I am being hyperbolic, but $8? That’s crazy cheap. That’s like prices in the areas I do live. I don’t live in NYC but I visit all the time. I think the cheapest I found was $18. Now, don’t give your location away, but which section of NYC can be that low? I’d like to visit sometime!
It’s not about inflating the costs. It’s the reality of car ownership. Any financially literate person understands the concept of opportunity cost. Even if you go with cheap cars, you’re now in the world of opportunity costs eating away at you. As long as you own a car, there’s no escape. And the horrifying reality is, it’s so absurdly high that when you just put it out there and calculate what it’s costing your family regardless of new or used, it really highlights how screwed Americans are.
Edit: In fact I would argue that cheap used cars are worse than new cars exactly because of opportunity cost. Those who would buy a cheap used cars are the least able to afford the opportunity costs, but since they have to save on the upfront costs, the opportunity costs are inevitable. Whether that be lost wages because your car broke down, or having to pay too much to a mechanic because you didn’t learn how to work with cars or even working on cars taking away time from after work college degrees. Just estimating it at the new car cost really undersells just how much damage it’s doing.
So when I said $1000 a month I’m including that your going to have to repair. You can’t really escape it unless you really understand cars. Sure the used car is cheaper up front, but those hidden repair costs can add up right quick if you don’t know how to deal with a lot of them on your own. And that time to understand cars is also taking away from your self development. So even with cheap used cars, my estimate of $1000 a month is pretty spot on.
Edit. I forgot to add all the opportunity costs from travel instead of studying on a train. $1000 is really probably low balling even with a cheap used car.
I realized recently that the reason Americans are so poor is because they need cars. Every other nation has at least adequate public transportation. Think about how much richer Americans would be if they didn’t have to constantly maintain a car. That maintenance easily takes out $1000 a month with fuel, loan, tax and insurance. And most places in the US your going to need 2 cars for the family. $2000, that’s a months worth of food for a family of four. Yeah, not great.
And the one city in America that you don’t need cars, NYC, a drink costs $30.
Ah I do like Brooklyn, but you’re right I’ve only gone to touristy areas like fire island. I guess there’s a tone of places I don’t really go to. And obviously I’m in Manhattan a lot, though I too avoid Time Sq like the plague. It’s good to know, I’m going to see if I can find smaller areas in Brooklyn to hang out. Thanks!