View Poll Results: How are you buying your 911?
100% cash
122
48.61%
Financing with down payment
114
45.42%
Leasing
11
4.38%
Other
4
1.59%
Voters: 251. You may not vote on this poll
How are you buying your 911?
01-08-2021, 03:56 PM
#16
Burning Brakes
I enjoy not having personal debt. And runs only continue for so long.
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01-08-2021, 04:02 PM
#17
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I'm in the 'borrow only to earn money' camp. Been through too many economic ups and downs to add risk to a large discretionary purchase like this.
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Russian Mafia (01-08-2021)
01-08-2021, 04:12 PM
#18
I would've contemplated it if I didn't have a monthly home payment (Bay Area). Planning on just refinancing my home and do a large pay down there instead. Once the home is paid off it might behoove me to take out a cheaper loan (50-100k) for future cars, but I already mostly in market+real estate. It is a nice feeling once I have no debt to my name, even if its against the notion that 'loans are cheap now, invest cash elsewhere'.
Can't repossess a car or foreclose a home if there's no debt
Can't repossess a car or foreclose a home if there's no debt
Last edited by 992brian; 01-08-2021 at 04:16 PM.
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aggie57 (01-08-2021)
01-08-2021, 04:39 PM
#19
With a large enough down-payment, rates in the low 2% and amortization that stays ahead of expected depreciation, my ONLY decision would be to finance.
An income loss would simply mean getting rid of the car/car payment.
I think many of us have the ability to buy these cars in cash (as indicated by the poll), but the total cost to finance $100K over 72 months at these rates is only about $7,000.
I will take my chances that I can earn greater that $7K across 6 years by leaving my $100K invested.
I'm not sure what the "risk" is.
I know the math re: monthly payments argument is nuanced, but you get the point.
An income loss would simply mean getting rid of the car/car payment.
I think many of us have the ability to buy these cars in cash (as indicated by the poll), but the total cost to finance $100K over 72 months at these rates is only about $7,000.
I will take my chances that I can earn greater that $7K across 6 years by leaving my $100K invested.
I'm not sure what the "risk" is.
I know the math re: monthly payments argument is nuanced, but you get the point.
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01-08-2021, 06:09 PM
#20
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For me, it's a toy. I just don't finance toys.
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01-08-2021, 06:22 PM
#21
exactly, imagine if you took the 100k funds for the 992 and dumped it into bitcoin when you placed the order. you would have doubled that money and deduct 2.9 interest cost. makes more sense to take advantage of cheap money.
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01-08-2021, 06:25 PM
#22
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Jezzzz, I wouldn't mind lending some of you guys money at 3.99%
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01-08-2021, 06:33 PM
#23
We are 100% debt free and paid cash. I'm sure it's different for everyone, but I simply don't want any new debt.
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01-08-2021, 06:47 PM
#24
I don't know--these are strange times. Where can you earn a guaranteed rate of upwards of 3% after tax on you idle cash these days to offset the financing cost? I'm not talking about investing the the stock market, which is pretty frothy right now with a lot of uncertainty.
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Russian Mafia (01-08-2021)
01-08-2021, 06:52 PM
#25
Rennlist Member
I'm paying cash but 3% is awesome.
01-08-2021, 06:52 PM
#26
UK, interest rates on loans are pretty poor, no low risk investments exist where you’ll get over 2% on 3 yrs, so financing just doesn’t make any sense, unless you have a high income/low cash balance when it’s the only option.
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Freddie Two Bs (01-09-2021)
01-08-2021, 06:56 PM
#27
As much as I could afford it, something uncomfortable for me about paying $2k or more per month for a car. I'd feel more comfortable saving and paying a big chunk, and then just worry about rock chip repairs
01-08-2021, 06:58 PM
#28
Burning Brakes
Precisely. It's been a long bull market for stocks, corp bond spreads are very tight, etc. but the fact remains that you're exchanging a certain liability for the hope that the tax-adjusted uncertain return of the investment will exceed the cost of debt. It may very well play out that way, possibly big time, but possibly not. The only asset which gives you a return with the same level of certainty of the cost of your debt is a 5y treasury which pays 0.48% gross at today's close.
01-08-2021, 07:34 PM
#29
Perspectives on how to finance/pay for a 992 will be skewed by the country a person lives in. In Canada, there is no sub-3% financial institution financing available; even a LOC is going to be at an interest rate (in most cases) in the 5%+ range. As for leaving money in the market rather than taking a chunk of it off the table to pay cash or put a big DP on a large consumer purchase, all I can say is "good luck" with that strategy. With Tesla at $864 (as I write this) serving as the poster child for chillingly outrageous valuations, it requires a degree of bullishness beyond reason to think the run will continue, and past returns will reflect future performance. In my view, reality will bite soon and hard.
01-08-2021, 08:51 PM
#30
Purchasing through my business, but will also consider leasing. As mentioned in this thread by others, I'd rather have that money work for me in the market within my risk tolerance.
Last edited by JustGettingMilk; 01-08-2021 at 08:53 PM.