Justifying an "expensive" car purchase...
Discussion
kambites said:
Marginally, yes. If you're not sure about whether to spend the money though, I'd stick with what you have. Personally, I think the MR2 is a better drivers' car than the 350Z, Boxster or 3-series and it's not a million miles behind the Elise.
Really? Wow, I'm surprised. Is there anything similar but slightly more practical that you could suggest?I've owned 2 of the cars you list, my ex had an E46 M3 so spent a lot of time driving one of those, and I've test driven a 350Z hardtop and roadster. I've also driven Mk2 and 3 MR2s.
I would save your money. You can have as much fun in a mk 3 MR2 as just about anything else on the road, at speeds less likely to get you nicked.
If you had the chunk of cash sat there perhaps I might hold a different view, but a loan for 4 years (when all sorts of things might change) is a lot of committment for not that much of an upgrade.
Oh, and running costs on both the Porker and the M3 are significant as has been mentioned. Can easily do £3k - £4k in a bad year.
I would save your money. You can have as much fun in a mk 3 MR2 as just about anything else on the road, at speeds less likely to get you nicked.
If you had the chunk of cash sat there perhaps I might hold a different view, but a loan for 4 years (when all sorts of things might change) is a lot of committment for not that much of an upgrade.
Oh, and running costs on both the Porker and the M3 are significant as has been mentioned. Can easily do £3k - £4k in a bad year.
Biccaroo said:
kambites said:
Marginally, yes. If you're not sure about whether to spend the money though, I'd stick with what you have. Personally, I think the MR2 is a better drivers' car than the 350Z, Boxster or 3-series and it's not a million miles behind the Elise.
Really? Wow, I'm surprised. Is there anything similar but slightly more practical that you could suggest?You can get a perfectly good 986 for well under 10k and a mk2 MX5 for a couple of grand.
12K? Get something interesting that won't depreciate, best of both worlds.
Such as
http://www.pistonheads.com/sales/4040313.htm
or
http://www.pistonheads.com/sales/4017450.htm
or buy something properly hilarious and hope for the best:
http://www.pistonheads.com/sales/3559301.htm
or
http://www.pistonheads.com/sales/3996727.htm
What could possibly go wrong?
Houses are gay and boring anyway, you've got a whole lifetime ahead of you to worry about that.
Such as
http://www.pistonheads.com/sales/4040313.htm
or
http://www.pistonheads.com/sales/4017450.htm
or buy something properly hilarious and hope for the best:
http://www.pistonheads.com/sales/3559301.htm
or
http://www.pistonheads.com/sales/3996727.htm
What could possibly go wrong?
Houses are gay and boring anyway, you've got a whole lifetime ahead of you to worry about that.
Shnozz said:
I've owned 2 of the cars you list, my ex had an E46 M3 so spent a lot of time driving one of those, and I've test driven a 350Z hardtop and roadster. I've also driven Mk2 and 3 MR2s.
I would save your money. You can have as much fun in a mk 3 MR2 as just about anything else on the road, at speeds less likely to get you nicked.
If you had the chunk of cash sat there perhaps I might hold a different view, but a loan for 4 years (when all sorts of things might change) is a lot of committment for not that much of an upgrade.
Oh, and running costs on both the Porker and the M3 are significant as has been mentioned. Can easily do £3k - £4k in a bad year.
I see your point. Regarding the loan - I should perhaps have mentioned that I don't intend to own this car for more than 2 years - just long enough to enjoy whilst I can without the worry of a mortgage, etc. The idea is that I get the loan which I suggest I'll pay off over 4 years. This ensures the monthly payments are manageable. However, as I only intend to own the car for a couple of years, I'd eventually sell it and use this money to pay off a chunk of the loan, and then my own cash to cover any early redemption fees and interest. So, the commitment would never be for the entire 4 years - at least that's the plan! Is my thinking flawed in any way? Obviously I could write the car off, but this is an extreme possibility *touch wood*.I would save your money. You can have as much fun in a mk 3 MR2 as just about anything else on the road, at speeds less likely to get you nicked.
