my lexus, but for right now I need to think about the future.

 

With mixed driving, you'll get mid to high 20s. Not as great as 20 but still better than 16. You'll like the 3. Even on stock s/s, you can throw it around and the ride is still pretty compliant. There is no getting over the weight and size between the GS and the 3. They are different cars so it is not fair to compare the two. I like the 3 a lot but I would not give up the GS for the 3. Everyone's situation is different though.