1 00:00:05,200 --> 00:00:08,560 Speaker 1: There are few greater pleasures than driving down an open road, 2 00:00:08,760 --> 00:00:11,880 Speaker 1: windows down, music playing, and the wind in your hair. 3 00:00:12,080 --> 00:00:14,760 Speaker 1: But for many years it seemed as though Millennials and 4 00:00:14,800 --> 00:00:17,680 Speaker 1: gen z were shying away from permanently committing to that 5 00:00:17,720 --> 00:00:20,880 Speaker 1: open road with a car purchase. Some media outlets have 6 00:00:20,960 --> 00:00:23,720 Speaker 1: reported over the years that many gen Zers are more 7 00:00:23,720 --> 00:00:27,639 Speaker 1: reluctant to get a driver's license than previous generations. However, 8 00:00:27,920 --> 00:00:30,560 Speaker 1: at some point, owning a car becomes more than just 9 00:00:30,640 --> 00:00:33,760 Speaker 1: a generational trend, especially in the United States, where we 10 00:00:33,800 --> 00:00:37,839 Speaker 1: are deeply entrenched in an autocentric culture. While large cities 11 00:00:37,880 --> 00:00:40,879 Speaker 1: like Chicago, New York, Boston, and San Francisco have a 12 00:00:40,960 --> 00:00:44,600 Speaker 1: number of public transportation options, there's still a large portion 13 00:00:44,640 --> 00:00:47,120 Speaker 1: of the country where people rely on cars to get 14 00:00:47,120 --> 00:00:51,240 Speaker 1: around more efficiently and safely. Take the suburban areas around 15 00:00:51,280 --> 00:00:53,440 Speaker 1: a lot of large cities. Sure, you may be able 16 00:00:53,440 --> 00:00:56,520 Speaker 1: to commute into the city fairly easily using public transportation, 17 00:00:56,920 --> 00:00:59,280 Speaker 1: but what happens in the suburbs when you need to 18 00:00:59,280 --> 00:01:01,200 Speaker 1: go to a further grid grocery store or get to 19 00:01:01,240 --> 00:01:06,080 Speaker 1: the doctor. In fact, in a recent survey released in 20 00:01:06,160 --> 00:01:08,760 Speaker 1: January of twenty twenty three and conducted by the auto 21 00:01:08,800 --> 00:01:12,319 Speaker 1: insurance shopping website the Zebra, sixty three percent of Americans 22 00:01:12,319 --> 00:01:15,080 Speaker 1: said that quote owning a car was necessary for easy 23 00:01:15,120 --> 00:01:18,240 Speaker 1: living end quote, And according to research conducted by the 24 00:01:18,319 --> 00:01:21,720 Speaker 1: Pew Research Center in twenty fifteen, eighty eight percent of 25 00:01:21,760 --> 00:01:25,679 Speaker 1: American households had at least one working car. The decline 26 00:01:25,680 --> 00:01:28,800 Speaker 1: among younger drivers in the early two thousands was not 27 00:01:28,880 --> 00:01:32,319 Speaker 1: caused by a generational backlash toward car culture or an 28 00:01:32,400 --> 00:01:36,319 Speaker 1: over commitment to reducing one's carbon footprint. The largest reason 29 00:01:36,360 --> 00:01:39,560 Speaker 1: for their decline in driving was due to cost. If 30 00:01:39,600 --> 00:01:43,280 Speaker 1: car ownership is potentially inevitable, where do we start and 31 00:01:43,360 --> 00:01:45,160 Speaker 1: how do we know if we're ready for a car? 32 00:01:45,520 --> 00:01:47,920 Speaker 1: Should we buy or re lease? And what else do 33 00:01:47,960 --> 00:01:51,440 Speaker 1: we need to consider when we're establishing a budget? Start 34 00:01:51,440 --> 00:01:59,639 Speaker 1: taking notes? Because this is row stuff, m Vroom, Friends, 35 00:01:59,680 --> 00:02:02,560 Speaker 1: and Zoo, Welcome back to another episode of grown up 36 00:02:02,600 --> 00:02:05,360 Speaker 1: Stuff How to Adult, where each episode we glow up 37 00:02:05,400 --> 00:02:07,840 Speaker 1: a little more by learning a new skill for adulthood. 38 00:02:08,280 --> 00:02:10,880 Speaker 1: And today, as you might have guessed already, we're digging 39 00:02:10,960 --> 00:02:14,040 Speaker 1: into car buying. Matt, I feel like this is going 40 00:02:14,080 --> 00:02:16,040 Speaker 1: to be just another one of those episodes where I 41 00:02:16,160 --> 00:02:19,040 Speaker 1: really reveal how little I know about being a girl, 42 00:02:19,080 --> 00:02:22,680 Speaker 1: because I have a confession to make. I have never 43 00:02:22,880 --> 00:02:24,480 Speaker 1: actually owned a car. 44 00:02:24,600 --> 00:02:28,200 Speaker 2: I believe that I believe that that tracks to me. 45 00:02:29,240 --> 00:02:31,520 Speaker 1: Yeah, at this point, I have spent so much of 46 00:02:31,560 --> 00:02:34,320 Speaker 1: my life living in big cities, and I've been lucky 47 00:02:34,400 --> 00:02:37,400 Speaker 1: enough when I have needed a car to just be 48 00:02:37,440 --> 00:02:40,840 Speaker 1: able to borrow one from any various family members. And 49 00:02:40,880 --> 00:02:43,280 Speaker 1: I've had a lot of friends who have owned cars, 50 00:02:43,919 --> 00:02:48,000 Speaker 1: and when they talk about financing and car payments and 51 00:02:48,160 --> 00:02:51,240 Speaker 1: least terms, my mind starts to spin a little. But 52 00:02:51,280 --> 00:02:54,520 Speaker 1: what about you? Have you ever owned an automobile? 53 00:02:55,160 --> 00:02:57,679 Speaker 2: So I'd never owned a car either, And four years 54 00:02:57,680 --> 00:03:01,040 Speaker 2: ago I bought my first motorcycle, and I think I 55 00:03:01,080 --> 00:03:03,440 Speaker 2: was just so excited about buying one, I kind of 56 00:03:03,480 --> 00:03:07,280 Speaker 2: like skipped over a lot of really important research. But basically, 57 00:03:07,320 --> 00:03:08,960 Speaker 2: like I knew that I needed to get a loan, 58 00:03:09,040 --> 00:03:11,079 Speaker 2: and so I shopped around for a loan. But when 59 00:03:11,080 --> 00:03:12,880 Speaker 2: I was at the dealership, they were able to get 60 00:03:12,919 --> 00:03:15,760 Speaker 2: me a better interest rate on the loan itself, and 61 00:03:15,760 --> 00:03:17,840 Speaker 2: so I actually ended up going with the bank that 62 00:03:17,880 --> 00:03:18,680 Speaker 2: they recommended. 63 00:03:18,960 --> 00:03:20,960 Speaker 3: But other than that, I signed a lot of papers. 64 00:03:20,960 --> 00:03:25,000 Speaker 2: I'm not entirely sure if I had room to leverage 65 00:03:25,000 --> 00:03:26,799 Speaker 2: a better deal. It does feel like I paid a 66 00:03:26,800 --> 00:03:28,400 Speaker 2: lot of money, but I was able to pay off 67 00:03:28,440 --> 00:03:30,239 Speaker 2: the loan early, so I didn't pay that much interest. 68 00:03:30,280 --> 00:03:32,639 Speaker 2: And the motorcycle has been great, especially in New York 69 00:03:32,680 --> 00:03:34,760 Speaker 2: City where like parking is hard and my wife and 70 00:03:34,800 --> 00:03:36,480 Speaker 2: I really just take it to go get groceries. But 71 00:03:36,840 --> 00:03:39,640 Speaker 2: I'm really excited to learn more about because I eventually 72 00:03:39,720 --> 00:03:42,360 Speaker 2: do want a car. What I could have done when 73 00:03:42,400 --> 00:03:45,120 Speaker 2: I was in the dealership signing paper is to really 74 00:03:45,240 --> 00:03:46,240 Speaker 2: make it work in my favor. 75 00:03:46,560 --> 00:03:49,680 Speaker 1: The parking is a real challenge here in the city. 76 00:03:50,320 --> 00:03:52,280 Speaker 2: Whenever I drive around New York City in the motorcycle, Like, 77 00:03:52,320 --> 00:03:53,960 Speaker 2: why are people in cars. 78 00:03:53,920 --> 00:03:55,200 Speaker 3: Park rice Impossible? 79 00:03:55,720 --> 00:03:58,160 Speaker 2: Like they're soon they're going to introduce congestion pricing and 80 00:03:58,200 --> 00:03:59,600 Speaker 2: it's just going to be pandemonium. 81 00:04:00,160 --> 00:04:04,080 Speaker 1: Yeah. Yeah, And it's like there was a brief moment 82 00:04:04,280 --> 00:04:06,800 Speaker 1: where I was like, Oh, maybe I'll get a car 83 00:04:06,840 --> 00:04:08,600 Speaker 1: because it'll give me a little bit more freedom to 84 00:04:09,320 --> 00:04:12,000 Speaker 1: go visit family members who aren't in the city and 85 00:04:12,640 --> 00:04:15,280 Speaker 1: like go you know, further upstate for like a little 86 00:04:15,320 --> 00:04:19,080 Speaker 1: day trip and explore nature. And then I looked at 87 00:04:19,120 --> 00:04:21,839 Speaker 1: how expensive it was to get a parking space too, 88 00:04:22,440 --> 00:04:25,680 Speaker 1: and then I calculated insurance and I was like, forget 89 00:04:25,720 --> 00:04:26,000 Speaker 1: about it. 90 00:04:26,240 --> 00:04:28,240 Speaker 3: You want to have another apartment to house your car? 91 00:04:28,360 --> 00:04:29,240 Speaker 3: Like no, thank you? 92 00:04:29,400 --> 00:04:33,800 Speaker 1: Yeah yeah. I was like, I will be taking Metro North. 93 00:04:33,839 --> 00:04:38,520 Speaker 1: Thank you? All right? Cool sounds good. To help us 94 00:04:38,600 --> 00:04:41,120 Speaker 1: really comprehend what goes into buying a car and where 95 00:04:41,160 --> 00:04:44,599 Speaker 1: to start, we've asked Jamie Page Deaton to join us. 96 00:04:45,080 --> 00:04:48,000 Speaker 2: Jamie spent fifteen years as the executive editor of the 97 00:04:48,120 --> 00:04:51,240 Speaker 2: US News and World Reports Best Cars Team, where she 98 00:04:51,320 --> 00:04:55,080 Speaker 2: oversaw new and used car rankings, reviews, and awards. She's 99 00:04:55,160 --> 00:04:57,560 Speaker 2: also a member of the jury for the North American Car, 100 00:04:57,600 --> 00:04:59,560 Speaker 2: Truck and Utility of the Year Award. 