Am I crazy to sell 2013 Tacoma?

I've owned a 2013 SR5 DCSB since March 2018 and it currently has 103k on it. Since I've owned it, I had the head gasket replaced under warranty and recently had both front calipers and rear brake cylinder replaced. I have really enjoyed this truck but I've been thinking about selling for several months. Here's my reasoning:

I honestly should have never bought this truck in the first place. It's easy to fall into the whole "Well, I can make the payment so I guess I can afford it" trap and the "I work hard and I deserve something nice" trap. I've made every payment on time since I bought it. The issue is I took a real hard look at my finances about 5 or 6 months ago and realized I really need to quit procrastinating and pay off my debts (small credit card balance but about 32k in student loans still remaining). I really need to get out from underneath this stuff so I can move on and start working towards my other financial goals: saving for retirement and real estate investing.

I currently owe almost exactly what the NADA value is on it so I'll likely just break even on it depending on how long it takes to sell. IF I sell, I'll be looking for an older 4runner. Either a later 3rd gen (99-02) or early 4th gen (03-06). I'm thinking $10k would be my absolute max budget but more realistically looking to spend $6k-$8k. Most have anywhere between 180k-250k miles especially the 3rd gens. I've been researching the older 4runners for months so I'm aware of all the typical maintenance issues with each and the different engine and tranny options.

Am I crazy for considering doing this? My tacoma is NICE and very clean but I feel pretty compelled to get out from underneath that payment. I also realize that maintenance costs on an older vehicle could eat me up if I happen to get a bad roll of the dice. Thoughts?

 

how much do you owe on the Tacoma?

 

Right about $22k.

 

you might be able to sell it out right, just depends...you know people will try to low ball you. Hard decision there...if you had more time/payments in it you prob be better off.

 

Any opportunity to increase income. That would be a better route

 

I vote to sell it. Sounds like you have a good financial plan worked out.
Get your post count up and list it for sale on here.
Good luck with your decision.

 

Gotta agree with everyone else to try and get ahead financially especially if you don’t absolutely need the truck.

 

Id see what you could sell it for, go from there...if you do sell do you have a backup plan to get to work?sometimes stuff sells pretty quick...

 

Yes I do. My wife works from home and rarely ever has to leave during the day so I can use her car in the mean time.

 

List it man! List it higher and then you can reduce the price. You cant raise the price but can reduce it

 

Right on. Tacomas here are such a hot commodity. I might find someone willing to give me over book value for it. That's why I'll probably get a 4runner. They're a lot more reasonable than the tacomas are.

 

You owe 32k in student loans,.and 22k on the Tacoma..If you break even on the truck you'll still have 32k in student loans. If you buy somethig for a 10k like you said. You'll go from 54k to 42k in debts, plus any unforeseen repairs on an older higher mileage vehicle. As long as you won't buy another vehicle and just use your wife's car you'll also save on the insurance and maintenance as well. Whuch can then go towards your initial debt.

Debt is horrible to keep carrying with you longer than necessary.
If you can do it then l say do yourself a favour and get rid of that debt.

 

we had a 2008 4runner...it was nice vehicle. had some issues with calipers but nothing else. And that was only because we lived in MD...salt messed them up.

 

This has pretty much been my thought process. $12k is $12k. Not a massive sum but still quite a bit. It would probably take another 18-24 months to pay that off vs getting rid of it. Plus saving a lot of interest on top of it. My only hang up has been that $12k can get eaten up pretty fast if I was to have to make some major repairs on the next vehicle. Although there's no guarantee I won't also have to make some major repairs on the tacoma if I keep it. Driving the wife's car would only be temporary. I'll have to get another vehicle.

 

If its something that has been on your mind and you think it will help you pay down on your debt I would say go with your gut.

 

My advice is to keep your truck. The reason is your truck will still be on the road when your debt is all paid, but an 06 4runner will not be and you will be back in the debt cycle with another vehicle. Plus the older vehicle will no doubt have a higher maintenance cost. My advice is to pay as much as you can on your existing debt. Save money every way you can and make more than the minimum payments. Start with the smaller debts like credit cards and keep paying an extra $50.00 a month. Once one is paid off put it away and don't touch it and double up on the next debt. It will be hard but make a solid plan and stick to it and in a few year you can really knock that debt down.

 

Sell and pay off all your debt. The biggest key is, once all your debts are gone, never borrow money again to buy something. If you can’t pay cash you can’t afford it. From your post I can tell you know what you need to do.

 

Try to look at it from the other way around. Use the debt as motivation to increase your revenue. Saving money is never a bad option, but if you focus on growing other sources of income, it will benefit you greatly in the long run. Use the debt as motivation to be hungry to increase your income now.

 

That is one way to look at, but if you don’t have any debt you have to be a slave to always trying to increase your income to cover you wants. You can live very comfortably with less money and still have a lot. Just a different mind set. “ The borrower is always slave to the lender.”

 

This is the very best advice here. It absolutely floors me that people will go into debt to the tune of $20K+ on a vehicle and live in a rented house. I have financed 1 new motorcycle in my life. All of my other cars, trucks, and ATVs, I have paid cash for. You don't need a $10K vehicle. As mentioned, drive your wife's car for a while, save money, and then pay cash for something in the $2K range and work hard towards saving for a down payment on a house. I don't know how student loans work, but the best financial decision is to buy a house.