What car... brand new vehicle edition

So, I've been salivating over a new Focus RS or Golf R since they were announced, and have been pretty excited about them. By the time they are readily available (especially the RS this fall) I will be able to afford one. I actually could right now if I wanted. Anyways...

I am trapped between having an amazing daily driver and reality. I have my rally car. I like racing it. Rally cars need a lot of work. Beater trucks need a lot of work. Do I really need a killer street car as well? Or do I want a stone reliable daily driver truck that needs zero work so I can focus on the race car? As an added bonus, a new truck is also good for side-businesses I am looking into.

So I start looking at trucks. I recently went from a busted-ass 1993 GMC k1500 to a 2008 GMC 2500hd with the 6,0L and 6 speed. The 2008 was cheap, but it is also pretty beat and has 210k kms on it. It also gets the same mpg as the 1993, which is pretty abysmal.

I can get 2014 4x4 crew cab gmc/chev's for ~$26k cdn out the door. I would sell the 2500hd, sell my current daily driver civic, and then daily drive the truck. Fuel costs would only be $700/year more in the 2014 truck vs the civic, and I'd be saving $480/year on insurance ($40/month liability for the civic and $50/month for the old truck).

Does it make sense? I would have to finance $16k @ 4.99% because the 2014's no longer get 0% financing, but I keep vehicles forever if they suit my needs and I could not ever see needing to get rid of this truck. Even if gas goes back up to $1.40/L, it still only costs an extra $1300 a year in fuel to daily drive the truck.

This doesn't really apply to getting a truck older than the 2014 gm's, as they all get abysmal mpg still (even the ecoboosts). And if the newer trucks don't get significantly better mpg than my 2008, I might as well just maintain that and drive it.

What does the hive say?

210k km does not sound like a lot. What does the current truck need? Is the 2014 really much more efficient?

Have you factored in the increased insurance cost? I assume that you can't have liability only on a new, financed truck so that's going to cost extra.

Will it make you happy?

Sometimes the enjoyment is worth the increased cost.

Can you get better financing? To me, it is not worth it at that rate. Assuming a 2 year loan, $700 a month. 5 year is still over $300 a month.

I'd say search for a lightly used CPO vehicle. Personally. But I don't know how well the trucks up there are holding their values, may be better to go new.

z31maniac wrote: Will it make you happy? Sometimes the enjoyment is worth the increased cost.

But this is really more important than the money.

Is your time worth the cost of the truck and fuel?

The time saved working on the truck or civic could be applied to the rally car or other projects/activities. My experience is that it is a lot more enjoyable to spend time working on something fun, than working on something you need (DD or tow vehicle).

Of course the other question is, if you buy the truck, will you have the funds to take advantage of the extra time, or would the budget be too tight to race or make repairs?

If you can buy the truck and still be able to afford to make use of the time saved not working on DD and tow vehicle, then it should be an easier decision.

BoxheadTim said: Have you factored in the increased insurance cost? I assume that you can't have liability only on a new, financed truck so that's going to cost extra.

Full comprehensive is negligible I believe. I am over the "young adult" insurance premium stage with not a single accident or ticket to my name, so I am under the impression that a $26k vehicle with full comprehensive vs a couple cars on liability isn't much difference.

z31maniac wrote: Will it make you happy? Sometimes the enjoyment is worth the increased cost.

Well, that is a tough question isn't it?

My typical route in a day to day routine is a city arranged in a grid pattern with lots of traffic. My one way commute is 10kms in 16 minutes. In fact, Edmonton is probably one of the least "exciting" cities to drive in I've ever been. Plus, while I love manual transmissions, it gets old with how awful/slow people are at driving in this city. On top of all of this, the significant other isn't very into me driving like a dinkess... and ~25% of my driving in a week is with her.

Also a factor, the cars I mentioned will be $40k, not $26k like the truck, and probably similar finance rates. $14k would also fund an entire season of regional rallying for me... that cost (if looking at it like the loan) would be spread out over 5 years, but that still is around $3k extra per year in the kitty for racing, which isn't just a kick in the ass for sure. Financing won't change as this is canuckland. Only way you get financing below that is HELOC or manufacturer financing (which is unavailable due to the trucks being last years model).

