Big Auto Repairs? Don't Despair.

My eleven year-old minivan has a transmission leak. Should I even think about investing more than $2000 when the old one goes? Is there a point when it's cheaper to replace a vehicle rather than repair it? Hans Art, owner of Hans Art Automotive, a Diamond Certified company, thinks not. Based on his 34 years of experience, from a strictly monetary standpoint, it almost always makes sense to repair an old car rather than buy a new one. If you keep up with maintenance and repairs, the average monthly expense over 5 to 7 years is one-fourth the cost of a buying a new car.

In my case, Mr. Art advises having a thorough inspection to see what else is likely to fail in the next couple of years, before making the investment. Some cars are worth holding onto longer than others, given the repair history. Mr. Art recommends keeping Hondas, Nissans, Toyotas, Subarus, and the BMW 3 series, which can last for 250,000-300,000 miles.