Terry Adams

Not at all a loser, but a smart guy. Some of us "mellow older dudes" drove humble transportation for decades till we could afford our first Porsche.

If you don't buy the house first and just can't put off the gratification, I suggest you buy it soon before a "second opinion" and various family obligations come along.

Besides the purchase price, be prepared that, barring a significant DIY ability, the 993 costs about $1 a mile to operate. But, that's only 50 cents more than what's in your driveway. See how the slippery slope starts?

CP

Dave,

What we drive does not make us winners or losers. What drives us does.

I'm now 54 years old so my perspective is quite different than when I was 29. Today, I say a Porsche is a toy, to anyone, at any age, or income level. Porsches are never basic transportation, never was, and never will be. As such, they are discretionary spending items. My personal philosophy today is that I do not borrow for discretionary items (I never took out a loan for a vacation). I simply feel that I need the financial discipline to distinguish what I need (those I take loans for if I have to), and what I want. While I believe that you are single and can afford the car payments for a 993, you may still encounter (may be very soon even) other financial demands for your pay-check. If you meet a wonderful young lady, suddenly there are dates, wedding plans, a place to settle down, and may be even little Daves. Then you may have to decide between those 'necessities' and your car payments. I know I am talking like your parents now.

Flash back to when I was 29. I made the most irresponsible purchase of my life: a brand new 1982 MB 380 SLC. The thing was $49k then and I financed it. Of course, that was the days of investment tax credit, 46% marginal tax brackets and 3 years depreciation life for automobiles. As I can justify 100% business use, I had Uncle Sam to help with me payments. My girl friend (now my darling wife) thought I was a total moron to take on a $1,650 monthly payment. But I did it anyways.

Fast forward to age 32. In the 3 years I bought the 380 SLC, I was married, had a baby, need a better house for the growing family. Worse yet, the industry I worked in was imploding. That monthly payment was the biggest albatross around my neck, and I had to sell the car. Luckily, that was a VERY rare car, and I sold it for $46k, so I made out ok. But I vowed I'd never borrow for my toys ever again, and I never did.

I can't help you with car loan matters as I have not had one in 25 years. I know that bank money is flush now (at least for mortgage lending) so I don't imagine it is too hard to find a decent loan. I got so many car loan spam mails it's not funny. But then banks usually want to loan to people who don't need loans.

As an interesting aside, I got my RUF partly because of car-financing problems the PO had when he was selling the car. The RUF was in Germany then, and German banks would not finance an 8 years old car. He had a lot of interest, but no sale as no one there can pull off the financing. He kept dropping the price trying to sell. By the time I contacted him, the price was down by 25%, and I bought it cash from him.

You work hard and deserve your car, and I hope that you get to enjoy it soon without undue financial stress. So good luck with your quest.

CP

Dan V

Listen to 97Targa & CP. If u can afford a payment on a $3x,xxx used car, u can afford to buy a house. Buy the house now, wait a year, and use a home equity loan to buy the Porsche.

BobbyT

Hi Dave,
A Porsche can actually be a rather reasonable car to own, all things considered. I sold my 1971 911T Targa for $7500 in 1975, and today it is worth at least that if it is still in good condition. My 911SC depreciated about five percent per year while I owned it, and is probably dropping even less now. Of the forty cars I've owned, the Porsches have been the least expensive to keep, and by far the most fun to own and drive. The camaraderie of PCA, this list, and the Porsche community in general have been an added joy.

