The average car payment in America is now $500 a month.
Man, what can you do with so much money every month instead of giving it to the bank.
Start a business? Invest in stocks? Invest in fucking Bitcoin? Sure, you can do whatever the fuck you want and buy yourself some freedom.
You keep whining about how sucky your job is, but you still insist on driving your $650 dollar Mercedes, $500 dollar ford or $300 dollar Volkswagen to the office.
Because you think your coworkers or your boss is amazed that you drive that big Merc? Yeah, sure for like 10 minutes, then they forget about your beautiful car and they are back to their own life and worrying about their own car that is coming due every month for $500+ dollars.
I understand that you want a nice or new car and this blog is about nice cars, but don’t go into debt for a can on 4 wheels man. I really know why you do it, I did it myself a year ago. I drove a BMW 316i from 2001 and I thought to myself, you know what? I got a good job and its time to upgrade this piece of old shit, so I went to the Lexus dealer and got myself a IS250 from 2012 .
It was a very enjoying car and it was very cool that everybody (coworkers) told me that the car was very nice. But after a week I kept thinking about this shitty car payment every month. It was around $300 a month, I could easily afford the car but the guilt feeling that I owned this money to the bank and needed to pay it EVERY month. I just couldn’t get over it, so 2 months later I returned the car to the Lexus dealer and got my money back. ( got very Lucky with that one) after that I bought myself a cheaper diesel car for traveling and work. No depreciating item, but stacking money time.
If you do this and save some money every month because you are not sending it to your slave master. You can stack that cash and buy yourself a nice used car for like $10.000, for that kind of money you can get a nice used luxury car and enjoy the same benefits as the new $30.000 car.
If you buy a new car and you drive it off the lot, the worth of the car is going down like the stock market in 2008. After that tragedy you find yourself losing 25% net worth in a few minutes.
$30.000 > $22.500, Damn that’s quite the investment you got going there.
Use that $30.000 to make some more money and buy yourself that supercar later on, delayed gratification it’s called, sucker.
Once you got patience, you can get rich. Trust me, after you get rich, you can buy whatever the fuck you want. If you are rich, you also don’t need to be going to that Job to work for your car. What are you going to do with your new car. once your boss says its time to go because the company got problems?
Then your stress levels will definitely hit records high like the NASDAQ at the .com bubble. Your big ass car payment of $500 and your $1.030 housing payment is going to crush your average savings that won’t even hold your head above water for a month.
And then what? Your going to need to sell your car and your house with a huge loss because you ain’t got no options anymore. So free yourself from this bondage that is called car finance and even shittier, private lease.
The only way I can see you leasing a car is that you build yourself an empire called your own ‘Business’ wich makes you big money so you can afford to put the car as a business expense. You should at least have enough money. I would suggest if you can’t pay the car 3 times you ain’t got enough cash for such a money drain.
You want to lease on your business? Have 3 times the worth of the car in cash in the bank. Then you can do it and you won’t have problems with cashflow once your business has downwards moment.
In my opinion you should never finance and never lease, just buy the damn car and be done with it.
If you don’t subscribe to BMW finance and you stack that $500 every month in your bank account for 12 months, you can buy yourself a nice $6.000 car. Keep saving and upgrading untill you have your dream car!
After that you can use that $500 monthly payment for yourself and build yourself a great life.
So whatever you do, don’t finance a depreciating item. If you finance something, use it to make more money, called Leverage. After that buy your BMW or whatever you like.
Anyway, stack that money.