I have a dilemma.
Should I keep my old (1995) Jeep Grand Cherokee V8 that is completely paid off, but gives me horrible mileage or should I borrow $ and buy Fit.
I welcome your suggestions.

 

Well, the jeep is 11 years old. Is it starting to cost you money in repairs? Is it still reliable? At this point it could start costing you more money in up keep. If that is the case you might be better off in a Fit with a monthly payment. You'll have to weigh what your monthly payment is against possible repairs of your jeep as well as the money you would save on fuel given that the Fit gets its 33/38 mpg.

.......and most importantly, do have enough of a down payment to insure you can easily make that monthly payment with minimal stress. If I could easily make the payment on the Fit I would get rid of the jeep while it is still running well and is appealing to a buyer so I could get the most money out of it.

That's my buck 05 anyway.

It may be all a mute point anyway. I just talked to my salesman today, and every Fit they have coming in is spoken for until November 06.

 

Won't make a difference which way you go. If you get the Fit not only will you be making car payments but you'll probably wind up driving a lot more miles than you would in your gas pig Jeep.

I say keep the Jeep and drive it as little as possible. Maybe convince your buddy to buy a Fit and you chip in for gas.

 

I built a little spreadsheet and figured that if I drive 10,000 miles per year I'll be saving nearly $1000 per year with the Fit instead of our 17 MPG minivan. That is not enough to make up for the $17K you'll spend on a Fit but it certainly softens the blow. Wanted piece of mind and safety features of a newer car and also wanted to 'walk the walk' ecologically (lower emissions and fuel consumption).

That said, the cheaper car is always the cheaper car...it is doubtful that you would be spending $3000 per year on your older car (the approximate sum of your monthly payments) to keep it on the road.

 

If the FIT meets your needs, I'd make the switch in a heartbeat.

 

Would be willing to share your spreadsheet with others?

 

You should give a little more detail. How much are you looking to spend? Can you afford the loan? Are you going to sell the Jeep or are you going to keep it?

Its hard to give advice based on little information.

 

I'm looking to trade-in the Jeep (~$3.000)
Also according to: http://www.fueleconomy.gov/
side by side comparison reveals that Jeep Annual Fuel Cost = $2871 and
Fit = $1266
I also would be interested in seing above mentioned spreadsheet.

 

My girlfriend's Jeep was about that old and started to have a LOT of problems. The cylinder rings started leaking, it overheated a lot, and it ran really rough. I'd say go for the Fit - it's better on the environment, and still has the roominess and utility you're used to. If the Fit is too small, then try the Element or even a Toyota Matrix. But in my opinion the Fit is such a better deal than the Matrix. Anyway, if you're going to buy a Fit, definitely find a dealer who will not sell you above MSRP. And, do your accessories from collegehillshonda.com or another internet dealer - SO much cheaper (and the vast majority of accessories can be do-it-yourself jobs without voiding warranty). Good luck!

 

yes, it is in Excel and there is really nothing much to it--put in fuel price, expeced MPG of the two cars and amount of miles traveled. Not sure how to share it but PM me with your email address, I guess , and I can send it!

 

speaking from someone in a similar situation, I own a Kia Sportage '97 all paid off, but now costs me about $5000 a year in repairs... only 88k on it and a new engine was put in right before the warranty went at 60k... needless to say i ordered a Fit and am praying my car stays in one piece til it gets here in nov/dec.

 

I switched from a Pathfinder to the Fit. I have been wanting to be back in a smaller car for some time, and I have driven Civics and Accords on and off for over 20 years. The Fit was a good choice for me. Paying on a new car isn't my idea of fun, but neither was my gasoine bill. I put on a consistent 25k miles per year. What I will miss is the 4wd and the high seating position for merging in street traffic.

It is easy to figure your gas savings: Take a good estimate of your annual miles travelled. Now divide by the mpg of your Jeep. Say 17000 miles per year, and 17 mpg = 1000 gallons. Multiply by your average gas price, and to keep nice round numbers say $3.00 and you get $3k per year, or $250 per month. Now do the same for a Fit giving 34 mpg as achievable (and happily 2x 17) = $1500 = $125/mo on gas and you could expect to save the difference of $125 per month on gas.

You might also consider selling the Jeep privately and putting that towards your loan. I'd be surprised at a Honda dealer giving you a great trade in value on a Jeep, not to mention toward a Fit where they have no reason to offer any incentives.

 

You should really calculate the cost/benefit difference.

There is a LOT to be said about driving a vehicle that is PAID OFF. All you have to pay is gas and maintenance. Although, when things start to break, it could be costly to repair.

Weigh that against:

Monthly payment for the Fit and reduced fuel cost.

Whichever seems more advantageous to you.

(Of course, other factors such as it being a NEW car with a warranty, getting options you want, driving something smaller, all the aesthetic things can weigh in. )

 

What are people's monthly payments and for what kind of terms?

 

It doesn't really matter what others can get for loans-- it's what's available to you, based on your credit, etc, and only you can do the footwork to find your best loan option. Good luck in your search.

 

Doesn't really matter what you decide because you can't find a Fit anywhere, and you'll be waiting 2 - 3 months if you order one. I guess you could get in line.

The Fit is phantomware

 

I have my Fit and my 95 chevy astro cargo van , insurance isnt that high and I get a multicar discount, tags are almost nothing on the van , and if I need to haul junk I use the van so I don,t tear up the Fit.
If you can afford to keep the Jeep and you have a place to then at least keep it until you get a private buyer for it.
Don,t bother to trade it in unless you just want to get rid of it. More than likely the dealer will only give you 300 or maybe a little more for it.

 

I didnt relize till after I posted tha you had already got your B.O.M. Fit hope you love it like I love mine.