Car note vs not having a car note

2 Replies

I'm just curious to know what you guys drive? I'm currently without a vehicle deciding if I should get a used truck for 40k and pay roughly about 800 a month and enjoy what I drive or buy something for 5K cash and save more money for my REI and sacrifice having a nice car

There's nothing good about having a $800 car payment. If nothing else, that's a huge ding against your DTI ratio that will reduce your future borrowing capability which will likely hinder your real estate investing, especially if you're just getting started. Go for the cheaper vehicle that you can afford vs the more expensive one that you can't. You'll be glad you did.

Just my two cents.

Same exact boat. Ended up buying a used sierra 1500 w/145k miles for $3500 w/4x4. Reasoning is exactly as previous poster suggested.. an 800$ truck payment is very hard on your DTI not to mention a 40k truck financed will add 45-50k (because of interest etc) of BAD debt to your balance sheet if I’m not mistaken.

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