Article Presented by:
Copyright © 2006-2008 Casey Moher
The basic laws of supply and demand can teach us many things when it comes to investing our money. For years, real estate has been one of the best markets in which to invest money and to realize a solid profit in a reasonably short period of time. Real estate though, much like any other market, will realize increases and decreases in both the supply and demand of properties.
In this article, we will examine the life cycle of real estate booms and busts. We will also look at how real estate bubbles occur, and how to prevent yourself from being caught in one. And finally, we will look at how to profit from real estate in times of both boom and bust.
The Real Estate Boom Of The Mid-2000's
During a major growth cycle in real estate prices, when demand for living space is outpacing the supply of homes, lots of people can make tons of profit buying investment properties to resell at a later date. With the record low interest rates of the past few years, America experienced a major boom cycle in real estate. Investors across the nation experienced record profits, as people began looking to upgrade their homes and to buy vacation homes for themselves.
All across the country, regional pockets surfaced where demand was outstripping supply in record volumes. New home builders got into the game building more new homes at record rates. Real estate investors got into the boom themselves, buying older properties and investing the money to improve the value of the homes.
In an average year, any home that goes on the market will be available for between four and five months, before the home sells. During the administration of Bush Sr., the average time for a home to be on the market was between five and seven months. During the recent real estate boom, under Bush Jr., many markets were experiencing a window of only a few days, between when the home went on the market and when a buyer was signing the contract.
What happens is that the buyer has been on the house hunt for so long that when they finally see a house they want, they offer to sign a contract immediately, to make sure that they do not lose out on another desired home purchase. This is a true "seller's market", where the seller holds all of the cards and the buyer is at the mercy of the seller and the market.
When demand is strong and supply is small, we see record turn-around times on home sales, and we see real estate prices increase at double digit percentage rates. This is what is referred to by some as "hyper-inflation" in real estate pricing.
Now, in every real estate cycle, we see growth and we see slow downs. The trick to hugely profitable real estate investing is to get in while the prices are rising at staggering rates. But, what often happens is that the late-comers in a real estate boom will pay exaggerated prices for a home, and then get stuck holding the bag when the bottom falls out --- when supply outstrips demand and prices for homes begin to drop.
This is what some people in the industry refer to as the "real estate bubble". If an investor is to be successful, he or she needs to get in and get out of the market, before the real estate "bubble" bursts.
How Real Estate Booms Occur
At any one time, regional real estate markets are either in a boom or bust cycle. If you are wise and you watch trends in your market, you can see when a boom is ready to happen.
For example, let's say that an area or large city is seeing tremendous growth in the number of people moving there, but this same area lacks sufficient housing for those people. The trend is expected to continue as large companies are planning on opening new businesses in the area, which will bring in even more people looking for housing. If a real estate investor is aware that these changes are on the horizon, then that investor can make a smart move and purchase relatively inexpensive housing, make some home improvements, and then sell that house at the peak of demand and realize a huge profit on their investment.
Many Industries Profit In Boom Times
When real estate boom cycles occur, more people than just the real estate investor will profit from the trend. Some of these other people include real estate agents, home improvement contractors, and building supply stores. People in these industries will reap great profits during the real estate boom cycle.
Imagine that you are a real estate agent that makes a profit from every home that you sell. The real estate boom is going to be especially good for you, because you may be able to get that commission twice --- once when the home is sold to the investor, and again when the investor sells the home. Real estate agents have learned that marketing themselves to these real estate investors is good business. Real estate agents will go out of their way to point investors to value properties, and some will even offer to reduce their commission ever so slightly, if the investor agrees to use the same real estate agent when the house is resold.
This makes good business sense for the real estate agents. Since real estate agents are operating off of a commission, a percentage of the home's sale price, agreeing to offer discounts to real estate investors means that the real estate agent may surrender a small amount of money the first time that the home is sold, but that he or she will more than make up for that reduction when the house is resold at a higher price by the real estate investor.
Home improvement contractors are also realizing that it is a smart decision to align themselves with real estate investors in these situations. When there is no real estate boom occurring, home improvement contractors are forced to rely on the occasional home improvement job they can acquire from home owners.
From a management standpoint, it makes good business sense for the contractors to work with a handful of investors that have purchased multiple properties. This is far easier to manage than to have one project per customer. This reduces the amount of time spent in customer service, accounts receivable, and reduces headaches in general.
Building supply stores like Lowes and Home Depot also benefit strongly from real estate booms.
Everyone profits when the real estate market is in boom cycle.
How To Spot A Real Estate Bubble
Real estate bubbles occur when a market is overheated and people are still investing in property for profit, but the supply is on the verge of outpacing the demand for homes.
