Quote:
Originally Posted by 2k2s430
Well I see you missed the point E150. My point was just someone finances a vehicle new or used doesn't mean they can't necessarily afford it! If you bought a home within the last 4 yrs. go and try to refi and see what happens in regards to the value of your house then and now. Unless you bought the home way under market your home today is a depreciating asset, and yes it has appreciation potential and trends have generally been that real estate does appreciate. Cars are depreciating assets so your are guaranteed to lose money on that expense. I realize that there are collector cars that do appreciate. I do agree that financing a car that is worth $2,000.00 is not wise, but the value of the used car was never mentioned. For all we know he could be buying a used Ferrari.
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You are correct that many people can afford their payments. I just am opposed to paying interest as much as I can. After all is said and done with a car payment, one pays more than the car is worth with a typical auto loan, only to be left with a car that is worth much less than was paid for with principal and interest. And also, I do not have a mortgage yet but am saving for a sizeable down payment and also for a replacement car when I can find a car that actually excites me. I also have no credit cards or car payment and never have. And before I sound like I have done no wrong here, I have had credit cards in the past and have seen how quickly intrest and debt can get away from you. I have always tried to live in less than I make even though until recently I usually lived right at what I made and I know its tempting to get into a newer car and a big mortgage and all that. Everybody at work tells me buy a house buy a house, renting is just tossing money away. And while that is true, I am not ready yet to take on such a risk without securing a few things first. I do not want to become a statistic of this economy.
01-26-2009, 11:43 PM
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