Anyone else paying in cash/full?

[iff2mastamatt]

I started a thread somewhere here a year ago about who else was saving up for the FR-S/BRZ. I had about 10k then, and now I'm a little over 24k and still saving. I'm still waiting for a test drive, and I've been patient since 2009 so I'm almost there!

Anyways, is anyone else going to pay for their FR-S/BRZ in full? I'm not sure which options I'm getting but i think I'll buy something off the lot at about $27-28k. What are your thoughts?

[Brett]

Originally Posted by iff2mastamatt

I started a thread somewhere here a year ago about who else was saving up for the FR-S/BRZ. I had about 10k then, and now I'm a little over 24k and still saving. I'm still waiting for a test drive, and I've been patient since 2009 so I'm almost there!

Anyways, is anyone else going to pay for their FR-S/BRZ in full? I'm not sure which options I'm getting but i think I'll buy something off the lot at about $27-28k. What are your thoughts?

Take out a loan at 2%. But your $30k in to an S&P index mutual fund, Apole stock, or whatever you prefer and make much more than then 2% you're payin. I purchased 29 shared of AAPL last month. It's gone up 20% already.

YMMV!

Brett

[Heero]

I have enough cash to cover around 25k, but now it seems I will have to finance.

If I finance I might as well finance a nicer car - soo... duno.

[MrBRZ]

Unless you're independently wealthy, never pay cash for a car that is depreciating.

Like the above user commented, invest it. It will more than cover your interest rate and your loan will help you establish credit. You sound young, so it will help you in the long run. GL.

[ft86Fan]

I hope you all understand that investing carry with it certain risks. Don't make it sound like its a sure thing. Trust me.

[carbonBLUE]

been saving since 2008 5k each year and its 2012 its like 400 a month or something like that, easy to save

[Saibot]

ill prob be buying in full. made 40k from sept-dec 2012.

[tripjammer]

Originally Posted by Brett

Take out a loan at 2%. But your $30k in to an S&P index mutual fund, Apole stock, or whatever you prefer and make much more than then 2% you're payin. I purchased 29 shared of AAPL last month. It's gone up 20% already.

YMMV!

Brett

+1

Take that $30K and by some Apple stocks (AAPL) like he said. It's going to be $1600 a share by 2015! Why spend $30K on a depreciating object like a car. Finance or lease it.

[slizoth]

In my 1.5 years of employment since college I've racked up a mere 4k for my car fund, what can I say, other stuff takes priority like student loans.

[86fanatic]

I would caution anyone about taking financial advice especially about which stocks to invest in from an internet forum.

[DantKR]

Originally Posted by 86fanatic

I would caution anyone about taking financial advice especially about which stocks to invest in from an internet forum.

While which specific stocks to invest in may not be the wises idea of which to listen to, overall, the advice is sound. There is no point in NOT financing when interest rates are as low as they are when you can take the 20k and get more than 2-3% return.

[86fanatic]

Originally Posted by DantKR

While which specific stocks to invest in may not be the wises idea of which to listen to, overall, the advice is sound. There is no point in NOT financing when interest rates are as low as they are when you can take the 20k and get more than 2-3% return.

I agree, I've said in other threads look at CDs which are one of the safest investments you can make, and compare with your auto loan. Talk to your bank they will assign you a financial adviser and might point you towards funds which have guaranteed rate of returns above 2%.

The premise of losing opportunity cost by spending capital on a deprecating asset is sound. But the advise that should be followed is to educate yourself about the financial situation and not invest in Apple and get rich.

[A Gomez]

Originally Posted by DantKR

While which specific stocks to invest in may not be the wises idea of which to listen to, overall, the advice is sound. There is no point in NOT financing when interest rates are as low as they are when you can take the 20k and get more than 2-3% return.

Please, tell me, Sensei, your investment secret to 100% GUARANTEE the ROI never fails to exceed the interest rate of borrowing money. I could retire tomorrow if I had that secret.

[blacknbean]

i used to buy all my cars cash (even bought my bmw cash) but since then ive been better off investing and then financing at .9-2% depending on the deals at the time. plus it keeps more cash available for random stuff if needed.