If you are smart, you can spot the bubble while it is developing. And if you can foresee the burst of the bubble, you can get out of the market with your profits intact.
Many individual investors make the mistake of seeing the signs of a bubble market, and not taking steps to avoid loss. If the time between the listing of a home and the sale of a home begins increasing, then that is a sure sign that the real estate market is cooling. Given that during a normal year in a normal market, the average turn-around time is four to five months from the listing of a home to the sale of that home, we have a solid marker for determining how soon we should expect the bubble to burst.
If the peak turn-around time was five days, and the current rate is now fifteen days, then you don't have much to worry about just yet. But, you really should keep your eyes to the horizon. If the current turn-around time is now three to four months, then the boom market has played itself out, and you can forget about the huge profits you could have made six months ago.
As the turn-around time begins to grow, the price pressures on sellers will start to accelerate. It is true that you could have sold the home for a $75,000 markup when the market turn-around time was five days, but now that the turn-around time is three months, you really should consider dropping your price and getting your profits, before you find yourself sitting in a market where your real estate investment is significantly over-priced.
Sometimes The Best Investment Is Aligning Yourself With The Right Third-Party
For the average joe, investing in real estate can be a big winner, but it can also force the investor to bankruptcy. Yes, the average joe can reap huge profits if they buy a home property for resell, but the average joe seldom has the connections or knowledge to know when the market is cooling down. Far too often, the average joe is the late-comer in a real estate boom cycle, and far too often they pay the exaggerated prices believing that they will reap the same profits the big investors have been taking. But the last man in usually takes the biggest losses, and for the average individual who is attempting to play in this market, they are the ones who can least afford the huge losses when the real estate bubble bursts.
No matter what role you find yourself in during a real estate cycle, it is important that you take full advantage the opportunities that are presented. If you take advantage of the laws of supply and demand and make smart alignments with third-parties, you too can profit from real estate.
Not all of us are cut out to be real estate agents. And not all of us are cut out to get into the home improvement business. But the opportunities in real estate are more varied than most of us realize. There are many opportunities out there for folks who want to profit from real estate, that do not require individuals to invest in property or to get a license to sell real estate.
There are plenty of companies out there who have a stake in the real estate industry who need people on the ground to help them to make money. One example is those big corporate real estate investors. Many of them need boots on the ground to find value properties to invest in. You can align yourself with these investors to help them to find property to buy, and these investors will reward you with a finder's fee. Along this same line of thinking, there are ample opportunities for individuals, who want to align themselves with third-party companies, to earn a nice living in real estate without being an investor.
About the Author:
Written by: Casey Moher - http://www.CashRetrievalSystems.net
Casey's company has formed alliances and partnerships with a few very specialized and well-established professionals who are really good at locating and retrieving overpaid CASH on behalf of commercial property owners in America. There is a need for people in your area right now to refer businesses for his team of experts to review. If you would like to locate businesses in your area for submission to these experts, you can earn substantial amounts of cash! Learn more: http://www.cashretrievalsystems.net
Saturday, August 30, 2008
Thursday, August 28, 2008
The Present and Future of Hybrid Vehicles: Sports Utility Vehicles and Trucks
Article Presented by:
Copyright © 2008 Butch Taft
Most broadcast and cable news networks have highlighted the rise in gas prices over the last year, almost on a daily basis. These stories feature interviewers, average citizens, and elected officials looking for scapegoats that can absorb the blame for high prices at the pump. Invariably, they make mention of gas-guzzling trucks and sports utility vehicles (SUVs), as well as speculators, greedy oil companies, and gas taxes, as the prime movers for fuel costs.
As Dodge begins to offer 0% financing on new Dodge Trucks, Ford and Toyota suspend production on many of their pickup truck models, and Chevrolet starts closing truck and SUV factories, it would appear that the final nail has been put into the pickup truck and sports utility vehicle industry in the United States.
But the truth is that four-dollar plus gasoline has only hastened the demise of older designs, and the auto makers are rushing to accelerate their transition to the hybrid vehicles that were expected to be released in the 2010-2011 model years. Surprisingly, many of the most fuel-efficient vehicles available today and those due to the marketplace in the next couple years are actually pickups, SUV's, and crossover vehicles.
It is important for consumers to understand that automotive manufacturers are quickly moving toward hybrid versions of many cars, trucks, and SUV's, as fuel costs head toward $5 per gallon.
The American Council for an Energy Efficient Economy (ACEEE) published a report earlier this year highlighting the most fuel-efficient cars on the market. Most consumers would not be shocked to see that the top six vehicles on the list were coupes and sedans. ACEEE (http://www.aceee.org) praises vehicles like the Honda Civic GX, Toyota Yaris and Smart ForTwo for their lightweight construction and innovative drive trains. The problem with the ACEEE list is that it does not use emissions and fuel efficiency as primary criteria.
