It's an interesting topic, filled with endlessly differing opinions, depending on who you talk to. Will the cost of gas go up, down, stabilize, etc.???
I realize that all things are relative and those who have relatively fuel efficient vehicles may very well feel the pinch, especially if they were already living on a very tight monthly budget.
However, for those that happen to own large SUV's or large pick-up trucks (for whatever reason) are arguably feeling the pinch more than anyone else!
Having said that, I'm wondering if people have certain "breaking points" in mind whereas they throw their hands up in the air and say "that's it! I'm done! I'm out!" and they attempt to sell off their large SUV or large pick up.
Is that breaking point based on the cost of a gallon of gas? Psychologically, how could it be? I mean...who buys "a gallon of gas"???
Is that breaking point based on the cost to fill up your tank from the point of being empty? For me, the answer is definately the cost of filling up from the point of being empty. I recall feeling like such a fool the first time it cost me $100 to fill up my Yukon XL. That was a couple months ago!
At what point do you say "enough already!" and get out of the large SUV? At $150 to fill up? At $175 to fill up?
I like to have faith that all this is a bad dream and that prices will come back down. Call me crazy, but I like to stay positive and I do take note of historical trends and cycles which support my theory.
However, when Ford and General Motors announce plant closures and scaling back of large SUV's and large pick up trucks...that seems to tell me that "maybe they know something that I don't know". These are some powerful corporations with a great degree of inside information and foresight related to their own industry. To ignore their actions seems equivalent to me sticking my head in the sand and crying "no, it isn't true!"
The other ugly side of the "breaking point" is whether or not I could even sell my Yukon XL if I wanted to. When I drove that pig off the lot back in 2003, it had a sticker on the window that read something like $44,500. Now, I got a substantial family discount and a significant tax break under the "farm equipment" bill passed for small business owners at the time, and...I paid off the balance on 0% financing. So, I did pretty darned good overall!
However, by my research, it appears that I would be lucky to sell it now for between $12k and $15k. Perhaps even between $10k and $12k.
One word comes to mind: PATHETIC!
I mean, I've owned 4 Honda motorcycles, a Honda Civic sedan, a Honda V6 Accord sedan and I currently own a Honda Odyssey van. Not one of those Hondas "fell like a rock" in terms of depreciation. I'm sorry, but if this is what "buying American" gets me...you can have it!
So, what's your breaking point? How much will you have to spend to fill up the gas tank on your large SUV before you throw your hands up in the air and say "that's it! I'm out!"