Buying a First Car(Mileage vs Price)

gmail92 on 03/10/2013 - 14:09

Hi guys,

I was looking to buy a first car, and I seem to have my eyes set on a 2004 Lancer. I notice some discrepancies in terms of pricing and mileage and I would like to know some other opinions on the matter.

According to redbook.com.au, for a standard '04 CH ES Lancer ,
* Private Price Guide $4,600 - $6,100
* Trade In Price Guide $2,500 - $4,000
* Average Km 140,000 - 230,000

I have found one for $6800 inc. of 1 year rego. However it has only 80000kms.
Over average price and under average mileage.

Comparatively, most of the other '04 Lancers I can find that are cheaper have roughly twice the mileage of the car above.

Is mileage actually important in buying a first car? Would it be worth the extra to fork out for one with a lower mileage as above? Or should I not worry too much it?

Also are there additional on road costs if rego is paid for already?

Open to suggestions about other cars if you have any ideas :)

Cheers !

Automotive

Comments

  • sparkles on 03/10/2013 - 14:16
    +1

    Low mileage is worth something in terms of resale value later. You will always pay more for a car with less on the dial. But it really depends if you are planning to resell it or drive it into the ground.

  • mskeggs on 03/10/2013 - 14:29
    +1

    Are you going to keep the car many years? If yes, I would opt for lower mileage as it will be 'less worn out'. If not, I would aim for the lowest price you can get regardless of mileage.
    If you pay more now for lower mileage, you need to find a buyer in a few years who also values low mileage to make it worth it. If you don't pay the extra, you don't need to try and recoup it when you sell.

    This advice varies a bit if you drive a lot more or less than average. If you hardly drive, a high mileage vehicle will present as average mileage after a few years of you not driving it much.
    If you drive a lot you might turn a low mileage vehicle into a high mileage one!

    Lastly, the vehicle will have a defined service program. If you follow it, it will need maintenance at set mileage. For example, my car needed a new timing belt at 180k. This was costly, but can be even more expensive if you leave it and it fails.
    If 100,000kms is a major costly service, it would likely be better to get a 110,000km vehicle that has had the work done, rather than a 80,000km one needing it in a year or so.
    You can see the maintenance required at each service interval in the back of the car manual (or call a mechanic) and the seller should be able to give you log book/receipts/proof that servicing was done regularly or not.

    • ProdigyShin on 09/10/2013 - 12:44

      *If 100,000kms is a major costly service……..

      I wish I would have read this years ago.

      MY experience is
      Bought a manual Hyundai at 85,000kms. Ended up spending heaps on 100,000kms service.

      Bought 2nd used car years later, Kia Rio at 117,000kms. Was told that the car has done major service. Checked the service record, all are fine.
      Drove the car for 3,000kms and decide to service the car so that I know everything is safe. But then was told by the mechanic that the car needs a major service, changing timing belt, brake pads and etc.

      My lesson learned is… get a new car… :P

      • ESEMCE on 09/10/2013 - 16:20

        "My lesson learned is… get a new car… :P"

        So you had to spend $6-700 on a major service..
        Compare that to losing $1000+ the second you drive a new car off the lot and somehow you think you're ahead by buying new?
        Plus a new car is roughly twice (or more) the price of a 100,000Km car so if you're borrowing money, you'll pay more than twice the interest.
        Even if you're not borrowing, that's still $5000+ that you're not earning interest on (or reducing your mortgage or paying off other debt and therefore saving interest)

        • ProdigyShin on 09/10/2013 - 16:33

          sad to say I spend about $800 - $1200 for each service. I drove the 2nd car for about 2.5 years and the mechanic advised that instead of spending so much money to fix the wear and tear, why not getting a new car?

          I bought 2004 Kia Rio for $6500, spent about $4K in 2.5 years to fix the problem. Which with extra $2 or $3 more I would able to get a Suzuki Swift or Holden Barina at that time.

          I am not saying getting a new car is a wise choice but would be a good choice if intend to keep the car for long…

        • ESEMCE on 09/10/2013 - 16:39

          $800 for a service?
          It's either time to get a new mechanic, or you've bought 2 consecutive lemons!!

          Although having said that, it looks like you bought an early model Hyundai and then moved to an early model Kia… hardly examples of great quality motoring (at the time, both have improved significantly since the late 90's early 2000s)

        • ProdigyShin on 10/10/2013 - 11:41

          I know $800 sound silly but there's always blockage somewhere in the car. And can't deny that I've bought 2 lemons!!!
          That's the reason I said that the lesson learned is getting a new affordable car… :P

          Hyundai was 2003 model and Kia was 2004 model, and there were lousy cars (personal opinion). Can't deny that Hyundai has improved a lot but the price has gone up as well. :(

          Anyway, OP was thinking to get '04 CH ES Lancer and I am thinking 9 years old car… hhhmmm…. don't expect too much from it…

        • gmail92 on 10/10/2013 - 17:08

          http://www.carsales.com.au/private/details/Mitsubishi-Lancer…

          pretty keen on this , friends are saying its a great first car (assuming theres nothing wrong when I inspect it)

          what do you guys think? :) a bit old though. doesnt look like a lemon (from what i can see).

          my parents say i should invest a bit more in a newer car with a better resale value (eg later 2000s ford focus).