There are plenty of trucks and SUVs on the market today that cut fuel costs over comparable vehicles of past generations. The great news is that many of the most fuel-efficient hybrid vehicles on the road today are not just cars, but they are also trucks and SUV's. In fact, according to the FuelEconomy.gov website, 14 of the 21 highest gas-mileage hybrid vehicles for the 2008 model year are pickup trucks, SUVs and crossovers (http://www.fueleconomy.gov/feg/hybrid_sbs.shtml).
Ford Motor Company has unveiled hybrid versions of its popular Escape SUV that improve gas mileage over previous versions of the vehicle. The front-wheel drive version of the Escape SUV gets 34 miles per gallon (MPG) city and 30 MPG on the highway due to hybrid technology. Ford produces a four-wheel drive version that gets 29 MPG during city driving and 27 MPG on the freeway. These vehicles use nickle metal hydride batteries and continually variable transmissions to cut fuel usage over past Escape models.
Mazda's Tribute SUV is available in two and four-wheel drive for consumers that want to lengthen periods between visits to the pump. The former version of the Tribute hybrid gets 34 MPG in the city and 30 MPG during freeway trips, while the four-wheel drive gets 29/27 MPG. Mazda's hybrid-electric vehicle can travel up to 25 miles without the use of gasoline before reverting to traditional combustion power.
The sleek design and clever marketing used by Mercury can obscure the benefits of its Mariner hybrid SUV. Mercury's connection to Ford Motor Company means that the Mariner hybrid is nearly identical to the Escape hybrid in terms of fuel efficiency. The Mariner's hybrid-electric system allows drivers to switch between gasoline, electricity and a combination of both power sources based on driving patterns. Drivers concerned about horsepower should know that the Mariner hybrid has 155hp capacity that is just slightly lower than the traditional Mariner model.
Most drivers recognize Toyota for its hybrid Prius, as well as fuel-efficient vehicles like the Yaris and Corolla. These drivers may not realize that Toyota also produces a hybrid version of the Highlander SUV, one that is a vast improvement over the automaker's past offerings. The Highlander hybrid gets 27/25 MPG using the Toyota Hybrid Synergy Drive that switches to electricity at low speeds. These gas mileage figures may differ greatly from the Toyota Prius and Yaris, but they are significant advancements in the SUV market.
Lexus with its 2009 RX400h is cornering the luxury hybrid SUV market. Drivers may not be impressed by the two-wheel drive's 27/24-MPG ratings, according to www.fueleconomy.gov, but Lexus has not been a big player in the growing hybrid market. Lexus unveiled the world's first hybrid luxury SUV in 2004 and have maintained the brand's power while increasing its fuel efficiency. The Lexus Hybrid Drive allows drivers to reach freeway speed in a matter of seconds, without burning through fuel quickly to do it.
Drivers should look ahead to the future, when they search for fuel-efficient trucks and SUVs. Companies like Nissan and Toyota are promoting fuel efficiency in attractive packages with upcoming vehicle lines. A peek into the future should help every driver concerned about monthly fuel costs see the silver lining around the dark cloud, currently floating over the auto industry.
Nissan's Denki Cube SUV looks similar to a Scion xB or Honda Element, but offers a glimpse into the future of fuel-efficient vehicles. Nissan is creating a hybrid-electric version of the Denki Cube for the North American market in the 2010 model year. This product roll out will be followed by electric-only versions of the Denki Cube by 2015 throughout the world. The Denki Cube uses a lithium-ion battery and a hybrid drive train to bump gas mileage above 45 miles per gallon.
Toyota is forging a new direction for fuel-efficient trucks and SUVs as well, with its FCHV-adv prototype. This vehicle will be available in Japan within the next few months, after the federal government approved the FCHV-adv for road use. This SUV adds hydrogen tanks and regenerative brakes to the company's Highlander frame to ensure higher fuel efficiency. Toyota places the fuel mileage per filling of hydrogen between 348 and 472 miles with one test showing that the FCHV-adv may be able to reach a range of 516 miles with further development. The FCHV-adv uses low-energy electrical systems that reduce power to radios, air conditioning and wipers.
Several factors will dictate whether drivers can realize the promise of vehicles like the Denki Cube and FCHV-adv. State and federal incentives for hybrid vehicles will become more common, as auto manufacturers prove their hybrid vehicles are ready for the road. Consumers can opt for fuel-efficient trucks and SUVs already on the market, instead of gas-guzzling vehicles we are used to buying, to push producers toward more, cleaner vehicles. The average consumer can show support for hybrid trucks and SUVS by writing letters to their representatives, investing in vehicles currently on the market, and showing interest in prototypes at car shows.
