Should You Buy During the Pandemic?

[Dadhawk]

Originally Posted by Tcoat

Saw that coming!

[Atmo]

I use a blended approach that factors in net debt expense after taxes.

That's why I don't mind debt on my primary residence that's fully tax deductible and it's an appreciating asset.

It's also why my next new car on order is a RAV4 Prime (wife's new driver) that comes with a $10K Fed/State direct tax credit we can use. Then we'll flip it when the credits expire in about 18 months and estimate that we'll break even or probably better after financing expense.

So as said, it's up to the individual. We choose to assume tax deductible debt to preserve cash for investment purposes, something I've done for years that's worked out alright and is approved by my CPA and CFA.

It also includes budgeting for another 10% for certain (legal) speculative investments that work out more often than not. It's like Vegas with better odds minus the glam.

[Dadhawk]

Originally Posted by Atmo

I use a blended approach that factors in net debt expense after taxes.

That's why I don't mind debt on my primary residence that's fully tax deductible and it's an appreciating asset...

Like I said before its a different approach, as is @extrashaky and that's OK. It's not a lot different than the AT vs MT argument or even politics or religion, there's validity to both sides of the argument and if you're open minded you can see that.

Another example is your mentioning of the tax deductible aspect of home interest mortgage. It's a great tool to have if you are going to have a mortgage anyway and as long as you understand you are giving a dollar to the bank so you can get $0.25 (or whatever your effective tax rate is) back from Uncle Sam.

Me, I'd rather give Uncle Sam the $0.25, invest the $0.75 difference and have a paid off house. That doesn't mean for the 12 years it took us to pay off our house, I didn't appreciate the tax deduction!

[Ernest72]

Originally Posted by humfrz

Do you mail order? .....

Mostly for fertility so not sure you would be interested.

[humfrz]

Originally Posted by Ernest72

Mostly for fertility so not sure you would be interested.

Ya, I'll pass. A Vet down in CA fixed me years ago.

[Leonardo]

I would not buy a car now. Maybe a H1, but that's a different conversation.

"Can I get it with a mounted Browning?"

[g e]

Originally Posted by Tanstin

Definitely gonna buy in cash. I made sure I had enough to do thay, cause I dont wanna go through their financing schemes.

Maintenance and running cost from what I hear isnt too bad and im prepared to deal with the cost of premium gas. Looking to spend somewhere around the 14k to 20k range in the MD area haha.

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If there are very low interest rates like 0-2% it may be a sharper move financially to get a loan for the car and use that chunk of money to get into the stock market after it craters.

The one think we can count on in this world is the greed of Wall Street and their desire to make vulgar amounts of money. May as well ride on their coat tails back up.

Invest in blue chip stocks that have been beaten down. Tech and health/biotech sectors are good bets. Or get mutual funds that specialize in those sectors.

... or not.

[g e]

Originally Posted by Tcoat

Is that Mrs Tcoat?

[Tcoat]

Originally Posted by g e

Is that Mrs Tcoat?

Maybe 40 years ago.

[humfrz]

Originally Posted by Leonardo

I would not buy a car now. Maybe a H1, but that's a different conversation.

"Can I get it with a mounted Browning?"

DANG, Leonardo, that dates you -

Then you could take your BAR and @Tcoat could take his Enfield 303 and ya'll could go to war -


humfrz

[Dadhawk]

Originally Posted by g e

Is that Mrs Tcoat?

That's @Tcoat signal to me I'm getting lost in a financial discussion no one will win. Basically, it's my squirrel...

[Tanstin]

Originally Posted by g e

If there are very low interest rates like 0-2% it may be a sharper move financially to get a loan for the car and use that chunk of money to get into the stock market after it craters.



The one think we can count on in this world is the greed of Wall Street and their desire to make vulgar amounts of money. May as well ride on their coat tails back up.



Invest in blue chip stocks that have been beaten down. Tech and health/biotech sectors are good bets. Or get mutual funds that specialize in those sectors.



... or not.

That does sound like a good idea, but I'm a college student, and I'll admit that I'm not as financially savvy.

Ive always been interested in stocks, but I haven't the faintest clue in getting it.

A 0.2% interest only applies to new cars though, right? I doubt that used interest would go that low. As of right now I'm leaning towards getting newer, used model as I feel that buying completely new will just depreciate.

That being said, there's a lot of different info from a lot of different sources here, its quite overwhelming, but much appreciated!


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[Leonardo]

[humfrz]

Originally Posted by Tanstin

That does sound like a good idea, but I'm a college student, and I'll admit that I'm not as financially savvy.

Ive always been interested in stocks, but I haven't the faintest clue in getting it.

First off, you don't need a car while you're in college, just take a full academic load and stick to your studies.

After you graduate, buy a used car and pay off your college loan.

THEN, invest in the stock market, which is pretty simple, buy low - sell high.

See all the money I saved / made you -


pa-pa - humfrz