On average we’ll buy four fewer new cars by the time each of us hits 75 years old, the age when automobile industry experts believe most people are done buying new vehicles. “The boom days when you bought a vehicle for 4 or 5 years are likely over,” says auto industry analysts.
We’ve talked for some time about Americans holding on to their new cars longer and the reasons have been well documented. Cars simply last longer and as their prices have gone up, people are less willing to take on a monthly payment. Since the recession they have stretched out the length of time to pay off a new loan. In other words, people now expect to be in their car 6, 7, or 8 years (or more) after they buy it.