Not quite buyer's remorse, but need someone to help check my math...

[Wayne]

Good morning ladies and gents.

A lot of this is just me trying to type out my current mental boggle, so forgive me for rambling.

As a lot of you know, I drove a Dodge RAM 1500 pickup up until about 3 days ago. When I was in Chesapeake driving 20 miles each way on the interstate, I was getting 17 - 19 miles per gallon, which is fine considering the commute and the big HEMI engine.

I moved to the DC area, about a mile from work (1.2 actually) and ever since then, I've been getting about 10 - 12 mpg because the trip takes longer to warm up the truck than to actually drive it.

Accordingly, I've been having to spend about $75 - $90 per week to fill up a 26 gallon gas tank.

This -- as you might imagine -- kept me up at night as finances are already extremely tight.

In fact, the only thing the Dodge had going for it was looks, roomy comfort, and the fact that I only owed about $10,000 on it ($200/month payments).

Flash forward to Thursday of last week and -- since I was already feeling under the weather -- I took 1/2 day off and tried to rest. Failing that -- because of the overwhelming thoughts about the truck -- I went car shopping.

My idea setting out was to locate a used Honda Accord, Nissan Altima, or other 4-door gas sipping sedan that I could effectively "swap keys" for (meaning walk away still owing the same amount with the same payment).

I drove 3 Accords, 2 Altimas, a Kia Optima, and even a Mustang (which was surprisingly ok but the car was not)...

I had settled on a 2010 2-door Accord coupe and was about to start negotiating but something about the car bothered me. Curb rash on the rims (normal but still) and a bit of rust on some items under the hood. It drove very well, and it was really comfy for what it was, even though I'd be giving up the back seat. It had the "macho guy thing" going for it.

As such, I was literally getting up and getting ready to walk away when the manager said "let me show you something I think you might like.

He then had the salesman pull around a "Certified", white 2012 Volkswagen Passat. A 4-door, 5-cylinder (?) mid-size sedan which gets 22-31 mpg (avg is supposed to be 25). Actually won Motor Trend's car of the year this year by 2 single points in the closest vote ever.

I don't know much about VW's. I don't, but this car was absolutely what I was looking for. Sporty, good gas mileage, decent power (hey, it's not a HEMI) along with plenty of options like bluetooth (though I'm sorely missing my built-in NAV unit as I got lost on the way home) and everything else.



So... Why then Wayne, are you whining?

In a nutshell, I'm whining because I violated my own rule about swapping keys and ended up spending a whole lot of money I didn't have to try and solve a problem which might be imaginary to begin with.

My Dodge RAM truck would have sold to an individual for probably $19000. I ended up settling with the dealer for $17000, which is fair trade-in value for it, and keeps me from having to figure out how to sell it, THEN run around town looking for a car to buy...

That put me (in my mind) -- $2000 in the hole.

Then, consider the cost of the VW Passat, which we agreed on at $19988 (20k), which -- in my head (even if wrong) -- means I'm $5000 in the hole. Toss in taxes, tags, extended warranty (a good idea on a VW) and registration, and I'm at $7,000 in the hole.

All this stuff mystifies me, and I *know* in my head that it's ok, but I went from owing $10k to owing $17k (effectively $200/month to $265/month) when my money is already tight because of still owning the house in Huntsville -- mortgage plus EXTREMELY overpriced rent here == bad)...

Also, according to the VW people, I *should* be able to go back to the Dodge dealership and get a refund on my extended warranty for the Dodge, which is a couple of grand I can put towards either other bills, or the new VW's bottom line. I'm *not* counting on that, because the Dodge Dealership was the most shady place I've ever dealt with, bar none...

The only savior really is that -- while not perfect -- I like the quirkly little VW. It also alleviates my perceived gasoline bill (if I can coax 25mpg out of it)...

Lemme ramble, see if I can figure this out in my head;

Dodge RAM (HEMI V8)
Average of 300 miles per week (groceries, commute, lunch, other running)
Average gas cost $3.50
Tank size = 26 gallons.
Average mileage = 12mpg (312 miles per tank)
Cost to fill up = $91
Assuming 1200 miles per month / 300 miles per tank = 4 fillups * $91 = $364.00/month for gas

VW Passat (5-cylinder)
Average of 300 miles per week, assume 1200 miles/month
Average gas cost $3.50
Tank size = 18 gallons
Average mileage = 25mpg (?) (450 miles per tank)
Cost to fill up = $63.00
Assuming 1200 miles per month / 450 miles per tank = 3 fillups * $63 = $189.00/month for gas

So... Assuming a lot of things which is all I can do, It looks like the VW will save me (in theory) $175 per month in gas. Subtracting the $65/month raise in my payment, and we're looking at $110/month savings for buying the VW on gas alone (insurance is also cheaper).

Advantages

• Free maintenance from VW for another 20000 miles
• 100k "bumper to bumper" extended warranty ($100 deductible)
• Lower insurance rates.
• $110/month lower cost to operate (mostly gas)
• It's a beautiful, very practical car

Disadvantages

• Not nearly as comfy as the big Dodge truck. It's a LOT smaller as you'd expect, which is fine, but harder to get into and out of for my big ol' butt.
• No Navigation (have to buy a new Garmin unit @$150 or so)
• Lower on the "macho manly" quotient, meaning not as fun to drive for a guy who loves to step on it.
• Potentially (I have no idea, just going on reputation) not as reliable as the Dodge.