As our elected leaders continue to wrestle with whom they can blame for high fuel prices, we consumers have a solution for reducing our own fuel consumption, right in front of us. The next time we buy a vehicle, we need to buy hybrid. The selection is wide and varied, and the hybrid vehicles available to us now offer real promise for enabling us to take a solid bite out of our overall fuel costs, without giving up luxury and other features, including the all-important legroom and acceleration power.
About the Author:
Butch Taft writes about automotive topics. With the current focus on the high cost of fuel the http://www.automotivewebmasters.com website has been adjusted to help people learn where to get the best prices on gasoline, arranged by state and updated daily. Also available is the exclusive free ebook, "How To Increase The Fuel Mileage Of Any Vehicle", which shows how its author improved his gas mileage and returned $66.71 to his family's monthly budget: http://automotivewebmasters.com/ebooks/increase-mpg.php
Copyright © 2008 Butch Taft
Most broadcast and cable news networks have highlighted the rise in gas prices over the last year, almost on a daily basis. These stories feature interviewers, average citizens, and elected officials looking for scapegoats that can absorb the blame for high prices at the pump. Invariably, they make mention of gas-guzzling trucks and sports utility vehicles (SUVs), as well as speculators, greedy oil companies, and gas taxes, as the prime movers for fuel costs.
As Dodge begins to offer 0% financing on new Dodge Trucks, Ford and Toyota suspend production on many of their pickup truck models, and Chevrolet starts closing truck and SUV factories, it would appear that the final nail has been put into the pickup truck and sports utility vehicle industry in the United States.
But the truth is that four-dollar plus gasoline has only hastened the demise of older designs, and the auto makers are rushing to accelerate their transition to the hybrid vehicles that were expected to be released in the 2010-2011 model years. Surprisingly, many of the most fuel-efficient vehicles available today and those due to the marketplace in the next couple years are actually pickups, SUV's, and crossover vehicles.
It is important for consumers to understand that automotive manufacturers are quickly moving toward hybrid versions of many cars, trucks, and SUV's, as fuel costs head toward $5 per gallon.
The American Council for an Energy Efficient Economy (ACEEE) published a report earlier this year highlighting the most fuel-efficient cars on the market. Most consumers would not be shocked to see that the top six vehicles on the list were coupes and sedans. ACEEE (http://www.aceee.org) praises vehicles like the Honda Civic GX, Toyota Yaris and Smart ForTwo for their lightweight construction and innovative drive trains. The problem with the ACEEE list is that it does not use emissions and fuel efficiency as primary criteria.
There are plenty of trucks and SUVs on the market today that cut fuel costs over comparable vehicles of past generations. The great news is that many of the most fuel-efficient hybrid vehicles on the road today are not just cars, but they are also trucks and SUV's. In fact, according to the FuelEconomy.gov website, 14 of the 21 highest gas-mileage hybrid vehicles for the 2008 model year are pickup trucks, SUVs and crossovers (http://www.fueleconomy.gov/feg/hybrid_sbs.shtml).
Ford Motor Company has unveiled hybrid versions of its popular Escape SUV that improve gas mileage over previous versions of the vehicle. The front-wheel drive version of the Escape SUV gets 34 miles per gallon (MPG) city and 30 MPG on the highway due to hybrid technology. Ford produces a four-wheel drive version that gets 29 MPG during city driving and 27 MPG on the freeway. These vehicles use nickle metal hydride batteries and continually variable transmissions to cut fuel usage over past Escape models.
Mazda's Tribute SUV is available in two and four-wheel drive for consumers that want to lengthen periods between visits to the pump. The former version of the Tribute hybrid gets 34 MPG in the city and 30 MPG during freeway trips, while the four-wheel drive gets 29/27 MPG. Mazda's hybrid-electric vehicle can travel up to 25 miles without the use of gasoline before reverting to traditional combustion power.
The sleek design and clever marketing used by Mercury can obscure the benefits of its Mariner hybrid SUV. Mercury's connection to Ford Motor Company means that the Mariner hybrid is nearly identical to the Escape hybrid in terms of fuel efficiency. The Mariner's hybrid-electric system allows drivers to switch between gasoline, electricity and a combination of both power sources based on driving patterns. Drivers concerned about horsepower should know that the Mariner hybrid has 155hp capacity that is just slightly lower than the traditional Mariner model.
Most drivers recognize Toyota for its hybrid Prius, as well as fuel-efficient vehicles like the Yaris and Corolla. These drivers may not realize that Toyota also produces a hybrid version of the Highlander SUV, one that is a vast improvement over the automaker's past offerings. The Highlander hybrid gets 27/25 MPG using the Toyota Hybrid Synergy Drive that switches to electricity at low speeds. These gas mileage figures may differ greatly from the Toyota Prius and Yaris, but they are significant advancements in the SUV market.