        • ProdigyShin on 10/10/2013 - 17:20

          my personal opinion is to buy a newer if you can afford to do so.

          I didn't know I was getting lemons when I inspect the car. They were just great. But problems seems to occur after 2 or 3 months. (Personal experience)

          But if you don't intent to keep this car for long, $4000 for less than 92000kms on a 1996 car seems to be ok.
          Remember to go through the car service history since he seller claims "regularly maintained and serviced". Also check the log book how often and where he serviced the car.

        • altomic on 11/10/2013 - 00:44
          +2

          if you re-arrange the letter in Mitsubishi it spells "mus bi shiti"

          though I agree. $4000 , 92000kms. av 5000K per year. doesn't sound to bad. warrants a test drive.

        • gmail92 on 11/10/2013 - 02:54

          what do you meant if i dont intend to keep the car for long ? Im not sure whát resale value a 96 Lancer will have after I buy it, if any at all.

  • ntmango on 03/10/2013 - 15:35
    +3

    Check out the service and owner history. Some cars may have low k's but not serviced - or high k's but well maintained n service. A car that does 50000kms highway driving would b in a lot better cond than 50000km urban driving.
    Some owners like ex-rental companies or certain types of business should be avoided such as driving schools or demo cars.
    These places generally get minor repairs done by the lowest bidder so the quality of repair maybe comprimised as well.
    These generally are driven by people who dont care for the cars as it is not their own.
    Watch out for people saying the car is from Mature/slow/female owners aswell cause SOMETIMES it is actually worse. They may ride clutches, hit curbs, crunch gears, etc.
    watch out for people who have JUST serviced their car, usually the car has come back from the mechanics with a major problem so ppl panic and try to offload it.
    Some cars near the sea/beach may have rust issues aswell.

    • ESEMCE on 03/10/2013 - 15:53

      ^This
      The less worn out concept works to a point, but an '04 is getting on to 10 years old…
      That means all the rubber and plastic components are 10 years old unless they've been replaced.
      No matter how many KM's have been done, these components will be brittle at best.
      Also, unusually low KM's could mean that the car has only ever been used for short trips.. this could be worse than a car with average K's cause the engine never gets to temperature!
      Also consider the type of K's.. Country K's are easy on the brakes and Engine/transmission. Ditto if the driver is a shift worker, driving city K's but not stop-start.

      ie a well maintained car with 160,000Km could be the better buy over a poorly maintained 80,000Km car, plus you'll save heaps to do the repairs that it will need!

  • Shonky on 04/10/2013 - 08:31

    You will have to pay stamp duty to transfer the rego. Won't be huge on $6800 but is something to budget for. Maybe $200.

    Also low mileage cars may not have been regularly serviced if the owner just went by mileage. This isn't always the greatest.

    As for things like rubbers being brittle, I doubt it in a half modern car.

    Make sure everything works when you inspect. Get a car knowledgeable friend if you can. It may be worth paying some $ for a RACQ/NMRA/RACV etc inspection for peace of mind.

  • Gunk on 04/10/2013 - 10:09

    The highway vs short trips logic mentioned above is valid. But also keep in mind that the average engine life for Japanese cars is around 250,000km. So the closer you are to that mark the more worn out the engine and transmission is - which are costly to fix. I think you've got a good deal. However definitely get someone knowledgeable to inspect it. Bluish/dark smoke from the silencer, knocking sound from the engine, jolting when shifting gears (for automatic) , oil drips from under the engine are warning signs to be aware of.

  • gmail92 on 05/10/2013 - 03:31

    A friend has recommended spending minimally on my first car, as many may have problems that can be costly to fix. And that I don't really need anything fancy for a first car. On top of that, older cars seem to be more fuel efficient (but also less safe). I won't be driving it that much either, so I guess the newer the car I buy the more I lose through depreciation?

    So far from the list below, I'd say balance between price and preference lies around the 2000 model Lancers?

    1997 Mitsubishi Lancer CE GLi - $3300 - 147,000km - 5mnth rego (no roadworthy cert)
    http://www.carsales.com.au/private/details/Mitsubishi-Lancer…

    1997 Mitsubishi Lancer CE MR - $3300 - 158,000km - 9mnth rego (no roadworthy cert)
    http://www.carsales.com.au/private/details/Mitsubishi-Lancer…

    2000 Mitsubishi Lancer CE2 GLi - $3500 - 160,100km - 3mnth rego
    http://www.carsales.com.au/private/details/Mitsubishi-Lancer…

    2000 Mitsubishi Lancer CE2 GLXi - $3800 - 130,000kms - 7mnth rego
    http://www.carsales.com.au/private/details/Mitsubishi-Lancer…

    2000 Mitsubishi Lancer CE2 VR-X GLi - $3990 - 163,000kms - 3mnth rego
    http://www.carsales.com.au/private/details/Mitsubishi-Lancer…

    2003 Mitsubishi Lancer GLi 1.8L Auto Coupe Black - $3990 - 121,246 klm - rego?
    http://www.gumtree.com.au/s-ad/croydon/cars-vans-utes/2003-m…

