Few of us want a stripped-down car. And manufacturers and dealers know it.
Sure, some dealers advertise models at a rock-bottom price, with no extras. But try to find one. The only models in stock might be loaded with extras not necessarily on your wish list.
And each of those comforts and conveniences, from a $300 spoiler to an $800 pumped-up stereo, adds plenty to the vehicle’s bottom line. When that “affordable” $12,000 sedan becomes $14,000, $16,000 or more, you’re in a different price class.
Not all options are equal. Some can be considered virtually vital to preserve resale value. Air conditioning, for instance, is a wise choice even in cold climates, because a car without it is less saleable secondhand.
Others are important for safe and easy driving but could be skipped, if necessary. Power windows and locks, for instance, may be optional on lower-end models, but they’re now “almost the price of admission” on more costly vehicles, said Charlie Vogelheim, editor of the Kelley Blue Book, a used-car pricing guide.
Finally, many extras would be nice to have but are easy to omit to keep the outlay reasonable. A few are are pure fluff: appearance add-ons, aero body attachments, special wheels are personal choices.
Some options tend to be priced individually–anything from foglights to a spoiler to an upgraded stereo. Others are sold in groups, so you have to buy one or more extras to get the one you want. A convenience package, for instance, would include a batch of related items, typically priced lower than they would be if purchased individually. Groups make the selection process easier, save money (if you want the whole collection) and simplify marketing for the manufacturer.
As a rule, the total price of an option group is markedly lower than the prices of its individual items, a bonus only if you want all of them. Your best bet could be to select a better-equipped step-up model–perhaps the sporty version, if improved performance is your goal.
Some items are available only if the car is equipped in a certain way, for instance with an automatic transmission. A few makes, notably Honda and Acura, offer only dealer-installed options, which a dealership technician installs after delivery. Options are occasionally installed at the port of entry, after shipment from the factory but before arrival at a dealership.
Light trucks–pickups, sport-utility vehicles and mini-vans–generally have the biggest lists of options. If you expect to sell the vehicle, it pays to consider what those options will be worth later. Study a used-car price guide to see what a sunroof or CD player is worth when a car is 2, 4 or 6 years old.
Vogelheim calls those separate figures “hard adds.” An automatic transmission nearly always makes the car worth more. A spoiler adds far less value and only recently was added to the blue book’s list.
To decide whether an item is worth the cost, divide its price by the number of months you plan to keep the vehicle. If a spoiler costs $400, and you expect to keep the car for 40 months, is it worth $10 a month to have that sporty appendage?
Sport packages typically have a tighter suspension and bigger tires. An all-weather group includes heavy-duty components to ease winter operation. Despite the name, performance packages don’t necessarily focus solely on the engine. They might include suspension items, for instance, that make the car handle better, to help cope with the extra engine power.
Obviously, a trailer-towing package would be a good idea if you plan to haul a boat or camper.
A cool sound system or a six-way power seat might be hard to resist, but a side-impact air bag or anti-lock brakes could save your life.
Front air bags are standard in all models, but side-impact air bags are available in a growing number–often as an option. They cost a few hundred dollars, and government crash-testing is demonstrating their value in reducing injuries in side collisions.
Of the more than 3 million collisions that occur annually, about 1.6 million are frontal impacts and 800,000 are side crashes. Only a handful of models, such as BMW, offer side-impact air bags for the back seat. Integrated child seats also are available in selected models. If you’re transporting small children regularly, the price–typically $125–is one of the best investments in safety you can make.
Other safety upgrades may seem less clear cut. Though ABS helps a car stop in a straight line, it doesn’t shorten stopping distances. But ABS can keep the driver in control on slippery pavement. Several carmakers have dropped ABS from standard-equipment lists, convinced that buyers in warmer climates don’t want to pay, in general, $400 to $650 for it.
Except for sporty models with sought-after five-speeds, manual transmission has a negative effect on resale value.
“The automatic reigns king over the five-speed,” Vogelheim says. “And that’s across the board.” A manual can be difficult to sell simply because fewer Americans know how to operate one. Unless you love shifting, an automatic transmission can be worth the $500 to $1,200.
Would you be happier with a more powerful engine? A V-6 instead of a 4-cylinder, say, or a larger-displacement V-6 than standard? Moving up can cost $200 to $1,000. If it means the difference between grumbling every time you step on the gas and being satisfied with performance, that could be a small price to pay.
A stronger engine can mean more confident passing or merging, though the improvement over the basic engine isn’t always immense. Check comparative acceleration figures before making a decision here.
Vogelheim finds that a “higher” engine boosts the resale value too. But a larger engine generally consumes more fuel, which could be a big drawback in a time of volatile gasoline prices.
If stunning sound is what makes driving worthwhile for you, choose a better-than-standard stereo. Upgraded stereos come in many types and ratings. A CD player is almost expected in all but the lowest-priced models, replacing the cassette. Many cars have CD/cassette units, and in-dash CD changers are the latest trend.
You could save some money and go to an aftermarket stereo installer, but any accessory installed by someone other than the factory or dealer will not be worth as much at resale time.
Valuation guidebooks look only at factory options.
“There’s just a level of consistency there,” said the Kelley Blue Book’s Vogelheim. While a stereo from a major manufacturer could be desirable, an “off brand” detracts from value.
A stereo or any other option “should be vehicle-appropriate,” Vogelheim said, if resale value matters. “A killer sound system” in a mini-car might thrill you, but not a subsequent owner.
What are the most popular extras in a high-volume vehicle such as the Chevrolet Cavalier? Most-sought items are a stereo with CD, steel wheels with covers, an automatic transmission and a spoiler, according to GM spokesman Brian Brockman.
In Chevrolet’s Tahoe sport-utility, tinted windows, keyless entry, a tilt wheel and rear defogger top the list–and a CD/cassette stereo beats the cassette unit by far, Brockman said.
Even if it costs extra, generally $700 to $800, air conditioning is considered a “must.” Heated seats are cozy on cold mornings, but are they worth $225 to $500? Popular sunroofs can cost more than $1,000.
A theft-deterrent system is an investment in security. Remote keyless entry can be a safety feature. For some folks, massaging seats might be as compelling as either of those.
Would you rather have a spoiler to look sharp or a rear defogger to keep that back window clear?
Many shoppers are eager to pay extra for bigger rubber on alloy wheels. “You can spend incredible amounts” on premium and custom wheels, Vogelheim said, “and others may think they’re ugly. It takes away the universal appeal of the vehicle.”
In terms of resale value, such items as sunroofs and moonroofs “can be a wash.” They’re “almost a personal preference thing.”
Power windows? Power locks? How much is it worth to you to avoid rolling down windows by hand or reaching across the seat to open the passenger door? Power adjustable pedals, initiated on Ford products, can be a boon to shorter drivers.
Is leather upholstery worth $400 to $3,500 extra? Leather upholstery is “vehicle-appropriate” in higher-end automobiles but can appear out of place in lesser models.
According to Vogelheim, an optional seating package “makes an incredible difference” in the eventual resale value of such vehicles as the Ford Expedition. “Quad seats are worth more on a mini-van.”
Until recently, every car was equipped with one extra that’s now an option on some models. Unless you’re an ardent smoker and want to encourage puffing in your vehicle, forget the $15 to $20 smoker’s package and take the tiny extra storage compartment that comes in place of an ashtray and lighter. That’s one instance where doing without can be good for your health.
