Newsletter - September 2006

The Cost of Owning a Car and Factors that Save You Money

5 basic factors that affect the cost of owning a car.

* Initial cost
* Trade in value
* Maintenance and repair cost
* Fuel cost (mpg)
* Total miles driven
* Loan (total interest paid)

Initial Cost should not be the only factor you consider when buying a new car. Vehicles with long-term dependability ratings retain more of their original value. A less expensive car that has high maintenance costs will have a lower trade in value. For example, according to July’s NADA Official Used Car Guide a 2004 Jeep Grand Cherokee that listed for $29,370 now has a trade in value of $14,525 and a retail price of $17,175. On the other side of the coin, a 2004 Lexus ES330 that had a sticker price of $31,725 now has a trade in value of $27,100 and a retail of $30,800.

Hybrids are likely to suffer in trade-in value because their long-term reliability is unknown.

Maintenance and Repair costs vary by make and model. J. D. Power and Associates recently did a study measuring the problems experienced by original owners of three year old cars. In it they found that some non-luxury cars approached luxury cars in quality. The top 5 in reliability were: Lexus, Mercury, Buick, Cadillac and Toyota. The bottom five is Hummer, Kia, Suzuki, Saab and Land Rover. The average number of problems per 100 vehicles was 227 or 2.27 problems per vehicle. There were 13 makes that were above average and 24 below average.

Fuel Costs can be compared on the EPA website:

http://www.epa.gov/fueleconomy/data.htm

When selecting a new or pre-owned vehicle, choose a make and model that has a high reliability rating, perform all the maintenance, and drive it for a long time (over 150,000 miles). This strategy should give you economy, safety and reliability in the long run. Of course, there is a point where you will need to replace it. Use the advice of your service shop to help you with your decision.

The Latest in Automobile Color

Silver topped all colors among vehicles produced in the 2006 model year for the fifth consecutive year, according to the annual global color popularity survey conducted by the PPG Automotive OEM Styling Division.

Bright silver will remain a favorite in and around the world for several years to come due to its appeal among designers to highlight the form and shape of a vehicle. New innovations in technology will bring silver closer to a fluid appearance - the next hottest trend for this hue.

Glass flake continues to intrigue designers. Silver coated glass flakes add an intense, bright sparkle in medium to dark shades.

Silver topped the chart with 26 percent, white was the second most popular at 16 percent, naturals (gold, copper, champagne and lighter shades of brown and yellow) appeared on 14 percent of vehicles. Red came in at 13 percent, blue at 12 percent, black at 11 percent, green at 5 percent and specialty colors at 3 percent.

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Addison Auto Repair & Body Shop
2005 South Holly Street • Denver, CO 80222 • 303-691-9484

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Serving Virginia Village, Holly Hills, Southmoor, Cherry Hills Village, Greenwood Village, University Park, University Hills, Belcaro, Hilltop, Cherry Creek, Washington Park, Bonnie Brae, Southmoor Park and greater SE Denver area since l982.

We work (mechanical repair and auto body work and hail damage) on all makes of cars and trucks, including: Chevy, Dodge, Ford, Honda, Jeep, Kia, Lexus, Nissan, Plymouth, Saab, Subaru, Suzuki, Toyota and Acura through Volvo.