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Old 05-06-2013, 06:51 PM   #41
soulstice
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Join Date: Sep 2012
Drives: SWP BRZ LTD
Location: Fairfax County, VA
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Quote:
Originally Posted by Whitigir View Post
I think it is all Personal preference. But if you do pay in cash though, dont tell the sale man up front.

In my Personal Opinion, I rather use that 27k to put into my mortgage. Because over the 5 years, the bank will usually make the most of 2-3k from your interests rate. But over this 5 years on your mortgage, the Bank will be charging you probably around 10-20k in interest rate. Depend on how much your mortgage is.

Breaking it down.

Car finance = 10-30$ a month = 1800 over 60 months ?

27k into Mortgage reduce 50-80$ a month, or even more, depend on you mortgage condition. The younger your mortgage is = the better (Young mortgage = within 7 years). This is 3k-5k. You are saving a few thousands here.
Here we go! Whitigir has the right idea.

If you're enterprising in your investments or having things like a mortgage that are at a higher rate, it's better to put your money elsewhere then paying cash up front for a car. I just got 2.19% financing on my BRZ and as far as I'm concerned, that's a very small fee to pay for giving me the flexibility to put my money in places that will give me a better return for my dollar.
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The Following 2 Users Say Thank You to soulstice For This Useful Post:
shirker (05-06-2013), Whitigir (05-06-2013)