How much is a reasonable down-payment?
09-03-2011, 09:35 PM
#26
Junior Member
Join Date: Jul 2011
Location: NC
Posts: 52
Likes: 0
Received 0 Likes
on
0 Posts
c63 amg
buying a mb as your first car out of college is probably fail to begin with but if youre determined then heres what id say.
in todays economy, if you have a big enough nut to buy a car cash or make a huge down payment, then its better to finance your car at 4% and buy gold with your cash.
theres 2 reasons for this.....
1st....with interst rates as low as they are now, its better to put your cash where its recession and inflation proof. any decent investment should pay you back 4% or whatever little interst rate you pay. buying a car at a couple % has nothing to do with credit card interst rates so dont listen at all to that.
2nd.... its hard to put money aside man. if you can do it, and then want to live a little, dont let go of it so quick for just a car. it really will get tougher once your tastes start going beyond the food and rent only gig you have going on now. if you keep your nut intact instead of using it to own 5 years of a depreciating car then you wont have to deal with the pita saving is gonna be once the girls and golf buddies see you out in your new benz.
^^^^ this is real world advice to a young up and comer. keep the cash in something with a growing bottom line. its ok to have a nice car with a big payment and a decent job if you got some beans under the mattress. keep it there and enjoy. its financing a car and not having a stash where the problem comes in imo.
in todays economy, if you have a big enough nut to buy a car cash or make a huge down payment, then its better to finance your car at 4% and buy gold with your cash.
theres 2 reasons for this.....
1st....with interst rates as low as they are now, its better to put your cash where its recession and inflation proof. any decent investment should pay you back 4% or whatever little interst rate you pay. buying a car at a couple % has nothing to do with credit card interst rates so dont listen at all to that.
2nd.... its hard to put money aside man. if you can do it, and then want to live a little, dont let go of it so quick for just a car. it really will get tougher once your tastes start going beyond the food and rent only gig you have going on now. if you keep your nut intact instead of using it to own 5 years of a depreciating car then you wont have to deal with the pita saving is gonna be once the girls and golf buddies see you out in your new benz.
^^^^ this is real world advice to a young up and comer. keep the cash in something with a growing bottom line. its ok to have a nice car with a big payment and a decent job if you got some beans under the mattress. keep it there and enjoy. its financing a car and not having a stash where the problem comes in imo.
