Xavier Prunty
Mr. Robbins
Period 5
Econ
Car ownership
There were three key things that I noticed about buying and maintain a
brand new car, all of which surprised me in different ways. The first topic that I
noticed was that it was actually cheaper to buy a brand new car than I originally
thought. I always figured that the total cost for a new car would be close to 40-45
thousand dollars. After looking at various prices I realized that only very high-end
cars actually had a price that high. For a sum of 17,890 dollars one could purchase a
basic Honda civic, something that actually blew my mind.
What I didn’t realize was the expense for the upkeep of a car, and how
drastically expensive it is to own one. Just to simply own and operate a car is nearly
ten thousand dollars a year. This figure alone is incredible and until this assignment
was unfathomable to me. Having said that however the estimated maintenance cost
for a car was surprisingly less than what I figured it would be at a simple 380
dollars. Because of this insane amount of money it takes to keep up a car I find it
very unlikely that I will buy a brand new until I have sustained good credit, for it is
highly unreasonable and too costly for a student of any grade or age.
This brings me to my final point that I now see the complete value in buying a
used car and the benefits that it can have. Though the overall cost for gas and
maintenance may rise, in most cases, the buyer will not have to pay back loans and
car payments since the car has already been paid for. This potentially saves the user
(in my case) over 7 thousand dollars a year. This left over extra money could be
placed in several other more beneficial areas so that it is not wasted proving that in
the long run it is actually safer economically to purchase a used car that a brand new
one.
This assignment was not only eye opening but very beneficial to helping me
make smarter economic decisions with my life, something that I am very sure will
aid me in the future. Know that I know the cost for owning a car and the astonishing
price that it keeps to own and maintain it, I can better manage my money in the
future.