How much do u need to earn to afford and run a £100k+ car
Discussion
Hi guys,
I would LOVE one day to drive a stunning car like some of the ones I have seen on here. I would just like to know what sort of job you guys have and how much you realistically need to be earning to afford and run a car worth atleast a 100 grand??
I am 25 and my partner 24 and between us we are on about £50k which isn't too bad but i know thats nowhere near what we need to get the car of our dreams.
Thanks to anyone who replies, all info will be appreciated
Maybe one day i will suceed in gettin one !
I would LOVE one day to drive a stunning car like some of the ones I have seen on here. I would just like to know what sort of job you guys have and how much you realistically need to be earning to afford and run a car worth atleast a 100 grand??
I am 25 and my partner 24 and between us we are on about £50k which isn't too bad but i know thats nowhere near what we need to get the car of our dreams.
Thanks to anyone who replies, all info will be appreciated
Maybe one day i will suceed in gettin one !
With respect Karl - its not so much about how much you earn or what you do that entitles you to own a hypercar. I always had a very healthy passion for cars and started with a Vauxhall Frontera!!
As the business progressed I justified buying such cars as a Porsche 993 Carrera 2 ( one of th best handling AND sounding cars ever built!) as I worked very hard and long hours. If I left work after a shitty day I would look at the car and I could put into perpective why I was in business - the 'perks vs pressure' balance restored.
I have had fast cars from Porsches X 2, Range Rover ( Uh!), Ferrari 360, and now my ultimate car( The Murci) that I privately set my goal of owning before I was 40. I'm 38 @ mo!
My wish to earn profits and my wish to own an exotic car never seem to overlap. The two passions sit side by side and one obviously helps fund the other!!!
Regards
Neil
As the business progressed I justified buying such cars as a Porsche 993 Carrera 2 ( one of th best handling AND sounding cars ever built!) as I worked very hard and long hours. If I left work after a shitty day I would look at the car and I could put into perpective why I was in business - the 'perks vs pressure' balance restored.
I have had fast cars from Porsches X 2, Range Rover ( Uh!), Ferrari 360, and now my ultimate car( The Murci) that I privately set my goal of owning before I was 40. I'm 38 @ mo!
My wish to earn profits and my wish to own an exotic car never seem to overlap. The two passions sit side by side and one obviously helps fund the other!!!
Regards
Neil
I don't have a £100k car... yet... but my view is
As well as those earning £100k/£200k or much more a year with huge mortgage free houses etc. who may be able to more comfortably afford to buy and run one, there are plenty of people with modest houses and lifestyle choices whose passion is cars and as such dont take expensive holidays, buy expensive things, but have something that brings a huge grin to their face each time they open the garage.
There are those who buy outright and others with huge amounts on finance.
Also there are those who do not have/want children and DINKYs who therefore have much more disposible income.
Sure i read an article years ago saying that to bring up a child costs on average £100-200k up to age 18. (Cant remember exactly!) - Thats £5-10k a year.
Basically, as already said, depends on whats most important to you. Amazing how much you can save, even on a modest income to achieve what you want. Would you rather spend £100 on a night out or £100 on petrol to drive your nice car? Smoke 20 a day or have £2000 to spend on a service etc etc etc.
(Sure there are many more people in well paid jobs running one though!)
As well as those earning £100k/£200k or much more a year with huge mortgage free houses etc. who may be able to more comfortably afford to buy and run one, there are plenty of people with modest houses and lifestyle choices whose passion is cars and as such dont take expensive holidays, buy expensive things, but have something that brings a huge grin to their face each time they open the garage.
There are those who buy outright and others with huge amounts on finance.
Also there are those who do not have/want children and DINKYs who therefore have much more disposible income.
Sure i read an article years ago saying that to bring up a child costs on average £100-200k up to age 18. (Cant remember exactly!) - Thats £5-10k a year.
Basically, as already said, depends on whats most important to you. Amazing how much you can save, even on a modest income to achieve what you want. Would you rather spend £100 on a night out or £100 on petrol to drive your nice car? Smoke 20 a day or have £2000 to spend on a service etc etc etc.
(Sure there are many more people in well paid jobs running one though!)
