Justifying an "expensive" car purchase...
Discussion
icetea said:
It all depends on the situation though. And buying a house now has just as much chance of leaving you in negative equity as it does to leaving you with capital growth. I'm happy renting, I'm paying 1.3% of the house value per year as rent - I can get more than that in interest by keeping the cash in my bank, and I think the prices will drop before they increase again (villa worth a few million on a golf course in Portugal)
Because renting a holiday villa in a country that's about to go bust is exactly comparable with the UK housing market!Fastdruid said:
You can just live in it you know.
Yes but you could also just live in it if you rented it, without owing the bank a load of money, and having had to pay a huge deposit to get into it.HeatonNorris said:
Because renting a holiday villa in a country that's about to go bust is exactly comparable with the UK housing market!
Well thats exactly why I put that location and value in... to give my comment a bit of context. I appreciate I'm not living in a central london apartment but the same scenario could apply anywhere else in Britain outside of a few bits of London.Buy a well sorted Elise S1 for around £8K, keep a few thousand in reserve for any unexpected bills, and run it for 1-2 years 
When you come to sell it, you won't lose much on it! Then at least you can say you've done it!
I know there are a lot of people on here suggesting you should invest in property, which is sensible. However there is always time later in life for being sensible, so enjoy yourself now; you could be dead tomorrow!
Test drive an Elise before you consider something else ... If you're looking at a S1, try to find one with a sports exhaust (not hard!) and the Bilstein S2 suspension upgrade. Bills and history are important, mileage not so much
When you come to sell it, you won't lose much on it! Then at least you can say you've done it!I know there are a lot of people on here suggesting you should invest in property, which is sensible. However there is always time later in life for being sensible, so enjoy yourself now; you could be dead tomorrow!
Test drive an Elise before you consider something else ... If you're looking at a S1, try to find one with a sports exhaust (not hard!) and the Bilstein S2 suspension upgrade. Bills and history are important, mileage not so much
Biccaroo said:
HeatonNorris said:
To get a decent mortgage deal, you need a decent deposit.
You're not going to save that if you put your money into a high maintenance and depreciating asset.
Indeed. But, on the continent everyone rents their entire lives. Who says that a mortgage is the right way to go? Is it because we're all sheep and believe we should follow the crowd or is it truly where the safe money goes? The thing is, in playing it safe many people commit to years of poverty because their mortgage dominates their spending. Then, when they're old and wrinkly and life has passed them by, they no longer have the energy or desire to enjoy life as they could've when they were younger! Oh dear, I've started to rant... ! You're not going to save that if you put your money into a high maintenance and depreciating asset.
The wiser folk have pointed in the direction of first getting on the housing ladder (especially as prices have taken a large correction so more favourable conditions than 3 - 4 years ago). There is no reason to skint yourself in buying a property - buy a cheaper one if you dont want to be like your friends sat on their sofa. You may find, however, that its more satisfying sat on a sofa watching TV of a house you are buying than being out on the lash and heading back to a house you are renting.
Property purchases have never cooled my lifestyle and I have partied for 15 years as I am sure other PHers can vouch for. I drink like a fish, smoke a pack of Bensons a day, holiday all over the place and have driven a line of fun cars, if not expensive ones. Aside from the short term initial hardship of knuckling down to get a deposit and then those first few months especially when you need to buy furnishings, owning is little different to renting but you find it a lot less difficult to 'justify' buying silly cars once you know you have got the financial underpinnings in the right order. Hell, I didn't even have to start a thread before I bought any of the TVRs, Lotus or Pork.
otherman said:
Then I don't understand your definition of 'justify'
No, you're right. I've answered "Yes" to both questions which is justification enough. However, I feel that maybe I should use my money in a more sensible manner, as suggested by some many in this thread. God damn society and it's sensibilities!Edited by Biccaroo on Saturday 14th July 14:08
Shnozz said:
It seems to me that your mind is made up and you've already justified the car purchase.
The wiser folk have pointed in the direction of first getting on the housing ladder (especially as prices have taken a large correction so more favourable conditions than 3 - 4 years ago). There is no reason to skint yourself in buying a property - buy a cheaper one if you dont want to be like your friends sat on their sofa. You may find, however, that its more satisfying sat on a sofa watching TV of a house you are buying than being out on the lash and heading back to a house you are renting.
Property purchases have never cooled my lifestyle and I have partied for 15 years as I am sure other PHers can vouch for. I drink like a fish, smoke a pack of Bensons a day, holiday all over the place and have driven a line of fun cars, if not expensive ones. Aside from the short term initial hardship of knuckling down to get a deposit and then those first few months especially when you need to buy furnishings, owning is little different to renting but you find it a lot less difficult to 'justify' buying silly cars once you know you have got the financial underpinnings in the right order. Hell, I didn't even have to start a thread before I bought any of the TVRs, Lotus or Pork.
