Recently my uncle asked me what's a good car to buy these days. To which I replied: "None?" Now is absolutely not a good time to buy a car if you absolutely do not need one (my uncle definitely does not). Interest rates are still (relatively) very high. One look at an amortization table is enough to scare me away from committing. I already have a car, and it is paid off. Not being indebted for a car is a great feeling.
But even if you can pay all cash - thereby bypassing any interest concerns, inflation is the next problem. The average price for a new car sold is ~$48,000. That is a thick chunk of change. I detest people who counter with, "Well, if you adjust for inflation, it's actually not that bad." That may pass the math test, but it certainly does not pass the vibe test (as the kids say these days.) Nobody is walking around looking at these inflated prices with a mental inflation calculator. All we see is a high number the only a few years ago was significantly smaller.
Sure, the lucky some of us received raises to compensate. For the plenty that didn't: inflation really sucks.
And it's not like the high prices are ever going back down. The Fed may say inflation is under control, but that doesn't mean prices have gone back down! They've only stopped increasing as quickly. What is now expensive remains expensive. That birthday cake for your kid will forever now be $50 (and above). If I had kids, I'd bake the car myself. A penny saved is a dollar earned, especially if it's in an index fund held for multiple decades.
I think my uncle was disappointed with my answer. Who am I to get in between someone wanting to spend money? So long as you have some saved for emergencies, have at it. Just don't be like the tech workers in this article where getting laid off was immediately catastrophic. We all should have (or start saving up for right now) at least a year's worth of money runway socked away. Hopefully in a high-yield savings account, and not under a mattress.
Green green grass.