Lexus with its 2009 RX400h is cornering the luxury hybrid SUV market. Drivers may not be impressed by the two-wheel drive's 27/24-MPG ratings, according to www.fueleconomy.gov, but Lexus has not been a big player in the growing hybrid market. Lexus unveiled the world's first hybrid luxury SUV in 2004 and have maintained the brand's power while increasing its fuel efficiency. The Lexus Hybrid Drive allows drivers to reach freeway speed in a matter of seconds, without burning through fuel quickly to do it.
Drivers should look ahead to the future, when they search for fuel-efficient trucks and SUVs. Companies like Nissan and Toyota are promoting fuel efficiency in attractive packages with upcoming vehicle lines. A peek into the future should help every driver concerned about monthly fuel costs see the silver lining around the dark cloud, currently floating over the auto industry.
Nissan's Denki Cube SUV looks similar to a Scion xB or Honda Element, but offers a glimpse into the future of fuel-efficient vehicles. Nissan is creating a hybrid-electric version of the Denki Cube for the North American market in the 2010 model year. This product roll out will be followed by electric-only versions of the Denki Cube by 2015 throughout the world. The Denki Cube uses a lithium-ion battery and a hybrid drive train to bump gas mileage above 45 miles per gallon.
Toyota is forging a new direction for fuel-efficient trucks and SUVs as well, with its FCHV-adv prototype. This vehicle will be available in Japan within the next few months, after the federal government approved the FCHV-adv for road use. This SUV adds hydrogen tanks and regenerative brakes to the company's Highlander frame to ensure higher fuel efficiency. Toyota places the fuel mileage per filling of hydrogen between 348 and 472 miles with one test showing that the FCHV-adv may be able to reach a range of 516 miles with further development. The FCHV-adv uses low-energy electrical systems that reduce power to radios, air conditioning and wipers.
Several factors will dictate whether drivers can realize the promise of vehicles like the Denki Cube and FCHV-adv. State and federal incentives for hybrid vehicles will become more common, as auto manufacturers prove their hybrid vehicles are ready for the road. Consumers can opt for fuel-efficient trucks and SUVs already on the market, instead of gas-guzzling vehicles we are used to buying, to push producers toward more, cleaner vehicles. The average consumer can show support for hybrid trucks and SUVS by writing letters to their representatives, investing in vehicles currently on the market, and showing interest in prototypes at car shows.
As our elected leaders continue to wrestle with whom they can blame for high fuel prices, we consumers have a solution for reducing our own fuel consumption, right in front of us. The next time we buy a vehicle, we need to buy hybrid. The selection is wide and varied, and the hybrid vehicles available to us now offer real promise for enabling us to take a solid bite out of our overall fuel costs, without giving up luxury and other features, including the all-important legroom and acceleration power.
About the Author:
Butch Taft writes about automotive topics. With the current focus on the high cost of fuel the http://www.automotivewebmasters.com website has been adjusted to help people learn where to get the best prices on gasoline, arranged by state and updated daily. Also available is the exclusive free ebook, "How To Increase The Fuel Mileage Of Any Vehicle", which shows how its author improved his gas mileage and returned $66.71 to his family's monthly budget: http://automotivewebmasters.com/ebooks/increase-mpg.php
How To Meet Or Exceed The Estimated MPG On Your Vehicle
Article Presented by:
Copyright © 2008 Butch Taft
With gasoline at or above $4.00 per gallon, all of us are painfully aware of the effect of fuel prices on our budgets. Suddenly the fuel efficiency or lack thereof of a SUV, Hummer, or large car becomes painfully evident. Even with a fuel-efficient small car, the impact on our wallets catches almost everyone's attention.
Most of us simply cannot run down to the local car dealer and buy a brand new, highly fuel-efficient hybrid car. Somehow, we just have to make the best of what we have available to us. In this article, I am going to assume that you are just like me, and I am going to assume you need to figure out how to get the best gas mileage out of the vehicle you have in your driveway. So, what can YOU do TODAY to reduce your cost of driving from here to there and back?
Slow Down. What? S...L...O...W... D...O...W...N (Taxi Humor)
When you have to drive your car, the single thing that you can do to most dramatically reduce the cost per mile is to SLOW DOWN. I know that you didn't want to hear that, did you? Whether commuting or traveling on the interstate, we all want to keep up with the traffic, which is probably going 10 to 20 mph above the speed limit, if traffic conditions allow it.