Well, this is why I posed the question in the first place. Because I felt that my heart was ruling my head and my money could be better spent elsewhere. I can't really justify buying an expensive luxury when it would make more sense to work towards securing my financial future first and maybe then buying the cars that I desire. I'm the most indecisive human on the planet and so getting feedback from this forum has definitely helped me to see things more clearly. The wiser folk have pointed in the direction of first getting on the housing ladder (especially as prices have taken a large correction so more favourable conditions than 3 - 4 years ago). There is no reason to skint yourself in buying a property - buy a cheaper one if you dont want to be like your friends sat on their sofa. You may find, however, that its more satisfying sat on a sofa watching TV of a house you are buying than being out on the lash and heading back to a house you are renting.
Property purchases have never cooled my lifestyle and I have partied for 15 years as I am sure other PHers can vouch for. I drink like a fish, smoke a pack of Bensons a day, holiday all over the place and have driven a line of fun cars, if not expensive ones. Aside from the short term initial hardship of knuckling down to get a deposit and then those first few months especially when you need to buy furnishings, owning is little different to renting but you find it a lot less difficult to 'justify' buying silly cars once you know you have got the financial underpinnings in the right order. Hell, I didn't even have to start a thread before I bought any of the TVRs, Lotus or Pork.
Ikemi said:
Buy a well sorted Elise S1 for around £8K, keep a few thousand in reserve for any unexpected bills, and run it for 1-2 years When you come to sell it, you won't lose much on it! Then at least you can say you've done it!
If you do this, then all you've lost out regarding your desire for property is a couple of years, which you enjoyed driving the Elise. When you come to sell it, you won't lose much on it! Then at least you can say you've done it!If the promised depreciation is as low as they say, then buying the car doesn't prevent you from starting the pot for a mortage etc, it just ties some of it up in a car for a short amount of time.
+running costs, but that is connected to the amount you enjoy it anyway.
gingerdave said:
If you do this, then all you've lost out regarding your desire for property is a couple of years, which you enjoyed driving the Elise.
If the promised depreciation is as low as they say, then buying the car doesn't prevent you from starting the pot for a mortage etc, it just ties some of it up in a car for a short amount of time.
+running costs, but that is connected to the amount you enjoy it anyway.
The only problem with an Elise (a car I've pined after for many years) is that it's not hugely practical and could bite me in the aIf the promised depreciation is as low as they say, then buying the car doesn't prevent you from starting the pot for a mortage etc, it just ties some of it up in a car for a short amount of time.
+running costs, but that is connected to the amount you enjoy it anyway.
e during the winter. A Porsche or BMW, for example, would provide a much more appealing environment and driving experience in wet/icy conditions I reckon. That's the ONLY issue I have with owning an Elise as my main vehicle.Biccaroo said:
gingerdave said:
If you do this, then all you've lost out regarding your desire for property is a couple of years, which you enjoyed driving the Elise.
If the promised depreciation is as low as they say, then buying the car doesn't prevent you from starting the pot for a mortage etc, it just ties some of it up in a car for a short amount of time.
+running costs, but that is connected to the amount you enjoy it anyway.
The only problem with an Elise (a car I've pined after for many years) is that it's not hugely practical and could bite me in the aIf the promised depreciation is as low as they say, then buying the car doesn't prevent you from starting the pot for a mortage etc, it just ties some of it up in a car for a short amount of time.
+running costs, but that is connected to the amount you enjoy it anyway.
e during the winter. A Porsche or BMW, for example, would provide a much more appealing environment and driving experience in wet/icy conditions I reckon. That's the ONLY issue I have with owning an Elise as my main vehicle.The S1 Elise is known for oversteer at the limit, whereas the S2 Elise understeers. Perhaps have a look at a S2? You could get a RaceTech for around £10-11K and you're entering 111S territory with £12-13K. The S2 has a marginally bigger boot too ... and the passenger seat can always be used
Just to add, my girlfriend and I can fit one week's worth of shopping in the boot ... Say 5-6 full carrier bags worth. Space has never been an issue, but it depends on your requirements.
Edited by Ikemi on Saturday 14th July 15:29
Biccaroo said:
otherman said:
Then I don't understand your definition of 'justify'
No, you're right. I've answered "Yes" to both questions which is justification enough. However, I feel that maybe I should use my money in a more sensible manner, as suggested by some many in this thread. God damn society and it's sensibilities!Edited by Biccaroo on Saturday 14th July 14:08
otherman said:
My point exactly. What is this 'justification' of which we all speak. In value for money terms its not possible to justify anything beyond a small hatchback which gets you there at minimum cost. Anything beyond that is just a want. So the only question then becomes what do I have to do without to get this thing. If the answer is nothing, go right ahead.
I see your point and I like it. 
Just to add to borrow £8k ideally you should be paying no more than £250 p/m over three years (even more justification )
But in all honesty save up for 6-12 months (£2-3k) borrow £5-£6k over 2 years and the finance will be fairly short term and you are more likely to stay in positive equity.
) But in all honesty save up for 6-12 months (£2-3k) borrow £5-£6k over 2 years and the finance will be fairly short term and you are more likely to stay in positive equity.
