<prompt> Human: Last year I decided to get a loan for a brand new 2016 Jeep Wrangler. It was about 30k after tax and I put about 5k down. The remaining balance was financed for 72 months at around 3, leaving me with a monthly payment of about 425 which Ive been paying for over a year. I have about 23,000 left on the loan. I could instantly trade in the jeep sell to a dealer for around 26,000-27,000 Wranglers are one of the few models of vehicles that hold much of their value used. I could sell to a private party for more like 28,000 if there would be any buyers interested in a used vehicle at a cost this close to the price of new.I can afford the payment, and I really enjoy the car, but if I had a 5,000-10,000 used car I could cut the payment by more than half or eliminate it altogether and have more money to save for a house down payment. This is my second highest monthly bill after rent. I dont have any credit card or student loan debt, and after paying that off I do remember how nice it was to be completely debt free. So, Im thinking about an older Toyota Corolla in the 5,000 range or a Prius in the 10,000 range. Im perfectly comfortable driving and maintaining an older vehicle, since most of my vehicles have been older. Why is it so difficult for me to go through with this and make what seems like a logical financial decision? Does it make sense to go through with the idea to increase cash flow and savings?  <response>: Yes, it absolutely makes sense. Remember, the new car in many ways is a sunk cost. It was not necessarily a mistake when you bought it but now that your priorities have changed, you need to do what will help you achieve your current goals and based on everything you wrote, that is to sell the Jeep. 