101 00:05:00,080 --> 00:05:03,159 Speaker 1: Jamie is considered a car buying expert. Today, she is 102 00:05:03,200 --> 00:05:06,400 Speaker 1: the editor in chief of Car Talk. That's Right, as 103 00:05:06,440 --> 00:05:09,400 Speaker 1: in the radio show and podcast that brought us the 104 00:05:09,440 --> 00:05:14,520 Speaker 1: beloved hosts Click and Clack. Jamie, thank you so much 105 00:05:14,520 --> 00:05:16,080 Speaker 1: for joining us here on grown up stuff. 106 00:05:16,360 --> 00:05:18,039 Speaker 4: Thank you so much for having me. This is my 107 00:05:18,200 --> 00:05:20,480 Speaker 4: absolute favorite thing to talk about, so I feel a 108 00:05:20,480 --> 00:05:21,920 Speaker 4: little bit selfish being here. 109 00:05:23,800 --> 00:05:25,960 Speaker 2: There are a lot of considerations that we should make 110 00:05:26,000 --> 00:05:29,159 Speaker 2: before we even decide to buy a car. 111 00:05:29,520 --> 00:05:31,360 Speaker 3: What are some of those considerations. 112 00:05:32,160 --> 00:05:34,840 Speaker 4: Really just look at your budget because know that the 113 00:05:34,839 --> 00:05:37,280 Speaker 4: price of the car is only the beginning. You got 114 00:05:37,279 --> 00:05:39,440 Speaker 4: to pay for gas, you gotta pay for insurance, you 115 00:05:39,520 --> 00:05:42,120 Speaker 4: got to pay for parking. So make sure that you 116 00:05:42,200 --> 00:05:46,560 Speaker 4: have basically a really good car budget broken down. And 117 00:05:46,640 --> 00:05:48,279 Speaker 4: I think for a lot of people, you know, it 118 00:05:48,279 --> 00:05:49,680 Speaker 4: depends on where you live. If you live in a 119 00:05:49,720 --> 00:05:52,440 Speaker 4: more rural or suburban area, yeah you're probably going to 120 00:05:52,520 --> 00:05:55,159 Speaker 4: need a car. But if you're able to get around, 121 00:05:55,200 --> 00:05:57,520 Speaker 4: you know, with public transportation and a bike, and you 122 00:05:57,640 --> 00:06:01,320 Speaker 4: only occasionally need a car with a car sharing service, 123 00:06:01,400 --> 00:06:03,360 Speaker 4: go with a car rental service for those times or 124 00:06:03,360 --> 00:06:05,080 Speaker 4: where you need to go to Ikea or you need 125 00:06:05,120 --> 00:06:06,920 Speaker 4: to drive to you know, visit your family or whatever. 126 00:06:07,320 --> 00:06:10,719 Speaker 4: Because it doesn't really make sense to have a car 127 00:06:10,760 --> 00:06:13,080 Speaker 4: that you're paying for all the time that you're only 128 00:06:13,080 --> 00:06:14,440 Speaker 4: gonna use occasionally. 129 00:06:15,080 --> 00:06:19,000 Speaker 1: That's why I go with zipcar, Jamie, because City bike 130 00:06:19,160 --> 00:06:21,640 Speaker 1: and good old NCAA gets me around with everything else, 131 00:06:21,680 --> 00:06:24,599 Speaker 1: and then occasionally for that Ikia trip, I just rent 132 00:06:24,600 --> 00:06:25,120 Speaker 1: a zipcar. 133 00:06:25,400 --> 00:06:28,120 Speaker 4: Yeah, this is another mistake that I do see people making, 134 00:06:28,320 --> 00:06:32,760 Speaker 4: is buying way more car than they need. I shouldn't 135 00:06:32,960 --> 00:06:34,760 Speaker 4: malign the people in my neighborhood. But there's a bunch 136 00:06:34,760 --> 00:06:37,960 Speaker 4: of people in my neighborhood who do this. They're like, oh, well, 137 00:06:38,000 --> 00:06:39,600 Speaker 4: you know, we go on one big road trip a year, 138 00:06:39,640 --> 00:06:41,800 Speaker 4: so we have to have this suburban. And it's like, 139 00:06:41,920 --> 00:06:44,320 Speaker 4: why don't you rent a suburban and then drive around 140 00:06:44,400 --> 00:06:46,960 Speaker 4: in something less expensive? Because you pay for the suburban 141 00:06:47,040 --> 00:06:48,640 Speaker 4: for the entire year, and if you look at what 142 00:06:48,680 --> 00:06:51,320 Speaker 4: you're paying versus what it would cost to rent a 143 00:06:51,440 --> 00:06:53,479 Speaker 4: very big car for that week or rent a truck 144 00:06:53,520 --> 00:06:56,039 Speaker 4: to take your boat to the lake or whatever, it's 145 00:06:56,080 --> 00:06:59,440 Speaker 4: often gonna be way way way less because that smaller 146 00:06:59,480 --> 00:07:01,080 Speaker 4: car is going to be less gased, it's going to 147 00:07:01,120 --> 00:07:02,960 Speaker 4: be less expensive, it's going to be cheaper to ensure. 148 00:07:03,360 --> 00:07:05,320 Speaker 4: And if you really really want to ride around in 149 00:07:05,360 --> 00:07:08,080 Speaker 4: a suburban, great, more power to you. But if you're 150 00:07:08,120 --> 00:07:11,360 Speaker 4: doing it because you might need its capabilities once in 151 00:07:11,400 --> 00:07:13,960 Speaker 4: a while, I really ask yourself if you want to 152 00:07:14,320 --> 00:07:17,280 Speaker 4: pay for it year round, it's about how much car 153 00:07:17,320 --> 00:07:19,480 Speaker 4: do I need? How much am I actually going to 154 00:07:19,640 --> 00:07:22,720 Speaker 4: use it? And then are there other options? Because there 155 00:07:22,760 --> 00:07:24,760 Speaker 4: is I think kind of just in American culture, a 156 00:07:24,760 --> 00:07:26,680 Speaker 4: little bit of a knee jerk where it's like, yep, okay, 157 00:07:26,760 --> 00:07:29,840 Speaker 4: got to have a car now, and that's not always true. 158 00:07:30,160 --> 00:07:32,640 Speaker 4: Just don't make a pain of yourself by constantly borrowing 159 00:07:32,680 --> 00:07:35,640 Speaker 4: your friend's cars. If you're constantly borrowing their car as well, 160 00:07:35,760 --> 00:07:38,000 Speaker 4: then it might be time to get your own, right. 161 00:07:38,720 --> 00:07:40,160 Speaker 2: I think that the piece of advice that I heard 162 00:07:40,160 --> 00:07:42,840 Speaker 2: the most about buying car before I bought my first 163 00:07:43,000 --> 00:07:47,240 Speaker 2: is that people really say that car loses value the 164 00:07:47,360 --> 00:07:50,800 Speaker 2: second you drive it off the lot. So why is 165 00:07:50,840 --> 00:07:54,160 Speaker 2: this and how could it factor into our decision along 166 00:07:54,160 --> 00:07:56,600 Speaker 2: with our budget on whether or not to buy a 167 00:07:56,640 --> 00:07:57,840 Speaker 2: new or used car. 168 00:07:58,640 --> 00:08:01,480 Speaker 4: Yeah, so that is one h or percent true. And 169 00:08:01,560 --> 00:08:03,920 Speaker 4: the reason that it drops is because the second you 170 00:08:04,000 --> 00:08:06,360 Speaker 4: drive it off the lot, congratulations, it's a used car 171 00:08:06,440 --> 00:08:08,320 Speaker 4: and people aren't willing to pay as much for it, 172 00:08:08,400 --> 00:08:10,560 Speaker 4: and so that value just drops even if you literally 173 00:08:10,560 --> 00:08:13,760 Speaker 4: put a mile on it. It's because it's already been 174 00:08:13,800 --> 00:08:16,080 Speaker 4: registered to you. You're already shown as the owner, So 175 00:08:16,120 --> 00:08:19,000 Speaker 4: it's a used car. What that kind of traps people 176 00:08:19,040 --> 00:08:21,000 Speaker 4: in in a lot of cases, and why you really, 177 00:08:21,040 --> 00:08:23,160 Speaker 4: I think need to be careful when you're buying a 178 00:08:23,200 --> 00:08:26,640 Speaker 4: new car, especially if you're financing it. Is a lot 179 00:08:26,680 --> 00:08:29,080 Speaker 4: of auto loans, you don't have to put any money down, 180 00:08:29,200 --> 00:08:31,280 Speaker 4: which is great if you don't have thousands of dollars 181 00:08:31,400 --> 00:08:35,079 Speaker 4: lying around. But what happens is you finance the car, 182 00:08:35,360 --> 00:08:38,240 Speaker 4: you drive it off the lot, and you're immediately upside 183 00:08:38,240 --> 00:08:41,040 Speaker 4: down on your loan. You immediately have negative equity because 184 00:08:41,080 --> 00:08:43,400 Speaker 4: the car is not worth the amounts that you financed, 185 00:08:43,920 --> 00:08:47,560 Speaker 4: which is problematic if, for example, you get into a 186 00:08:47,559 --> 00:08:50,200 Speaker 4: car accident, your insurance is only going to pay the 187 00:08:50,280 --> 00:08:53,280 Speaker 4: value of the car, not the value of the loan 188 00:08:53,320 --> 00:08:55,480 Speaker 4: that you have left on it. So it's just something 189 00:08:55,520 --> 00:08:57,600 Speaker 4: to really keep in mind when you're looking at a 190 00:08:57,640 --> 00:09:00,280 Speaker 4: new car. And to be clear, the same thing can 191 00:09:00,320 --> 00:09:03,760 Speaker 4: happen with a used car as well, but that drop 192 00:09:03,920 --> 00:09:07,320 Speaker 4: in value just tends to be less and less every 193 00:09:07,400 --> 00:09:08,160 Speaker 4: year that goes on. 194 00:09:08,800 --> 00:09:11,599 Speaker 2: And would you mind explaining for our listeners aka me, 195 00:09:12,040 --> 00:09:14,640 Speaker 2: what does being upside down on a loan? 196 00:09:14,640 --> 00:09:17,480 Speaker 4: Thank you say a question like that, Yeah, it means 197 00:09:17,480 --> 00:09:18,880 Speaker 4: you owe more than the car is worth. 