Hi guys, thanks for the comments.
Well we currently own our first house purchased about 16 months ago. Spent hundreds of hours rennovating it hopefully making a nice proffit which we will use to get a better place. Current mortgage is about 700 a month
Neither of us smoke and hardly ever drink. Maybe 1 night out a month with mates.
Kids are probably 5-6 years away (by the time i am 30)
I am prepared to work damn hard and make sacrifices to get my dream car but it seems so far away. Especially as I have 5 years before all the money goes on kids. Would be best to try andhave the money saved and get one just before.
I guess running your own business with decent returns is the best way to go.
If i got a 100k car i would like to have atlest 80k saved so that i am not paying out loads for a car loan each month. Instead i could just use all my money for petrol
Thanks again
Well we currently own our first house purchased about 16 months ago. Spent hundreds of hours rennovating it hopefully making a nice proffit which we will use to get a better place. Current mortgage is about 700 a month
Neither of us smoke and hardly ever drink. Maybe 1 night out a month with mates.
Kids are probably 5-6 years away (by the time i am 30)
I am prepared to work damn hard and make sacrifices to get my dream car but it seems so far away. Especially as I have 5 years before all the money goes on kids. Would be best to try andhave the money saved and get one just before.
I guess running your own business with decent returns is the best way to go.
If i got a 100k car i would like to have atlest 80k saved so that i am not paying out loads for a car loan each month. Instead i could just use all my money for petrol
Thanks again
Edited by karl1982 on Tuesday 11th September 09:54
They are just toys, iiwy I would spend my money on houses and investments first
I know it upset a few people last time this was discussed but I thought that the suggested figure of 15% asset allocation into toys (cars/boats etc) sounded ok
(obviously this % figure would rise significantly after a point)
Just remember that if you have too much of your money tied up in a car you wont enjoy driving it – you will just be scared of putting on miles or damaging it
I know it upset a few people last time this was discussed but I thought that the suggested figure of 15% asset allocation into toys (cars/boats etc) sounded ok
(obviously this % figure would rise significantly after a point)
Just remember that if you have too much of your money tied up in a car you wont enjoy driving it – you will just be scared of putting on miles or damaging it
Edited by traxx on Tuesday 11th September 11:03
traxx said:
They are just toys, iiwy I would spend my money on houses and investments first
I know it upset a few people last time this was discussed but I thought that the suggested figure of 15% asset allocation into toys (cars/boats etc) sounded ok
(obviously this % figure would rise significantly after a point)
Just remember that if you have too much of your money tied up in a car you wont enjoy driving it – you will just be scared of putting on miles or damaging it
I'd go along with all of that - although I've always reckoned 10% max.I know it upset a few people last time this was discussed but I thought that the suggested figure of 15% asset allocation into toys (cars/boats etc) sounded ok
(obviously this % figure would rise significantly after a point)
Just remember that if you have too much of your money tied up in a car you wont enjoy driving it – you will just be scared of putting on miles or damaging it
Edited by traxx on Tuesday 11th September 11:03
Play the depreciation game and you'd be suprised what you can buy.
e.g. if your dream £100k car will lose £20k in the first year of ownership then don't buy new if that's going to affect your capability to run it. Balance the depreciation for the year with servicing and go for something that will sell at a reasonable price and I think the cost of ownership will be alot less than a new £100k motor.
Taken to the extreme you could start with a 'classic' that's within reach and may have hit the bottom of it's depreciation curve, then you could run it for a few years and still retain much of it's value, if not all.
e.g. if your dream £100k car will lose £20k in the first year of ownership then don't buy new if that's going to affect your capability to run it. Balance the depreciation for the year with servicing and go for something that will sell at a reasonable price and I think the cost of ownership will be alot less than a new £100k motor.
Taken to the extreme you could start with a 'classic' that's within reach and may have hit the bottom of it's depreciation curve, then you could run it for a few years and still retain much of it's value, if not all.
My mate has an f430 and he laughed at me when i told him how much serviceing was for my cerbera!As many have already said it really depends upon your attitude to the finer things in life, what constitutes a supercar etc...
