For the guys with multiple cars... what's the point??
05-09-2009, 11:14 PM
#31
5th Gear
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People seem to have such a short memory. Car debt and student loans, and you want a 3rd car?!?! I'd sell the 997, just drive the M3 (still a nice car for someone with significant debt) and then buy a newer/nicer car when you can afford it. From what you've posted, you can't afford what you already have.
05-09-2009, 11:21 PM
#32
Pro
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Weird... I've been keeping up on all my payments (ahead of all, actually) and adding into my savings account... maybe it's time to panic and sell my car 
Anyway, as I said before, I've decided (came to my senses both on my own and with the advice of you guys) not to add the 964 right now, as it would be pointless and excessive.
Anyway, as I said before, I've decided (came to my senses both on my own and with the advice of you guys) not to add the 964 right now, as it would be pointless and excessive.
05-10-2009, 01:55 AM
#33
Burning Brakes
Good boy, now you can save and buy a condo or townhouse in the next year or two...good time you know.
abe
abe
Weird... I've been keeping up on all my payments (ahead of all, actually) and adding into my savings account... maybe it's time to panic and sell my car
Anyway, as I said before, I've decided (came to my senses both on my own and with the advice of you guys) not to add the 964 right now, as it would be pointless and excessive.
Anyway, as I said before, I've decided (came to my senses both on my own and with the advice of you guys) not to add the 964 right now, as it would be pointless and excessive.
05-10-2009, 02:00 AM
#34
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05-10-2009, 02:45 AM
#35
Instructor
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My opinion, this is really easy.
Pay off the debt. In fact, if it were me I'd sell the M3 too to pay down debt. The freedom that comes from eliminating debt can't be matched. And down the road, it will open up a lot more doors.
I have three cars:
2008 997s
2006 Lexus LX470
1996 Lexus LS400
The P car is the weekend/toy. The LX is the dog transport. The LS is the car I take the Angel games, the airport, or days when I'm going someplace that I'd really rather not park my other cars.
I only have the freedom to have those three cars at night, still invest every week, and sleep well at night because for my first 10+ years out of college I busted my *** to pay off debt. There were years when I was driving a Honda Civic while my peers were leasing new BMW 328s but now I own my house, have not student loans or credit cars, and have a set of great cars while those same buddies are still living pay check to pay check and leasing 3 series.
Just my experience and my 2 cents.
Pay off the debt. In fact, if it were me I'd sell the M3 too to pay down debt. The freedom that comes from eliminating debt can't be matched. And down the road, it will open up a lot more doors.
I have three cars:
2008 997s
2006 Lexus LX470
1996 Lexus LS400
The P car is the weekend/toy. The LX is the dog transport. The LS is the car I take the Angel games, the airport, or days when I'm going someplace that I'd really rather not park my other cars.
I only have the freedom to have those three cars at night, still invest every week, and sleep well at night because for my first 10+ years out of college I busted my *** to pay off debt. There were years when I was driving a Honda Civic while my peers were leasing new BMW 328s but now I own my house, have not student loans or credit cars, and have a set of great cars while those same buddies are still living pay check to pay check and leasing 3 series.
Just my experience and my 2 cents.
I personally would prefer to use as little debt as possible in my life to free up the stress.. Whilst still buying a dream car and house haha.
05-10-2009, 07:34 AM
#36
Racer
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Congratulations on coming around and paying off the student loans first. Really, that shows a lot of maturity at the age of 26. A lot of people in their 50's dont' get that, and it's really sad to hear the stories of lease defaults on here when people base these decisions on monthly payments and not the cash value of the transaction.
Having a tax deduction on the interest is no reason to keep them around either. Suppose you're in a 30% tax bracket. You're making the point that you should pay $10,000 in interest to save $3000 in tax? I wouldn't want anyone making this argument as my financial planner.
I am going to pay off my house before student loans, and to me, this is one case where that's the smartest thing to do, because:
1. they're all stafford
2. consolidated at 2.75% for 30 years (house 5.5%/30 yrs)
3. if I die, the loans go with me, so the smart place for the money is equity in the house to reduce the burden on my wife.
05-10-2009, 01:11 PM
#37
side note (not sure if it's relevant to the original question) the 997 is financed at about 1.5% less than the student loans so the student loans take precedence over the 997 payments.
that being said, i think (most of) you guys gave me the advice i was looking for, which is don't do it.... not yet anyway.