198 00:09:19,000 --> 00:09:19,440 Speaker 3: Got it? 199 00:09:19,520 --> 00:09:22,000 Speaker 4: So if the car is worth twenty thousand dollars and 200 00:09:22,120 --> 00:09:25,240 Speaker 4: you've financed twenty five thousand dollars, you have five thousand 201 00:09:25,280 --> 00:09:28,160 Speaker 4: dollars in negative equity, which means that if you go 202 00:09:28,240 --> 00:09:30,520 Speaker 4: to sell a car and you get twenty thousand dollars 203 00:09:30,600 --> 00:09:32,440 Speaker 4: for it, just to unload it, you have to come 204 00:09:32,520 --> 00:09:34,720 Speaker 4: up with five thousand dollars. Or let's say you know 205 00:09:34,840 --> 00:09:37,959 Speaker 4: Knockwood that this never happens, your car gets totaled, your 206 00:09:38,000 --> 00:09:40,240 Speaker 4: insurance company's going to give you twenty thousand dollars, and 207 00:09:40,280 --> 00:09:41,760 Speaker 4: then you're going to be like, I need to come 208 00:09:41,840 --> 00:09:43,760 Speaker 4: up with five thousand dollars to pay off the loan, 209 00:09:43,800 --> 00:09:46,200 Speaker 4: because your loan company's going to be like, hey, a 210 00:09:46,240 --> 00:09:49,079 Speaker 4: car loan is a secured loan, the car is collateral. 211 00:09:49,320 --> 00:09:52,000 Speaker 4: There's no longer anything for them to repossess, so they're 212 00:09:52,000 --> 00:09:54,240 Speaker 4: going to come after you like that day for five 213 00:09:54,280 --> 00:09:56,840 Speaker 4: thousand dollars. This is why I always recommend if you're 214 00:09:56,880 --> 00:09:59,680 Speaker 4: getting a new car or you're leasing a car, always 215 00:09:59,720 --> 00:10:03,079 Speaker 4: get insurance that will cover more than the car's worth, 216 00:10:03,120 --> 00:10:07,080 Speaker 4: so like replacement value plus twenty percent. Most car insurers 217 00:10:07,120 --> 00:10:08,280 Speaker 4: offer something like this. 218 00:10:09,040 --> 00:10:12,400 Speaker 1: It sounds like basically everybody is upside down if they 219 00:10:12,400 --> 00:10:14,240 Speaker 1: buy a new car and they're using a loan, so 220 00:10:14,480 --> 00:10:16,840 Speaker 1: it sounds like, really the only thing to protect you 221 00:10:17,000 --> 00:10:18,280 Speaker 1: is getting that insurance. 222 00:10:19,320 --> 00:10:22,040 Speaker 4: Not necessarily okay, if you put a big enough downpayment 223 00:10:22,080 --> 00:10:25,760 Speaker 4: down the general like personal finance rule, which I don't 224 00:10:25,760 --> 00:10:28,120 Speaker 4: think most people can handle it these days because it's 225 00:10:28,120 --> 00:10:30,240 Speaker 4: so difficult to save. But you should be putting like 226 00:10:30,400 --> 00:10:33,080 Speaker 4: twenty percent down on a car loan. Okay, but it's 227 00:10:33,120 --> 00:10:35,400 Speaker 4: hard for people to come up with a couple thousand 228 00:10:35,480 --> 00:10:37,240 Speaker 4: dollars in order to do that. And so if you 229 00:10:37,240 --> 00:10:39,600 Speaker 4: can't come up with a couple thousand dollars, you can 230 00:10:39,679 --> 00:10:42,640 Speaker 4: kind of amortize that kind of money by getting that 231 00:10:42,720 --> 00:10:46,120 Speaker 4: replacement value insurance because that like couple thousand dollars, and 232 00:10:46,120 --> 00:10:49,680 Speaker 4: if you're putting twenty percent down, that effectively means that 233 00:10:49,880 --> 00:10:53,199 Speaker 4: you've absorbed the depreciation of the car when you've driven 234 00:10:53,240 --> 00:10:55,400 Speaker 4: it off the lot, and so you won't have negative 235 00:10:55,440 --> 00:10:56,840 Speaker 4: equity at that point. 236 00:10:57,040 --> 00:11:00,000 Speaker 1: Okay, that makes sense, And this is a perfect segue 237 00:11:00,160 --> 00:11:03,600 Speaker 1: into how we figure out what we can spend on 238 00:11:03,640 --> 00:11:06,680 Speaker 1: a car. We all know the rule of you know 239 00:11:06,720 --> 00:11:09,280 Speaker 1: a third of your paycheck goes to rent? Is there 240 00:11:09,320 --> 00:11:12,080 Speaker 1: a rule for that in terms of your budget for 241 00:11:12,120 --> 00:11:12,600 Speaker 1: a car. 242 00:11:13,320 --> 00:11:15,720 Speaker 4: I don't have a hard and fast rule because I 243 00:11:15,960 --> 00:11:19,800 Speaker 4: like fancy cars and spend way too much of my 244 00:11:19,880 --> 00:11:22,760 Speaker 4: budget on fancy cars. It really needs to come down 245 00:11:22,800 --> 00:11:25,679 Speaker 4: to what you're comfortable with and give yourself a ton 246 00:11:25,880 --> 00:11:28,520 Speaker 4: of wiggle room in that budget. So like, if you're 247 00:11:28,600 --> 00:11:31,000 Speaker 4: ending the month with an extra seven hundred dollars, that 248 00:11:31,000 --> 00:11:32,920 Speaker 4: does not mean you can handle a seven hundred dollars 249 00:11:32,960 --> 00:11:35,680 Speaker 4: car payment. That means that you've got to take into 250 00:11:35,720 --> 00:11:38,839 Speaker 4: account gas, insurance, parking, all that stuff, and you should 251 00:11:38,840 --> 00:11:41,160 Speaker 4: really be shooting for maybe a four hundred dollars car 252 00:11:41,240 --> 00:11:44,559 Speaker 4: payment because you don't want no wiggle room in your budget. 253 00:11:44,720 --> 00:11:47,400 Speaker 4: So really take a hard, hard look at your budget 254 00:11:47,440 --> 00:11:50,000 Speaker 4: when you're thinking about how much you can afford. The 255 00:11:50,040 --> 00:11:53,640 Speaker 4: smart kind of personal finance thing is to not look 256 00:11:53,640 --> 00:11:55,320 Speaker 4: at the payment, but to look at the total cost 257 00:11:55,360 --> 00:11:58,760 Speaker 4: of the loan. But given the current economy, I don't 258 00:11:58,760 --> 00:12:01,440 Speaker 4: think that's realistic for the majority of people who actually 259 00:12:01,440 --> 00:12:03,400 Speaker 4: need to get cars. I think you actually do have 260 00:12:03,480 --> 00:12:06,240 Speaker 4: to shop on payment, because if you're looking at total 261 00:12:06,280 --> 00:12:08,680 Speaker 4: costs alone, chances are that you have a lot of 262 00:12:08,679 --> 00:12:10,560 Speaker 4: money to put down. You might have a really good 263 00:12:10,640 --> 00:12:12,040 Speaker 4: car that you have a ton of equity in to 264 00:12:12,160 --> 00:12:12,520 Speaker 4: trade in. 265 00:12:12,960 --> 00:12:13,840 Speaker 3: That's for people. 266 00:12:13,679 --> 00:12:16,400 Speaker 4: Who are perhaps a little bit older, more established, and 267 00:12:16,440 --> 00:12:19,360 Speaker 4: in a good financial position, and so really go through 268 00:12:19,400 --> 00:12:22,280 Speaker 4: and just go online and look up car loan calculator. 269 00:12:22,800 --> 00:12:28,520 Speaker 2: Does that factor in things like we talked about, like taxes, insurance, fuel, maintenance, parketing, 270 00:12:28,640 --> 00:12:29,360 Speaker 2: all that stuff. 271 00:12:29,679 --> 00:12:31,839 Speaker 4: No, it'll just look at the car loan because I 272 00:12:31,880 --> 00:12:34,599 Speaker 4: mean if you're talking about like taxes and insurance and 273 00:12:34,600 --> 00:12:37,760 Speaker 4: stuff like that, that's highly personalized depending on. 274 00:12:37,679 --> 00:12:38,400 Speaker 3: Where you live. 275 00:12:38,880 --> 00:12:40,880 Speaker 4: Honestly, your insurance is going to depend a lot on 276 00:12:41,000 --> 00:12:43,800 Speaker 4: you and what kind of driver you've been and honestly 277 00:12:43,840 --> 00:12:45,680 Speaker 4: to what kind of car that you end up getting. 278 00:12:46,000 --> 00:12:49,040 Speaker 4: So you should talk to your car insurance company and say, hey, look, 279 00:12:49,080 --> 00:12:52,120 Speaker 4: I'm thinking of getting this car, what's the monthly cost 280 00:12:52,200 --> 00:12:54,360 Speaker 4: and insurance going to be? And shop around and find 281 00:12:54,760 --> 00:12:56,480 Speaker 4: a company that's going to get you the coverage that 282 00:12:56,520 --> 00:12:59,000 Speaker 4: you need at a reasonable price. But yeah, you have 283 00:12:59,040 --> 00:13:01,520 Speaker 4: to look at kind of the total budget of the 284 00:13:01,559 --> 00:13:03,520 Speaker 4: car and not just the car payment, not just the 285 00:13:03,520 --> 00:13:04,040 Speaker 4: car price. 