In this “Money With Mak and G” podcast episode, Mak & G talk about what to look for in a new car and how the markets have reacted to the uncertainty around vaccinations, the Capitol attack, and stimulus cheques…
Markets don’t like uncertainty and this year has definitely been an uncertain one.
Today, Mak & G look at how vaccinations, the Capitol attack, and stimulus checks have affected the market and what’s caused it to bounce back.
Next, we talk about the new car we’re thinking of buying and the important things to look for when buying a new car…
“The market goes up and down.” – Mak & G
“The stock market doesn’t like uncertainty.” – Mak
02:00 – How the market reacts to uncertainty.
03:04 – The United States Capitol attack and how this affected the markets.
05:18 – The uncertainty around vaccinations.
08:50 – When we’ll get our stimulus checks.
11:20 – The movements of the DOW, NASDAQ, and S&P 500.
17:23 – The massive gains Bitcoin saw this week.
19:00 – The potential benefits of day trading.
19:57 – How stimulus checks will affect the market and the economy.
20:58 – What to look at when you’re buying a new car.
Connect with Ben Jones:
DAD: Hello, welcome to Money with Mak and G. We are super excited to be here today. Makenna were you going to kick it off with something that you just did on your computer?
MAK: I was.
DAD: Do it. Welcome to money with Mack and G. We hope you had a great week. We’ll be talking about current events. Wow, that is not energetic and wonderful way to start this though.
MAK: It kind of slowed it down.
DAD: Got it slowed it down. You hit the wrong button Mak & G. We hope you had a great week. Oh, talking about current events.
MAK: That’s better.
DAD: All right. Much better. Man. Grant, hey, what’s your what’s your deal for the week? What’s been going on?
GRANT: Well, pretty much laziness and just gaming.
DAD: Gaming and laziness. Right?
DAD: Into the boy cave. And it stinks and lots of Toots lots. Okay, well, you know, sometimes we come down here and it’s kind of nasty. MaKenna. How about you, you were telling us some interesting stuff before the day or before this started?
MAK: I’m just really sad because we have to go back to school.
DAD: Yeah. And the parents are waiting for the kids to go back. And you guys are going back in person, right? We’re taking a quick look at that.
DAD: So your whole world is revolving around depression for tomorrow. And grant it’s like, I gotta stop being lazy and eating corn, Cheetos and all that stuff.
GRANT: You don’t even have Cheetos.
DAD: You don’t even have to eat as well. You know, it’s been a really interesting week. And I’m so glad that you guys are back. And it’s fun when things are interesting. And what is one of the things that happened over the last week that could be affecting the stock market because what does the stock market not like?
DAD: Exactly what does he…..It is like a disgruntled or mad or somebody got dissed. Well, what does the stock market do? Does the stock market go….
GRANT: Up and down.
DAD: And then last year, for the most part, the stock market if you looked at it for the whole year, it started off pretty good. Then it went crashing down. Right. And then it took off….
GRANT: Like oil thing?
DAD: Yeah. Oil thing and it went up and then it took a huge dip down and then it came back up. Oh, look at that Money With Mak And G pillow. Get yours here. For 9095.
MAK: We’re not selling.
DAD: But we got one in the mail. We ordered one that was pretty cool. But the market goes what guys?
GRANT: Up and Down.
DAD: Just like the pillow goes up and down. So we wanted to talk to us a little bit about a couple of things about uncertainty. Grant, you have one thing over the last week that has put some uncertainty out there.
GRANT: Yes, I do. For matter of fact, anyone heard of the storming of the Capitol?
DAD: Yeah. That was……. And people that got trouble. And what else happened?
GRANT: And people got killed too?
MAK: It’s really sad.
DAD: Yeah, there was somebody that got killed getting being shot. And from what I read, did you read this? How many other people? Three others. I think that’s what I heard too, is that four people in total when it got shot there? Well, what were they doing? Why were they even there at the cap?
GRANT: Oh, well, we don’t like 100% know, but we think that they’re trying to burn the ballots and try to get it so Trump won. So these were all Trump supporters.
