Your insurance estimation is way low btw, with USAA a perfect record at 17, almost 18 under my dad's policy i'm still at 4,100 a year... and my dad has never recieved a ticket and been with USAA for over 20 yrs

 

Only the US can produce such lines. Come over to Switzerland and look at 70 USD for the same amount And we're not even the most expensive european country for fuel ...

 

you know if you lied that u drove only to school and back or for commute, u can lower your insurance by at least 1/3

my friend is with his dad's and he only added $2000 a year, but he's driving a solara.

 

Speaking of only covering a part of the numbers, to make your argument valid, you have to factor in the cost of alternative transportation (lowering that initial investment amount). Your investment scenario isn't attainable if you can't get to work to make the money to invest. Next, factor in some sort of inflation and tax on capital gains tax on this new figure to give us an idea what we'll really be looking at after all that time.

 

Hey KC,

Good job on this post. This is very informative for new car buyer. I waited a year and bought my track model used which saved me a good bit of change. People should read this post and also consider your personal factors along with this analysis. If you are a college student you have to consider books, tuition, room and board, and food. And if your a family guy like myself you have to consider multiple cars and normal family expenses. I have two cars that have turbos in them, and the Z, and they all require premium gas. I pay 95-100 a week on gas alone which means that I can pay between 380-475. a month on gas + 2 car payment
+ mortgage. I'm lucky that I can afford it but there are times when I wonder should I get rid of these cars and get something practical, and then I drive the Z and those thoughts are gone. On a serious note if you have $30,000 to spend invest in buying a home first, your dream car will come. Every few years there's a new car on the top of the heap that everyone wishes they can have. Most times being patient is well worth the money.

 

7% return? are you dreaming?

 

Hi Folks !

I am a newbie and I bought a 2003 350Z Track "Used" last month from a dealer for about $5000 lower than a brand new one. It is a great car and although I am young (24), I am under no duress to afford the car. It costs me less than what I make in a week (net, not gross) to own AND drive the car. One thing to note: I drive a old Honda Civic as my primary car and that helps save on expenses.

This thread will definitely be helpful to people who are in the market for a car and are considering the Z. Like all other people on this thread, I would advise a full financial evaluation of the investment and ownership costs before getting any new car, not just the Z. I did the same and hence decided on a one-year-old track and it saved me money on insurance costs too ! Also, get a radar detector along with the car.

All the best and drive safely.

 

kcobean,

I agreed with you on all the numbers. But don't you take into consideration that it brings joys and challenges to the indivdual who is buying the car? If everybody thinks like you, then they have to make 6 figures to own something nice. That means our economy is going to be worst.

I say we all trade in our Z and get a ford Focus. That way we can put the money under our butt till we die (like many elderly have done).


Just relax and enjoy!! You never know whats going to happen tomorrow.

Tony

 

The "Joys and Challenges" are not part of the financial equation, so they don't really fit the topic of the post. However, I don't know any young person who really looks forward to going, "Crap, I can eat or buy tires this month, which is going to be? Ahh, screw it, I'll just lump the tires onto my growing credit card debt and everything will be just peachy!" But I guarantee that those kinds of challenges are happening to guys who gave in to their desires and bought a Z without really considering what it was truly going to cost them. I wrote this to help people think through the decision. If the end result is that it still fits their budget, that's great.

Nothing in my original post ever implied that you have to make six figures to own a Z. All I stated was that there are costs associated with owning the car that people with "Z tunnel vision" might not have factored in. If you make $1000/month and you're comfortable with spending $750 of it on your car, that's entirely up to you. I wrote this so that you wouldn't be making $1000/month, expecting that your car is going to cost you $300/month, and then get backed into a corner when that extra $450 starts going away.

As for your statement about trading in our Z's for Ford Focuses, I'd do it in a heartbeat if I was making as little as some of the young guys who come here asking if we think they can afford a Z. I've been there, I made the mistake with a nice red RX-7, and do I think the "joys and challenges" are worth it? Absolutely not. The fun of the car is WAY overshadowed by the fact that it's drowning you financially. After all, when you get out of the drivers seat, the financial burden is still with you, everywhere you go. This post was intended to help people ensure that their car doesn't become their burden. That's no way to own a Z.

You wouldn't be a teen-ager, would you? Come see me in about 10 years and tell me if that statement (given the message of your post) makes any sense....It's all about perspective.

 

i find it funny that my roommate that "had" to go buy a carright away is paying over $500/month on a truck for the next 6 years (a nice truck, but still a truck) and Ill be paying alot less than that over only 4 or 5 year because im waiting to save up a 10k downpayment. Paitence is a virtue!

 

I don't want the Z to be a cheap to own or run. Or else that will make it like an Mistu Eclipse. Keep it rare and special! It is still a lot cheaper than a Corvette or Porsche.