If you had the chunk of cash sat there perhaps I might hold a different view, but a loan for 4 years (when all sorts of things might change) is a lot of committment for not that much of an upgrade.
Oh, and running costs on both the Porker and the M3 are significant as has been mentioned. Can easily do £3k - £4k in a bad year.
Fastdruid said:
Buy an RX-8 for 4k and keep the rest as a petrol fund. 
Seriously though, you're only young once, get something that's fun to drive before you get tied down with mortgage, kids etc.
Don't disagree with either point. Enjoy your youth, but you dont need to spend £12k you dont have to do so. I sold up my car for about £12k when I was 20 to use as a deposit on a flat. Bought the flat about 21 and then at 22 I bought myself a TVR S for about £6k. Not a lot of money, but a lot of fun. Safely on the property ladder, I upgraded both my flat/houses and cars along the way but even at 33 now I don't spend big bucks on cars, whereas there are times I have pushed my borrowing a little uncomfortably in property. I'm happy to take that risk on property, whereas borrowing money for cars has never appealed. Chances are you could spend less and have just as much fun. For most cars there is a budget version (or just older..) that is as grin inducing 95% of the time of the expensive option. Seriously though, you're only young once, get something that's fun to drive before you get tied down with mortgage, kids etc.
Biccaroo said:
New car sales are growing all the time. A basic Ford Focus can cost more than £12k but nobody seems to question this purchase. Just look at how many new cars you see on the road every day. I refuse to believe the majority have bought this outright! So, if these people (many with families and mortgages to worry about too) can justify such elaborate expenses, why can't I?!?
People buy them because they want the comfort of a 3yr warranty, pretty cheap servicing costs (most cars need little more than an oil change every year) and, unless they do a lot of miles, probably no other maintenance costs.Funnily enough, I feel the exact opposite of you. I don't mind paying a lot of money for a car but the thought of big bills terrifies me. It's a fear on the unknown.
You say you can afford to run the cars on your list but you can't afford to buy them without a substantial (compared to the price) loan. As someone else suggested, these cars can land you with big bills - what are you going to do then? One thing you should definitely do, if you're not heavily into DIY, is make sure you've got a trusty indie lined up to do service & repair. Finding the right indie could sway your choice of car.
Shnozz said:
Don't disagree with either point. Enjoy your youth, but you dont need to spend £12k you dont have to do so. I sold up my car for about £12k when I was 20 to use as a deposit on a flat. Bought the flat about 21 and then at 22 I bought myself a TVR S for about £6k. Not a lot of money, but a lot of fun. Safely on the property ladder, I upgraded both my flat/houses and cars along the way but even at 33 now I don't spend big bucks on cars, whereas there are times I have pushed my borrowing a little uncomfortably in property. I'm happy to take that risk on property, whereas borrowing money for cars has never appealed. Chances are you could spend less and have just as much fun. For most cars there is a budget version (or just older..) that is as grin inducing 95% of the time of the expensive option.
You make some good points. How do so many people justify buying new cars though? They depreciate as soon as they roll off the forecourt! What I'm trying to get my head around is the purchase of, for example, a basic Ford Fiesta hatchback. Now, this'll cost about £9,795 new. So, you buy the car, drive it home and already it's lost £500-£1000. This is commonplace. Lots of people spend this sort of money on cars that are really not that special at all. So, why is buying a 6-year-old Porsche Boxster more of a risk or less appealing? It seems that it's one rule for sensible cars such as the Fiesta, another for exotica like a Porsche?Biccaroo said:
You make some good points. How do so many people justify buying new cars though? They depreciate as soon as they roll off the forecourt! What I'm trying to get my head around is the purchase of, for example, a basic Ford Fiesta hatchback. Now, this'll cost about £9,795 new. So, you buy the car, drive it home and already it's lost £500-£1000. This is commonplace. Lots of people spend this sort of money on cars that are really not that special at all. So, why is buying a 6-year-old Porsche Boxster more of a risk or less appealing? It seems that it's one rule for sensible cars such as the Fiesta, another for exotica like a Porsche?