BUT - a new perspective: i'm 26, single, unmarried, no kids, no mortgage. once i get bogged down with that kind of stuff, does it get harder to make big purchases (multiple cars) on a whim? ie, justifying to your wife that you want to buy a car with your own money, justifying to yourself that your new toy is more important than your kids' college fund, less time to drive/enjoy the cars? might it be a good strategy to have 3-4 cars before I get married, and that way i kind of set a baseline of "i am always going to have 2-4 cars and if i sell one, that means im probably going to buy a new one to replace it - live with it" ?
that being said, i think (most of) you guys gave me the advice i was looking for, which is don't do it.... not yet anyway.
BUT - a new perspective: i'm 26, single, unmarried, no kids, no mortgage. once i get bogged down with that kind of stuff, does it get harder to make big purchases (multiple cars) on a whim? ie, justifying to your wife that you want to buy a car with your own money, justifying to yourself that your new toy is more important than your kids' college fund, less time to drive/enjoy the cars? might it be a good strategy to have 3-4 cars before I get married, and that way i kind of set a baseline of "i am always going to have 2-4 cars and if i sell one, that means im probably going to buy a new one to replace it - live with it" ?
As for kids, you will likely not mind the "sacrifices" of raising a family. Cars are much cheaper than kids (I don't have any and I've had 3-4 cars that were strictly mine--these days I'm down to 3, my Club Coupe, Audi A6 that is about to go off lease, and daily driver Honda Fit that is the Audi's replacement).
There are issues that come with toy cars. Insurance is a big factor--yes you get multicar discounts but it really starts adding up because the liability coverage (for example) doesn't give you a break even though you can only drive one car at once. Plus there's garage space, and there is only so much time to go driving.
However, once you have all your debt and other things squared away, there will be money for cars. My only regret was not buying a mid-year (66-67) Corvette Stingray convertible 10 years ago. I always wanted one and still do, but the prices are insanely high now, and a 66 GTO convertible that a friend of a friend owned when I was still in college. Didn't have the money. My advice is that unless the 964 is the car you will look back in 10 years and long for, pass on it.
05-10-2009, 02:44 PM
#39
Burning Brakes
..after you buy the house, get married, have children, pay their education, put money away for retirement...did I leave anything out?
Oh....and don't get divorced...you'll have to start the process again and at a much older age.
abe
Oh....and don't get divorced...you'll have to start the process again and at a much older age.
abe
05-10-2009, 03:35 PM
#41
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optimistically speaking, i could get 8 or 9 grand for the M3. Do you honestly think that kind of money (plus a few hundred a year in reg. and ins. fees) will make a difference in the long run? The regret I would feel over selling it would far outweigh any benefit. In fact I've never met anyone who felt happy about selling an E36 M3.
05-10-2009, 05:57 PM
#42
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Not if you marry the right women.
My wife knows cars are my vice. We work together on our budget and I do my thing while she does hers. There's trust and balance and never any ill feelings or misunderstanding. Like any thing worth doing, a good relationship takes work but it's also very much worth it.
My wife knows cars are my vice. We work together on our budget and I do my thing while she does hers. There's trust and balance and never any ill feelings or misunderstanding. Like any thing worth doing, a good relationship takes work but it's also very much worth it.
My wife knows that cars are my passion, like sports for other people.
Toys a much more fun when paid for in cash and you have zero debt (or damn close to it). While your savings does take a hit, it is great knowing that there is a clear title in my safe.
We have a mortgage on both homes but are on schedule to pay them off in 10-12 years (we will be early 40's). The only thing else we own on is a 0% loan on the VW Jetta.
People would be truly amazed at house much of their take home salary goes for debt service.
05-11-2009, 07:09 AM
#43
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optimistically speaking, i could get 8 or 9 grand for the M3. Do you honestly think that kind of money (plus a few hundred a year in reg. and ins. fees) will make a difference in the long run? The regret I would feel over selling it would far outweigh any benefit. In fact I've never met anyone who felt happy about selling an E36 M3.
05-11-2009, 05:46 PM
#45
Track Day
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personally I hate having multiple cars. Initially I liked it cuz I could drive a different car each day but eventually it became a pain 'cuz the clicker would be in one car instead of the other car. I was losing stuff and it just took up space in my driveway. I just got done consolidating my Lotus and Mini into a 997 C4S...
PS, I wouldn't suggest having so many cars unless you have disposable income. Even if you do, you might find a better toy to spend it on....
PS, I wouldn't suggest having so many cars unless you have disposable income. Even if you do, you might find a better toy to spend it on....