286 00:13:04,640 --> 00:13:06,800 Speaker 1: Yeah, and I will say there are I think gas 287 00:13:06,840 --> 00:13:09,240 Speaker 1: Body does some really great things in terms of like 288 00:13:09,320 --> 00:13:11,920 Speaker 1: calculating how much your gas might be. I know they 289 00:13:11,960 --> 00:13:13,840 Speaker 1: do it on a trip basis. I've used it for 290 00:13:13,880 --> 00:13:16,000 Speaker 1: that before. I think there are some tools there that 291 00:13:16,080 --> 00:13:17,640 Speaker 1: might be able to help in terms of figure out 292 00:13:17,760 --> 00:13:19,360 Speaker 1: how much your car will need for a year or 293 00:13:19,400 --> 00:13:20,000 Speaker 1: something like that. 294 00:13:20,760 --> 00:13:23,160 Speaker 4: Yeah, and Fuel Economy dot Gov. You know, it's the 295 00:13:23,160 --> 00:13:25,920 Speaker 4: EPA site and they will go through and say, you 296 00:13:25,920 --> 00:13:28,000 Speaker 4: know how much you're likely to spend on gas given 297 00:13:28,040 --> 00:13:30,079 Speaker 4: the model of car that you're looking at, and they 298 00:13:30,080 --> 00:13:32,600 Speaker 4: even I think have some maintenance costs and things there too. 299 00:13:32,679 --> 00:13:36,199 Speaker 4: So all of this information is out there. Take an afternoon, 300 00:13:36,440 --> 00:13:39,439 Speaker 4: build a spreadsheet, and you'll have a good sense of 301 00:13:39,679 --> 00:13:45,400 Speaker 4: what fits into my budget. 302 00:13:46,800 --> 00:13:49,240 Speaker 1: There are a lot of costs to calculate when buying 303 00:13:49,240 --> 00:13:51,880 Speaker 1: a car, and all of these additional costs just seem 304 00:13:52,000 --> 00:13:54,599 Speaker 1: to go up and up each year. According to the 305 00:13:54,679 --> 00:13:57,480 Speaker 1: latest research from Triple A, the average yearly cost to 306 00:13:57,559 --> 00:13:59,840 Speaker 1: own and operate a new car in twenty twenty two 307 00:14:00,400 --> 00:14:02,560 Speaker 1: was about eight hundred and ninety four dollars a month, 308 00:14:02,800 --> 00:14:07,559 Speaker 1: and that calculation includes the cost of insurance, maintenance, registration, depreciation, 309 00:14:08,080 --> 00:14:11,080 Speaker 1: finance charges, and gas prices, the ladder of which is 310 00:14:11,120 --> 00:14:13,480 Speaker 1: currently up to three dollars and fifty six cents a 311 00:14:13,559 --> 00:14:16,120 Speaker 1: gallon as a national average at the time of this recording. 312 00:14:18,960 --> 00:14:21,120 Speaker 4: When you're deciding what kind of car to buy, budget 313 00:14:21,160 --> 00:14:23,760 Speaker 4: needs to be number one, but The other thing that 314 00:14:23,800 --> 00:14:25,760 Speaker 4: you want to keep in mind, especially if you're not 315 00:14:25,800 --> 00:14:28,480 Speaker 4: able to put a down payment down, is is this 316 00:14:28,520 --> 00:14:31,720 Speaker 4: car going to last me through the next couple phases 317 00:14:31,800 --> 00:14:34,640 Speaker 4: of my life. Don't just get the car that works today. 318 00:14:35,000 --> 00:14:37,080 Speaker 4: Look for a car that's gonna work for you over 319 00:14:37,120 --> 00:14:39,480 Speaker 4: the next couple of years, especially if you have goals 320 00:14:39,480 --> 00:14:41,320 Speaker 4: and things you're looking at. If you're like, hey, man, 321 00:14:41,400 --> 00:14:44,160 Speaker 4: in a year, I'm gonna move to Chicago and you're 322 00:14:44,200 --> 00:14:46,720 Speaker 4: currently in Florida, maybe go ahead and get a car 323 00:14:46,760 --> 00:14:48,640 Speaker 4: with all wheel drive, even though you don't need it 324 00:14:48,680 --> 00:14:51,200 Speaker 4: in Florida, because you're gonna need it in other places. 325 00:14:51,680 --> 00:14:55,400 Speaker 1: Oh for sure, Jamie. You just keep perfectly segueing into 326 00:14:55,400 --> 00:14:58,000 Speaker 1: everything we want to talk about, because I do want 327 00:14:58,040 --> 00:15:01,680 Speaker 1: to discuss about how we find the right car for us. 328 00:15:02,240 --> 00:15:05,240 Speaker 1: How do we determine personal must have features, Like you 329 00:15:05,240 --> 00:15:07,280 Speaker 1: had mentioned all wheel drive, if you're going to live 330 00:15:07,280 --> 00:15:11,000 Speaker 1: in a place like Chicago or Minnesota or anywhere where 331 00:15:11,000 --> 00:15:14,920 Speaker 1: there is lots of snow. I mean, it. 332 00:15:14,880 --> 00:15:17,480 Speaker 4: Really really kind of comes down to, like, how am 333 00:15:17,480 --> 00:15:19,640 Speaker 4: I going to use this car? If you're like, I 334 00:15:19,680 --> 00:15:21,240 Speaker 4: am going to use this car to drive to the 335 00:15:21,280 --> 00:15:23,000 Speaker 4: grocery store and I'm going to use it to drive 336 00:15:23,040 --> 00:15:24,600 Speaker 4: to work, and then I'm going to use it to 337 00:15:24,720 --> 00:15:27,160 Speaker 4: drive to the beach three times a year. You can 338 00:15:27,200 --> 00:15:29,560 Speaker 4: probably get away with something really small, but if you 339 00:15:29,600 --> 00:15:31,240 Speaker 4: need a little bit more space, you know, look at 340 00:15:31,280 --> 00:15:33,520 Speaker 4: a compact suv and just kind of work your way up. 341 00:15:33,960 --> 00:15:37,160 Speaker 4: And the thing is you can absolutely go to dealers 342 00:15:37,480 --> 00:15:39,360 Speaker 4: and look at these cars. All you have to do 343 00:15:39,480 --> 00:15:41,800 Speaker 4: is just be prepared to repeat I am not buying today. 344 00:15:41,840 --> 00:15:44,000 Speaker 4: I am not buying today. I am not buying today, 345 00:15:44,080 --> 00:15:46,320 Speaker 4: I am just researching. The other thing is if you 346 00:15:46,400 --> 00:15:49,720 Speaker 4: have friends, neighbors, family members who have cars that are 347 00:15:49,760 --> 00:15:52,240 Speaker 4: similar to what you're interested in, ask them like, what 348 00:15:52,240 --> 00:15:53,480 Speaker 4: do you like about it? What do you don't like 349 00:15:53,520 --> 00:15:57,160 Speaker 4: about it? The really nice thing about most new car 350 00:15:57,440 --> 00:16:00,680 Speaker 4: and honestly most use cars now because the technology has 351 00:16:00,720 --> 00:16:02,960 Speaker 4: been around for a while, is that when it comes 352 00:16:03,000 --> 00:16:06,280 Speaker 4: to like the interior stuff like your infotainment system, it's 353 00:16:06,320 --> 00:16:09,400 Speaker 4: really easy to find systems like Android Auto and Apple 354 00:16:09,440 --> 00:16:12,320 Speaker 4: Car Play, and I absolutely recommend that you get those 355 00:16:12,560 --> 00:16:16,160 Speaker 4: because rather than having to learn a brand new infotainment system, 356 00:16:16,160 --> 00:16:17,880 Speaker 4: when you get a car, you plug your phone in 357 00:16:18,040 --> 00:16:19,720 Speaker 4: and it's your phone, right and you know, how to 358 00:16:19,840 --> 00:16:21,920 Speaker 4: use it, and you can use the navigation app that 359 00:16:21,960 --> 00:16:24,840 Speaker 4: you like. That's the one feature that I really recommend 360 00:16:24,880 --> 00:16:27,840 Speaker 4: people look for in terms of the interior. Beyond that, Yeah, 361 00:16:27,880 --> 00:16:29,760 Speaker 4: if you live in Wisconsin, go ahead, you know, look 362 00:16:29,800 --> 00:16:32,400 Speaker 4: for heated seats, get the all wheel drive, but really 363 00:16:32,480 --> 00:16:35,280 Speaker 4: start with this size. Make sure it's a size that 364 00:16:35,440 --> 00:16:37,360 Speaker 4: is going to work for you for a couple of years, 365 00:16:37,440 --> 00:16:39,600 Speaker 4: even if plans change a little bit, and then just 366 00:16:39,680 --> 00:16:40,480 Speaker 4: kind of go from there. 367 00:16:41,000 --> 00:16:43,680 Speaker 1: Okay, So asking for a friend, it's a friend, it's 368 00:16:43,720 --> 00:16:47,880 Speaker 1: not me who has had many accidents in reverse, mostly 369 00:16:47,920 --> 00:16:50,000 Speaker 1: in the early years of their driving. Again, it's not me, 370 00:16:50,040 --> 00:16:51,320 Speaker 1: it's somebody totally different. 371 00:16:51,760 --> 00:16:53,360 Speaker 3: We'll call her Holly. 372 00:16:54,320 --> 00:16:54,720 Speaker 1: Holly. 373 00:16:55,120 --> 00:16:56,320 Speaker 3: You've told me about Holly before. 