Of course, having a bitchin' daily driver is awesome, no two ways about that. But a dual exhaust system and some nice rims goes a long way towards the truck being fun as well. I've been daily driving pieces of crap my entire life (sans the 2004 Golf I had with 30,000kms on it, but it was an appliance).

Still kind of torn. If I lived in BC, the PNW, or southwest USA it'd be a no brainer

Sit on it until you can get 0% Financing. It will come back, it always does.

NGTD wrote: Sit on it until you can get 0% Financing. It will come back, it always does.

Oh, I can GET 0% financing... on a 2015 through the manufacturer. And the same truck, all options considered, would be $10k more.

So, by taking last years model off the dealers hands, they'll cut you a huge deal. The kicker is that the manufacturer won't supply an incentive based 0% financing as the manufacturer wants to move 2015 models. The dealer wants the old model gone.

So basically, I could buy a 2015 for $36k with 0% (or $26k with $10k down). But I would still overall spend more going that route, versus $26k truck (4.99% on $16k is $5500 in interest over the course of the loan), which I could make even cheaper by paying off the loan quicker, which I would. So instead of being an outright savings of $10k, I guess it is an outright savings of ~$5k.

Is one model year newer worth $5k? Even if the trucks are exactly the same? Tough call. I'd argue if keeping the truck for its useful life, the $5k immediately saved is worth it. And its more money saved if I pay it off quicker.

Which doesn't negate the fact that it would be irrelevant in comparison to the cars I am looking at, as the Focus RS will probably never get 0% financing and VW rarely does 0% either.

Interesting that you should be Focusing on the Focus - I am too!

Adam, I don't know your financial or family situation. Financing a truck will increase your insurance, as you are required to carry comp and collision. I DO know that rallying is one expensive addiction, so here is my take on it:

1. Wait on the Focus or Golf R.
2. Keep your current fleet.
3. Fix up the truck. It looks pretty good and is only 7 years old so it must be mostly wear items.
4. Keep it as just a tow pig.
5. Save as much downpayment as you can over the next 2-3 years.
6. Scoop a low-mileage used Focus RS. They will depreciate.
7. Or if used makes you want to retch than drop the downpayment on a new one. Let'em work the bugs out!

I vote no payments, but that's why all the other engineers make fun of my 15 year old grandma buick

More fast cars is always the answer.

A truck is a truck. If the one you have can be made "like new" for $5k do it.

Then a Focus RS or Golf R sounds nice.

Giant Purple Snorklewacker wrote: A truck is a truck. If the one you have can be made "like new" for $5k do it. Then a Focus RS or Golf R sounds nice.

GPS wins! Thanks for that, I really needed it.

I was thinking about it a lot last night and this morning. A truck is most certainly a truck, and I use it as one (beat on it, drive it in E36 M3ty weather, pull cars up from the bottom of cliffs after I've crashed). In that case, the 2008 while beat (it is pretty rough aesthetic-wise for only 130k miles on it) would be a brand new truck for $5k. A new box (which are cheap since so many takeoffs are available, around $1k and they are already painted white), new shocks, new tires, an aftermarket tune, and a front end tuneup is way less than $5k all said and done. The truck itself is worth quite a bit around here as I got it for a steal at $6k. Even if I put $4k into it, honestly, I'd be able to sell it for close to the $10k I have into it. And my understanding is new shocks alone will make it seem like a new truck, let alone the tune.

As an added bonus, it still means I'll be able to tow big heavy things with it and not have to worry about being overloaded. And if I truly do want a new car, then the Focus RS this fall... GRM strikes again

i went with a focus ST in 2012........it was kinda like a touring car for me.....I traded it in for a 2014 Fiesta ST and I am in LOVE. I don't have AWD, only drawback. the Fiesta RIPS on backroads like the old focuses used to. IF I didnt care about the size and NON rally car chassis, I'd have to sat Focus RS when it drops.