Many decades ago traffic jams began to back things up on the Golden Gate Bridge and traffic engineers began exploring ideas on how to move more cars across the bridge in less time. The answer was to reduce the speed limit from 50+ to 40 or less. With less distance between the cars at the slower speed, the total number of cars per hour across the bridge went UP dramatically.
Every car consumes energy to run. For most of us this means gasoline. The engine-transmission-rear end-power train combination requires a certain amount of fuel per second for any given speed. While the specific data varies for each power train combination, a graph of speed versus miles per gallons (http://www.fueleconomy.gov/feg/driveHabits.shtml) shows the maximum miles per gallon (and the lowest fuel cost per mile) occurs between 45 and 60 miles per hour. Above 60 the MPG drops rapidly.
For some cars, the computer and the instrument panel can team up to show your estimated MPG data, in real time. If you have the information available look at it - it can help you understand how to achieve the most fuel-efficient operation of your vehicle, in whatever conditions you drive.
According to the DOE/EPA web site (http://www.fueleconomy.gov), aggressive driving (high acceleration, high speed, rapid braking) can reduce you gas mileage by as much as 33%. If you drive with tire squealing starts, 80-mph interstate cruising speeds, and "stand on the brakes" stops - you are paying a dear price at the gas pump.
If you hate $4.00/gallon, eliminating these fuel inefficiencies could give you the equivalent of $3.08/gallon gas. Does that sound good to you? All you have to do is slow down. Now, slowing down to 60 may feel a bit frustrating at first, but just think of all the dollars you are saving, every time you get into your car! What's really important to you... fast acceleration and fast driving, or lower driving costs and more driving distance?
Minimize Drive Time
Aside from riding your bike to the grocery store, instead of the car, you can also reduce your car's expense by carefully planning your errands to minimize your total miles driven. Make one Saturday errand trip rather than 3 or 4. Think ahead. Shop once a month, instead of twice a week, or only stop at the store on your way home from work. You would be amazed at how much fuel you can save by reducing your need to drive.
Properly Inflate Your Tires
What else can you do? Check your tire pressure and adjust to the recommended pressures. Soft tires consume more energy flexing and rolling than hard tires. The Owner's Manual lists the recommended tire pressures, and there is an information plate on the car, usually around the driver's door, giving the same information.
Get a tire pressure gage and check the tire pressure in each tire when it's cold. Record the pressures and note how many PSI below recommended pressure each tire is. Drive to a service station. Recheck the pressure in each tire - it will probably have gone up some from the initial cold check as rolling and friction warmed the tire. ADD air to each tire to increase the pressure by the number of pounds each tire was low as recorded above (even if the new hot pressure is higher than the recommended cold pressure).
Make Your Car More Aerodynamic - Reduce Drag
Another savings idea - reduce vehicle drag as much as possible by removing car top luggage containers, ski racks, etc. If you feel you must use such devices, understand there is no free lunch - it will cost you in reduced fuel economy. Also, reduce the total vehicle weight as much as possible by removing any unnecessary weight in your vehicle. If you put sand bags in the trunk during the winter, to improve your traction on snow and ice, get them out of your vehicle when the ice and snow have gone.
Good Maintenance
Keep your engine running in good order. That means regular tune-ups, air filter changes, and proper oil viscosity selection. Remember, every little bit helps.
Other Resources
A number of web sites offer other information. See (http://www.fueleconomy.gov/) for U.S. Government data and for suggestions from Consumer Reports, try: (http://www.consumerreports.rog/cro/cars/new-cars/resource-center/green-car-guide/green-car=guide.htm)
Don't Be Duped - Avoid Magic Bullets
If there are DOs, there must also be DON'Ts. We love to believe in magic potions, silver bullets, and conspiracies. For generations we have been bombarded with commercials and advertisements about stuff to dump in the radiator, in the oil, in the gas, or hang on the car, which will fix our problems and make everything much better. Some of these things work, sometimes. More often than not, they offer false hope and little, if any, practical benefits.
One of the recent popular subjects is running you car on water. Many web sites talk about hydrogen-oxygen powered engines, hydrogen boost from water, etc. It is true that burning hydrogen produces heat, and water is a by-product of that process. Some automobile manufacturers are even experimenting with hydrogen engines, fuel cell propulsion systems, etc.
However, the basic method of getting hydrogen gas, in the "water powered car", is electrolysis of water using an electric current. Unfortunately, the electrolysis process requires more electrical energy to separate the hydrogen and oxygen out of the water than you will gain by burning the gases in an engine. (http://en.wikipedia.org/wiki/Oxyhydrogen)
Yes, it is true that some people are claiming fantastic results using the water-powered car technology, but you may also note that most the people making these claims are the same people that are hoping you will spend your money with them.
