Financing a cerbie
Discussion
Have been weighing up buying a Cerbie as a third car for some time now, but with wife, kid, house etc.. there is not much financial headroom to go ahead.
The only way I can get to the promised land of Cerbera ownership is to extend my mortgage by £20k or so - problem is my wife ain't too keen on the idea of funding a car over 20 years or so.
Someone please tell me this is the right thing to do, as I can't wait for 5 years or so to save up the cash required.
BTW - I'm leaning toward a 4.5 98/99 model, private buy, partly because of the (apparent) extra power, and partly because it seems like I'd avoid the 4.2 clutch problem that has been mentioned on this forum.
The only way I can get to the promised land of Cerbera ownership is to extend my mortgage by £20k or so - problem is my wife ain't too keen on the idea of funding a car over 20 years or so.
Someone please tell me this is the right thing to do, as I can't wait for 5 years or so to save up the cash required.
BTW - I'm leaning toward a 4.5 98/99 model, private buy, partly because of the (apparent) extra power, and partly because it seems like I'd avoid the 4.2 clutch problem that has been mentioned on this forum.
julesy said:
The only way I can get to the promised land of Cerbera ownership is to extend my mortgage by £20k or so - problem is my wife ain't too keen on the idea of funding a car over 20 years or so.
There are a few different options, the cheapest by far is to extend your mortgage. To finance my first Tuscan, I extended my mortgage on an Interest Only basis. Then when I sold the car, I repaid the extension on the mortgage and the difference in original loan and the sale prise of the Tusc. (does that make sense?)
Don't forget the finance deals out there, PCP, Balloon, Lease. I would go to a dealer and speak to the Finance Manager. Remember to haggle over the interest rate, as some commission to them is better than nothing.
I appreciate that you mentioned that you wanted to buy privately, so just use them for the advice. A few financi houses now are offering the same deals to the private punter.
Hope this helps.
Tuan
julesy said:
BTW - I'm leaning toward a 4.5 98/99 model, private buy, partly because of the (apparent) extra power, and partly because it seems like I'd avoid the 4.2 clutch problem that has been mentioned on this forum.
Go for it - just make sure you go into this with the knowledge of what you'll be spending on running the bugger (see recent 3K per annum thread - www.pistonheads.com/gassing/topic.asp?t=53315&f=6&h=0). I wouldnt blow all your money on the purchase if your running on a budget, keep some in reserve for those inevitable bills.
I wouldnt rule out a 4.2 either - the clutch only seems an issue on the early cars ('96/'97) as the design changed - but a number of these cars will have upgraded by now anyway. Early 1998 onwards is a good benchmark for an 'upgraded' 4.2 - but as with all things TVR its never that simple. Best way to find out is to get a full specialist review before you buy. I originally wanted only a 4.5, but after driving all 3 models it came down to the particular car - and I ended up with a late '98 4.2. Very very happy with it, and it meant I also had a good deal of cash in reserve from the premium I would have paid if i'd gone for a 4.5.
Good luck.
Tommomic
Am I the only one that buys things the old fashioned way 
I save up my money, when I have enough I buy the item I desire. If I can't save that amount of money it means I can't afford it. The only exception to this rule has been the mortgage on the house but it would have taken me a long time to save up my 50p's so I see it as a necessary evil.
I save up my money, when I have enough I buy the item I desire. If I can't save that amount of money it means I can't afford it. The only exception to this rule has been the mortgage on the house but it would have taken me a long time to save up my 50p's so I see it as a necessary evil.
[quote=Byff]Am I the only one that buys things the old fashioned way
No. The only way I'll get a Tiv is after I saved enough pennies to buy it outright. In fact, my excuse for getting one instead of a more 'sensible' day-to-day car is that where I can afford one hundred quid for maintenance each month (which should be ample for a Griff/Chim over here in The Netherlands where labour rates are about half of what a UK main dealer charges) provided I have the cash to buy the car, I could not hope to afford 500 quid/month on depreciation - and that's what I'd face when buying a newish executive sled for roughly the same amount. It will be a matter of saving my pennies, then buy a car and stick to it for the next decade or so (after which it will undoubtedly be relegated to 'project' status - insert evil grin...).
