Q: Should I replace my engine or buy a used car?

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My impreza needs a new engine and oil pan. I'm having a hard time figuring out if I should replace these parts or buy another car. I live in Minnesota so winter driving is something to consider. 2 years ago I was quoted about $4500-5000 to fix it with an engine at about 100k mileage. It's been in my garage since then. Looking at kbb it's about $4800 to buy the same car with 120k mileage. Before the oil pan cracked and engine blew I fixed the bearings and something else totalling about $1400. I love this car and if I buy a different car it would be the same or similar if within my price range. I bought the car used from a dealership at 27k miles. Now I used to work as a process server so I put 50k miles on this car in the first year so most of my driving was long out of town trips mainly on highways so I feel that wear and tear on the car is minimal for 120k miles. I do not drive for a living anymore and my job is about a 10 minute walk away. Do I fix my car or buy another. Please help!

My car has 12000 miles.
My car has an automatic transmission.

Considering that the price to replace your engine and the cost to purchase a new vehicle are in the same price range, I would choose the option that takes less time. This will remove this headache from your life sooner. If you think that you could find a new/similar vehicle to purchase before the parts are available and labor completed, I would do that. If you think that the car search will be long and tedious and also have a trusted mechanic who can get the job done quickly and efficiently, I would go that route.

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