[bamaboxster]

2 things I want to chime back in on.

First, will all due respect and condolences to the Tom Williams family for their loss of Tom Williams (founder of the Tom Williams Automobile "Gallery") to a bout with cancer. He was 78.

I drove by the Tom Williams dealerships tonight on the way home from college to check one thing out. What I was looking for was the falg pole at the end of the row connecting all of the dealers in this "subdivision". The flag, which is right against highway 459 for everyone to see, was not at half staff. I don't know what the protocol is on lowering flags for specific reasons, but I feel at least someone in one of the 7 dealerships Tom Williams put on the ground, would have thought of it.

Unfortunately, I feel this oversight is metaphoric for the way the upper management (Sonic Corporation) is so disconnected from their dealers, and how the dealers are disconnected from their customers.

Someone should have the respect to lower the flag to half staff at this auto dealer megaplex bearing Tom's name.



Second,

As for buying a new car cash, from my experience, what car you buy may make a difference.

For example; I bought my 2003 Infiniti G35 6 speed Sedan about halfway through the model year. The car stickered at $34,000 loaded, I paid $31,000 cash for it.

I drove the car 13 months, put 27,000 miles on it, traded it for the Boxster.

With the serious amount of miles I put on it in a year and it being a manual transmission on a 4 door sedan, I got $27,300 actual cash for it. I took less than a $4000 hit. This is not too unusual for 6MT owners, but unusual for the typical car market.

With that said, the G35 has held on to its resale value quite well and is one of the reasons I went back to another G35.

Another new one; In 1995, I bought the first 96 M-Edition Miata (Merlot color) which stickered for $24,000 and change. I bought it for $23,200 Sold the car 2 years later in pristine condition with 20K miles on it just under $18,000.

On the other hand, to defend the used car purchase (the one I should have kept); I bought a 1998 VW Jetta GLS TDI 5 speed, the Turbo Direct Injection diesel, with 115k miles on it for $5,000 even 4 years ago. This car was as clean as a new car, no wear showing on it any where. it was still getting 52MPG on the highway with 140K miles on it. Zero issues with this car. Only if everyone took care of thier cars like me and the previous owner of this Jetta. I put 24k miles on it, sold it a year and a half later to another TDI enthusiast for the same $5000 I initially paid for it. Jetta III TDIs and Golf TDIs and like cars in similar or less condition are still getting around the same 5 grand. With that kind of gas mileage, the savings covered the insurance and tag.

I did almost as well on my 1990 Audi 200 Turbo Quattro 5 Speed and my 1986 Commemorative Edition Audi Coupe GT. A little more maintenance cost in involved when you drive an old Audi.

These were cars that are sought after models and have a loyal or cult-like following. The rarer and more special the car, the better it will hang on to its resale, but only within the circle of like enthusiasts.

Look at the market on the Toyota Prius, the hybrid. It is extremely difficult to get this car anywhere in the country and the demand for them is high. People are still getting near what they paid for the first generation Prius, if they happen to give them up, and that is rare.

In comparison, yes my babied 04 Boxster will be a real bargain for someone looking for a used one with warranty still left on it for $34,000 as mentioned in the post above. Its will be a great deal for someone. I am the one that took the $12,000 hit in 5 months on the Boxster. This was the only new car I bought that had such a dramatic initial depreciation rate. I'm quite sure my future 997 will also.

I don't believe in strapping yourself down to a new car if you can barely make the payments and not saving money for a rainy day, just to have driveway jewelry.

I agree, its smarter to buy a car a few years old which is well taken care of in cash if possible. I never finance the full amount of the purchase price, nor do I max out the term for 5 years if I finance. I have the funds to pay for a new car in full and I have. I'm 35, my house is almost paid for (<3 years to go), I live within my means, I'm saving and investing money, but enjoying life at the same time.

Cars are my life long passion and its the only thing I spend money on. They're not investments, unless its a special vintage, but a careful purchase can be kinder to the wallet.

Dave