<prompt> Human: Looking at a 2014 car blue book dealer price and then comparing to a 2010 of the same car blue book private party price, I find a 12000 difference. So, I reason that if I bought the 2014, it may be worth 12000 less four years from now. If thats true, Im out 250 a month over four years, plus whatever my monthly payment is all that time. So...how the hell do people afford newer cars? Where I live, you can buy an older 3 bedroom house and pay about 100 more than what that car is costing you. Edit: Say a 2 interest, 66 month loan on 24k. After four years youve paid in 384 x 48 18,432. You sell for 12k, pay off the existing 5,568, so youre left with 5,556. That means you paid 18,432 to get 5,556, so at four years it cost you 268.25month for the car. I can see why people lease! If you could lease for under 275, youd be in a new car and always under warranty. Or, you could save the car payment for four years and buy a really nice 18,000 car that had already leveled off in depreciation.  <response>: You found the secret to why the majority of people are poor. They spend way too much on their vehicles. 