Around 15.5 million cars and light vehicles were sold in the United States in 2023—up 12.3% from the year earlier. While cars, trucks, SUVs, crossovers, and minivans sold like hotcakes, that doesn’t mean everything was hunky-dory for the owners. Some ended up with buyer’s regret.
That can suck if you signed a multi-year car loan that you’re still tied to. But you might want to right the wrong and get something else.
Here are 16 signs you definitely purchased the wrong vehicle and should trade it in for something more suitable.
Monthly Payments Are Unmanageable
According to Yahoo Finance, the average monthly loan payment for a new car is $734, while the payment for a used car is $525. If you head to a car dealership or bank and sign on the dotted line for a three-, four-, or five-year car loan, it might not be long before you regret that decision.
No one wants to be house-poor—struggling to pay the bills because of car loan obligations. You might eventually have to overcome your pride, admit you made a mistake, and trade in your car for something cheaper.
Insurance Costs Are Outrageous
Insurance costs can be high depending on what type of vehicle you drive. That might be part of the reason why 13% of motorists throw caution to the wind by driving without vehicle insurance. That translates into about 29 million uninsured drivers in the country, or around one in every eight motorists sharing the road with you, family, and friends.
Breaking the law is not the answer. But if your monthly insurance coverage is financially draining your drive, it might be time to figure out whether to keep or trade-in your vehicle.
Fuel Costs Are Killing Your Budget
While you may have dreamed about driving a truck or SUV, the dream might turn into a nightmare if you have difficulty keeping up with fueling costs. Unless you need a big vehicle for work or other purposes, it might get tiring to own a vehicle that never passes a gas station without desiring a long drink of gas or diesel. You might come to loathe any vehicle that threatens to drain your bank account.
Repairs Keep Piling Up
Motorists in the U.S. pay an average of around $1,300 annually over a five year period for vehicle maintenance and repairs. But what you drive, how you treat your ride, and the overall build quality factor into how much it costs to keep it on the road. If you have the wrong vehicle, it could cost you way more than you can afford to fix it every time something breaks.
Parts Are Too Expensive or Hard to Find
Parts can be dirt cheap, reasonable, or way too high. It depends on the car you drive. If you buy a car that requires expensive parts, or you otherwise have difficulty tracking parts down, that can sour your ownership experience.
You Bought It for Status, Not Practicality
One problem with keeping up with the Joneses is that it can get you into trouble. So, if the next-door neighbor gets a Tesla Cybertruck and you try to outdo them by getting a GMC Hummer EV you can’t afford, don’t need, and have nowhere to park, that’s not the best of decisions.
Comparison, it’s been said, is the thief of joy. If you buy a car to project an image and realize it’s not practical, you may want to trade it in.
Depreciation Is Too Steep
While depreciation is a certainty, some cars depreciate more than others. One source says many vehicles will, after a year, lose as much as 20% of their value. They could lose an additional 15% annually until the five-year mark. You might get cold feet if you see the value of your vehicle dropping. Trading it in may crystalize some initial loss on the car’s value, but getting something that holds its value a little better might be the best course of action.
It Doesn’t Do What You Need It to Do
If you buy a vehicle with one use case in mind but later find that you need a car that can do things yours can’t, that might be reason enough to trade it in for something else. Perhaps you have a car and need something bigger if you add to your family or move to an area requiring the ruggedness of an SUV, crossover, or truck.
You Hate Driving It
Let’s face it. There’s a reason why you need to take test drives seriously. Some people fall in love with a vehicle before they put the thing through its paces to ensure it’s the one. If you buy a car because you want it but don’t research it thoroughly beforehand, you may hate driving it.
It’s Missing Key Features
Another sign that you purchased the wrong vehicle and need to trade it in for something more suitable is that it lacks key must-have features. Some features are great to have if you can get them, but there may be some features that you can’t live without.
It’s Too Noisy or Uncomfortable
You might have second thoughts if you find the handling and ride quality unbearable, or that the ergonomics leave a lot to be desired. If you dread going on long drives because of discomfort behind the wheel, it may be time to rethink your car situation.
You Dread Driving It
Yet another reason that it might be time to hit the reset button on your car ownership experience is if you simply hate driving the thing. It’s hard to sit behind the wheel of a vehicle you don’t like. Whether it’s because it breaks down all the time, doesn’t fit your aesthetic, or has some other flaw you can overlook, you might want to cut your losses and trade it in.
You Can’t See Yourself Keeping It Long-Term
Do you already see yourself behind the wheel of your next car? If so, something about your current vehicle isn’t doing it for you. It might be merely a matter of time before you’re in the market for another one.
It Was a Compromise Purchase
Sometimes, people go to a car dealership and select something not because they want it but because it’s the best they can do with their available funds. That can lead to buyer’s remorse sooner rather than later. If every time you get behind the wheel, you know it’s not what you wanted, it might be a matter of time before you’re car-shopping again.
You’ve Fallen Out of Love With It
Even if you initially loved your car, you might reach a point where you’re not feeling it as much anymore. It’s okay to outgrow your love for a car or realize it’s no longer a good fit for your needs.
You Got a Bad Deal
Your car ownership experience can get off on the wrong foot if you soon realize you got a bad deal. It’s not uncommon for car dealerships to pull out all the stops to increase the sale price. If you’re giddy about getting into a new car, you might not negotiate as effectively as you should.
After buying it, driving it off the lot, and living with it for a while, you might realize that you overpaid.
Do You Have a Car You Need to Get Rid Of?
If you see yourself in any of these scenarios, it might be time to consider trading in your car. Finding out you bought the wrong car can be a nightmare situation. But if it’s something you can’t tolerate long term, you can always trade it in for something you really want.
