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Knowing a vehicle’s cost over time can save you thousands in the long haul. (http://www.msnbc.msn.com/id/23394244/)

http://www.cleanmpg.com/photos/data/501/2006_Toyota_Prius-II.jpgConsumer Reports - Feb. 28, 2008

Some still do not get it… A Toyota Prius costs $7,500 more than a similarly sized Chevrolet Cobalt to buy but costs almost $2,000 less over five years. Savings are even larger as gas prices continue to climb! -- Ed.

A less-expensive car can cost you more in the long run than a more-expensive alternative, our new ownership-costs comparisons have found.

At about $17,500, a Mitsubishi Lancer could cost $5,000 less than a Mini Cooper to drive home. But when you estimate the total costs of ownership for each car, the Lancer could cost you $3,000 more over five years. A Toyota Highlander can cost you $3,000 more to purchase than a Ford Explorer V6, but owning the Ford after five years can cost $6,500 more.

In addition to shopping for a good deal, car buyers should also consider how much a model will cost them to own. That includes depreciation, fuel costs, interest, insurance, sales tax and maintenance and repair costs.

To help, Consumer Reports is introducing its new owner-costs estimates, which can help you compare models and could save you thousands of dollars. The “owner costs” ratings cover one, three, five, and eight years of ownership and are based on a comparison of all models within the Consumer Reports database over eight years. Because depreciation is factored in our estimates, we assume that the vehicle will be traded in at the end of the term.

Costs vary among similar models

Where does the money go? Here is how ownership costs break down over five years, based on our study of more than 300 vehicles. In analyzing ownership costs based on 2007 data, we made some notable discoveries… http://www.msnbc.msn.com/id/23394244/

Great article. It makes me feel good that I may have made the right choice.

Ashen's HCH has required so little in the way of unscheduled maintenance over a 5/5 year period that many of his/our friends have really warmed up to the idea of Honda as their next car and a Honda hybrid in specific. By comparison, the choirmaster at our church has an American car (some kind of Chryser) that is 1.5 years newer and has been driven 30k miles less, but she has already had to make $4,500 in repairs to the vehicle. Thus, her car has now become more expensive than the HCH.

Oh...and don't forget about resale values. That's a big discrepancy between hybrids and non-hybrids (and between Honda/Toyota and the Big 3).

Hi Pdk:

___CR’s included the depreciation and thus the 5-year residuals. In fact, you would not get there any other way as a Cobalt can easily travel 75,000 miles on $7,500 worth of fuel with the Prius not receiving a drop. Insurance and maintenance are not be that far apart so it is depreciation that the Toyota kills the Chevrolet with.

___Good Luck

___Wayne

Too bad Consumer Reports only goes back 8 years... I'm looking for info on the 18th, 19th and 20th years of ownership :D.

I made a spreadsheet I used for this when looking at keeping my old car vs purchasing my new one.

It includes insurance, current and future car values, interest on loans and gas. I'd have to look to see if there is anything else on there. I think I used 4 and 10 year end points.

Too bad Consumer Reports only goes back 8 years... I'm looking for info on the 18th, 19th and 20th years of ownership :D.
I like your style!;)

ollie

if you buy a car already 1 to 1.5 years old with decent mileage you can totally kill the depreciation factor. My wife's Sonata had 10,000 and was about $3000-$5000 cheaper than a brand new model. We paid it off early, which makes the leather feel even better!