    1999 Mitsubishi Lancer CE II GLXi - $5000 - 118,000kms - 4mnth rego
    http://www.carsales.com.au/private/details/Mitsubishi-Lancer…

    2005 Mitsubishi Lancer CH ES MY06 Sports Automatic - $5000 - 120,000kms - rego??
    (sounds slightly too good to be true)
    http://www.carsales.com.au/dealer/details/Mitsubishi-Lancer-…

    2004 Mitsubishi Lancer CH ES - $5000 - 137,000kms - no rego (no roadworthy cert)
    http://www.carsales.com.au/private/details/Mitsubishi-Lancer…

    2003 Mitsubishi Lancer Sedan VRX - $6500 - 120,000kms - 3mnth rego
    http://www.gumtree.com.au/s-ad/carramar/cars-vans-utes/2003-…

    2004 Mitsubishi Lancer CH VR-X Sports Automatic - $7000 - 125,000km - 7mnth rego
    http://www.carsales.com.au/private/details/Mitsubishi-Lancer…

    • ESEMCE on 08/10/2013 - 12:23

      Go for the povvo models..
      All the electric windows etc in the higher models will die (at some stage if not already) and are super expensive to fix.
      Any of the above should be fine provided they've had suitable servicing.

      Also check out Mazda 323 and Ford Lasers from the same era.
      Mazdas were typically driven by oldies.

  • altomic on 05/10/2013 - 19:43

    ensure the car has a RWC.
    check when the car last had new tyres, timing chain, clutch, service.
    check that the gap between panels is the same (if a car has been crashed and repaired then the distance between panel edges may vary).

    even go older. daihatsu charade circa 1996 1Ltr or 1.3 Ltr. they go and go and go and go.

  • gmail92 on 08/10/2013 - 21:04

    Having a look around , all the older cars have about a 1 star safety rating. Should I be looking for a safer car?

    • Shonky on 08/10/2013 - 21:58

      Just don't have an accident.

      But seriously, older cars had less safety features. Newer cars have newer features and also the star ratings have a bit of head room in them for manufacturers to grow into.

      A 2004 3 star Lancer is going to be better than a 1994 Lancer which is going to be better than a 1984 Lancer. Basically if you want safer, the newer you go, the safer you'll be.

      Only you can decide how much "safety you can afford" (or want to pay for).

      • gmail92 on 09/10/2013 - 03:30

        Had a look around for 'safer options'. Hence came up with the comment below.

    • ESEMCE on 09/10/2013 - 09:51

      Look at 2003+ Nissan Pulsar.. Came with ABS, and twin airbags standard on all ST-L and Q models

  • gmail92 on 09/10/2013 - 03:29

    My parents are recommending me to have a look at the Mitsubishi 380. They believe its undervalued at the moment and very safe.

    eg. 120000km 2006 380 Platinum Model - $6000.
    http://www.carsguide.com.au/cars-for-sale/D_1951515/used-200…

    Compared to the Redbook Evaluation:
    * Private Price Guide $9,300 - $11,100
    * Trade In Price Guide $6,700 - $8,500
    * Average Km 110,000 - 180,000
    * Price When New $44,990*

    IMHO, I dont think I can get a car of that quality for anywhere near $6000. (Looking around the price point of 6000 it seems to be filled with pricy old models of early 2000s lancers, civics, camrys etc.)

    However I am a bit skeptical about the fuel economy of the V6, being close to 11L/100km. Should I worry about the fuel economy? Or just accept it as a premium for driving a nice first car?

    But then again, I wont be using it everyday, probably 100-200kms on the weekend
    (I live 25 minutes from the city by bus).

    Any opinions on this? Some 380's can be found for $5000, higher kms/out of Sydney(eg. Newcastle).

    • ESEMCE on 09/10/2013 - 09:52
      +1

      Look for one on LPG.. super cheap to run, but you lose a lot of boot space

    • cpho on 09/10/2013 - 15:13

      I'm looking for a 380 too for my first car.
      From what I've read, they suck petrol like crazy because of the V6 3.8L engine. The actual mileage is closer to 13L/100km.

      If you can find one with an LPG conversion, or if you plan to hang onto it, get an LPG conversion done ($4000ish for the vapour injection, with $1000 government rebate ending June 2014), and it gets around 17L/100km. So, if you plan to do more than 1000km (assuming costs stay constant, ignoring servicing blahblah), LPG is a pretty good way to go.

      Also, look for the relatively newer Series III (2007/08) because they're more compatible with the LPG conversion and something else I cant remember what I read to do with a better engine. Also, the Sports Edition, which is freaking hard to find (in Adelaide), is sexy with the spoiler and the sunroof, for not that much more.

      If anyone knows of any 380 Series III Sports Edition, going for not too much in Adelaide, message me :)

  • Ughhh on 11/10/2013 - 00:23
    +1

    If you can, save a little more money and buy a newer car. The amount of money spent on repairing the old car in the months to come could probably have gotten you a better car. I could tell the responsiveness and performance of my ~12 yo camry lacked compared to when it was newer.

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