Stuck With a Big Suv? Don’t Fret!
Stuck with an old SUV? Don't expect to fetch much money for it when you trade it in or sell it to a private party.
High gas prices have gotten just about everyone down, especially owners of full sized pickup trucks and SUVs. Sure, they knew when they bought these vehicles that their combined fuel mileage was just 15 mpg, but that was when gas was still selling for $2.50 per gallon.
This past summer, with gas prices surging past $4 per gallon, the collective groans from SUV and truck owners everywhere could be heard at gas pumps across the nation. Quite suddenly slapping down a $100 bill to pay for gas was becoming all too common, leaving many owners of gas guzzlers frustrated.
Soon, talk shifted to selling their vehicles and shifting to a car that could deliver 10-15 more miles to the gallon of fuel. But, several big problems were soon noted, forcing many truck owners to reconsider their plans including:
Huge Financial Loss – New cars can lose as much as one-third of their value after the first year, but the depreciation rate for some big vehicles meant that depreciation accelerated to 50% or more. The owner of a one or two year old truck was suddenly finding that getting out of a loan was impossible to do without losing several thousands of dollars more just pay off the loan.
Undesirable Vehicle – With a flood of big vehicles on the market, even people who need a larger truck or SUV can pick and choose, making it a buyers market for them. Too many trucks and too few buyers have caused some people to reconsider the sale of their rides.
Inflated Small Car Prices – One neighbor of mine who didn’t have the problem of trying to unload a big vehicle was stunned when he checked out the price on the Honda Civic hybrid. Not only weren’t discounts being offered, but his dealer was charging a premium price for the car. Get rid of a big truck and buy an overpriced small car and you’ll be paying thousands of dollars just to switch.
So, what do you do if you’re stuck? You make do with what you have.
Getting rid of your late model truck or SUV will cost you dearly, but holding onto it and riding out the current spike in gas prices could serve you well. Instead of selling, try to drive less by combining errands and use the most fuel efficient car in the family for the person with the longest commute.
Also, use regular fuel wherever possible, keep your truck well tuned and tires inflated, and consider working from home one day a week if you have a job that encourages people to do that.
Fortunately, gas prices are in a retreat, but certainly not fast enough for most people. Likely, higher gas prices are here to stay, forcing you and millions of other drivers to come up with ways to save gasoline.
Matthew C. Keegan is a freelance writer who resides in Cary, North Carolina. Matt provides magazine, web content, and article writing services to clients all over the world serving the automotive, human interest, and business communities. Matthew Keegan | Musings is his personal weblog.
One neighbor of mine who didn’t have the problem of trying to unload a big vehicle was stunned when he checked out the price on the Honda Civic hybrid. Not only weren’t discounts being offered, but his dealer was charging a premium price for the car. Get rid of a big truck and buy an overpriced small car and you’ll be paying thousands of dollars just to switch.
Ricky, that’s terrible. But, in a free market society people can charge what they want, even when price gouging is permissible.
I bet your friend is figuring out a way to keep his vehicle. Or, he is realizing a gas powered car can be had for about ten thousand less than a hybrid.
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