Residential Real Estate Broker · Greensboro, NC · Member since 2015 · 14 posts · 68 votes
Just a fun post here. I have been a SFR investor for 15 years and now have $2M in rental RE while working a full time career. The cash flow was tight for years it seemed but the snowball of debt paydown is rolling big time now and I'll be able to "retire" in 2 years with enough cash flow to replace my salary.
That said, I can't imagine having a car payment and only buy used vehicles. I drove a 1999 Jeep Grand Cherokee (to haul all my rental supplies) for 7 years and the engine blew a year ago with 275k miles. I made a significant upgrade and replaced it with a 2000 Jeep Grand Cherokee with 110k miles and paid $3,600 cash.
I don't need the status symbol of a new vehicle nor the monthly payment and living well below my means is my motto. As Dave Ramsey says, "live like no one else today, so you can live like no one else tomorrow".
My daily driver is a 2000 Jeep Grand Cherokee with 260,000 miles, my wife drives a 2007 Honda Pilot with 126,000 miles and our weekend car is a 2000 BMW M Roadster with 76,000 miles. I am a new invester and thinking about selling the BMW to build some cash for investing.
I still drive my favorite vehicle for modern times. 2010 Chevy Z71 1/2ton Suburban that is loaded with all I need and rides like a car. 176,000 and counting.
2011 Volvo XC60 AWD - got it lightly used and paid it off in 9 months. With no mortgage, no student loans, and literally not a penny of debt to my name, I thought that having a car payment for a few months wouldn't be such a bad thing if it meant getting a car I enjoyed driving. Its amazing in the snow, has great room for hauling junk when I need to, and its pretty :)
Is that the equity, as it is what matters? So I'm not accused of failing to put my money where my mouth is, we have $1,800,000 in 15 houses, owned outright.
Can someone tell me how it makes more sense to pay cash ($20k+) for a car when you can get loans at 2.5% for 60 months? If you have $30k for a car and are able to put down $3k and finance the remaing $27k at 2.5%, that leaves you with $27,000 cash to go out and make a return well above 2.5%. You make even 3.5% ANNUALLY on that money and you have essentially borrowed free money and made an additional 1% on it. I will never understand why people are against borrowing free money.
Easy. Things can and do go wrong. Things also can and do go right, meaning opportunities to better use credit come along. Debt for a vehicle is bad news. In the LA ghettos, some of the residents even have separate loans on the wheels and tires on their vehicles.... It is also inconvenient to have to remember to pay.
2014 F-150. I try and trade every 5 years as my truck is a tax deduction and I don't drive a lot of miles each year. Thinking about a tommy gate as I've recently had my 3rd abdominal hernia surgery... No more lifting fridges and stoves by myself.
I drive a 2003 Honda CRV with around 180k miles on it. I love it as it has enough space to move around furniture etc but also isn't huge. Plus great mileage and low maintenance.
I like that. Cars are just material things. I just got my 2013 BmW total led by my 17 yr old son. Thank god he is ok. Everyone was shocked that I'm not mad at him. I'm just happy he's alive so now I have no car. Kim jus gonna go to the auction and get a used car and I'm fine with that especially with these teens ??
I like that. Cars are just material things. I just got my 2013 BmW total led by my 17 yr old son. Thank god he is ok. Everyone was shocked that I'm not mad at him. I'm just happy he's alive so now I have no car. Kim jus gonna go to the auction and get a used car and I'm fine with that especially with these teens ??
I drive a very luxurious 2005 Chevy Silverado with 133k miles. My *other* car is even better in the form of a 2003 Chevy Suburban (tote the kids around in that one), 133k miles also. Car payments are stupid!
2008 f250 and im shopping for an old vw diesel fuel sipper
A long time ago I had a lawn care and landscaping business. I also had a diesel Rabbit that got near 50 MPG. It was awesome, even when I was pulling a trailer of sod 15 miles per hour up hills. I bet it could fit in the bed of your F-250. Wel, almost.
I drive a very luxurious 2005 Chevy Silverado with 133k miles. My *other* car is even better in the form of a 2003 Chevy Suburban (tote the kids around in that one), 133k miles also. Car payments are stupid!
2 Suburbans, you are a certified Texan! Now if one of them is 4x4 with a brush guard, I'll support your run for governor.
I drive a 2008 Toyota Camry. It's a great, reliable car, but also low key, which suits me fine. I don't want people staring at me. It's also easier for tenants and distressed sellers to relate to you when you're not driving a Lamborghini.
For my rehab projects, I borrow one of my parents' Dodge 2500 or 3500 pickups and a 12ft dump trailer. I usually still run out of room.
As far as getting car loans vs. buying outright with cash, you should only borrow money if you can invest the money at a higher interest rate. Interest rates are low right now, so if you borrowed $25,000 for a car at 3% and you know you can invest the money in your flipping business and get 25%, you're netting 22% and to me that's good business. I want as much capital available as possible for real estate investing.
I'll bite. I drive a 1999 Jeep Grand Cherokee that I use for pulling, rental stuff, and getting around in the lovely midwest snow, but just picked up an 07 E63 Amg for my summer daily. 507hp in a luxury family sedan. Whats the point in working hard if you don't reward yourself.
1992 Camry with 211k miles. Bought it in 1998 and have been driving it ever since. Does anyone have an older car? I keep wanting to buy another car but can't justify it because it runs so well.
2009 Chevy Malibu- I put about 300-400 miles a week, looking at properties meeting clients and checking on rehab projects.
2005 Ford Explorer- mainly to transport material to job sites, probably use once a week.
Plans: Sell the Explorer this summer (don't think my time is best spent getting material) its funny how when you have a truck you find ways to use it. Trade the Malibu in for a Cruze and purchase/lease my first luxury car (Masi or Alfa)
I have a few but that's a long story. The normal cars are a 2000 Tahoe and 2012 Ford Escape. But have a toy or two with a 1956 Triumph TR3. Was my grandfathers, then my uncle did frame of resto. He is 80 plus so was ready to sell and I got it.
The I just got the new toy. Was not really planing on but we rented it and just had to get one. 2015 Mustang Ecoboost 4 cylinder turbo getting 32 mpg on highway.