DAD: So you’re thinking and did Trump talk to him or earlier in the day? Did you know that he was?
MAK: Yes, he did. They were holding like a rally. That’s a legal rally. Like it wasn’t like illegal or anything. And then they actually broke into the Capitol building, which is illegal, just so you know.
DAD: Yeah. So you’re not allowed to do that. And they were counting. Do you remember that special word, not the popular vote when you and I vote? That’s one vote for me, which is a popular but it’s called the….
DAD: The Electoral College….
MAK: I knew I started to see it just….
DAD: Because what was supposed to happen this past week, they were supposed to say who is the new…
GRANT: And they were counting the votes.
DAD: And they were recounting the votes. And then there was a rally, people got what they call incited, which worked up, they stormed the Capitol. And that causes uncertainty. And when there’s uncertainty in the market, what normally happens?
MAK: It goes down.
DAD: You’re right.
GRANT: The stock market doesn’t like uncertainty.
DAD: It doesn’t like it. Yeah. It could be good stuff and bad stuff, right. Like we just talked about, if you went down in your basement, and you heard all kinds of weird noises, and you weren’t certain what it was, but maybe it was an ice cream machine and a popcorn machine…. Yeah, he was a little bit that would be a good surprise…..
GRANT: But like, since it was so dark and you hearing these weird creepy, like Monster sounds.
DAD: It would make you uncertain and you would go running back upstairs. Mom Dad, what is that sound? And then check it out. But uncertainty, something the market does not like and what is another a piece of uncertainty because Grandma Jones came over this week?
GRANT: Well, yeah, so she wanted to apply for the vaccination.
DAD: That’s right. And Mack, what’s the deal with the vaccination here in Indiana right now?
MAK: Basically, there’s like a. So we have, first of all, we have a list, which I think we’ll do a little bit later of like, who actually is allowed, and who’s like the first group of people that can get it. And then you can also there’s like an age group that can get it like, that’s more. What’s the word more…
DAD: There you go. Well, why don’t you give us a couple, we got a couple that we wrote down. You want to give us the first one? What’s the first one that all the states are usually starting with these people? Who are they?
MAK: Healthcare workers.
MAK: What about you G? You know anybody who’s next?
GRANT: People in the hospital? You know, like the people are like also helping with COVID. So like, they need to be safe from it to help us.
DAD: It could be people answering phones, it could be for working in food service in the hospital.
DAD: Think that with COVID? Yes, right. Yes. Think of the nurses and the doctors helping us out there every day.
DAD: I think that’s right. And plus, think of the people that go out if there’s an emergency. What’s kind of the next one that we thought…
MAK: Firefighters and police officers?
DAD: That’s right. They’re going to be touching, being around helping whatever. So for them, that’s pretty important. What about the one that we didn’t talk about was the Department of Corrections. Do you know what that is? That’s not mom and dad’s room? That’s not the Department of Corrections where we correct you guys? Do you know what the Department of Corrections is?
GRANT: Is it a jail?
DAD: Yeah, it’s the it’s the entity or the thing that deals with all the jails.
GRANT: So it’s like the people working there, not the prisoners.
DAD: Yes. But there’s a little bit of controversy. You know what that means? Controversy? Like, not everybody isn’t an agreement. And usually, it’s makes some people mad, that they think that they should give the prisoners have the vaccine, why do you think they should get the prisoners vaccine Mak? I’m not saying that. That’s what you believe. But why do you think some people say you should give it to them?
MAK: So they can live?
DAD: Well, think about it. If we’re all in a cell, that’s like 10 feet by 12 feet. You’re pretty close to another person, right?
DAD: So if one person gets it, will the other people possibly get it quick?
MAK: Yeah, probably.
DAD: Exactly. And if you’re running the jails, does it cost more to take care of sick prisoners? Or not sick prisoners?
MAK: Sick prisoners?
DAD: That’s right. So the Department of Corrections, they probably want to vaccinate as many of the people in jail as possible as fast as possible.
DAD: So that’s kind of crazy to think about, huh? Now, you know, Uncle Tony, and not the one that was on the show. He was the one that married. Oh, my sister, but my brother, uncle Tony.
