Yes, your car IS worth it.

I use this blog mainly to rant about stereotypes in the automotive industry that both service professionals and customers fall into.  While we do tend to poke fun at ourselves at times (it's so easy), as well as at customers (in good fun), the intent is to help educate customers in hopes they make better decisions that work best for them.

On almost a daily basis I hear the same initial response from customers when they hear how much it costs to rebuild their transmission.  Generally if the vehicle is 10-years old or older the usual response is, "Yeah, the car isn't worth that much."

/rant on (in a loving way)
Well of course it's not worth that much, you now own a vehicle that does not move.  It's "worth" value is now zero.  Vehicle "worth" is not based on any blue book, it's based on what someone is willing to give you for your now dead vehicle.  Unless you're a professional mechanic yourself, you better hope that the person that buys your immobile car is.
/end rant

/educate on
Your vehicle is not a financial investment.  Your car does not appreciate with age and you will not get a return on your investment in terms of dollars and cents.  Your return on investment is the fact that it gets you from point A to point B in a reliable manner.

So what *is* the next step in determining how to move forward?  Let's look at a few factual points:

1. Your broken car is either your means of transportation or a family members.  It's what they use to get to work or school or both.
2. Your broken car is broken.
3. You can only bum a ride from friends for so long before they start telling you all about Uber.

Here are now your options:

1. Buy a new car!   Cost involved: Anywhere from $15,000 - 40,000 for the average 'Murican.  Benefit?  New car warranty for up to five years!  Not so benefit?  Payments of $450+ / month for 5 years.
2.  Buy a used car!  Cost involved:  Anywhere from $500 - 40,000 for the average 'Murican.  Benefit?  A car that runs! Not so benefit?  No guarantee how long it will run, no warranty, monthly payments of some dollar amount for 3-5 years.  Also, remember, when buying a used car, you're buying someone else's problems.  Most folks who trade in their cars or sell them are doing so because they are facing either a major maintenance item or a major repair bill.  Rather than fix it they'd rather sell it.
3. Fix your car.

Regardless of the option you decide there is a cost involved.  While there is no wrong answer listed above, there can definitely be a wrong answer depending on your financial position.    Let's look at our three options again:

1. If you've been looking for a reason to buy a new car and the wife has been pressing you to buy that new BMW M-series and it's within your means then, yes, that may be your destiny.  Just be prepared for the payments.  There's nothing wrong with that, it's how and why new cars are sold in the first place!  
2. The cost of a used car goes well beyond that of just the purchase price.  Remember, you'll have to pay to fix someone else's problems.  You may also have to invest in new tires or other minor fixes that will show up in the next 6 months.  Used cars are similar to new cars in that you will have a monthly payment in the form of some sort of repair.  The only difference is that your new monthly payment will vary from month to month instead of that fixed payment you make to the bank on a new vehicle.
3. Fixing your vehicle is similar to buying a used vehicle.  "I can buy a used car for that much!"  Yes, yes you can.  But can you buy a used vehicle in which you know the true vehicle history?  You certainly know your own car.  You know what works and what does not.  Fixing the transmission means you're "buying a used car" that now has a transmission that is warrantied for 3 years or 36,000 miles.  Can you find a used car with that sort of warranty for the price of rebuilding your transmission?  Chances are extremely slim.  Even if you decide to sell your now-fixed vehicle, the ability to sell a working vehicle is much higher than selling a dead vehicle.  Win-win.

You, the customer, need to compare real world costs involved to you.  What is the cost of REPLACING your vehicle vs. REPAIRING your vehicle.  Regardless of what route you go the end result is going to be the same:  Your means of transportation.   Choose what is best for you whether it means repairing or replacing, but never factor in the "value" of your vehicle because in its current state, that dollar figure is a big fat goose egg.   It's true value is the transportation and reliability that it gives you.