374 00:16:56,520 --> 00:16:59,800 Speaker 1: Yeah, what are some of the safety features that are 375 00:16:59,840 --> 00:17:03,200 Speaker 1: now standard? Like, I know there's lane departure again for 376 00:17:03,280 --> 00:17:06,880 Speaker 1: this friend, not me. Is the backup camera standard? Now, 377 00:17:07,200 --> 00:17:09,199 Speaker 1: let's talk about one of those standard features that are 378 00:17:09,200 --> 00:17:10,200 Speaker 1: coming in cars now. 379 00:17:11,119 --> 00:17:14,120 Speaker 4: Yeah, your friend Holly can rest assured that backup cameras 380 00:17:14,160 --> 00:17:18,120 Speaker 4: are standard now on Newsark God and have been for many, 381 00:17:18,160 --> 00:17:20,479 Speaker 4: many years. So the vast majority of used cars are 382 00:17:20,480 --> 00:17:22,800 Speaker 4: going to have them too. And get this even if 383 00:17:22,840 --> 00:17:25,480 Speaker 4: your friend finds a car that doesn't have a backup camera, 384 00:17:25,560 --> 00:17:28,600 Speaker 4: you can get an aftermarket backup camera. Okay, so it's 385 00:17:28,680 --> 00:17:31,600 Speaker 4: really really helpful just if you continually have those types 386 00:17:31,640 --> 00:17:33,920 Speaker 4: of accidents or you know, you're just parking in tight 387 00:17:33,960 --> 00:17:37,160 Speaker 4: spaces all the time. But there are a ton of 388 00:17:37,320 --> 00:17:41,560 Speaker 4: active safety features available now, talking about like you mentioned 389 00:17:41,720 --> 00:17:44,600 Speaker 4: lane departure warding. What that does is the car beeps 390 00:17:44,600 --> 00:17:47,320 Speaker 4: at you if it senses that you are veering out 391 00:17:47,320 --> 00:17:50,080 Speaker 4: of your lane. In some cases, the car will also 392 00:17:50,119 --> 00:17:52,760 Speaker 4: have lane keeping assist, which means that the car will 393 00:17:52,840 --> 00:17:56,439 Speaker 4: kind of steer itself back into the lane. Or if you, 394 00:17:56,440 --> 00:17:59,040 Speaker 4: you know, attempt to change lanes without signaling, you're going 395 00:17:59,080 --> 00:18:01,040 Speaker 4: to feel a little bit of resistance in the steering 396 00:18:01,080 --> 00:18:02,920 Speaker 4: wheel as you do it. Yeah, as kind of a reminder, 397 00:18:02,960 --> 00:18:04,080 Speaker 4: because the car is going to be like, you didn't 398 00:18:04,119 --> 00:18:05,919 Speaker 4: tell me you were changing lanes. Now you're veering out 399 00:18:05,920 --> 00:18:06,959 Speaker 4: of the lane. What's going on? 400 00:18:07,560 --> 00:18:09,320 Speaker 1: Also, it's just being like dump be an asshole, like 401 00:18:09,320 --> 00:18:10,800 Speaker 1: tell people you're changing lanes. Okay. 402 00:18:10,880 --> 00:18:13,240 Speaker 4: Yeah, it is actually a really good trainer. So you 403 00:18:13,320 --> 00:18:15,159 Speaker 4: turned your signal on so you don't have to wrestle 404 00:18:15,160 --> 00:18:19,119 Speaker 4: with the steering wheel. There's also forward collision warning, often 405 00:18:19,160 --> 00:18:22,439 Speaker 4: with automatic braking, so if you're in stop and go 406 00:18:22,520 --> 00:18:24,280 Speaker 4: traffic and you might hit the car in front of you, 407 00:18:24,320 --> 00:18:25,960 Speaker 4: the car is going to be like pay at dungeon, 408 00:18:26,280 --> 00:18:28,960 Speaker 4: and occasionally you know, if it comes with automatic braking, 409 00:18:29,000 --> 00:18:31,880 Speaker 4: it's gonna slam on the brakes. Some available cars will 410 00:18:31,880 --> 00:18:34,480 Speaker 4: have this tends to be optional, not standard, but it's 411 00:18:34,520 --> 00:18:37,960 Speaker 4: out there. Rear collision warning with automatic braking, so if 412 00:18:37,960 --> 00:18:40,600 Speaker 4: you're gonna back into something, the car will stop you. 413 00:18:41,000 --> 00:18:43,399 Speaker 1: Holly would love that, Yes, she would enjoy it. 414 00:18:43,440 --> 00:18:46,359 Speaker 4: There's also blind spot warning, so if there's somebody in 415 00:18:46,400 --> 00:18:48,200 Speaker 4: your blind spot and you're like, I'm gonna change lanes, 416 00:18:48,240 --> 00:18:49,879 Speaker 4: the car is gonna be like, I'm gonna flash a 417 00:18:49,960 --> 00:18:52,439 Speaker 4: light at you, so you know somebody's there. That is 418 00:18:52,480 --> 00:18:55,640 Speaker 4: particularly helpful if you've packed your car full of stuff 419 00:18:55,680 --> 00:18:58,240 Speaker 4: and you can't see in your blind spot, so this 420 00:18:58,400 --> 00:19:00,360 Speaker 4: way the car will look out for you. So there 421 00:19:00,359 --> 00:19:03,760 Speaker 4: are a number of these active safety features. Though I 422 00:19:03,880 --> 00:19:06,320 Speaker 4: hesitate to call them safety features, the best way to 423 00:19:06,400 --> 00:19:09,800 Speaker 4: think about them their driver assistance speetures, because they help 424 00:19:09,880 --> 00:19:12,920 Speaker 4: you drive better. Some cars now can get like super 425 00:19:13,000 --> 00:19:15,240 Speaker 4: nannying about it too, where you know, if you've been 426 00:19:15,320 --> 00:19:17,880 Speaker 4: driving for a while and it detects that, like you're 427 00:19:17,880 --> 00:19:20,240 Speaker 4: getting sleepy, it'll be like, hey, why don't you pull 428 00:19:20,240 --> 00:19:21,880 Speaker 4: over have a cup of coffee? And I'm like, you're 429 00:19:21,920 --> 00:19:24,040 Speaker 4: not my mom, shut up, no, like I'm going to 430 00:19:24,160 --> 00:19:24,719 Speaker 4: keep driving. 431 00:19:24,880 --> 00:19:26,560 Speaker 1: Wait really how does it do that? 432 00:19:27,119 --> 00:19:28,919 Speaker 4: So there are a number of different systems that do this, 433 00:19:29,040 --> 00:19:30,720 Speaker 4: but first it's going to look at like how good 434 00:19:30,720 --> 00:19:33,080 Speaker 4: you are at staying in your lane? And this is 435 00:19:33,160 --> 00:19:35,919 Speaker 4: super creepy. There's scanners in the car that are going 436 00:19:36,000 --> 00:19:38,800 Speaker 4: to be looking at your eyes. No, and if your 437 00:19:38,840 --> 00:19:41,920 Speaker 4: eyes are not on the road or like Subru has 438 00:19:41,960 --> 00:19:44,199 Speaker 4: this where it's been like look at the road, Jamie 439 00:19:44,280 --> 00:19:47,439 Speaker 4: and I'm like, okay, mom, Subru like but it's like 440 00:19:47,600 --> 00:19:48,400 Speaker 4: this is helpful. 441 00:19:48,560 --> 00:19:50,720 Speaker 1: I mean, let's be honest, if any car was a mom, 442 00:19:50,720 --> 00:19:53,280 Speaker 1: it would be a super Let's be real for trake, Yeah, 443 00:19:53,280 --> 00:19:53,720 Speaker 1: for sure. 444 00:19:54,280 --> 00:19:57,280 Speaker 4: You can also get cars now with active cruise control 445 00:19:57,400 --> 00:20:01,720 Speaker 4: and not calling itself driving, because I think it's very 446 00:20:01,760 --> 00:20:05,240 Speaker 4: important for everyone to understand that there is no self 447 00:20:05,320 --> 00:20:08,240 Speaker 4: driving car on the market right now. The best you 448 00:20:08,280 --> 00:20:11,080 Speaker 4: can do is a car that lets you take your 449 00:20:11,080 --> 00:20:13,879 Speaker 4: foot off the gas and your hands off the wheel, 450 00:20:14,440 --> 00:20:17,240 Speaker 4: but you still have to sit there and pay attention 451 00:20:17,960 --> 00:20:21,960 Speaker 4: and step in if something happens that the car cannot handle. 452 00:20:22,359 --> 00:20:24,280 Speaker 4: And so that doesn't mean you can be on your phone. 453 00:20:24,280 --> 00:20:26,399 Speaker 4: That doesn't mean you can watch movies. It definitely doesn't 454 00:20:26,400 --> 00:20:28,840 Speaker 4: mean you can sleep. But just know that there are 455 00:20:28,880 --> 00:20:30,639 Speaker 4: these features out there. You're going to have to spend 456 00:20:30,640 --> 00:20:33,720 Speaker 4: to get them, but when you have a car with them, 457 00:20:33,920 --> 00:20:36,000 Speaker 4: the best way to think about them is that they 458 00:20:36,040 --> 00:20:39,040 Speaker 4: don't exist at all, because these are systems. They're really 459 00:20:39,119 --> 00:20:42,400 Speaker 4: meant to save you from mistakes, not save you from 460 00:20:42,480 --> 00:20:45,640 Speaker 4: kind of making the mistakes. So drive like you don't 461 00:20:45,640 --> 00:20:48,680 Speaker 4: have these features, but they will step in and you'll 462 00:20:48,720 --> 00:20:51,760 Speaker 4: be happy that you have them if an accident happens 463 00:20:51,800 --> 00:20:52,399 Speaker 4: or something like this. 464 00:20:55,320 --> 00:20:57,439 Speaker 1: We'll be right back with more grown up stuff how 465 00:20:57,480 --> 00:21:05,760 Speaker 1: to adult. After a quick break, and we're back with 466 00:21:05,840 --> 00:21:12,800 Speaker 1: more grown up stuff how to adults. We've talked a 467 00:21:12,800 --> 00:21:15,399 Speaker 1: lot about identifying what you need a car for and 468 00:21:15,440 --> 00:21:18,159 Speaker 1: then using those points to choose the right car for 469 00:21:18,200 --> 00:21:20,679 Speaker 1: you and your needs, but a major point of interest 470 00:21:20,760 --> 00:21:23,280 Speaker 1: for many car buyers comparing makes and models is a 471 00:21:23,359 --> 00:21:27,000 Speaker 1: vehicle's MPG or miles per gallon it seems like every 472 00:21:27,000 --> 00:21:30,120 Speaker 1: few months the price of gas just keeps rising. Perhaps 473 00:21:30,240 --> 00:21:32,679 Speaker 1: this is one of the many reasons why purchases of 474 00:21:32,760 --> 00:21:36,240 Speaker 1: electric vehicles or evs increase in the US by two 475 00:21:36,400 --> 00:21:39,760 Speaker 1: thirds in twenty twenty two, According to data published by 476 00:21:39,840 --> 00:21:43,400 Speaker 1: JD Power. During that time, EV's accounted for five point 477 00:21:43,480 --> 00:21:46,760 Speaker 1: eight percent of all new vehicles sold that year. In 478 00:21:46,840 --> 00:21:51,040 Speaker 1: twenty twenty one, that number was just three point two percent. Plus. 479 00:21:51,080 --> 00:21:55,000 Speaker 1: With growing concern around human caused climate change, evs or 480 00:21:55,000 --> 00:21:59,119 Speaker 1: even hybrid models offer car shoppers seemingly greener options for 481 00:21:59,200 --> 00:22:03,719 Speaker 1: their everyday transferation. I want to talk a little bit 482 00:22:03,720 --> 00:22:08,120 Speaker 1: too about evs and hybrids. You know, millennials and gen 483 00:22:08,240 --> 00:22:10,320 Speaker 1: z like I think a lot of us are very 484 00:22:10,400 --> 00:22:12,960 Speaker 1: environmentally conscious, and we're trying to think about, Okay, if 485 00:22:12,960 --> 00:22:15,080 Speaker 1: we do have to buy a car, how can we 486 00:22:15,119 --> 00:22:18,160 Speaker 1: find a car that has a lower impact on the environment. 