GRANT: Oh, yeah.
DAD: He works in a prison right here in Indiana. And….
MAK: Oh, he does?
DAD: So he’s a health care worker, because he’s a nurse. So he got the vaccine. And they want to make sure that the prisoners get it too. But those are just a couple and there’s uncertainty surrounding that. That’s why we’re talking about it. Because what happens with uncertainty in the stock markets?
MAK: Stock goes kaboom.
GRANT: Yeah, it goes exploding.
DAD: Well, it doesn’t go that bad, but it doesn’t like uncertainty.
MAK: Still Bad.
DAD: And so we talked about the Capitol Hill and we also talked about the vaccination which are those certain things are uncertain things?
MAK: Uncertain thing.
DAD: What’s a good certain thing? We’re talking about Grandma Jones quite a bit because well, Grandma Jones could get what this week?
MAK: Romani. Oh, and the vaccine
GRANT: Stimulus check.
DAD: Yeah, so she did she get her stimulus check this week?
GRANT: Yeah, yeah, I think so.
DAD: Already. And that was quick. She called me and she was like, hey, I want to take out the dinner. I’m like, yeah, baby stimulus, check. And she can also get the vaccination because she’s over what age in Indiana.
MAK: 80. She’s over 80.
DAD: Now, is that the same age and all the states?
DAD: Grant once you give me a different state in a different age.
GRANT: Okay, so there’s this work and their age is 75. And over. Is it 75 and over or over 75?
DAD: Over 75. It’s kind of like over 80. What about you, Mak?
GRANT: 75 years old.
DAD: Do you remember the other one we were talking about? Because they’re all over the place.
MAK: Florida one I thought was kind of fascinating. Because it’s a little bit younger than I would have expected. It’s 65 and over.
DAD: And do you remember when we looked at the average age and estate since our but my buddy Glen is down there. His average age is I think seven or eight years higher in Florida than it is in Indiana. So on average people are older in Florida and….
MAK: Retirement kind of thing…..
DAD: Yeah. So why 65? And in was that? Did everybody want to get a vaccine down there?
GRANT: Oh, yeah.
DAD: Yeah, they’re people want to get on with their lives, right. So they went, and it’s kind of confusing because they weren’t sure how many vaccinations they had. Did I tell you about that article I read Mak? What was it? How many people were lined up for how many possible vaccinate?
MAK: Oh, it was like, it wasn’t there, like 300 vaccinations that they could give. And there was like, 1000 people there.
DAD: Waiting outside. It was getting crazy. And so they’re trying to do it all online, but they’re having lots of problems. So Grandma Jones came over, which is interesting. And I helped her sign up for the….
MAK: The vaccine.
DAD: Vaccine. However, Grandma Harris, can she get the vaccine?
DAD: Why not?
MAK: Because she is under 80.
DAD: She is a spring chicken. She’s under 80. She’s 76 or so. Right? MaKenna’s? Like,
MAK: Grandma’s age…..
DAD: Well, we hope grandma like listens to this and maybe yells at me and then I’ll have to take it out. But….
GRANT: I said that she was young.
DAD: She’s young. There you go. You give me a hug. Her working on a big present or another Christmas present. Right? I don’t know.
GRANT: I was just being nice.
DAD: You’re just being nice.
DAD: So what happened in the market this week? Come on, guys. What are the three indices that we were looking at?
GRANT: The Dow.
DAD: What about you Mak?
MAK: The S&P or however you say that.
DAD: S&p 500….
MAK: And the NASDAQ.
DAD: Okay, so which, so we went through and you guys are gone dead. The Dow is about which companies? Come on, we gotta get this down.
GRANT: The dow is from all over.
MAK: It’s not from all over the leg from like….
DAD: How many companies into the Dow?
MAK: It’s a top one.
DAD: It’s kind of the big 30 companies, right. Usually older companies. But who do we know that’s in the Dow, the NASDAQ and the s&p?
DAD: Right. And you guys bought apple on Monday?
MAK: Yes we did.
GRANT: I lost money from it because I went down.
