If my 2010 Toyota RAV4's engine runs well, should I sell the car to buy a new one?

"I want to get a new car, but my 2010 Toyota RAV4 is still reliable. The car I want costs $28,000.

I make $60,000, and, because I live at home, my monthly expenses are only $500.

Should I sell my car and buy a new one?"

“If you RAV4 is still reliable, there’s no real reason to get a new one and subsequently put yourself into debt.
Other questions you need to ask yourself:
  • Did you factor in maintenance, gas, and full-coverage car insurance costs into your expenses?
  • Are you going to move out of your parents’ house anytime soon?
  • Where are you going to get your car loan?
Common sense dictates that if you have a reliable car, you should keep it until it becomes, well, unreliable. But if you’re going to get the new loan, always shop around for rates and make sure to sell your car privately to maximize your return.”
Eric Schad
Answered on Jun 07, 2021
Eric Schad has been a freelance writer for nearly a decade, as well as an SEO specialist and editor for the past five years. Before getting behind the keyboard, he worked in the finance and music industries (the perfect combo). With a wide array of professional and personal experiences, he’s developed a knack for tone and branding across many different verticals. Away from the computer, Schad is a blues guitar shredder, crazed sports fan, and always down for a spontaneous trip anywhere around the globe.

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