Repairing vs. Replacing Your Car

At some point in owning a vehicle, you’ll face a large repair bill and need to decide if it’s better to repair your current vehicle or get a new one either through purchasing, financing, or leasing. Old age, high mileage, and the effects of time inevitably will affect your vehicle, and it may be time to replace the transmission, engine, catalytic converter, or some combination of items that require an overhaul.

A new car will come with a warranty, and it’s most likely that expensive repairs are years down the road as long as you properly maintain your vehicle with oil changes, air filters, brake replacement, and other minor repairs to keep things running smoothly and out of auto repair shops. Or you could opt to get a pre-owned vehicle to save some money and not need to worry about paying as high a price as you would with a new vehicle. But that option runs its own risks.

It can be confusing, if not outright frustrating, to balance budgets to figure out if it’s better to repair your vehicle or try to get a newer car, truck, or SUV and hope your trade-in value lowers the price enough to fit into your budget. Let’s explore when it’s a better idea to repair a vehicle and when it’s better to replace it.

When Repairing Makes More Sense

While the repair bill can seem daunting, it will likely always be less than replacing your vehicle. You’ll need to factor in the age and mileage of the car and how well you’ve taken care of it over the years. If this is the first major repair that is necessary for the vehicle and its current value is still high, it may be better to replace it.

We have a helpful tool to see your car’s value and how much you could sell it for to check quickly.

If your car is paid off, you’d only have to worry about this one-time cost to repair it and get it back on the road compared to purchasing a new vehicle, getting insurance, completing monthly payments, and more. So, while the hit to your wallet won’t be fun, at least you won’t need to plan out your years-long budget.

Beyond just money, there is a lot of effort and research that goes into purchasing a new or pre-owned vehicle. You’ll have to find out which ones fit into your budget, which features you can’t live without, the best deals around, and take time out of your day for test drives.

Now, if your vehicle is up there in years or mileage, this major repair may (and likely will be) the first of several major repairs that are destined to come. Is the headache worth it?

Pro tip: a general rule of thumb is that if the projected repair costs more than half of the total value of the vehicle, you should simply replace it.

When Replacing Makes More Sense

As mentioned, if your car is older and has high mileage, the repairs will keep adding up. Time will deteriorate and erode parts — that’s simply a fact that car owners need to deal with as it comes. Dependability and reliability are two of the most important features of a car, and if it’s only a matter of time until the transmission or engine goes, you’ll be back in the same spot paying thousands to keep your current vehicle on the road.

A new vehicle provides the reliability we mentioned earlier, as (in most cases) major repairs are years away. Why continue sinking money into a car on its last legs when you can have a newer vehicle with updated safety features, comfort, and tech that won’t cause you constant stress when you put your key in the ignition?

Another savings factor to consider is fuel. Older cars often don’t have as good an amount of gas mileage as newer vehicles do, so you’ll have fewer trips to the gas station, meaning more money in your wallet week after week.

You may also be able to save extra when purchasing a new vehicle. For example, our Stuart Toyota Dealership has offers and incentives as well as new vehicle specials that you can take advantage of to lower your overall cost — on top of trading in your current vehicle.

Should I Repair or Replace My Vehicle?

Realistically, the advice above works on a case-by-case basis, but we hope that this guide has given you the tools to help you decide if it’s more financially feasible to fix up your current car. At Treasure Coast Toyota, we have experts at our service center to help get your car back to road-ready and a talented team to help guide you towards a new car, truck, or SUV with updated safety features to run reliably for years.

Contact us or call us today at (772) 283-8300 to learn more about whether you should repair your vehicle or start shopping for your next dependable machine.