They say, "If it sounds too good to be true, it probably is". Wait until these technologies are well proven, by reliable and independent testing facilities, before depending on them to save you money or reduce the operational expenses of your car.
Final Thoughts
If at the end of the month, you can increase your MPG and/or decrease the miles you drive, you will save money.
Studies have shown that the average person can increase their fuel mileage by at least 30%, by simply changing the way they drive. If you can increase your fuel mileage by a mere 30%, then you can expect to save about $23 per month on every $100 you currently spend on gasoline for your vehicles.
If you can drive 20% fewer miles than what you drive right now, you could expect to save another $15 on every $100 spent.
If you drive as much as my wife and I drive, you can expect to save $46 per month, on your monthly $200 gasoline expense, just by improving MPG by 30%. Then by cutting your driving distance by only 20% per month, you could expect to gain another $30 savings, bringing your overall fuel savings to $76 per month.
Every dollar counts these days.
We are not stopping at simply trying to increase our fuel mileage. There are actually people in this world who are beating the Estimated MPG on their vehicles, sometimes by as much as +100%. We will be happy if we can simply beat the Estimated MPG on our vehicles by a mere 20%. Think of it this way; every gallon of gasoline saved is $4 earned! And I am all for increasing our earning power!
About the Author:
Butch Taft writes about modern transportation for the website: http://automotivewebmasters.com As fuel prices continue to rise, people are thinking about what they can do to "reduce the pain at the pump." So much so that many people are have put summer vacations on hold. The author of the Automotive Webmasters ebook, "How To Increase Fuel Mileage In Any Vehicle" is already beating the Estimated Highway MPG for his vehicle, in city driving, and he will teach you - in his free ebook - how to do the same: http://automotivewebmasters.com/ebooks/increase-mpg.php
Copyright © 2008 Butch Taft
With gasoline at or above $4.00 per gallon, all of us are painfully aware of the effect of fuel prices on our budgets. Suddenly the fuel efficiency or lack thereof of a SUV, Hummer, or large car becomes painfully evident. Even with a fuel-efficient small car, the impact on our wallets catches almost everyone's attention.
Most of us simply cannot run down to the local car dealer and buy a brand new, highly fuel-efficient hybrid car. Somehow, we just have to make the best of what we have available to us. In this article, I am going to assume that you are just like me, and I am going to assume you need to figure out how to get the best gas mileage out of the vehicle you have in your driveway. So, what can YOU do TODAY to reduce your cost of driving from here to there and back?
Slow Down. What? S...L...O...W... D...O...W...N (Taxi Humor)
When you have to drive your car, the single thing that you can do to most dramatically reduce the cost per mile is to SLOW DOWN. I know that you didn't want to hear that, did you? Whether commuting or traveling on the interstate, we all want to keep up with the traffic, which is probably going 10 to 20 mph above the speed limit, if traffic conditions allow it.
Many decades ago traffic jams began to back things up on the Golden Gate Bridge and traffic engineers began exploring ideas on how to move more cars across the bridge in less time. The answer was to reduce the speed limit from 50+ to 40 or less. With less distance between the cars at the slower speed, the total number of cars per hour across the bridge went UP dramatically.
Every car consumes energy to run. For most of us this means gasoline. The engine-transmission-rear end-power train combination requires a certain amount of fuel per second for any given speed. While the specific data varies for each power train combination, a graph of speed versus miles per gallons (http://www.fueleconomy.gov/feg/driveHabits.shtml) shows the maximum miles per gallon (and the lowest fuel cost per mile) occurs between 45 and 60 miles per hour. Above 60 the MPG drops rapidly.
For some cars, the computer and the instrument panel can team up to show your estimated MPG data, in real time. If you have the information available look at it - it can help you understand how to achieve the most fuel-efficient operation of your vehicle, in whatever conditions you drive.
According to the DOE/EPA web site (http://www.fueleconomy.gov), aggressive driving (high acceleration, high speed, rapid braking) can reduce you gas mileage by as much as 33%. If you drive with tire squealing starts, 80-mph interstate cruising speeds, and "stand on the brakes" stops - you are paying a dear price at the gas pump.
If you hate $4.00/gallon, eliminating these fuel inefficiencies could give you the equivalent of $3.08/gallon gas. Does that sound good to you? All you have to do is slow down. Now, slowing down to 60 may feel a bit frustrating at first, but just think of all the dollars you are saving, every time you get into your car! What's really important to you... fast acceleration and fast driving, or lower driving costs and more driving distance?
Minimize Drive Time
Aside from riding your bike to the grocery store, instead of the car, you can also reduce your car's expense by carefully planning your errands to minimize your total miles driven. Make one Saturday errand trip rather than 3 or 4. Think ahead. Shop once a month, instead of twice a week, or only stop at the store on your way home from work. You would be amazed at how much fuel you can save by reducing your need to drive.
