You know, I’ve seen so many articles on this one lately and they all say the same thing. In a nutshell, the gap between the cost of hybrids compared to their all gas counterparts is too wide to financial justify the buy. Now, one thing that some authors don't put in their articles is that there is another factor in the decision that is not financial. Do you want a more environmentally clean car? It is a valid reason to pay the extra money if you are passionate about it.
I'll give you one example of the cost difference between two cars one a hybrid and one an all gas car. The base all gas 2008 Nissan Altima cost $20,470 before taxes. The cost of its base hybrid counterpart is $25,480. That's a cost difference of $5,010. The combined mileage estimate for the all gas car is around 27mpg and the hybrid is 34mpg. Assuming you drive an average of 12k miles per year for 5 years at an average price per gallon of $5 your savings in gas would be $2,287 total over the five years. Now, you could assume a higher cost of gas or assume you keep the car for a longer period, but this still shows a telling sign that the cost difference between the two cars is abnormally wide considering the gas savings that you would receive.
Buying a hybrid does not mean you are saving money! But, I’d probably buy one if I needed a new car!
September 2nd, 2008
Buying a hybrid?
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