487 00:22:18,720 --> 00:22:20,919 Speaker 1: What are the differences between an EV and a hybrid? 488 00:22:20,960 --> 00:22:23,320 Speaker 1: What are the things we need to consider when deciding 489 00:22:23,520 --> 00:22:26,600 Speaker 1: between these two options. You know, what's the advantage of 490 00:22:26,600 --> 00:22:28,720 Speaker 1: buying one over the other? Are there tax advantages for 491 00:22:28,800 --> 00:22:29,960 Speaker 1: buying one over the other? 492 00:22:30,840 --> 00:22:34,040 Speaker 4: Yeah, So, first you have what's known as an ice car, 493 00:22:34,080 --> 00:22:36,840 Speaker 4: which is an internal combustion engine, and that's a car 494 00:22:37,000 --> 00:22:39,720 Speaker 4: that runs on gas. Okay, then you have a hybrid. 495 00:22:40,119 --> 00:22:43,720 Speaker 4: There are a number of different types of hybrids. In fact, 496 00:22:43,880 --> 00:22:46,280 Speaker 4: most gas cars now or not most, but I'd say 497 00:22:46,280 --> 00:22:50,200 Speaker 4: a sizable minority are actually technically hybrids. Really but okay, 498 00:22:50,240 --> 00:22:52,600 Speaker 4: they're not the kind of hybrid that can drive under 499 00:22:52,720 --> 00:22:56,000 Speaker 4: electric power alone. They generally and this cracks me up 500 00:22:56,040 --> 00:22:58,160 Speaker 4: because a lot of times their performance cars and they 501 00:22:58,160 --> 00:23:00,360 Speaker 4: throw in an electric motor so you can go fast. 502 00:23:00,600 --> 00:23:03,720 Speaker 4: So it's using the technology to burn more gas. But 503 00:23:04,040 --> 00:23:05,680 Speaker 4: when you're looking at a hybrid, the two main types 504 00:23:05,720 --> 00:23:08,000 Speaker 4: that you're going to look at are a hybrid and 505 00:23:08,040 --> 00:23:11,360 Speaker 4: a plug in hybrid. A plug in hybrid is a 506 00:23:11,560 --> 00:23:15,040 Speaker 4: hybrid that you can plug in. And so what happens 507 00:23:15,160 --> 00:23:17,719 Speaker 4: is with let's say a regular hybrid, is it's got 508 00:23:17,760 --> 00:23:19,760 Speaker 4: a gas engine. It also has an electric motor and 509 00:23:19,840 --> 00:23:22,560 Speaker 4: some batteries. On a regular hybrid, those batteries are going 510 00:23:22,600 --> 00:23:25,480 Speaker 4: to be charged. This is really interesting. Every time you break, 511 00:23:25,640 --> 00:23:29,280 Speaker 4: it recaptures the friction from the braking to charge the battery. 512 00:23:29,359 --> 00:23:31,120 Speaker 3: I've seen that battery. 513 00:23:31,520 --> 00:23:34,280 Speaker 4: The electric motor is going to allow the gas engine 514 00:23:34,280 --> 00:23:36,760 Speaker 4: to turn off while you're at a stoplight, and it's 515 00:23:36,760 --> 00:23:39,280 Speaker 4: going to assist the car, so it uses less gas, 516 00:23:39,359 --> 00:23:41,920 Speaker 4: but it's really not going to allow you to drive 517 00:23:41,960 --> 00:23:45,160 Speaker 4: on electric power alone for any kind of distance, really 518 00:23:45,200 --> 00:23:48,160 Speaker 4: over a mile. A plug in hybrid, on the other hand, 519 00:23:48,640 --> 00:23:50,440 Speaker 4: is a car that you plug in and you charge 520 00:23:50,440 --> 00:23:52,520 Speaker 4: the batteries with electricity, you know, from your house or 521 00:23:52,520 --> 00:23:55,520 Speaker 4: from a charger, and then it will also regenerate some 522 00:23:55,560 --> 00:23:57,679 Speaker 4: of the power, you know, from the breaking. These you 523 00:23:57,720 --> 00:24:01,560 Speaker 4: can generally drive about twenty to thirty miles on electric 524 00:24:01,600 --> 00:24:04,480 Speaker 4: power alone, and then when you're out of electric power, 525 00:24:04,480 --> 00:24:06,439 Speaker 4: the gas engine kicks on and you're good to go. 526 00:24:06,840 --> 00:24:10,200 Speaker 4: I really really like plug in hybrids and recommend them 527 00:24:10,240 --> 00:24:14,919 Speaker 4: for almost everybody, simply because the charging infrastructure in a 528 00:24:14,920 --> 00:24:17,320 Speaker 4: lot of areas is not so good for evs, and 529 00:24:17,359 --> 00:24:19,560 Speaker 4: if you don't live in a house with a garage 530 00:24:19,760 --> 00:24:23,399 Speaker 4: or an apartment complex that has dedicated chargers, you're going 531 00:24:23,440 --> 00:24:26,160 Speaker 4: to have issues charging your car, and so a plug 532 00:24:26,160 --> 00:24:28,040 Speaker 4: in hybrid you don't have to worry about that. You 533 00:24:28,040 --> 00:24:30,000 Speaker 4: can just go to a gas station and drive normally. 534 00:24:30,600 --> 00:24:32,720 Speaker 4: The EV takes it a step further. It removes the 535 00:24:32,720 --> 00:24:35,679 Speaker 4: gas engine, so you are only on battery power, and 536 00:24:35,800 --> 00:24:38,960 Speaker 4: depending on how much money you spend, you can get 537 00:24:39,000 --> 00:24:42,280 Speaker 4: anywhere from like one hundred to over three hundred miles 538 00:24:42,280 --> 00:24:45,520 Speaker 4: of electric range with evs. The thing to really consider 539 00:24:45,760 --> 00:24:49,000 Speaker 4: is not only do I have access to a charging 540 00:24:49,040 --> 00:24:53,359 Speaker 4: facility regularly, but also what type of charging facility is 541 00:24:53,400 --> 00:24:57,120 Speaker 4: it and how quickly can my car take a charge 542 00:24:57,200 --> 00:25:00,520 Speaker 4: from that type of charging facility. So they're different levels 543 00:25:00,520 --> 00:25:02,960 Speaker 4: of charge, you know, A level one charge is basically 544 00:25:03,000 --> 00:25:05,159 Speaker 4: like I plugged it into the plug at my house. 545 00:25:05,600 --> 00:25:08,520 Speaker 4: And then there's level two chargers, which is basically like 546 00:25:08,560 --> 00:25:10,760 Speaker 4: I plugged it into the kind of outlet that a 547 00:25:10,880 --> 00:25:13,320 Speaker 4: dryer would use. You sometimes see a lot of these, 548 00:25:13,440 --> 00:25:15,040 Speaker 4: at least where I live. There are a lot of 549 00:25:15,119 --> 00:25:18,320 Speaker 4: level two chargers around like grocery stores and stuff, which 550 00:25:18,359 --> 00:25:21,280 Speaker 4: is great. You pull in, you charge, but they charge 551 00:25:21,280 --> 00:25:23,359 Speaker 4: really really slowly because they're not at a level that 552 00:25:23,440 --> 00:25:26,800 Speaker 4: like shoots out lightning. A level three charger is kind 553 00:25:26,800 --> 00:25:29,160 Speaker 4: of the equivalent of shooting lightning out into your car, 554 00:25:29,560 --> 00:25:32,760 Speaker 4: but still depending again on how much charge your car 555 00:25:32,800 --> 00:25:34,560 Speaker 4: can take and how quickly it can take it. 556 00:25:34,640 --> 00:25:36,280 Speaker 3: Kind of the holy grail that a lot. 557 00:25:36,119 --> 00:25:38,520 Speaker 4: Of automakers shoot for is that the car will charge 558 00:25:38,560 --> 00:25:41,600 Speaker 4: to eighty percent in twenty minutes, and so that's something 559 00:25:41,680 --> 00:25:45,080 Speaker 4: you really need to think about. That said, pere evs 560 00:25:45,280 --> 00:25:48,760 Speaker 4: tend to have more tax incentives, which is really really 561 00:25:48,840 --> 00:25:52,640 Speaker 4: nice interesting provided that the right percentage of the car 562 00:25:52,720 --> 00:25:55,560 Speaker 4: has been assembled in the United States and has American 563 00:25:55,640 --> 00:25:56,719 Speaker 4: made car parts. 564 00:25:57,200 --> 00:25:58,560 Speaker 3: These rolled out last. 565 00:25:58,400 --> 00:26:01,399 Speaker 4: Year, you can get up to seventy five hundred tax credit. 566 00:26:01,840 --> 00:26:03,439 Speaker 3: Here's what's really neat about it. 567 00:26:03,480 --> 00:26:03,680 Speaker 1: Though. 568 00:26:04,000 --> 00:26:05,520 Speaker 4: It used to be that you could get a huge 569 00:26:05,560 --> 00:26:08,399 Speaker 4: tax credit you with a hybrid, but you had to 570 00:26:08,440 --> 00:26:11,480 Speaker 4: wait until you filed your taxes, and for a lot 571 00:26:11,480 --> 00:26:13,639 Speaker 4: of people that was a pain, and that credit was 572 00:26:13,680 --> 00:26:16,480 Speaker 4: non transferable. What you can do now is you can 573 00:26:16,480 --> 00:26:19,720 Speaker 4: transfer that credit, say to the dealer, and get that 574 00:26:19,760 --> 00:26:22,080 Speaker 4: seventy five hundred bucks as a discount on the car, 575 00:26:22,520 --> 00:26:25,199 Speaker 4: which is really nice. I should say it's up to 576 00:26:25,320 --> 00:26:28,199 Speaker 4: seventy five hundred bucks. Again, depending on the type of 577 00:26:28,240 --> 00:26:30,399 Speaker 4: car that you're getting and how much of it was 578 00:26:30,440 --> 00:26:34,040 Speaker 4: made in the United States. You should also always check though, 579 00:26:34,359 --> 00:26:39,439 Speaker 4: because localities often have incentives for buying electric or hybrid cars, 580 00:26:39,560 --> 00:26:42,480 Speaker 4: so check those out as well, because that can save 581 00:26:42,520 --> 00:26:44,600 Speaker 4: you a significant amount of money. If your town, city 582 00:26:44,680 --> 00:26:46,800 Speaker 4: or state also has some incentives there. 