So... If you've read this far, what are your thoughts? Was I stupid or sane?

I'm mentally and emotionally conflicted over it. Not sure what I'm asking or even why I'm posting this here except perhaps to hear my thoughts on digital paper. I'd love to get your input, either positive or negative while I'm still in the three-day grace period.

Wayne

 

[ktspirit]

You might be over-thinking this a bit....LOL. I admit I do the same thing. You might want to look at the long-term savings on gas, insurance, etc. Other than that, just trust your judgement. The car looks nice to me.

 

[Poirot]

You never go car shopping unless you really intend to "buy". It would have helped if you had done some online "looking" first. Cars ARE much different than trucks, so as far as the "ride room" goes, did you not use to have a car before the truck???
Are you looking around for another, less expensive, place to live?
I would have to guess you need to sit down with your monthly/yearly budget and see how you fare. It would seem the savings on gas more than takes care of the difference in car payment.
Curious...is there some reason you did not consider an American made car, like Ford or Chevy, Dodge, etc. You definitely are better off with a 4 door.
As far as getting your money back on that extended dealer warranty, doubt it. Don't know why you bought it, but...you won't get it back. My son never did (this was in Texas) when he refinanced his car within a month of buying it. He got socked into a very high interest rate, and the "extended warranty" was put on top of that, so when the entire thing was paid off by the new and much lower payments, the dealership refused to refund any portion of the $1200. Highway robbery.
That said, I understand that the best car deals are done right now, end of month and end of year.

 

[redsquirrel]

Wayne, I alerted my niece by text to come in and read this thread. She said considering the area that you're in, you made a great deal in the long run. It will pay off in spades as long as you keep the car at least until you have it paid off.

Also, you'll save a lot of money if you do not buy a Garmin, TomTom, etc retail. Look at WalMart.com and Overstock.com. They're both having huge electronic sales right now. The GPS prices are a lot less than in stores, and arrive quickly. I was able to get my new TomTom (prefer them over Garmin) in 3 days for 1/3 the price from WalMart.com. Plus got free shipping.

 

[Wayne]

I did intend to buy. I'd been considering my options for weeks, Only a lesser car, a couple of years old with similar features for same money or less. My only boggle is weighing costs with what I've done versus what I was thinking...

I looked at everything that appealed to me in my price range. The Ford Taurus and Fusion, the Chevrolet Cruze, etcetera. my first choice by far was a Chrysler 300 but it and the dodge Charger are out of my price range. after that the forerunner was a chrysler 200 but I will NEVER buy another Dodge 4- cylinder and by the time I added in a 6-cylinder and other options it was more expensive than the VW...

It was also smaller and the build quality was nowhere near as nice as even the Altima...

As for housing, living up here is insane. $1800 for the low-end 2 bedroom apartment on average... 3x my mortgage.

As for warranty, you're probably right about no refund. On the vw, I bought the warranty because VW is reportedly very "gotta be repaired by VW" about stuff, even if they are reliable... The only friend I have with one had almost 100k on it without many issues but everything between the car battery to electrical switches ($400) are only available through VW so if I keep the car 100k miles, it'll pay for itself.

It's a hedged bet, but I'm guessing by your response that you're in the negative column...

Wayne

 

[redsquirrel]

I also bought the extended warranty on my 2009 Chevy Cobalt that I bought in 2011. Thank goodness I did. The very night I got it home, I had a malfunction in the electrical "collar" that runs through the steering column. That wasn't covered by the 60,000 miles warranty that they carried over from the previous owner, and would have cost more than the price of the extended warranty to fix. Other than that, I love my car that is the fore runner to the Cruze that I don't like. I have friends who work at the Chevy plant where these models were/are made 45 minutes away in Ohio, and they wouldn't have a Cruze either.

 

[sirramix]

The "You're Doomed!" option made me laugh thinking of the movie Hysterical.

Do some research about VWs. I'm not sure about the Passat specifically but know that VWs in general have electrical issues over time. A friend had the revamped VW bug & was always taking it to the dealer after 2 years for electrical issues. Mostly it was the same thing, being lights coming on for the thermostat or brakes, which would tie into the whole performance of the car thru the computer chip. The dealer never really fixed the issues, & didn't know how to since they never pinpointed the problem's origin.

Just some food for thought since it's a long term investment

Being so close to work and in DC, is it an option to get something closer to your original plan or less, yet use public transpo or walking, biking to get back & forth to work? It saves on mileage, gas, wear & tear, stress of driving in packed city traffic & many other things. You would still have a vehicle for when you need one also.

 

[Wayne]

Walking or even bicycling will be a probable when it warms up in the spring. Right now it's 34 and snowing.

 

[Poirot]

Just an aside, but I have been car hunting for 2 years. I need 4 wheel drive or all wheel drive, which seem to be out of my price range, and yes, definitely used car. My problem is I have a small hill, very small, more a rise in the road out of here, and I only get halfway up when it snows. Then the wheels just spin. I have a Ford Crown Vic, I love it, and really have had no major problems with it, until recently had to replace a steering part that cost about $200.
So, I check online and on Sundays, after church, when the dealerships are closed, I browse the parking lots. I have gotten v ery spoiled with the large trunk, leather seats, and the heating/AC system.......which on other cars now are just not there.
But my problem is that the AWD or 4WD vehicles are higher and it is harder for me to get into them, short as I am.