Hi,

I'm interested in a 350z, so far I have about 22K saved up. I'm looking to buy the car in full and was wondering what options do I have. I'm also looking for a brand new Z not a pre-owned one. Since the 2007 models are about 28k MSRP base, would I have to settle for a 2006 model or a 2007 model and pay about 6k in monthly payments? It seems like my price range is more in line with the base model since I have only 22K.

 

First off, if you have that much cash on hand, INVEST! Make that money work for you! Unless you're one of those who will never have to worry about money?? Also, "6k in monthly payments"?? Might want to get your credit right. WOW! I thought $530/month was bad?!

 

I would personally invest the money, and buy the 07 Z and pay monthly on it till its paid off. It's a waste to pay cash for a car IMHO.

 

really? alright i guess stocks would be good?

 

I don’t know which model suits your needs, but I can tell you what members are driving.

 

If you have 22k buying a car is the worst thing you can do. Look around for investment opportunities. With the amount that you have you should find something that'll give you at least a 5.5% return.

 

If your budget is $28,000, you may be able to find a leftover 2006. Selection will be limited, and you may have to travel to pick-up, but I think it will be in your price range.

 

Was that a typo or did the original post state 22K budget for a brand new Z? If so, I really doubt you'll be able to find a new one for 22K. Even a leftover base model, which I drive from 03, which had leather added, which is more than enough for me, will fetch a lot more than that. I don't think 22K is realistic for a new Z.

 

I think he meant a loan for 6K, and pay that monthly.

Honestly, go get a loan and see what the APR is going to be. If it's higher than you can make in CDs, Savings, Money Markets, Mutual Funds, then put a larger down payment. 6K Loan will be so minimal.

 

He didn't ask that. Please stop posting that.

 

Yes Invest the money. Put 6-8k down and put the rest into stocks. Lets assume get a interest rate of 6-7% from you local credit union. The average rate of return for the S&P500 stock market, (symbol: SPY) over the last three decades has been 10% a year without needing to do any trading.

 

Lies, lies and statistics.

How much variance is there in the last 10 years? Assuming 10% is an average number, that really does not tell a full story. Interpreting what you just said, I should dump all my savings into SPY and watch it grow 10% every year. I really doubt that will happen.

If you assume you'll be investing for the mext 10 years and you're not afraid to go on the rollercoster ride knowing you'll make money after 10 years, stocks are a good, safe choice. Otherwise, you may be very disappointed with results in short term.

The OP asked how he should handle purchasing a Z and you guys are telling him to invest his money instead. I wonder how many of you would take your own advice back when you were buying your Z?

Is he better off driving a rattle bucket and investing the money in something instead? Sure. But then we all would never really drive Zs if we all really followed that code to the letter. I guess there is something said for quality of life. Given the current rates, he's probably better off buying the car with cash. If he gets a loan for 7% APR, he'll be hard pressed to find a safe investment channel that will produce gains that will justify him taking out a loan instead and using the money he would have spent to make an investment that will yield favorable results. So, if you can make 8% in a year using that cash, it would not be without risks. Is 1% gain on 22k worth that risk? Is 2% gain worth it? See what I mean?

 

+1

For all of those saying invest the money saved and take out a big loan I gotta ask if you owned your car outright today would you take a loan out on it to go invest in the market?

The advantage hes going to see in saving the money on the front end is that (hopefully) he will be years afterward without a car payment and can then put some money into the market and make good returns on that cash.

 

^^ Exactly.

You should already have money budgeted for investing weather it be for retirement or extra income. If you don't have the money for both, you should be buying a cheaper car.

 

Actually, that is an EXCELLENT point. If you consider what the OP would be doing by borrowing money, he would do exactly that: borrow money to invest.

One of major DONTs of small time investing is borrowing money to invest. It's just a bad, bad idea. But don't take my word for it. Ask any seasoned, successful financial advisor and they will tell you the same thing.

 

How is the search coming along?

 

For cryin' out loud, buy the car.
I invest for a living and these bozos have no idea what they're talking about.

 

get an 07 and finance the remainder, you could pay of 6K in a year and then own your new Z. Don;t forget to figure in Insurance which will be high if you're under 25.

I paid 28760 for my 07 enthusiast.

 

I did my best to answer your questions, and you don’t ever have the courtesy to say thanks. The way I was raised, that’s called rude.

 

well said, now that you have the money to pay up front go for it, having a paid off car is a priceless feeling especially a paid of 350z.

Im in similar grounds, I will have 10G's saved up by the new year, I want to get a 10G loan and buy a 350z. Ill pay that loan off in 2 yrs and not worry about car costs.