I'm not sure of the relevance to be honest.Deva Link said:
People buy them because they want the comfort of a 3yr warranty, pretty cheap servicing costs (most cars need little more than an oil change every year) and, unless they do a lot of miles, probably no other maintenance costs.
Funnily enough, I feel the exact opposite of you. I don't mind paying a lot of money for a car but the thought of big bills terrifies me. It's a fear on the unknown.
You say you can afford to run the cars on your list but you can't afford to buy them without a substantial (compared to the price) loan. As someone else suggested, these cars can land you with big bills - what are you going to do then? One thing you should definitely do, if you're not heavily into DIY, is make sure you've got a trusty indie lined up to do service & repair. Finding the right indie could sway your choice of car.
I suppose that does sound strange, so let me just provide an example. Say I earn £2000/month (I don't, but just as an example!). I spend £500 rent/bills, £150 petrol, £200 food/essentials, £200 miscellaneous. This leaves me with £950. That £950 can then be spent on whatever. I therefore commit to a loan which costs me, say, £250/month over 4 years (I only intend to own the car for a couple of years, so would pay this off early) which still leaves me with £750 to cover anything else, including repairs, etc. Does that make sense or am I talking out of my aFunnily enough, I feel the exact opposite of you. I don't mind paying a lot of money for a car but the thought of big bills terrifies me. It's a fear on the unknown.
You say you can afford to run the cars on your list but you can't afford to buy them without a substantial (compared to the price) loan. As someone else suggested, these cars can land you with big bills - what are you going to do then? One thing you should definitely do, if you're not heavily into DIY, is make sure you've got a trusty indie lined up to do service & repair. Finding the right indie could sway your choice of car.
e? 
Biccaroo said:
Hi, I am looking to spend around £8,000-£12,000 on my next vehicle. This may not sound like a lot of money, but it certainly is a sizeable chunk for me, especially bearing in mind that my current car cost £2,500! At the moment I drive a 2001 Toyota MR2 Roadster. It's a lovely car but I need something bigger and better now. Something that's more practical, responsive, faster and all-round a step-up. I have therefore thoroughly considered the market and the following cars are on my list:
Porsche Boxster (986 or 987)
BMW E46 M3
Nissan 350Z
Lotus Elise S2
The problem is justifying spending up to £12k on a materialistic luxury.
You don't need to.Porsche Boxster (986 or 987)
BMW E46 M3
Nissan 350Z
Lotus Elise S2
The problem is justifying spending up to £12k on a materialistic luxury.
You only need to justify the difference between what you pay for it (+running costs) and what you eventually sell it for.
None of the examples you gave are particularly expensive to run, nor will they depreciate that much.
Go for it.
Shnozz said:
I'm not sure of the relevance to be honest.
What I'm trying to say (but not very well!) is that I'm sitting here worrying about whether to buy a car for up to £12k when hundreds of people, with far more financial commitments and therefore less disposable income, do this everyday without blinking an eye!Biccaroo said:
Shnozz said:
I'm not sure of the relevance to be honest.
What I'm trying to say (but not very well!) is that I'm sitting here worrying about whether to buy a car for up to £12k when hundreds of people, with far more financial commitments and therefore less disposable income, do this everyday without blinking an eye!It's all about keeping up with the Joneses or spending 12k to save 10mpg.
Biccaroo said:
What I'm trying to say (but not very well!) is that I'm sitting here worrying about whether to buy a car for up to £12k when hundreds of people, with far more financial commitments and therefore less disposable income, do this everyday without blinking an eye!
The majority of new cars on the road are fleet cars - not private buyers. Buy the Elise, depreciation is better, consumables cheaper, and it's easy to DIY.
Better yet, by an S1 Elise, as it's more of a laugh than the S2, shouldn't depreciate at all, and is still more practical than your MR2.
I justified mine because I had a s
t credit rating at the time, so didn't want to apply for a mortgage until I was 100 per cent sure I'd get accepted. Glad I had the Elise while I waited.
If you do buy a car, just make sure you don't buy something that depreciates faster than you're paying off the loan - pretty s
tty position to be in. ciaranthemurph said:
Saw this and thought that perhaps the worst that could happen would be... a skip... landing on it.
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