 

kcobean,

I am not a teenager. I am a 32-year guy who is a systems admin with bachelors in both Accounting & Information Systems. I do understand your point!!!


Tony

 

Cool...You and I are the same age! Just turned 32 yesterday! And I'm a network engineer!

I guess having made just about every financial mistake a teen/20-something can make, I'm a little more adamant about this kind of thing

 

Over a 5 year period from my late teens to my early 20s, I owned 8 different cars. Some were cool muscle cars, a first year 440 Challenger, a 71 426 Hemi Challenger, and a 69 429 Cale Yarborough Ford Torino. One was an exotic Datsun 411 (6 imported into the US). Others were more mundane, a 67 Impala SS and a Dodge van. One was nostalgic, a 52 Ford Woody with a Mercury flathead and Hurst shift.

Was I car poor? You bet. Am I glad I got the chance to own and drive those cars? You bet. I'm older and richer now, but no way I could afford to buy those cars (perfectly restored) today. They've gone completely out of reach. But I could then, and I did. My only regret is that I didn't put them up on blocks and *keep* them. There's well over a million dollars worth of rolling stock there at today's prices.

 

I think everyone here is exhagerating a little. The Z isn't a car that everyone can afford, but it is a car that ALOT of people can afford. If you really think about it, a Z costs less than alot of cars out there on the road, and ALOT of people drive. Personally I'm 22, and have a loan on my car. I graduated college DEBT FREE. This is my argument: I have a full time job w/ benefits. Im not making BANK, but I am making enough to easily pay my car payment every month, make insurance, etc. and enough to be considering a house shortly. So am i stretched??.. Yeah a little bit, would no car payment be better then a monthly? Yes. But it took all these payments to make me grow up and realize the rest of your life is a series of investments. I have alot of friends that are upwards of 60k in debt.

So I do not feel gulity for taking out a 5 year loan on 20k.

Sure that 20k in 30 years is a crapload of money, but honestly alot of people DIE within 30 years. You only live once, so make the most out of it. Don't be stupid and can't afford a Big Mac because of your car, but if you enjoy it that much and can "afford" it, you might as well go for it.

everybody enjoy there Z's I know I enjoy mine

 

Your 10k downpayment in my opinion is a waste of money. Interest rates are low. 10k isn't going to get your monthly that low. Money you save in interest is negligable if you actually invest that 10k NOW. You will end up making money.

Take advantage of interest rates while you can, if you have a consistant income, you could take that 10k and invest it now, which would in theory make more money than just paying your monthly on the full amount. If you can afford 400 a month, you should be able to afford 500. Or if you can afford 400 and can't 600 you shouldn't be buying a new car.

It seems like your maybe saving every penny for that 10k just to dump it into a car. That is not a good investment.

 

What's wrong with giving a big downpayment? The more you give the less you have to pay a month, right? I rather give a 20,000 dollar downpayment then a 5,000 downpayment. The faster you pay it off the better. You never know if you get laid off from work etc. And by giving a bigger down you can pay it off quicker like in 24-36 months and get lower intrest rates.

 

[QUOTE]Originally posted by z053ym
THANK YOU.. FINALLY.. somebody did the research. These kids and people posting about affording the car just will NOT get it through their head that it goes a lot further then monthly payments.. and im SURE this will only make kids say to themselves o thats BS no way. Its not some mystery that old people just make up to scare kids out of financial independance. It is very true.. you better make atleast your monthly payments of insurance and car in a week to even think of affording the car... [/QUOTE

i dont know... i'm still in college(2nd yr) and all i pay for is gas. i dont normally need to refuel after every 1.5-2 wks. talking about my '02 Celica anyway, the Z is gone! but either way, the Celica and the Z wasnt paid off(till the Z was totalled by some retard and his insurance paid it off for me).

 

Did you read my previous post. I dont have the $10k now... and yes putting $10,000 down as opposed to putting $1,000 down will make a HUGE difference.

Or if "I can afford 400 and can't 600 you shouldn't be buying a new car." but why not pay the 400 instead... sure i can afford 600, maybe more but why pay that much if i dont have to.

im not saving every penny for the car, I could buy it rigth now if i wanted to and be in more debt. Thats what i "feel Like paying" after rent/utilities/food/drinking/entertainment. My full time job will be paying me $1000 per week and I have ZERO DEBT, so why not wait a few weeks and and leave less for the dealer to finance me on.

The more of the price you pay off initially, the less they can charge you interest on... try doing some MATH!!!

whatever, I should have a Z by this winter (For a smaller total than most pay), and thats all that matters to me...cruZZZin

 

Don't forget the parental mod.

That should put you about $39,000 up.