Many of the old cars on the road will operate reasonably cheap up to 200 thousand miles if they had been given good care and not wrecked. The cost of maintaining them is cheap considering the interest expense on s new car purchase( or lost income from a savings outlay, whichever), cheaper insurance and property tax on an old car. Many people who don't put a lot of miles on a car are and are frugal won't be rushing to buy a new one. There was a time when a car was considered shot on reaching 60,000 milles. That's the comparison they use to tell you there is going to be a big rush to buy new cars. With incomes falling and the old cars tooling along O K, I don't see the big demand predicted developing. If I lived in a big northern city with bad weather, had a good job, I'd buy a new car, but that's not the whole world. WW
I don't agree. To have a car reach 200K miles you need to spend a great deal of money. For those less than 100K keep them and maintain them.
As a person who has had 3 cars over 200K, I can tell you it would have been less expensive to get a newer car than keep the older ones. Much less than a monthly note at these very low interest rates, if you qualify. Which is a key point by the way. If you have bad credit you darn well better be able to repair your car yourself.
How long ago you are are referring to about a car being shot when 60,000 miles were reached? I owned a 1986 Town Car that I donated to a children's cancer organization with 232,000 miles on it and was still running good without any major repair work. I also had a 1989 Taurus that was running well with over 150,000 when unfortunately I totaled in an accident. I have found that if kept up, high mileage can easily be reached - even for quite some time. I totally agree with you that many people who don't put a lot of miles on a car will run out and buy a new one. Barring a major repair it is usually much cheaper to make smaller repairs than buy a new car. I have always read that financially it is best to buy a used car that is 3-4 years old because of the large depreciation that occurs during those first few years.