The misunderstanding of the cost of modern cars

[LukeBird]

Why oh why do you constantly see "I'd never pay that for X", do people not realise how expensive cars have become?
Gone are the days of £15k buying you a decent hatch and £18-20k getting you the hotter model etc.

I know it's a st rant, but it's stupid to see the same comments spat out over and over again.

New cars are expensive. There.

[LukeBird]

^^ It's true, but people don't think like that do they?
As mentioned it's just a monthly cost and that's all they see.

[LukeBird]

Devil2575 said:

StottyZr said:

I don't think prices have changed as much as many think. I had a debate with a friend at the weekend, I thought the 458 Italia was a lot more expensive than the 360 when it was released. The 360 was £105,000 in 1999, the Italia £170,000 today.

Factoring inflation the 360 is very close to £150,000 in todays money. Not a huge difference really, even though on the face of it, it seems so.

20k not a huge difference?

i'd say a 13% price hike once inflation is taken into accound is a big difference.

Ok, I may have been drinking, but surely inflation hasn't accounted for a near 50% price rise in the base model in 13 years; I appreciate currency fluctuations will have had some impact, but even so that seems like a hell of an increase.

[LukeBird]

Globs said:

LukeBird said:

Ok, I may have been drinking, but surely inflation hasn't accounted for a near 50% price rise in the base model in 13 years; I appreciate currency fluctuations will have had some impact, but even so that seems like a hell of an increase.

It's just over 3% inflation per year. Compound interest/inflation is a bh!

True, I had thought of the compound (just looking at the figures, not really working it out) and it just seemed too much, but 13 years is a long time.
Regardless, the £20k difference between the inflation price of a 360 and the 458 is still pretty high.