DAD: That’s right. So what did you buy? What do you buy Apple stock at right there bottom of the page for right? What is it?
GRANT: $133.56. Way to be precise.
DAD: And how much money did you lose? What percentage did you lose?
MAK: We lost about 1%?
DAD: Yeah, you lost $1.51 on each one your share. So in total, how much did you lose this last week? Because how many shares did you buy?
MAK: We bought two so that means we lost $3.02?
DAD: That’s right.
MAK: Every cents count.
DAD: So you lost 1%?
DAD: Because you bought it at market price, which means when the market opens whatever it is, you’re jumping in? Yep. They sold it to you for 133 56. And you lost 1%. But what did the markets do? Because in the Dow is the Apple is in Dow. Right? Apple is in NASDAQ and Dow is in the s&p. So the Dow are the big companies. Right. And what about the NASDAQ because the NASDAQ?..
GRANT: That’s a top electronic ones and like…
DAD: Like technology one?
DAD: Because in NASDAQ that could be biotech, like using new knowledge and new technology to build the vaccine. Right. There was a number of the big companies that were in there. And then the s&p 500 is a whole bunch of stocks from what different in….
GRANT: Industries. That was the one that I was talking about earlier. I thought that was down.
GRANT: But yeah, they’re, they’re just like, from everywhere.
DAD: That’s a broad base. So it could have technology construction. Yeah. Hotels, airlines, it could have all kinds of stuff.
DAD: Amen. Right. And the beach docks, which we’re having a little bit of trouble casinos, hotels, cruise live entertainment.
GRANT: Who was the B?
DAD: I don’t know what….
GRANT: I should put that on a quiz.
DAD: Yes, we should put it. But what happened with the three indices? MaKenna, what happened in the Dow?
MAK: The Dow went up 1.6% In a week.
DAD: In a week, and then Apple, which is Apple A big part of the Dow or a little part of the Dow because it’s a big company, and it kind of affects things.
GRANT: I think it’s big part.
DAD: It is and it was down 1% but the Dow went up 1.6% And is that a lot? 1.6
GRANT: That’s a lot like, like, the average is 10% for an entire year.
DAD: And if you get 1.6 That would be six weeks you’d have 9.6% Because 16 times six is 96.
GRANT: Pretty scary.
DAD: So that is cranking MaKenna. What happens if the Dow did the same thing 1.6 up every week for an entire year. Where would you be?
MAK: We would be at plus 83%.
DAD: Damn! Positive 83% and What do we normally see in over a long period of time? What’s the average increase we see in the stock market?
MAK: In a year?
DAD: Yeah. Yeah.
GRANT: I would have said 10%.
DAD: 10%. So we would be on target for 83%. If it was the Dow and the s&p, what the heck, I thought the s&p.
GRANT: I went up by 1.8%.
DAD: Which means…
GRANT: It goes up 52% if it stays the same throughout the year..
DAD: Let’s see. So that number must be wrong, because 52 times 54 is 93. Did we do the math? Right? 90 plus percent? Yeah, it’s pretty close to 9%. Because that’d be like 96%.
GRANT: Okay, sorry. Let’s redo that the s&p would be goes up by 1.8%.
DAD: That’s almost 2% and 2% times 50 is what? Like a 100.
GRANT: It’s 100%.
DAD: Now, Mak, NASDAQ, what the NASDAQ. And last year, what did the NASDAQ do?
MAK: So the NASDAQ went up 2.4% this week, which is an absolute ton. So if it every week went up for a year, it’d be plus 125%, which is like close to how much it went up last year. Right?
DAD: Oh, last year. Come on now.
MAK: Oh, sorry……
DAD: I don’t know. That’s a lot. I don’t know. I didn’t check. But how much does it go up last year, the entire year? And we said wow, that was a ton. How much?
GRANT: It was like 44%.
MAK: Wait, that doesn’t make any sense.
DAD: But this year, it’s on track for 125%. What do we know about the stock market go
GRANT: Up and down NASDAQ’s happily giving up into the skies to the sun.
DAD: So it’s a little scary if we think about it, because that’s a heck of a high number.
