Do you think its smart to buy new when...

[djrocketodd]

Does anyone think its a god idea to buy a brand new car when, you dont have a career yet only a job, are going to school full time and are only 18? I say NO. What is everyone elses thoughts and why?

[Masked Bandit]

No.



From a purely financial point of view, buying a NEW car is rarely a good idea, regardless of your age. Unless you are leasing for business purposes with a tax angle, a NEW car is a poor financial situation. That doesn't mean people don't do it (obviously).

In the situation you have described though, it's a terrible idea. Have you called for insurance prices yet?

[djrocketodd]

Oh most definitely, Its for a female friend of mine, and I haven't been able to talk her out if it. Insurance is like minimum 3g a year for a new car and half that for her existing car, which I'm guessing she just doesn't like.

Her argument was insurance will be cheaper (?) I say fak no, She wanted a new car for the winter (?) again WTF,
And she wanted to have a car once she is done school... (again ?) she has a 94 Toyota right now, doesn't look the nicest but it runs well and who cares if you fak it up?

Is there a way to make her see the light? Or am I missing something here?

[Masked Bandit]

Originally posted by djrocketodd
Oh most definitely, Its for a female friend of mine, and I haven't been able to talk her out if it. Insurance is like minimum 3g a year for a new car and half that for her existing car, which I'm guessing she just doesn't like.

Her argument was insurance will be cheaper (?) I say fak no, She wanted a new car for the winter (?) again WTF,
And she wanted to have a car once she is done school... (again ?) she has a 94 Toyota right now, doesn't look the nicest but it runs well and who cares if you fak it up?

Is there a way to make her see the light? Or am I missing something here?

Buy her a book by the name of "The Wealthy Barber".

I can understand that she wants a reliable vehicle and all that, it's just a piss poor financial decision (at any point and ESPECIALLY at her stage in life).

Make her read the book and she may change her tune.

[topmade]

I vote NO as well because indeed it's a financial burden on something that will do nothing but loose value. But there is a positive side to it. I bought my new car in high school because I had a job and the money was just being wasted away from going out and buying crap I didn't need. So I said well if I'm going to waste the money, might as well waste it on something I can keep for a while. For my situation it actually worked out well, because my other friends at that same time who had jobs didn't have anything that represented their earnings when I already had the car paid off. I still have the car, 94 civic, original owner :thumbsup:

[Tik-Tok]

Originally posted by djrocketodd
Does anyone think its a god idea to buy a brand new car when, you dont have a career yet only a job, are going to school full time and are only 18? I say NO. What is everyone elses thoughts and why?


I didn't buy a brand new car until I had a career for 4 years, and was 27. I still regret it. IMO buying a new car is for people who
A) Spend A LOT of time in their car
B) Have everything else they need at home (including a home)
C) Don't mind missing out on worldwide type vacations
D) Have enough money for all of the above, plus the car.


The way I'm looking at it now, is that I spend more time in my kitchen, and watching tv, and dreaming about vacations then I do in my car. So why the hell did I choose a new car over a new kitchen, a large screen TV, and yearly out of country trips? Damn this financial monkey to hell.

[jinexile]

Don't forget the depreciation on a new car, driving it off the lot drops it's resale value a lot, it goes from retail to wholesale instantly resulting in thousands of dollars lost.

[Annoyingrob]

Originally posted by Masked Bandit

I can understand that she wants a reliable vehicle and all that,
She has a reliabe car, it's a Toyota :)

Ask her write out, how much it's going to cost her to own each vehicle for the next 5 years, and she can see how much money she's wasting.

BTW, she'll have a hard time trying to get a loan for a car if she's 18, and has no job. Her parent's will have to co-sign. Ask them if they're willing to pay for their kid's car when she can't pay the monthly costs on it.

[bosanel]

Go for New used, 2-3 yr old cars low mileage half the price and just as good as new...IMO i would never buy new no matter how much i like the car, cuz i know if i wait 1-2 yrs ill save 10 grand :>

Anel

[pinoyhero]

I vote NO, I've never ever bought a new car. A great deal of the time most people need to be taught a real world lesson in fiance before they "get it" though. maybe this will be a relatively painless way for her to learn it via something larger in the future that will bankrupt her.

[infected]

No.

Insurance is going to rape you up the ass. I'm parked after August.

[rage2]

Is she hot?

[BrknFngrs]

Originally posted by rage2
Is she hot?

:rofl: :rofl:Offering to setup some "special financing" terms?

[Arthur Dent]

Get her to get some insurance quotes - its eye opening. Some like a three year old, low mileage car might be in the sweet spot.