No. The only way I'll get a Tiv is after I saved enough pennies to buy it outright. In fact, my excuse for getting one instead of a more 'sensible' day-to-day car is that where I can afford one hundred quid for maintenance each month (which should be ample for a Griff/Chim over here in The Netherlands where labour rates are about half of what a UK main dealer charges) provided I have the cash to buy the car, I could not hope to afford 500 quid/month on depreciation - and that's what I'd face when buying a newish executive sled for roughly the same amount. It will be a matter of saving my pennies, then buy a car and stick to it for the next decade or so (after which it will undoubtedly be relegated to 'project' status - insert evil grin...).
Don't underestimate the depreciation. When I bought mine some years back it was 36K as a 1-2 year old car. In 3 years it was worth under £20K with FSH etc. Depreciation will normally be a far bigger cost than servicing unless its an older car. Seriously, don't overestimate what you think the car will be worth in a few years time. Obviously older cars will depreciate less in cash terms, but I don't see the values really bottoming out yet - so if you plan to hold on to the car for a few years and are maybe just paying interest and a little bit, consider the possibility of ending up with £35K outstanding and a car worth £15K!
I certainly take loans out to buy cars - not rich enough to pay cash - and not patient enough to save up, but I'd always work on the basis that the loan would be paid off at some reasonable point in time when the car was still worth something.
Just my tuppenceworth.
WB
I certainly take loans out to buy cars - not rich enough to pay cash - and not patient enough to save up, but I'd always work on the basis that the loan would be paid off at some reasonable point in time when the car was still worth something.
Just my tuppenceworth.
WB
Depreciation shouldn't be too much of a factor if you're planning to spend up to 20k. You will need to shop around to get the right car, but I paid 20k, 2.5 yrs ago for a 4.2 R plate, so I don't reckon I've lost too much in that time. ( I have had to replace clutch, starter motor & brake discs - usual stuff, but used as every day car so been totally reliable !).
Paid cash ( good bonus that year ), but certainly wouldn't wait to save up now I've had one ! I've found no way of reducing the number of shopping vouchers needed to appease the other half though - let me know if you crack that one !
Paid cash ( good bonus that year ), but certainly wouldn't wait to save up now I've had one ! I've found no way of reducing the number of shopping vouchers needed to appease the other half though - let me know if you crack that one !
Pete,
Thanks for the moral support - good thing about the wife, which is helping matters, is that she thinks the Cerbie is the business - I'm sure it won't reduce her requirement for the pound notes though.
BTW - my other half is pretty short (actually pretty and short, but that's a different matter) at 5'1" - does anyone know if this presents a problem in driving a Cerb ??
Ta
Julesy
Thanks for the moral support - good thing about the wife, which is helping matters, is that she thinks the Cerbie is the business - I'm sure it won't reduce her requirement for the pound notes though.
BTW - my other half is pretty short (actually pretty and short, but that's a different matter) at 5'1" - does anyone know if this presents a problem in driving a Cerb ??
Ta
Julesy
THe cheapest way IS to extend your mortgage as that is by far the lowest interest rate for a loan...
BUT don't be a No****n finance saddo and pay it back over the length of a mortgage, but treat it like a straightforward car loan as everyone else - lots of financially dim people - (only dim if you allready have a mortgage - why doesn't yours allow overpayments) - take out to buy cars and then they think it is too risky extending your mortgage .
i.e. you pay back the 'loan' from your mortgage over 3 - 5 years to compensate.
Saving you hundred/thousands....
if not you are NOT releasing capital, but selling part of something you allready own, AND getting into more DEBT... Sad to say, but the average or even not so average member of british society is finacially dim.
Best option save up, by the time you get your 20k you can usually guarantee, you will change you mind for something better/completly different, or get the same thing for cheaper. !! ;-)
B
>> Edited by bjwoods on Friday 5th September 18:30
>> Edited by bjwoods on Friday 5th September 18:33
BUT don't be a No****n finance saddo and pay it back over the length of a mortgage, but treat it like a straightforward car loan as everyone else - lots of financially dim people - (only dim if you allready have a mortgage - why doesn't yours allow overpayments) - take out to buy cars and then they think it is too risky extending your mortgage .
i.e. you pay back the 'loan' from your mortgage over 3 - 5 years to compensate.
Saving you hundred/thousands....
if not you are NOT releasing capital, but selling part of something you allready own, AND getting into more DEBT... Sad to say, but the average or even not so average member of british society is finacially dim.
Best option save up, by the time you get your 20k you can usually guarantee, you will change you mind for something better/completly different, or get the same thing for cheaper. !! ;-)
B
>> Edited by bjwoods on Friday 5th September 18:30
>> Edited by bjwoods on Friday 5th September 18:33
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