I remember back around the mid-1960's I was driving around Birmingham MI and noticed a Rolls Royce Dealer. What the heck, I'm about 18. I'll just stop in and look. The salesman won't confuse me with someone who could actually BUY one of these.

As I remember, the price was around $25,000. Another model was $33,000. Outrageous!

Roll the clock forward to about 1972. Time to trade my 1969 Ford Torino on something flashy. I check out the Porche dealer in East Detroit. A 911 could be had for about $8,900. I settle for a new Silver Grand Prix for about $3,000 (I may be off on that price.)

So today, the average new car cost is probably about $29,000. The Rolls is probably still 10 times that -- like it was 10 times what a Ford LTD cost then. And the Porche is selling for about $90,000 - 10 times what it costs new in 1972 and three times what the average car costs today.

You can actually find several new vehicles that cost over $75,000 including a Volkswagen (Phaeton that is almost $100,000 if you want the W-12 engine.)

While at the car wash yesterday, I had to get my 2002 PT Cruiser hand washed because I haven't repaired the front end damage caused by Chris' driving some months back. Another guy was also taking the long wait because his car had to be hand-washed.

His however was an H1 Hummer. It is too wide to fit through the drive-through lane. We got to talking (a kid at the car wash pointed him out as a pro-baseball player). In the course of my conversation, I asked him how he likes the H1 - etc. It gets about 5 MPG, but it has 3 gas tanks so he can drive to California without refueling. LOL.

I got to talking about the price ("The first owner paid over $150,000; I bought it used.") And I turned the coversation to the number of vehicles on the market today that cost over $90,000.

The AZ Republic had done a road test report on the latest iteration of the Porche 911. I asked the pro-player if he'd read that. ("I saw the story, but didn't read it. I already have that new 911." He wasn't bragging. Just answering my questions.

"My wife though won't drive a car that costs over $50,000," he says. What does she drive? "She has an H3 Hummer and a Chrysler 300C." (So she doesn't mind driving two cars that total to about $69,000??)

It's a whole different world out there in the big leagues, folks. And this guy was complaining about it. He's fortunate to have been a pro-player for 12 years (currently rehabing an injury that will keep him from playing the rest of the year.)

Don't get me wrong, I really liked the guy. He was down to earth but basically COULD afford these things and was just amazed that he could. He says he looks around his neighborhood and just wonders how people can afford these houses (probably million dollar plus).

I told him my wife used to say that people who live in big houses should be required to post a sign out front explaining where they got their money.

Just ramblin' on...

I agree the price of new cars is high. To make matters worse they go down in value, at least a house will normally go up in value so you can afford another. My last car I had for 15 years and now regret I didn't spend the money to get it back in shape and keep it longer. I now have a 1999 Nissan Maxima (which I bought one year used) and plan to keep it for a long, long time.
The new ones are pretty, but I rather spend my money on lighthouses and travel (when I can get away from work).

I will never forget stopping a Rolls Royce for speeding back in the mid 70's. The registration certificate back then had the purchase price and sales tax printed right on it. If my memory serves me correctly, the owner of the Rolls paid a sales tax in the vicinity of $6,700. Back then the most money I spent on a brand new car was around $3,400. He could have bought two of my brand new cars just for what he spent on his sales tax.

I never thought I would be buying cars that list for $35,000 - $40,000, but there's three sitting in my driveway right now of which two were bought new.

God bless America!

Bob

...and the pro ballplayer was?

We are in the market for a new vehicle and I am seriously having a major case of sticker shock. I haven't bought a vehicle "new" in about 15 years, and I am stunned at just the base price, forget about adding "extras."

Hi Diane, ...You cannot find a better time to buy a new vehicle than now. As a matter of fact, it's a great time to buy a used vehicle because dealers are over stocked on those and they are not selling. New car prices are so low that people are buying new instead of used, according to the news in my area.

Use your Internet skills to check dealer inventories. Look for any brand new left over vehicles from 2004 that didn't sell during the 2005 model year. The 2006 models will be out soon and the manufacturers will definitely want their dealers to rid themselves of 2004's. Same will apply to the 2005 models once the 2006's are released.

This scenario doesn't apply to hybrids which are bringing premium prices. Some car models are not discounted because they sell them all anyways. Some people are even willing to pay a premium price above the sticker price for certain cars.

I say strike while the iron is hot!

Bob

Bob, thanks for the info.

The last time I bought a "new" car, it was in August too (end of model year). Even though we are trying to get the best deal possible, it is still a lot of money to shell out.

You're right on the "lot of money". It was nice when you could buy a fully-loaded car for under ten grand or a nice home for under a hundred grand. That doesn't happen anymore.

Remember when car loans maxed out at three years? Now they can go six years, or perhaps even more.

Life goes by so fast that I would suggest you bite the bullet and get something you really like and will enjoy driving for years to come. If you're not good to yourself, who will be good to you?

Bob

"get something your really like" Your right Bob.