My thoughts on this are simple. Work hard.
I lived with my parents till I was 25, this enabled me to enjoy owning a fair few fast cars between costing between 4 and 17 thousand pounds. At 25 i used the money from the last car along with savings to put a large deposit on a flat. Enjoyed the cars and have paid off a fair chunk of my morgage. Left driving a civic runaround and paying off the morgage asap. Ill be back in nice cars again in a few years time.
So many friends got to 25 with nothing to show for it and are left to rent for the rest of their lives.
I lived with my parents till I was 25, this enabled me to enjoy owning a fair few fast cars between costing between 4 and 17 thousand pounds. At 25 i used the money from the last car along with savings to put a large deposit on a flat. Enjoyed the cars and have paid off a fair chunk of my morgage. Left driving a civic runaround and paying off the morgage asap. Ill be back in nice cars again in a few years time.
So many friends got to 25 with nothing to show for it and are left to rent for the rest of their lives.
paulw123 said:
My thoughts on this are simple. Work hard.
I lived with my parents till I was 25, this enabled me to enjoy owning a fair few fast cars between costing between 4 and 17 thousand pounds. At 25 i used the money from the last car along with savings to put a large deposit on a flat. Enjoyed the cars and have paid off a fair chunk of my morgage. Left driving a civic runaround and paying off the morgage asap. Ill be back in nice cars again in a few years time.
So many friends got to 25 with nothing to show for it and are left to rent for the rest of their lives.
But (depending how long ago you were 18-25 years old) if you or your friends took the smart option of mortgaging properties as soon as you could afford them, you could be driving around in a Ferrari right now with the equity you gained. Or be living in a house way bigger than you can afford right now.I lived with my parents till I was 25, this enabled me to enjoy owning a fair few fast cars between costing between 4 and 17 thousand pounds. At 25 i used the money from the last car along with savings to put a large deposit on a flat. Enjoyed the cars and have paid off a fair chunk of my morgage. Left driving a civic runaround and paying off the morgage asap. Ill be back in nice cars again in a few years time.
So many friends got to 25 with nothing to show for it and are left to rent for the rest of their lives.
Too many people who were born in the right (or wrong, I suppose) time swapped driving a bunch of crappy cars for 5 years for a lifetime of living in a s
t house.paulw123 said:
My thoughts on this are simple. Work hard.
I lived with my parents till I was 25, this enabled me to enjoy owning a fair few fast cars between costing between 4 and 17 thousand pounds. At 25 i used the money from the last car along with savings to put a large deposit on a flat. Enjoyed the cars and have paid off a fair chunk of my morgage. Left driving a civic runaround and paying off the morgage asap. Ill be back in nice cars again in a few years time.
So many friends got to 25 with nothing to show for it and are left to rent for the rest of their lives.
Believe me, I've worked very hard all my life. I am now lucky enough to be in a job where I get paid what I believe to be a good salary. The reason for this post is to establish whether, at a point in my life where I have no ties (other than the job), I should take this opportunity to splash out and "live a little" or play it safe. Bear in mind that I may never have this opportunity again because I do eventually intend to buy a house, have children, etc, and we all know how much time, money and commitment that requires. At that time I think owning a Porsche will be the last thing on my mind!I lived with my parents till I was 25, this enabled me to enjoy owning a fair few fast cars between costing between 4 and 17 thousand pounds. At 25 i used the money from the last car along with savings to put a large deposit on a flat. Enjoyed the cars and have paid off a fair chunk of my morgage. Left driving a civic runaround and paying off the morgage asap. Ill be back in nice cars again in a few years time.
So many friends got to 25 with nothing to show for it and are left to rent for the rest of their lives.
You sound very cautious which is good usually when it comes to money.
But I also think you are so cautious that if you don't do it now when you are carefree, then, in a few years time - and every year after - you sound like you will find a ton of reasons to "justify" not buying one.
It's now or never I think.
Make sure you have one by this time next week.
But I also think you are so cautious that if you don't do it now when you are carefree, then, in a few years time - and every year after - you sound like you will find a ton of reasons to "justify" not buying one.
It's now or never I think.
Make sure you have one by this time next week.
limpsfield said:
You sound very cautious which is good usually when it comes to money.
But I also think you are so cautious that if you don't do it now when you are carefree, then, in a few years time - and every year after - you sound like you will find a ton of reasons to "justify" not buying one.
It's now or never I think.
Make sure you have one by this time next week.
Yes, I am extremely cautious with my money (except when I'm drunk!) and like to consider every detail of an expensive purchase. I sometimes wish I was a bit more spontaneous with my cash, but there you go.But I also think you are so cautious that if you don't do it now when you are carefree, then, in a few years time - and every year after - you sound like you will find a ton of reasons to "justify" not buying one.
It's now or never I think.
Make sure you have one by this time next week.
Haha, "Make sure you have one by this time next week." I like it. I'll keep you updated!
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