How to best afford the dream?
01-19-2019, 12:54 PM
#61
Instructor
01-19-2019, 01:09 PM
#62
Le Mans Master
Member Since: Nov 2015
Location: Lake Havasu City Arizona
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All I can say is this. When my son went to work when he was 21 I demanded he max his 401K to the limit. Told him that if he can't pay cash for what he wants he can't afford it. He followed my advice. He retired at the ripe old age of 48. He has a 2017 Z06 he bought new and will never have to work another day in his life.
I would postpone the purchase few years.
I would postpone the purchase few years.
01-19-2019, 01:21 PM
#63
I agree with knightmare. I would just add on that you should save up in full for the car. It puts into perspective how much these things cost, it did for me at least. Also it really sucks to have payments. There's a guy my age (25) I work with that financed a BMW 4 series and that car owns him...
01-19-2019, 01:25 PM
#64
All I can say is this. When my son went to work when he was 21 I demanded he max his 401K to the limit. Told him that if he can't pay cash for what he wants he can't afford it. He followed my advice. He retired at the ripe old age of 48. He has a 2017 Z06 he bought new and will never have to work another day in his life.
I would postpone the purchase few years.
I would postpone the purchase few years.
Last edited by Skid Row Joe; 01-19-2019 at 02:01 PM.
01-19-2019, 02:13 PM
#65
Drifting
https://www.corvetteblogger.com/2016...yers-pay-cash/
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joemessman (01-19-2019)
01-19-2019, 10:52 PM
#66
Instructor
So as with many people here the corvette is my dream car.
I am 24 no debt , making 57k a year (before taxes).
Renting an apartment for ~1100/month
Saving about 1000-1500/month depending on how frugal I am,
I was thinking for my 25th birthday, at the end of the year to buy(finance) a couple year old Corvette. If I save really hard this year I could have around 20k cash, and my current cars worth around 8 in trade,(according to kbb)
Was thinking about a used one around 45-50
Best case means I would only have to finance 17.
Now that being said, it would wipe out all of my savings, and it would take me longer to build back up becuase it would probbably cut my monthly savings in half with payments and insurance increases
So I would still be living in my tiny apartment, but I'd have my dream car.
I know the responsible thing is to save for a house, but the best way I can run that puts me around 29-30 before I can build back up to afford the car, and that's a long time to wait.
What do you guys think?
I am 24 no debt , making 57k a year (before taxes).
Renting an apartment for ~1100/month
Saving about 1000-1500/month depending on how frugal I am,
I was thinking for my 25th birthday, at the end of the year to buy(finance) a couple year old Corvette. If I save really hard this year I could have around 20k cash, and my current cars worth around 8 in trade,(according to kbb)
Was thinking about a used one around 45-50
Best case means I would only have to finance 17.
Now that being said, it would wipe out all of my savings, and it would take me longer to build back up becuase it would probbably cut my monthly savings in half with payments and insurance increases
So I would still be living in my tiny apartment, but I'd have my dream car.
I know the responsible thing is to save for a house, but the best way I can run that puts me around 29-30 before I can build back up to afford the car, and that's a long time to wait.
What do you guys think?
What you do next with your wealth can have major upside or downside in years coming.
I understand living in the now and the feeling you anticipate when you get your dream car looks very good, but after you get the car the high will subside.
So let me share what I'm experiencing. I started working at 21 and 15 years later, in my mid-thirties, I got a C7, my first true sports car, a year ago priced out the door at 47K. With a 20% down payment, payment is ~680 per month for 5 yrs. Now factor in insurance, 200 a month and gas around 200-300 a month, just for a married mid-30s male with 1 ticket, a 10 mile round trip daily commute and some fun on the weekend. Right now, I have enjoyed the C7 for a year and just looking at the 1000+ a month done the drain, I'm thinking about selling it in the summer and saving aggressively for my first rental property.
So you're looking at at least $1000+ a month for a car.
Do you want to keep spending and spending or do you want your hard earned cash to work for you then you can buy as many Corvettes and dream cars as you want?
Take a few mins and checkout the first 3 videos in this playlist => https://www.youtube.com/playlist?list=PLYg_Tdm6Hq-_HHBh4NtpmtfZKtykrAKwd
Don't buy a house to live in when you don't need the space. Buy a house to rent first if you can.
Here are some scenarios in front of you:
- Buy your dream car(used C7) now, spend at least 1000 a month. This 45k piece of metal is giving you a few minutes a day of joy and sucking your money
- Buy a sport car but target 500 total a month, save and invest the 500. Get some joy as you work towards your first rental property
- Save and invest the 1000. Get to your first property, generate positive and consistent cash flow. Then buy your C8 Corvette or decide to buy more properties and make even more money
You know your situation best. What do you think?
01-20-2019, 02:29 AM
#67
Le Mans Master
Member Since: Apr 2001
Location: Ex-SF Bay Area; now happily Denver area
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get a house first. Need garage for corvette. If you really want the corvette, get an older model C5 or C6. you can easily find a nice C6 for 25k and below. you can get a very nice C6Z for around 30k. Also you make more money than me. Although, I am dual income with the spouse.
Buy the damn car and enjoy it! Do not put all your savings down on it, finance for the longest term available, and make extra payments when you can. I guarantee you that you can afford the car better than 50% of the people on here. Bet on yourself that at your age your income will keep pace with your spending. All these Dad "want to be" figures are trying to give you investment advice and appear responsible. At 24 you are doing well and it is time to have some fun. If you want a house down the road, find a girlfriend with either a great job or rich parents or preferably both! 
I suggest buying the car. By the time it's paid off your life will have changed a lot, you will still have the car, and you will have enjoyed it in the meantime. As some have maintained, and I have personal experience with, life can throw you a curve ball at any time. So a balance between enjoying your current life and saving for the future is probably the best course of action.
Regardless, while the above represents a lot of good ideas and life experiences, you will only feel good when the decision is yours. Enjoy.