The drop in car expense pays for the mortgage

By Ben Brown, MEMBER, Kalamazoo Electric Vehicle Association

I wasn’t sure I could ever afford to be a homeowner. I found it difficult to save enough money for a  down payment, especially because I was constantly spending my paycheck on car repairs. When I switched to driving electric, my finances changed to the point that I was finally able to save what I needed for home ownership. 

I'd known about, and had been fascinated with, electric vehicles (EVs) since the oil embargo of 1973 and even before that. Folks I respected in the rural community where I grew up talked about the contribution EVs would make to our collective quality of life and our country's strength. The cultural norm for rural areas has always leaned toward innovation, and it wasn’t surprising that several of my friends and mentors worked toward EV conversions. They impressed on me that EVs could increase our independence, not just from fossil fuels, but financially. 

Years passed. National crises, national shortfalls and national finances rose and fell. I completed college, and then became employed in the juvenile justice field. I bought one of the two new cars I would own in my life, a 1979 Ford Fiesta, which ran at 40 mpg on my commute. and later,  a 2002 Honda Insight hybrid that achieved 60-80 mpg.

I returned to school with the hope that a medical degree would result in earning a higher income. Family crises and deaths "refined" my plans and I became a nursing assistant, earning less than when I worked in the court system. When my Insight's battery management system failed, in addition to endless internal engine complications/repairs that local dealers could never seem to fix, I could barely afford to keep the car going and became frustrated.   

EV owners help their friends jump on board

I told an electric car owner friend that I desperately wanted to own an EV someday. I even wondered out loud about finding an electric car share. 

It happened that a coworker of this friend owned a Nissan LEAF that his wife would not be using for the year she would be working abroad. It turned out to be the perfect match for a car share. It allowed me to get to my job and allowed this couple to keep their car. This EV owner suggested that I should pay just for the days that I used the vehicle.  We agreed on a price per day for an entire year, and then calculated from there. The total I'd pay would not be a whole lot of money, but it would cover his car payments. This arrangement was an absolute miracle for me.

After almost a year of driving the LEAF, and realizing the cost savings, I could no longer justify driving anything but an electric car. Though earning under $12.00 an hour, I realized it was enough for me to afford a used EV, and I located an all-electric Mitsubishi i-MiEV that fit within my budgetary limits.   

During the purchase process, it helped that I had a solid credit history, although the percentage of my income that would be dedicated to purchasing an EV raised eyebrows with my credit union. They voiced concern about me potentially losing money and becoming stranded. I was encouraged to write-up and present what was essentially a personal case study, along with letters of recommendation. The credit union officers were cautiously supportive and intrigued, ultimately approving the loan.

EV savings were immediate

I quickly saw a drop in ownership costs with the I-MiEV when compared to the five used vehicles I had previously owned, from my Chevy Astro and Camaro to my Insight. In addition to the end of the cycle of constant repair, I was also saving on maintenance when it came to timing belts, oil changes, frequent brake pads, exhaust systems, and more. It cost an average of $1.60 to recharge my vehicle overnight and 'fill' the battery when I parked at home (cooperative housing), allowing several days of travel.  

Admittedly, when visiting family across the state, I saved money using free courtesy charging provided by municipalities and universities, but I made a point to patronize local businesses as often as I could. Later, living with friends with a steep driveway, I found that the relative weight of the vehicle and tires enabled me to ascend the summit in winter when their Toyota Prius could not. 

After several years of saving on car expenses with an EV, as well as with a few other frugality strategies I put in place, I did something I had not been able to do in my 40-plus years. I purchased a piece of property and I paid for the construction of my own small home. Owning a used, dependable EV was not the only reason my financial situation changed, but it played an integral part, and could not have happened without it.  

And by the way, I am still celebrated by the credit union officers for what I accomplished, and they are always asking me about EVs. In fact, the branch manager who helped me, along with the manager of another branch, are putting together a proposal to take to the credit union’s board of directors that would reduce interest on loans for EVs. See, you never know what can happen!