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Learn why new cars can be a deterrent to your wealth and what opportunity cost means. Maybe you like cars or you just want a new car. Perhaps you want to buy a new car because it's for safety (too many miles), or status (need it for your job/image), or change of objective (had a child), etc. Whatever your reasons for a new car, re-think it because cars are one of the largest deterrents to your wealth. Take a doctor who grosses $1 million a year, but has virtually no wealth accumulated. How does that happen? Moves from house to house. Buys a new car every 3 years. I've talked about the cost of moving - commissions, loan fees, remodeling to sell, remodeling after purchase, etc. Buying homes and cars too frequently can be deterrents to your wealth. For now, let's just focus on the car. He HAD to have a new BMW 650i. MSRP is $99,000. Let's look at the true cost over time, which is what would the money be worth if you had invested it? We call that Opportunity Cost. What is the depreciation on the car? According to