Quote:
Originally Posted by vutall
Hello all,
So I am in a bit of a pickle. Looking for a bit of advice on how to proceed. I am in the military and have orders to go over to the Netherlands. They ship a vehicle there or you for free. However, my current car (2006 mini coopser S convertible) has a bunch of little things that would all need to be fixed before they could ship it which would end up costing more than the vehicle is worth. (Repairs to the body, new key, new horn, some minor electrical work...totalling about 4k in repairs)
I owe 15k on the Mini. Trade in is 5k. Resell is 8k. I need a vehicle to get around in. Cue my decision to decide to get rid of the Mini and get into a BRZ.
I just sold my house, so I have about 15k extra. I was going to use that 15k to pay off a couple signature loans I had taken out to pay for home improvements, but now I don't know.
If I try and privately sell the Mini, I could get about 7k for it, leaving me to have to eat the remaining 8k on the car. I could do this, then go buy the BRZ. The downside to this is I have a month to get the vehicle sold and the new one purchased because I need to ship the vehicle to the Netherlands 3 months prior to my arrival.
If I try and trade it in...KBB says trade in is only worth 5k, so that leaves me with 10k I'd have to put on top the BRZ loan..most banks only go a certain percentage over purchase price, which would then in turn make one, upside down on the new BRZ finance and two, have to pay more for a downpayment.
The third option is to sell the car and eat the loan out of pocket, and try and purchase a new vehicle when I get to the Netherlands. However, the netherlands vehicle prices are almost double what I would pay in the states.
I know I will want a BRZ in the future. I had one for about 6 months before lovely Tucson drivers made that not be a thing anymore. Just looking for some opinions and thoughts on how to go about this.
Thank!
Oh, if I do buy a BRZ stateside, does anyone know if you can update the Nav system to European maps once I get over there? Or maybe even before they ship it?
|
I would say you need to get your financial house in order prior to doing that. Since you still owe a fortune on the Mini, why not use some of the $15k from your house to make the minimal repairs? Then you can continue to pay down the Mini instead of taking on more debt with the BRZ (car + negative equity).
Then use the remaining $11k to pay off (or down) the signature loans. That would only leave you on the hook for the $15k you owe on the Mini.
If you buy a BRZ Premium and find a leftover '14 model, you could get 0% financing if they're still running that special and if you qualify. Assuming trade, you'd roll $10k negative equity into the BRZ. Assuming discounted purchase price of $24k, you'd be in it at $34k+tax, tag and fees, so maybe $35-36k depending on how brutal your taxes are.
You'd still have the $15k from the sale of your house, and maybe Subaru Financial (through Chase) would go $27k on the BRZ. That's roughly 10% higher than MSRP for a base Premium, so you'd have to pay $8-9k from your $15k, which would give you only $6-7k to pay down signature loans... and you'd still owe $27k on the BRZ.