Justifying an "expensive" car purchase...
Discussion
HeatonNorris said:
Some would say you don't really have the money until you've bought (mortgaged) a house. If you're living with parents / in a shared house or even renting, then the house has to be no. 1 priority.
Cars get cheaper... houses generally go up in price.
I don't want to buy a house until I feel completely settled (which I haven't for several years). I've just relocated to Bristol and hope that this is where I'll stay for a good few years. I therefore imagine I'll consider buying a house in 3-4 years. Does that mean I should start saving for a mortgage now? Or do I take this opportunity to buy a heralded sports car? I could always consider the car as a saving pot?! Cars get cheaper... houses generally go up in price.
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.
HeatonNorris said:
The only people committed to years of poverty are those who blow their money on frivolous toys instead of getting their life financially sorted first...
What's better... a few years in a flash car now, and a mortgage into your 50s, or a house bought and paid for by the time you're 40 and a further 30-40 years of being able to spend without worry?
Hmm, I don't know anybody who's paid their mortgage off by the age of 40. In fact, most people I know are still paying off their mortgages well into their 50's. That's a substantial amount of their lives. And these people have never owned flash cars either...What's better... a few years in a flash car now, and a mortgage into your 50s, or a house bought and paid for by the time you're 40 and a further 30-40 years of being able to spend without worry?
Silver said:
Yes, but buying a house isn't the be all and end all. No-one HAS to buy property. If it doesn't suit their lifestyle or working patterns then what's the issue?
This is what I've considered. Why do we HAVE to buy a house at all? The government takes everything from you when you die above the average value of a house anyway! But seriously, surely there are different ways to live your life, or are we all programmed to do everything the exact same way? I've got plenty of friends who have taken the tried-and-tested route and I never see them any more because they can no longer afford to enjoy their lives. They just sit at home watching crap on TV or moaning about their money worries. And this all stems from having a bloomin' mortgage! HeatonNorris said:
No, but I bet they've blown a substantial proportion of the value of their house on the depreciation on a succession of new or nearly new family hatchbacks or similar...
If you are fairly frugal and don't take out finance on depreciating vehicles, then it's quite possible to pay off your first or second house by the time you're 40.
(Think about it - £250 / month, for, say, 15 years... that's £45k with very likely nothing to show for it other than a 5 year old mundane car... that's 1/3 of the value of my (paid off, at 35 years old, a few years back) house).
You're right and I agree with you. I just hate that it has to be like this! As I said in the previous post, for many people a mortgage is the ball-and-chain of their life and prevents them from living life to the full. I don't want this but it would seem we have no choice. It's a subject that I could discuss for days so I'll stop now. At the end of the day, I just need to decide whether to buy a hedonistic vehicle or keep it sensible.If you are fairly frugal and don't take out finance on depreciating vehicles, then it's quite possible to pay off your first or second house by the time you're 40.
(Think about it - £250 / month, for, say, 15 years... that's £45k with very likely nothing to show for it other than a 5 year old mundane car... that's 1/3 of the value of my (paid off, at 35 years old, a few years back) house).
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.
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.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. 
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.
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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