MAK: I didn’t even think about that. I thought it was like 100 last year.
DAD: No. We got to keep our numbers straight. That’s why we’re doing this. We want you guys to learn this. The Dow or the big companies. s&p is a broad index, which is over all different types of industries and NASDAQ’s NASDAQ has tech and normally you see about 10%. So the market kicked butt this week. But what is a couple of little side notes because one of the side notes is what happened to crypto cryptocurrency last week, last week.
MAK: It’s like Bitcoin.
DAD: Bitcoin. There’s lots of crypto but Bitcoins, the big one, sorry…..
GRANT: So it started at 28,960 ticks…..
DAD: So right around 29.
GRANT: Yeah, put that out, like 29,000. Okay. And it went up to 39,927.
MAK: It went up 10….
GRANT: Went up like leaven 11,000.
DAD: It went in a week.
GRANT: A lot of damage.
DAD: Which is what percentage Mak?
MAK: What? Oh, it’s 37.8%…. That’s how much that’s almost how much NASDAQ went up in a whole year.
DAD: That’s right now you guys are good. And the thing is, when I looked at it, I cut it off, I believe on Friday. And over the last two days….
GRANT: It went up by most probably…..
DAD: It actually went up over to over 42,000.
MAK: Oh my gosh, guys buy!
DAD: No, we’re not recommending buying crypto.
GRANT: Don’t buy it right now.
MAK: Buy when it’s low again.
DAD: But we’re letting you know, it already came down to below 38 and change. So it’s already below what it ended out on Friday. So it’s very volatile, which means it goes up and down quite a bit. But something to keep an eye on as things get a little bit crazy.
MAK: Sorry I meant buy when it’s low.
DAD: Yeah. Buy when it’s low, but we’re not really sure what’s coming down. We probably need to get somebody else in here. And what did I tell you? We had? We had that really tall guy in here. Not Tony Petro?
DAD: Yeah. Kyle. Kyle is what we call the day trader. Right. And he trades during the chart trades during the day. And do you know what percentage increase he had last week?
GRANT: I don’t remember.
DAD: What do you start with?
MAK: He’s okay, so he’s started…..
GRANT: Oh, 30,000. Right?
DAD: He started with 30,000 yeap that’s true.
MAK: And it went up to 32,238.
DAD: Yep. And so what percentage increase did he have last week?
MAK: A 7.5% increase which is a lot.
DAD: It’s kind of a it’s a dangerous thing. We’re not proud of that out there. We’re just trying to talk about different ways that you can make money right get crypto, you got day trading you got stocks and bonds that we’re looking at but we’re just kind of keeping the stocks right now. And we had a really good week over seven half percent that was pretty darn cool. So that’s the market uncertainty but why did it really pop what was good we we heard a little something we talked about a little bit because Grandma Jones got it in the mail.
MAK: It was the stimulus checks.
DAD: That really helps that helps the economy go because people have money to…
DAD: They do. So what happens when you have money to spend? Do I buy maybe another car?
MAK: I mean you can.
DAD: Do I buy another car, you might go out and buy some equipment like podcasts or buy some other stuff so that’s good for the economy. So what is the market think about that? Is that a good thing? Heck yes. As long as it’s not too crazy with the money and not too heated up. Now the Great Depression we’re not going to be…..
GRANT: Financers do not speak about untold tale.
DAD: That’s right. I don’t know. But when we’re thinking about that, they were pretty excited that that was getting finalized checks were going out. We saw some of them that went out. vaccine is starting to get out there. So that’s really good stuff. Now, I know we’re about 20 minutes in but one thing we want to talk about is what are we looking at buying here?
GRANT: A car.
DAD: Possibly car and what kind of car do you guys remember? we went the SUV been doing with them all blown. Yeah. Smaller.
GRANT: Smaller one.
DAD: Was mom happy?
GRANT: We want little small Susie.
DAD: That’s a little small Susie. Now it’s mom happy to trade in her main mini van.
MAK: Oh yeah.
DAD: But what is so incredibly awesome about a mini van?
MAK: It has a….. trunk like a lot of space….