I can't afford one and TBH probably never will - certainly not new anyway. But early Diablos are 50kish now and are certainly up there in the upper leagues and one of those will probably be in reach for me at some point. However, remember that a 50k diablo still has 150k supercar running costs.
I drive a 15k TVR but still pay out almost 3k a year in running costs - some of the supercar owners probably pay less than this to run their cars.
A chap in my town is a school teacher who saved and runs a late Countach 5000, stunning car and not what you'd expect someone on a teachers salary to be running.
A fair few of the PHers who own supercars own them outright and earn far more than they cost - yet again many will have them financed and wouldn't otherwise be able to afford one.
I can't afford one and TBH probably never will - certainly not new anyway. But early Diablos are 50kish now and are certainly up there in the upper leagues and one of those will probably be in reach for me at some point. However, remember that a 50k diablo still has 150k supercar running costs.
I drive a 15k TVR but still pay out almost 3k a year in running costs - some of the supercar owners probably pay less than this to run their cars.
A chap in my town is a school teacher who saved and runs a late Countach 5000, stunning car and not what you'd expect someone on a teachers salary to be running.
A fair few of the PHers who own supercars own them outright and earn far more than they cost - yet again many will have them financed and wouldn't otherwise be able to afford one.
Finance Examples -
http://www.oraclefinance.co.uk/examples.html
Basically you will need a spare 800-1200 a month to go towards a car at £100k+ if you go down the finance route, add another 3-6k a year for maintenence,tyres,insurance etc.
I found that i could afford a more expensive car but i was paranoid about the running and servicing costs of the Gallardos and F360's so i settled with a £40k 996C4S - Nice car but cant be compared to a Gallardo/F360 etc.
http://www.oraclefinance.co.uk/examples.html
Basically you will need a spare 800-1200 a month to go towards a car at £100k+ if you go down the finance route, add another 3-6k a year for maintenence,tyres,insurance etc.
I found that i could afford a more expensive car but i was paranoid about the running and servicing costs of the Gallardos and F360's so i settled with a £40k 996C4S - Nice car but cant be compared to a Gallardo/F360 etc.
irs not the monthly payments you need to worry about.
what happens if you are taken ill, or lose your job or something else. if you have a situation where you can no longer keep up the payments then you could be faced with a distress purchase where hte car gets sold for 20-30 percent or more less than what you owe on the tick, in those cases you will lose your car and get a big cash demand off the finance company. i know of a guy put into bankruptcy this way.
Too many people these days just chase those low monthly payments and dont think about the consequences.
what happens if you are taken ill, or lose your job or something else. if you have a situation where you can no longer keep up the payments then you could be faced with a distress purchase where hte car gets sold for 20-30 percent or more less than what you owe on the tick, in those cases you will lose your car and get a big cash demand off the finance company. i know of a guy put into bankruptcy this way.
Too many people these days just chase those low monthly payments and dont think about the consequences.
and my advice to the poster is take that traxx fellows advice. its just a toy, you need to pay off your mortgage and have money int he bank and at most spend about 10-20 percent of your money on such things. supercars really are meant for rich people, thats why they cost so much money, your best bet is to simply save up a few thousand playmoney every year and rent one a few weekends a month and enjoy the experience without the responsibility.
Yes, depreciation is a very big factor with these types of cars.
I think I would go for one about 3 years old and hopefully the sharp depreciation curve will ease off and not be as bad.
To me a second hand murci for 100k (seen on here) is a bargain now!
The car i own at the moment is an mr2 turbo t-bar. Nice tidy example. I have done a bit of work to it. Standard 220bhp (purchased from an owners club member).
I payed £3400 for it 18 months ago and its worth just about the same now. Its 15 years old tho !!
Leagues away from nearly all decent sports cars tho
I think I would go for one about 3 years old and hopefully the sharp depreciation curve will ease off and not be as bad.
To me a second hand murci for 100k (seen on here) is a bargain now!
The car i own at the moment is an mr2 turbo t-bar. Nice tidy example. I have done a bit of work to it. Standard 220bhp (purchased from an owners club member).
I payed £3400 for it 18 months ago and its worth just about the same now. Its 15 years old tho !!
Leagues away from nearly all decent sports cars tho
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