Properly Inflate Your Tires
What else can you do? Check your tire pressure and adjust to the recommended pressures. Soft tires consume more energy flexing and rolling than hard tires. The Owner's Manual lists the recommended tire pressures, and there is an information plate on the car, usually around the driver's door, giving the same information.
Get a tire pressure gage and check the tire pressure in each tire when it's cold. Record the pressures and note how many PSI below recommended pressure each tire is. Drive to a service station. Recheck the pressure in each tire - it will probably have gone up some from the initial cold check as rolling and friction warmed the tire. ADD air to each tire to increase the pressure by the number of pounds each tire was low as recorded above (even if the new hot pressure is higher than the recommended cold pressure).
Make Your Car More Aerodynamic - Reduce Drag
Another savings idea - reduce vehicle drag as much as possible by removing car top luggage containers, ski racks, etc. If you feel you must use such devices, understand there is no free lunch - it will cost you in reduced fuel economy. Also, reduce the total vehicle weight as much as possible by removing any unnecessary weight in your vehicle. If you put sand bags in the trunk during the winter, to improve your traction on snow and ice, get them out of your vehicle when the ice and snow have gone.
Good Maintenance
Keep your engine running in good order. That means regular tune-ups, air filter changes, and proper oil viscosity selection. Remember, every little bit helps.
Other Resources
A number of web sites offer other information. See (http://www.fueleconomy.gov/) for U.S. Government data and for suggestions from Consumer Reports, try: (http://www.consumerreports.rog/cro/cars/new-cars/resource-center/green-car-guide/green-car=guide.htm)
Don't Be Duped - Avoid Magic Bullets
If there are DOs, there must also be DON'Ts. We love to believe in magic potions, silver bullets, and conspiracies. For generations we have been bombarded with commercials and advertisements about stuff to dump in the radiator, in the oil, in the gas, or hang on the car, which will fix our problems and make everything much better. Some of these things work, sometimes. More often than not, they offer false hope and little, if any, practical benefits.
One of the recent popular subjects is running you car on water. Many web sites talk about hydrogen-oxygen powered engines, hydrogen boost from water, etc. It is true that burning hydrogen produces heat, and water is a by-product of that process. Some automobile manufacturers are even experimenting with hydrogen engines, fuel cell propulsion systems, etc.
However, the basic method of getting hydrogen gas, in the "water powered car", is electrolysis of water using an electric current. Unfortunately, the electrolysis process requires more electrical energy to separate the hydrogen and oxygen out of the water than you will gain by burning the gases in an engine. (http://en.wikipedia.org/wiki/Oxyhydrogen)
Yes, it is true that some people are claiming fantastic results using the water-powered car technology, but you may also note that most the people making these claims are the same people that are hoping you will spend your money with them.
They say, "If it sounds too good to be true, it probably is". Wait until these technologies are well proven, by reliable and independent testing facilities, before depending on them to save you money or reduce the operational expenses of your car.
Final Thoughts
If at the end of the month, you can increase your MPG and/or decrease the miles you drive, you will save money.
Studies have shown that the average person can increase their fuel mileage by at least 30%, by simply changing the way they drive. If you can increase your fuel mileage by a mere 30%, then you can expect to save about $23 per month on every $100 you currently spend on gasoline for your vehicles.
If you can drive 20% fewer miles than what you drive right now, you could expect to save another $15 on every $100 spent.
If you drive as much as my wife and I drive, you can expect to save $46 per month, on your monthly $200 gasoline expense, just by improving MPG by 30%. Then by cutting your driving distance by only 20% per month, you could expect to gain another $30 savings, bringing your overall fuel savings to $76 per month.
Every dollar counts these days.
We are not stopping at simply trying to increase our fuel mileage. There are actually people in this world who are beating the Estimated MPG on their vehicles, sometimes by as much as +100%. We will be happy if we can simply beat the Estimated MPG on our vehicles by a mere 20%. Think of it this way; every gallon of gasoline saved is $4 earned! And I am all for increasing our earning power!
About the Author:
Butch Taft writes about modern transportation for the website: http://automotivewebmasters.com As fuel prices continue to rise, people are thinking about what they can do to "reduce the pain at the pump." So much so that many people are have put summer vacations on hold. The author of the Automotive Webmasters ebook, "How To Increase Fuel Mileage In Any Vehicle" is already beating the Estimated Highway MPG for his vehicle, in city driving, and he will teach you - in his free ebook - how to do the same: http://automotivewebmasters.com/ebooks/increase-mpg.php
Subscribe to:
Posts (Atom)