Traffic53

i've considered it...

in what way are our porsches reasonable?

rainmn

Call USAA. I think they will do a loan for you even if you don't qualify for their insurance.
When I bought my '95 this past December, I had last minute reservations about shelling out that amount of my cash on hand, so I called them. (I have their insurance.) They would have financed 100% of the purchase price for up to 7 years at 5.5%. They also do not use KBB to value the car. When I told them I was paying $34K, they said no problem at all.
I only borrowed a few $, but it was nice to know they didn't care about the age of the car, and used reasonable values.

mrsullivan

agree with this statement...sounds pretty damn responsible to me...looks like you have really earned your 993, which in my opinion, will make you appreciate it all the more...good luck in your search, take your time...I am excited for you.

mrsullivan

i do everything humanly possible through USAA...including car loans, home mortgage, insurance, home security, travel, etc... they are by far the best company that i have done business with in my life... however, i am not sure that you can finance through them unless you are active/reserve duty military, retired, or the dependent of someone that fits those categories...

rainmn

You may very well be right. I couldn't remember whether or not you needed the military affiliation for the loans or just the insurance. Worth a phone call though.
On a side note, I used them for everything too, right up until I bought the 993. The rate they wanted to cover the car was insane. Switched to Geico, bought more coverage on both vehicles, and pay much, much less. They were great on my auto insurance for years, but it started to creep up for no reason at all. (No claims whatsoever.) The quote on the 993 was the last straw.
Next to go is my homeowner's from them. That too has steadily increased over the last few years to an unacceptable level.

Traffic53

trojanman checking in with another brilliant zinger

i cautiously agree. i don't want to minimize or stiffle your personal goals, but they'll be time for some porsches...don't worry. satisfy that need (i have it too) to drive something quick and cool by driving something more affordable. used s2000's can be had for $17K. having a 911 before you have a house- or condo at least, is best avoided. those few people in your life that will think you're a nut-job will be the ones you think about most. you won't even remember the people here telling you to go for it.

be careful about the service too. you may have good intentions by budgeting 2g's a year, but short of having an auto deduction on your paycheck- that money's gone. everybody budgets this kind of stuff- it's the weekend in NYC, the new 3-piece 19's, and the new girlfriend that you don't budget. girls are especially pricey. once they see you driving a 911, they will pass their costs on to you.

but if you want one, go get one. what the hell.

EThec

Dave,
There's a lot of sentiment in this thread. Folks here young and old are enjoying the experience of owning a Pcar. The prudent thing would probably be to buy a home first. On the other hand driving a Porsche is quite rewarding. Keep home ownership on your radar. Plan for it. If you can swing a payment on a 993 and save for a home with the intention to purchase a year from now or less then go get the car you want bro. Maybe it's not the kind of chance you take for great financial gains, but you'll be smiling ear to ear and lovin' it. Just try to see the whole picture. I am young like you. Only 31. I did things a little more like what most of the guys here are recommending (home first, then Pcar), but I think you should go after your dreams with an eye on the future. See if you can work it out. Good luck.
-E

Reynard38

I used a Heloc for the Porsche (that and funds from selling my Reynard formula car). Buy the house first, but buy smart (I am a realtor as well). Real Estate can be the best investment you'll ever make. Of course a well bought clean 993 ain't bad either!

911

I've been able to finance through them w/o a milatary background. And, I agree w/ Jonathan: USAA is a great company to work with! I've had nothing but positive experiences with them.

dylan310

I thought that this would be a good opportunity to leave a first post to rennlist. Just like you Dave I am 29, single, and looking for a 993... In addition I am in the process of building a new home which I decided was a much more important purpose, at least for a couple of months. Once the dust settles I'll be able to and knowledgeable enough to find exactly what I want and if I need to I can use some home equity to help... Now, if I can actually hold out... I have until May to get mine before 30. Best of luck in your search!

Cade

96 BMW 318ti
95 BMW R1100RS – it’s a boxer too!

kbonnel

FYI
Pentagon Federal Credit union does have some good rates (4.5% up to 60 months). Meriwest Credit Union (in San Jose) has 4.5% up to 84 months, with 100% financing of the vehicle). Meriwest also follows the kbb value, but I think they might be flexible (I am still working on that part). I am not sure if Meriwest is open to everybody (I have them through work), but it is worth checking out.

This is really funny, but I am also 29 and have started my 993 search. I tried to jump on 2, but one was a little more than I could afford (damn kbb value), and the other was too difficult to work out the details (my issue not the sellers). Some day, some day. I would agree with everybody here, get the house done first, and then go look for the fun toys.

Kimo