583 00:26:47,359 --> 00:26:51,680 Speaker 1: Amazing, wasn't there a recent legislation that was signed through 584 00:26:51,720 --> 00:26:54,119 Speaker 1: where there will be more there's a certain number of 585 00:26:54,640 --> 00:26:56,679 Speaker 1: EV stations. Talk to me a little bit about that. 586 00:26:57,520 --> 00:26:59,520 Speaker 4: Yeah, I mean, the thing is this infrastructure is not 587 00:26:59,520 --> 00:27:02,040 Speaker 4: going to change without government support, Like it's just not. 588 00:27:02,720 --> 00:27:05,480 Speaker 4: And so there've been some legislation that has been pushed 589 00:27:05,520 --> 00:27:08,800 Speaker 4: through to really help build out a national EV charging network. 590 00:27:09,160 --> 00:27:12,400 Speaker 4: But as private companies see that there is profit too 591 00:27:12,400 --> 00:27:14,439 Speaker 4: made in this end, you know, government subsidies to be 592 00:27:14,440 --> 00:27:17,719 Speaker 4: made in charging networks, there will be more of them available. 593 00:27:17,800 --> 00:27:21,679 Speaker 4: The other thing is Tesla has the best charging network. 594 00:27:21,720 --> 00:27:24,199 Speaker 4: The smartest thing that Tesla ever did was build out 595 00:27:24,240 --> 00:27:27,280 Speaker 4: the charging network as they built out the cars. And 596 00:27:27,560 --> 00:27:31,080 Speaker 4: they are now allowing other evs to use their chargers. 597 00:27:31,080 --> 00:27:33,399 Speaker 4: So I think Chevy and Fords can now use the 598 00:27:33,400 --> 00:27:36,720 Speaker 4: newer Chevy and Ford evs can use Tesla superchargers. Those 599 00:27:36,760 --> 00:27:39,840 Speaker 4: are really fast chargers. They're all over the place. It's 600 00:27:39,840 --> 00:27:41,880 Speaker 4: not a big deal at all to drive cross country 601 00:27:41,960 --> 00:27:45,719 Speaker 4: just on the Tesla supercharging network. So really look at 602 00:27:45,840 --> 00:27:47,960 Speaker 4: you know, if you're thinking about an EV, you have 603 00:27:48,040 --> 00:27:50,439 Speaker 4: a whole nother day of research to do on what 604 00:27:50,640 --> 00:27:53,240 Speaker 4: kind of charging network you're going to need, what's available 605 00:27:53,280 --> 00:27:55,840 Speaker 4: in your area. There are apps all over the place 606 00:27:55,880 --> 00:27:58,240 Speaker 4: that can help you figure this out, tons and tons 607 00:27:58,280 --> 00:28:01,440 Speaker 4: of businesses devoted to it. It's also very easy if 608 00:28:01,480 --> 00:28:04,520 Speaker 4: you just like google the name of the car you're considering, 609 00:28:04,680 --> 00:28:07,280 Speaker 4: and then forum. You're going to find a lot of 610 00:28:07,320 --> 00:28:09,800 Speaker 4: owner forums and you can ask your questions there from 611 00:28:09,840 --> 00:28:12,639 Speaker 4: people who are actually living it, and they're always super 612 00:28:12,680 --> 00:28:13,920 Speaker 4: passionate and super helpful. 613 00:28:17,359 --> 00:28:19,960 Speaker 1: Hybrids and evs are a great option when you're looking 614 00:28:20,000 --> 00:28:23,520 Speaker 1: at buying a car, especially as the infrastructure grows for 615 00:28:23,640 --> 00:28:27,119 Speaker 1: charging stations. But gas versus battery mileage is only a 616 00:28:27,200 --> 00:28:30,119 Speaker 1: small factor we should consider when choosing a car. We 617 00:28:30,240 --> 00:28:33,399 Speaker 1: want to know that whatever we buy it will be dependable, 618 00:28:33,680 --> 00:28:35,720 Speaker 1: that will get our money's worth and not end up 619 00:28:35,720 --> 00:28:38,400 Speaker 1: with a lemon. But what's the best resource to determine 620 00:28:38,440 --> 00:28:40,840 Speaker 1: the longevity and reliability of a car. 621 00:28:43,240 --> 00:28:46,160 Speaker 2: So here at Coronum Stuff, we are big believers in 622 00:28:46,480 --> 00:28:49,200 Speaker 2: getting what you pay for. So let's say, you know, 623 00:28:49,200 --> 00:28:51,400 Speaker 2: we thought about the size of the vehicle. Let's say 624 00:28:51,400 --> 00:28:53,440 Speaker 2: we thought about the features that we want, and we've 625 00:28:53,440 --> 00:28:54,760 Speaker 2: thought about buying newer used. 626 00:28:54,760 --> 00:28:56,040 Speaker 3: We've got it narrow down. 627 00:28:55,840 --> 00:28:58,960 Speaker 2: To a couple of models of cars. With that in mind, 628 00:28:59,200 --> 00:29:03,600 Speaker 2: what are car reliability scores? Where can we find them? 629 00:29:03,760 --> 00:29:06,840 Speaker 2: And how can we use them to determine what kind 630 00:29:06,840 --> 00:29:07,720 Speaker 2: of car we should buy? 631 00:29:08,480 --> 00:29:12,320 Speaker 4: Well, a car reliability score is like an index of 632 00:29:12,400 --> 00:29:15,960 Speaker 4: the data that the car reliability company has gathered on 633 00:29:16,000 --> 00:29:19,520 Speaker 4: that particular year, make and model. It's not very specific. 634 00:29:19,640 --> 00:29:21,840 Speaker 4: It just gives you kind of a ballpark. It can 635 00:29:21,840 --> 00:29:24,240 Speaker 4: help you kind of eliminate a car if the scores 636 00:29:24,240 --> 00:29:26,920 Speaker 4: are very very different. The other thing to remember, too, 637 00:29:27,000 --> 00:29:28,680 Speaker 4: is if you're looking at a car that's like less 638 00:29:28,680 --> 00:29:30,680 Speaker 4: than three years old, there's not going to be good 639 00:29:30,680 --> 00:29:33,000 Speaker 4: reliability data on it because not enough of them will 640 00:29:33,000 --> 00:29:35,800 Speaker 4: have broken down. That makes sense, So that's going to 641 00:29:35,840 --> 00:29:38,040 Speaker 4: be a little bit of a question there. There are 642 00:29:38,080 --> 00:29:41,800 Speaker 4: a number of sources about car reliability. None of them 643 00:29:41,840 --> 00:29:44,720 Speaker 4: are perfect, but you can kind of aggregate them and 644 00:29:44,760 --> 00:29:47,479 Speaker 4: get a sense. So JD Power is kind of like 645 00:29:47,520 --> 00:29:52,600 Speaker 4: the gold standard of automotive dependability and maintenance scores. They're 646 00:29:52,600 --> 00:29:55,680 Speaker 4: not perfect. So the way that JD Power gets their scores, 647 00:29:55,720 --> 00:29:58,520 Speaker 4: they have the initial quality study, which is after you 648 00:29:58,520 --> 00:30:00,360 Speaker 4: buy a car and like This is pretty cool. If 649 00:30:00,400 --> 00:30:02,720 Speaker 4: you ever buy a new car within the first three months, 650 00:30:02,800 --> 00:30:04,760 Speaker 4: Jdpower might send you a survey and you get a 651 00:30:04,800 --> 00:30:06,560 Speaker 4: dollar if you fill it out. I've done it, and 652 00:30:06,600 --> 00:30:09,440 Speaker 4: it's such a thrill to feel like you're contributing. But 653 00:30:09,480 --> 00:30:11,720 Speaker 4: the initial quality study just really looks at things that 654 00:30:11,760 --> 00:30:14,760 Speaker 4: have really gone wrong in the first thirty days. Then 655 00:30:15,000 --> 00:30:18,040 Speaker 4: Jdpower also has the vehicle dependability study, which they do 656 00:30:18,400 --> 00:30:19,840 Speaker 4: after the car has been on the road for a 657 00:30:19,880 --> 00:30:22,520 Speaker 4: couple of years, and people fill out the problems that 658 00:30:22,520 --> 00:30:24,480 Speaker 4: they've had with the car, and so that is a 659 00:30:24,520 --> 00:30:27,560 Speaker 4: pretty good data point. The only thing that I would 660 00:30:27,640 --> 00:30:30,600 Speaker 4: just caution people about is that all of the problems 661 00:30:30,640 --> 00:30:33,000 Speaker 4: people have with their cars are given the same weight. 662 00:30:33,600 --> 00:30:37,080 Speaker 4: So somebody's like radio not working is given the same 663 00:30:37,080 --> 00:30:40,600 Speaker 4: weight as somebody's transmission falling out on the highway. So 664 00:30:41,080 --> 00:30:42,960 Speaker 4: take that a little bit with a grain of salt. 665 00:30:43,200 --> 00:30:46,120 Speaker 4: Consumer Reports you have to pay to access it, but 666 00:30:46,280 --> 00:30:48,280 Speaker 4: if it saves you money and maintenance in the long term, 667 00:30:48,280 --> 00:30:51,160 Speaker 4: consider it an investment. Just get like a month worth 668 00:30:51,200 --> 00:30:54,440 Speaker 4: of Consumer Reports to go look at their car dependability ratings. 