ninjamyst

Can't seem to run a search with "used new tsx" so I will start a new thread.

Just got out of college with about $10k in savings and making $55k a year. I "can" afford a new TSX but being a frugal "slickdealer", I am not sure if buying new is right for me. I have read many articles about the cons of buying new vs used and I agree with most of them. However, those articles claim a new car loses 20% - 25% of its initial invoice value after the first year. But in reality, I find the TSX retains its value pretty well. A quick search on kbb.com shows a 2004 TSX w/ Nav retail price is almost $25.5k . That is VERY hard to believe since the invoice for a 2004 TSX w/ Nav at that time was about $26.5k. But another search on cars.com for used 2004 shows the average price for a 2004 TSX w/Nav and about 30k miles IS around $25k. Let's say you were able to get the '04 for $24k; that's still only 9% depreciation. Can anyone explain to me why an used TSX still goes for that much? Also, should I be comparing the depreciation with the invoice of the '04 or the invoice of an '06? I feel like the '04 are still holding its value so well because the MSRP increased by $1,400 in 2 years. So a person looking at the '06 now at $29k will see the '04 at $24k as a good deal. Do you think the resale value of the '06 will remain that high in 2 years? As you can see, my brain's telling me to wait and buy an used '06 in 2 years but my heart is aching to buy it new at the end of next Fall.

P.S. one of the articles I refer to is located here:
http://moneycentral.msn.com/content/...car/P37267.asp

PsychoInDenial

Go new, I did my research too before I bought my TSX, at the time they were so high in demand there weren't many used ones out there. I would pay the extra couple thousand for peace of mind unless you know the seller personally, its not worth it.

PsychoInDenial

oh yeah and maybe wclark can shed some light on this subject

Jason

If you are ok with a nice used car I'd do that instead. At your age you're much better off saving the money to eventually buy a house.

GSGOMEZ

Well I am happy with 04' TSX myself, I think you should buy 04 or 05' with good price instead of buying brand new 06'. I like the style of 04-05' better than 06'.

ninjamyst

I am pretty much set on getting the '06 model (unless they increase the HP to 240 for '07). It's just a matter of waiting 2 years to get it used or get it now and pay alot for it. For any lower end car such as the accord or the civic, I would get used definitely. I am just unsure because the TSX been holding its value so well in the past 2 years. I have a feeling that's only because this is a new model and also because of the yearly MSRP increase. I am not in hurry of getting a car ( hopefully, my '95 LeBaron will last another year or so ), but I will need a car within the next 2 year for sure.

Spy

You may also want to consider the warranty. I believe the 06's have a better warranty than the 04's/05's, but if you can find a certified used car, that may have the best warranty. But, from what I've read, these cars do have minimal problems.

gt0279a

3 reasons for the value:

1. Many cars are overpiced and are subsequently discounted (Dealers selling Ford Excursions for $10 - $15 below sticker) Thus, if you can buy a new model at such a discount, an older model of the same car is going to lose that value as well.

2. Reliability/Ratings/Features No known major issues detracting from value, Honda/Acura has had good reliability in the past

3. Supply and demand. The TSX is not the 'hottest' car on the market, but sales have exceeded production (don't confuse this availability, as many car companys try to limit availability to create a sense of 'hotness' even though there are boatloads of cars)

gsrthomas

Why not an 06 IS250?

Jason

That's $8K more comparably equipped.

TinkyWinky

Given the low depreciation rate of 04/05 TSXs and the fact that you will not take an immediate 20~25% hit when buying a used car, I would recommend going for a used model. Especially considering your financial situation and assumed future goals (i.e., house).

The new 06 models are nice, but the added features don't add up to the increased MSRP. Furthermore, there was no significant bump in engine power ... this, in my opinion, has been the biggest shortcoming of the TSX.

Good luck on your decision.

helraiser

Go new... a local dealer was gonna sell me a demo '05 for more than the msrp on the '06. Same everything 'cept '05. I ran from the dealer and got a better deal elsewhere. The TSX or any acura for that matter retains its value a lot longer than most other cars.

What I suggest doing, buy a house and get the extra 30k added onto your mortgage, instant house 'n car. Sure you'll be paying higher in interest immediately but you're young, you can always increase your mortgage payments right?

JayRoam

I bought the house before I bought the '05 TSX earlier this year. If the difference between new and used is only a few thousand, I'd go for the '06 for 1)newer features 2) peace of mind and 3) more horsepower (+15-20 according to the old standard)

That's the reasons I bought a new '05 instead of a new '04. The '04's were still pretty pricey compared to a new '05