Buying a Saturn is Not a Good Idea
There are now about 12,000 Saturns left for sale in the US and GM is hoping to get rid of them all by January 2010.
They will likely need to offer some sweet incentives to sell the remaining inventory. Thus, some car shoppers are wondering if it makes sense to buy a Saturn and take advantage of these incentives.
The residual values of cars that are discontinued usually fall considerably, meaning that when you're ready to trade-in the car down the road, you will get a lot less for it.
If GM offers an additional $1,500 - $2,000 incentive, you'll basically come out even. If you intend to keep the car forever, then it makes more sense to consider buying.
In addition to a drop in residual values, Saturns will become harder to maintain and repair. Although GM will honor all Saturn warranty claims, you will need to take the car to other GM dealers which don't necessarily specialize in Saturn vehicles. This can lead to shoddy work and limitations on parts being available in a timely manner. Maintenance can also be an issue if the closest GM dealer is in another town.
We recommend not buying a Saturn if your goal is to save money. The only reason you should buy one right now is if you truly love Saturn cars AND you're willing to keep the car for a long time (at least 7 years).
My Recommendation for Car ShoppersTrueCar No-Haggle, CarsDirect, and NADAGuides are the quickest way to see the lowest car prices in your area. These sites show you no-haggle prices from dealers closest to you - and the deals are usually really good. This should be the first step you take when negotiating your car price. Follow this up with my checklist to make sure you squeeze out every last bit of savings.
- Gregg Fidan
Each week, I'll keep you up-to-date on the latest car deals and news that might affect your purchase. This includes...
- Best Rebates, Incentives, and Lease Deals
- Latest Car Buying Scams and Tricks
- The Best & Worst Time to Buy a Car
- Which Cars You Should Avoid