DAD: Huge trunk and do you remember on the sides?
MAK: Side doors, it’s not like the ones that come out they like….
DAD: Slide. So when you guys were kids, and you’re thrown up in the doors and hitting cars next to us having the sliding doors are really awesome. You didn’t have to bend over and hurt your back because we had an SUV before. And putting you in your chairs was really tough. Now, why are we talking about that one feeling a little bit better about the economy. So we’re a little bit wanting to maybe go out and buy one. Ours is getting old, we’re possibly going to get a check in the mail. Right? And we’re looking at an SUV. smaller SUV, right?
DAD: So can you guys name the three of them? Because we just kind of threw them out there trying to be a little bit reasonable, even though we’re kind of going to test drive the Tesla with… because we want to see it that’s all about the Tesla. Why? Now, do you know what Elon Musk named his four cars?
GRANT: Yes, S E X Y.
DAD: S E X Y. Now people are probably gonna go what are you talking about? That’s a kid show. And it is but he actually did the Model S. And then aunt Laurie bought the model….
MAK: E three.
DAD: Three. Now the thing is, the E was taken, and they actually applied for the copy or the trademark on it, but Ford had the model E. So they couldn’t use E and they did a three which is three lines, which looks like an E. All right. And then what’s the next model? They had the one that I kind of really like….
GRANT: The X.
DAD: The X and then what’s the one that we’re kind of going to look at?
GRANT: Oh, Y.
DAD: Y. So he was really trying to spell sexy he was and they did that.
GRANT: Plug your ears children.
DAD: Plug your ears children.
DAD: But we lined up a couple and I looked mom was saying hey, let’s look at the Honda Pilot. I looked at a couple of cars. Can you guys name a couple cars that are similar to the Honda Pilot?
GRANT: There’s the Mazda Mazda CX nine.
DAD: Mak can you name one for us?
MAK: The Honda Pilot.
DAD: Honda Pilot. We started with the Mazda CX nine what else?
MAK: And then the Toyota four runner.
DAD: And then the Kia Telluride. Kia Telluride. How long has it been around? You guys probably don’t know this. But it’s been around since….
DAD: Great. Yeah. But one thing we want to get across is when we when I look at decisions, I’m always looking at the money. Right Mak? You know that right?
DAD: You say, hey, I want to buy this thing. And the first thing I probably say, Hey, do you look around for a deal for that? Right? And when you’re looking at a car, what are the two major things that you could buy in a family? Kids are the most expensive to buy.
MAK: You buy kids you make kids.
DAD: They’re just the most expensive, but what are you producing? We’re staying away. Okay, so….what are the two….
GRANT: You’re really loud.
DAD: Oh, yeah, you’re pretty loud.
MAK: Sorry. You buy a house and a car.
DAD: House and a car are the two major things you buy. So you want to really look at when you’re looking at a car, how much it costs to maintain. So what did I do? I pulled out for five years. How much does it cost to buy and maintain a Honda Pilot? I looked at how much the Kia Telluride was the Mazda CX nine and the Toyota four runner now can you guys walk me through what is the normal price on the Honda Pilot?
GRANT: The normal weight so like you mean the MSRP?
DAD: MSRP the manufacturer’s…..
MAK: Recommended so when like they manufacture it, that’s like the recommended price to buy it up.
DAD: To sell it to somebody. Right?
MAK: And that’s how much G?
DAD: They got different styles where you can be more or less, but this is 32. What about the the Mazda CX nine Mak? How much is that one?
MAK: That is $33,960.
DAD: So we got about 30 to 34. And then the Toyota four runner is the most expensive because the Kia Telluride didn’t have enough info so we can’t see how much that really cost over five years to own. But the Toyota for four energy?
DAD: Okay, so the Honda pilots, the least the Mazda is the next and the Toyota is the most expensive. Is that right? Mak?
DAD: So what happened when we looked at how expensive like if you had a Mazda rattie? My Mazu Roddy does 185.
GRANT: Thank you for that performance.
DAD: I was one of one of those uncle Western has Amaz rally, which is really fast. But when you have a Maserati, which is like $150,000, if you get an accident with that, is that going to be more expensive or less expensive than getting into an accident, but…..