669 00:30:54,520 --> 00:30:57,200 Speaker 4: They tend to be really, really good. And then this 670 00:30:57,240 --> 00:30:59,800 Speaker 4: is another just kind of google hack, Google the year 671 00:31:00,200 --> 00:31:03,080 Speaker 4: model of the car that you're considering, and then problems 672 00:31:03,600 --> 00:31:05,560 Speaker 4: and what will come up is a lot of those 673 00:31:05,600 --> 00:31:08,280 Speaker 4: owner forums and you can kind of scan through and 674 00:31:08,320 --> 00:31:10,360 Speaker 4: see the issues that people are having and what it 675 00:31:10,400 --> 00:31:11,120 Speaker 4: costs to fix. 676 00:31:11,640 --> 00:31:11,880 Speaker 2: Car. 677 00:31:12,000 --> 00:31:15,479 Speaker 4: MD is another place that they do a vehicle health study. 678 00:31:15,960 --> 00:31:19,640 Speaker 4: Theirs is just based on code readers, So those are 679 00:31:19,680 --> 00:31:21,960 Speaker 4: the things like when your check engine light comes on, 680 00:31:22,160 --> 00:31:24,760 Speaker 4: the mechanic plugs in a code reader, so again it's 681 00:31:24,800 --> 00:31:27,480 Speaker 4: not going to capture everything, but it's going to capture 682 00:31:27,640 --> 00:31:30,280 Speaker 4: a good chunk of it. And then here is a 683 00:31:30,320 --> 00:31:33,880 Speaker 4: little like hack that I absolutely love, love a hack, 684 00:31:33,960 --> 00:31:35,520 Speaker 4: and I am here to talk to you about your 685 00:31:35,520 --> 00:31:39,920 Speaker 4: car's extended warranty. What you can do is call up 686 00:31:39,960 --> 00:31:43,480 Speaker 4: an extended warranty company, give a fake name so they 687 00:31:43,520 --> 00:31:47,160 Speaker 4: don't call you back, and say, hey, what's the cost 688 00:31:47,200 --> 00:31:49,640 Speaker 4: for an extended warranty on this year, make and model 689 00:31:49,680 --> 00:31:51,720 Speaker 4: of a car? And what you can kind of tell 690 00:31:51,720 --> 00:31:54,920 Speaker 4: because these extended warranty companies they're going to make money 691 00:31:54,920 --> 00:31:57,520 Speaker 4: on that warranty. So if it has a super expensive 692 00:31:57,760 --> 00:32:00,479 Speaker 4: extended warranty, you don't want that car. That means it's 693 00:32:00,520 --> 00:32:02,560 Speaker 4: going to break a lot because they want you to 694 00:32:02,560 --> 00:32:04,400 Speaker 4: pay a lot in case they have to back up 695 00:32:04,400 --> 00:32:08,080 Speaker 4: that warranty if it has a cheap extended warranty or 696 00:32:08,080 --> 00:32:10,600 Speaker 4: a relatively cheap extended warranty. And just be clear, I'm 697 00:32:10,640 --> 00:32:12,640 Speaker 4: not saying you get the extended warranty. I'm saying get 698 00:32:12,680 --> 00:32:15,200 Speaker 4: quotes on the extended warranty. So you know, it's a 699 00:32:15,240 --> 00:32:17,000 Speaker 4: little bit of a backdoor way to figure it out, 700 00:32:17,000 --> 00:32:19,560 Speaker 4: but there are a ton of resources out there. But 701 00:32:19,640 --> 00:32:22,200 Speaker 4: just bear in mind, especially if you're buying a used car, 702 00:32:22,600 --> 00:32:24,920 Speaker 4: the previous owner could have just totally messed that car up, 703 00:32:25,040 --> 00:32:26,840 Speaker 4: so it's always going to be a little bit of 704 00:32:26,840 --> 00:32:27,280 Speaker 4: a gamble. 705 00:32:33,280 --> 00:32:35,880 Speaker 1: Well, car buying is not currently in the near future 706 00:32:35,880 --> 00:32:38,280 Speaker 1: for me, I do feel more equipped to figure out 707 00:32:38,360 --> 00:32:40,400 Speaker 1: when I'll be ready and how to find the right 708 00:32:40,400 --> 00:32:42,240 Speaker 1: car to fit my needs when that day does come. 709 00:32:42,880 --> 00:32:45,160 Speaker 1: For all of you who are thinking, wait a minute, 710 00:32:45,320 --> 00:32:47,440 Speaker 1: that's all you're going to talk about in How to 711 00:32:47,480 --> 00:32:51,200 Speaker 1: Buy a Car episode, please do not fret. Jamie had 712 00:32:51,320 --> 00:32:54,200 Speaker 1: so much great information to share about car buying that 713 00:32:54,280 --> 00:32:57,040 Speaker 1: we quite literally had to split this into two episodes. 714 00:32:57,440 --> 00:33:00,000 Speaker 1: But here's what I've learned from Jamie in this part 715 00:33:00,200 --> 00:33:03,280 Speaker 1: one of car buying grown up stuff. For starters, figure 716 00:33:03,320 --> 00:33:06,480 Speaker 1: out what you actually need a car for. Don't decide 717 00:33:06,560 --> 00:33:09,200 Speaker 1: on a huge, expensive car that you're really only going 718 00:33:09,280 --> 00:33:11,560 Speaker 1: to need maybe once or twice a year. Rent that 719 00:33:11,640 --> 00:33:15,080 Speaker 1: car instead. You'll end up saving money. Make a budget. 720 00:33:15,120 --> 00:33:17,440 Speaker 1: Determine how much you can afford on a down payment 721 00:33:17,600 --> 00:33:21,360 Speaker 1: and for monthly payments. But don't forget that this has 722 00:33:21,440 --> 00:33:24,080 Speaker 1: to include things like gas prices, maintenance for the car, 723 00:33:24,160 --> 00:33:27,720 Speaker 1: and insurance payments. Being upside down on a car loan 724 00:33:28,240 --> 00:33:30,880 Speaker 1: is bad news. This happens because the second you drive 725 00:33:30,920 --> 00:33:34,520 Speaker 1: off the lot, your new car depreciates in value significantly, 726 00:33:35,000 --> 00:33:37,880 Speaker 1: and if you've used a car loan, they only care 727 00:33:37,960 --> 00:33:40,640 Speaker 1: about the value you paid for the car, not its 728 00:33:40,720 --> 00:33:43,680 Speaker 1: current value. Ways you can avoid this a higher down 729 00:33:43,720 --> 00:33:46,719 Speaker 1: payment or get car insurance that will cover more than 730 00:33:46,760 --> 00:33:49,960 Speaker 1: the value of the car. There are a lot of 731 00:33:50,000 --> 00:33:53,880 Speaker 1: great safety features on cars today, including backup cameras, but 732 00:33:54,120 --> 00:33:57,600 Speaker 1: remember these should not be so heavily relied on. Think 733 00:33:57,640 --> 00:33:59,200 Speaker 1: of them more as a safety net if you make 734 00:33:59,240 --> 00:34:02,920 Speaker 1: a mistake, not a replacement for good driving practices. While 735 00:34:02,960 --> 00:34:06,960 Speaker 1: traditional hybrids run on both gas and electricity, they can't 736 00:34:07,000 --> 00:34:11,720 Speaker 1: go significant distances on battery alone. A plug in hybrid car, however, 737 00:34:11,800 --> 00:34:14,960 Speaker 1: can generate power from breaking like a traditional hybrid, but 738 00:34:15,080 --> 00:34:17,399 Speaker 1: you can also plug them into charge as well. These 739 00:34:17,440 --> 00:34:19,560 Speaker 1: types of hybrids can allow you to go twenty to 740 00:34:19,600 --> 00:34:23,040 Speaker 1: thirty times further on electric power alone. There's a lot 741 00:34:23,080 --> 00:34:26,120 Speaker 1: of ways to figure out how dependable or reliable your 742 00:34:26,160 --> 00:34:28,000 Speaker 1: new car is going to be. You can always check 743 00:34:28,000 --> 00:34:31,920 Speaker 1: out JD Power for free dependability ratings. That's all for 744 00:34:31,920 --> 00:34:34,960 Speaker 1: today's episode. Okay, Matt, Now, I know I ask you 745 00:34:35,000 --> 00:34:37,360 Speaker 1: at the end of every episode what's up next, but 746 00:34:37,440 --> 00:34:40,239 Speaker 1: I actually know this time what's up next because we 747 00:34:40,360 --> 00:34:42,040 Speaker 1: have more car buying guidance. 748 00:34:42,360 --> 00:34:42,839 Speaker 3: That's right. 749 00:34:42,960 --> 00:34:45,839 Speaker 2: Jamie Page Eaton is joining us for part two, where 750 00:34:45,840 --> 00:34:49,920 Speaker 2: we will talk more about financing, compare buying new versus used, 751 00:34:50,200 --> 00:34:52,680 Speaker 2: and share tips for negotiating at a dealership. 752 00:34:53,280 --> 00:34:55,520 Speaker 1: I love to haggle in any setting, so give me 753 00:34:55,560 --> 00:34:56,800 Speaker 1: all those discount car tips. 754 00:34:57,080 --> 00:34:59,000 Speaker 2: We'll find out for sure in two weeks on the 755 00:34:59,040 --> 00:35:00,800 Speaker 2: next episode of Growing Up Stuff. 756 00:35:00,880 --> 00:35:01,600 Speaker 3: How do adults? 757 00:35:01,880 --> 00:35:04,320 Speaker 1: And remember you might not always be graded in life, 758 00:35:04,320 --> 00:35:07,400 Speaker 1: but it never hurts to do your homework. This is 759 00:35:07,400 --> 00:35:10,760 Speaker 1: a production from Ruby Studios from iHeartMedia. 760 00:35:10,280 --> 00:35:13,120 Speaker 3: Our Executive producers are Mally Sosha. 761 00:35:12,680 --> 00:35:16,120 Speaker 1: And Matt Stillo. This episode was engineered by Matt Stillo. 762 00:35:16,080 --> 00:35:18,160 Speaker 3: And written by Molly Sosha. 763 00:35:18,200 --> 00:35:21,200 Speaker 1: This episode was fact checked by Casby. 764 00:35:20,800 --> 00:35:23,520 Speaker 3: Bias additional editing by Cierra Spreen. 765 00:35:23,960 --> 00:35:26,360 Speaker 1: We want to thank our teammates at Ruby Studios, including 766 00:35:26,400 --> 00:35:30,120 Speaker 1: Ethan Fixel, Rachel Swan, Krasnov, Amber Smith, Deborah Garrett, and 767 00:35:30,120 --> 00:35:42,200 Speaker 1: Andy Kelly.