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Old 08-02-2007, 12:42 AM   #4 (permalink)
WaterDR
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Join Date: Sep 2004
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Condition, miles, number of owners....all those things make a difference in reality. As far as KBB is concerned, they don't differentiate how many people owned the car. Keep in mind that as a car ages, the condition of the car and it's desirability will matter more. And remember, something is only worth what someone will pay and after a point, books like KBB don't really mean crap. Also, if you are paying $3,000 for a car, depreciation should be furthest from your mind. Seriously, does it really matter? Things like reliability will cost a whole lot more then a few bucks in depreciation if the car is in poor mechanical condition.

Unfortunately, most people shop for a payment. Take a 1989 Mustang for $3,000. A bank might only let you borrow over two years for a car like that assuming you need a loan AND the interest rate will be high. You could probably lease a brand-new car for not much more and not worry about maintenance or tires etc....

Cheap, old cars while they don't depreciate, can have higher ownership costs then a car that does.
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