GRANT: That’s gonna be a lot of moolah.
MAK: Lot more expensive.
DAD: Right. So is insurance going to run you more for the Morales Ronnie are less?
DAD: More? So what they looked at is stuff like can you read off a couple of them? What about the tax credit that usually goes with electric cars? Right? But none of these are electric. So we don’t get any of that. What’s the next one G?
DAD: Mak. What’s the next one?
MAK: Oh, sorry, maintenance.
DAD: G, what’s the next one?
GRANT: So then there’s repairs.
DAD: Then Mak?
MAK: Taxes and fees.
DAD: And then cost more at the financing is going to be more?
DAD: Right. So you got financing. What’s the next one?
DAD: Depreciation. Last one Mak?
DAD: And depreciation is one that we want to get across as being very careful with because say you have three exact cars, all $25,000 but in five years, the first one you sell for 20,000. The second one you sell for 15,000. And the third one you sell for 10,000.
MAK: So Mr. Ben, why don’t you explain it to us why that occurs?
DAD: Well, why do you think it might occur? When in five years? What do you think?
MAK: It’s because it’s not a new car.
DAD: It’s not a new car. So it depreciates right you use it up? How many miles do you normally get out of a car?
MAK: I don’t know how much I’ve never owned a car.
DAD: You’ve never known a car. So maybe about I don’t know, depends on how well you take care of it. What quality car could be 125,000 150 could be 200. Some of them I’ve seen 250 Even 300 But some cars…..
MAK: This is an average miles or 13,500.
DAD: 13,000 a year?
MAK: Oh, yeah, yeah.
GRANT: You can buy more on it?
DAD: No, no. That normally that’s what people drive like when we go to grandma’s and drive. Normally drive about 13,000 a year. So after five years, five times 13 is what?
MAK: Five times 13 out is 65. Sorry, I haven’t been in school in such long time.
DAD: Another reason why you got to go back 65,000. So if you’re doing about 65,000, after five years, some cars, do you think all cars are in perfect shape after 65,000? Oh, no. Some cars need a lot of work at 65 Even though they haven’t been abused because their engines aren’t as quality, the door may be falling apart. So which one of these will depreciate or go down by the most amount of money out of the three we talked about.
GRANT: The CX nine.
DAD: Yes, that thing’s crazy.
DAD: It will depreciate 25 grand and it was not the most expensive was the middle one, but it depreciates the most, which car loses the least amount?
MAK: The Toyota! Four runner. Yeah. the Toyota four runner.
DAD: So the four Runner was the most expensive, but it will its value the most five years later.
GRANT: Yeah, it’s actually the cheapest part of the three in the
DAD: Say that again? It’s the cheapest, the cheapest in the end cheapest in the end of five years. You agree Mak? Yes. But isn’t that crazy? You pay the most to buy it. But it literally cost you the least amount of money.
MAK: This is why before you look at the before you look at buying a car, you need to look at the facts.
DAD: Well, which one is rated the most? But the Kia Telluride has only been around how long for a year, like a year. So what could happen like next year, it could completely fall apart and everybody be so mad. So if something hasn’t been around very long, you’re not really sure if it’s going to keep its same rating. Does that make sense? And the other rating the Honda Pilot, what did that rated at?
MAK: A Honda Pilot is it 7.9 out of 10.
DAD: But the Mazda, which is the one that loses the most money over time, is it a point three so people really really think it’s a really great car. However, it just loses its value as it goes along. And therefore it’s the most expensive out of those three to have after five years. So we want to make sure that we keep talking about different things related money making good decisions, and in this case, unless we absolutely loved the Mazda CX nine it seems like from a financial perspective the Honda Pilot or the Toyota four runner might be a little bit better right? Guys want to say anything before we go because we just got through it got through the markets got three guys going back to school. What do you think Makadoo?
MAK: Have a great week. And welcome to 2021.
DAD: Welcome to 2021. Thanks for being here. We’ll see you next week on Money With Mak And G. We loved it. See you later. Bye!