MarkyD Posted July 20, 2004 Share Posted July 20, 2004 I just stumbled across this forum. My wife and I are fairly young, coming up on our second anniversary next month. We both drive old cars (paid off.) Our current autos are a 1990 Acura Legend LS Coupe and a 1987 Honda Civic 4 door. The Civic will be getting replaced. We are saving to hopefully have about 10k for a down payment on a shiny new Legacy. We will reach that goal in December. We also figure it's a good time to buy with dealers wanting to clear inventory for tax purposes. This will be our first new (or nearly new) vehicle. My question is... Since we're so young (21) our insurance is pretty high. Also, we're students. We're hoping to spend no more than 20k on a car. I, personally, have my heart set on an '05 GT. Seeing as the Legacy is all new for '05, what are the chances of me finding a used GT in December? Dealer demos, program cars maybe? I guess, getting down to the point...what I want to ask is this: Am I out of my mind thinking it will be possible to get a used '05 Legacy GT for 20k or less in December? The non-turbo model is out of the question. Thanks in advance for any replies. Link to comment Share on other sites More sharing options...
axis008 Posted July 20, 2004 Share Posted July 20, 2004 I'm in the same situation as you, sort of. My parents are going to put me through U.C. Davis and then my sister next year at UCLA, and I want this car really bad, so my dad's making me look for it used end of this year or next year. I don't think you'd be able to find it for $20,000, but maybe for $23,000. I don't know the resale values, but $20,000 might be kind of pushing it, especially for only half a year depreciation. -ben Link to comment Share on other sites More sharing options...
GBY Posted July 20, 2004 Share Posted July 20, 2004 Used at dealerships they'll be asking around $1,500 to $2,000 under MSRP. Privately I'd guess at $3,000 to $3,500 under MSRP assuming demand remains high. Personally I wouldn't put $10k down, put that away somewhere and use it towards a house down payment. Suck up the extra monthly payment amount. Subaru's depreciate in such a way that you shouldn't end up in a negative equity situation after say 3 years. By the time you buy they might have financing deals as well. I once put $10k down on a new car, once only. Link to comment Share on other sites More sharing options...
MarkyD Posted July 20, 2004 Author Share Posted July 20, 2004 [quote name='Gumby']Used at dealerships they'll be asking around $1,500 to $2,000 under MSRP. Privately I'd guess at $3,000 to $3,500 under MSRP assuming demand remains high. Personally I wouldn't put $10k down, put that away somewhere and use it towards a house down payment. Suck up the extra monthly payment amount. Subaru's depreciate in such a way that you shouldn't end up in a negative equity situation after say 3 years. By the time you buy they might have financing deals as well. I once put $10k down on a new car, once only.[/quote] Thanks for the advice. Does Subaru run 0% APR deals at all? If they do, and are doing so at the time we're ready to buy, I would consider a new one. As for a home, we're a little ways away from there. We don't want to stay in OK after school, so we don't want to put roots down...like buying a house. We are looking to do that eventually, just not here. The other concern we have is this: Don't new cars depreciate like mad as soon as you drive them off the lot? Someone told me they can depreciate as much as 15-20% when you drive them off the lot. Is this true, or a myth? Link to comment Share on other sites More sharing options...
GBY Posted July 20, 2004 Share Posted July 20, 2004 Subaru does run good financing deals from time to time but who knows when they will have one on the Legacy, just keep your eyes open for it. The depreciation rate depends on make and model, most "domestics" would hold true to what you're saying. Subaru's are a different story though, take the WRX Wagon for example, according to Edmunds it has the lowest depreciation rate of any small wagon. I would have thought MB, Audi or BMW but not so. Dave. Link to comment Share on other sites More sharing options...
il collaudatore Posted July 22, 2004 Share Posted July 22, 2004 If you really are set on buying a Subaru, join the Geological Society of America! Subaru has struck a deal with some outdoor groups like hiking clubs, etc. so that if you are a member, you can go to a Subaru dealership, show the proof and you can buy a new car with up to $3,000 off instantly. I haven't totally gone over everything and maybe somebody here can give you more details, but it does look promising. The catch with the GSA is that you have to be a member for at least 6 months and there is a membership due of $35 for students Subaru's list of partners. [url]http://subaru.com/outdoorlife/partners.jsp[/url][/url] Link to comment Share on other sites More sharing options...
godwhomismike Posted July 23, 2004 Share Posted July 23, 2004 [quote name='il collaudatore']If you really are set on buying a Subaru, join the Geological Society of America! Subaru has struck a deal with some outdoor groups like hiking clubs, etc. so that if you are a member, you can go to a Subaru dealership, show the proof and you can buy a new car with up to $3,000 off instantly. I haven't totally gone over everything and maybe somebody here can give you more details, but it does look promising. The catch with the GSA is that you have to be a member for at least 6 months and there is a membership due of $35 for students Subaru's list of partners. [url]http://subaru.com/outdoorlife/partners.jsp[/url][/url][/quote] That would've definitely been something I would've joined if I knew about it when I was a student a few years ago. I graduated with my BS degree in Computer Science and a minor in Geology. I loved Geology, but the college I was in didn't offer anything higher than a minor in it. I was really into geology, I can't believe none of the Geology professors ever suggested it to me. Oh well, never too late to join. Funny how you learn about somethings in car forums. LOL Back on topic, I'm sure you'll find a used one in December. Seems like some people get rid of cars after just a few months - proof of this, look at ebay at some cars that recently came out (note: their are no '05 Legacy's or Outbacks on ebay yet). - Mike Link to comment Share on other sites More sharing options...
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