20 year old buying 35k car on finance?

gilbert_and_sullivan

Dukesy has the right answer.

Being completely debt free and owning your own nice home outright is a truly liberating experience.

hight

I was looking at possibility going into leasing? Yes, I will be paying money without owning the car, but it gives me the chance to drive a nice car, without having to pay anything massive for it. I can then concentrate and put a deposit on my house.


Fuel Type :
Diesel
Term :
48 months at 10000 miles a year
Rental :
£220.75 per month
Initial Payment :
£662.25

Chopper_Read

hight wrote: »

I was looking at possibility going into leasing? Yes, I will be paying money without owning the car, but it gives me the chance to drive a nice car, without having to pay anything massive for it. I can then concentrate and put a deposit on my house.


Fuel Type :
Diesel
Term :
48 months at 10000 miles a year
Rental :
£220.75 per month
Initial Payment :
£662.25

Is that a personal lease or business?

It's still over 11 grand to pay.

What about servicing costs, VAT and any damage it will pick up over four years?

Richard53

Dukesy wrote: »

Don't do it! Save and put it towards a house instead.

I'm a big, big believer in the idea of 'if you can't afford it today, how will you pay for it tomorrow?'

... is the right answer.

I have bought a few vehicles on finance when I found something I really really wanted and couldn't afford, and each one became a millstone round my neck and no pleasure at all. Now, I don't buy anything I can't afford immediately. Credit card purchases are all paid off monthly. If I can't afford, I don't have. As G&S says, the feeling is liberating.

PHARR

Im 22 and on 22K a year, if i was you i'd put 10K down towards deposit for a home. I drive an 09 Ford Focus Zetec S, Its a looker and running costs are well, i do like nice cars but what means more to me is not what i drive around in but what i actually own at home. Having a nice home is much more sensible in my opinion.

Im not suggesting scrap the idea of getting a brand new motor, but only merely suggesting you have a deep think about what you really want in life. I only dream of having that much money right now which i would certainly deposit on a house.

gilbert_and_sullivan

Hight there are thousands of really nice cars out there you can buy for reasonable money outright.

Don't be in a rush to sign yourself up to a fixed monthly payment for 3 or more years for a shiny car which which oh so quickly becomes a millstone round your neck, you're very young and have a whole lifetime in front of you to own the fastest most desirable cars you can imagine.

Getting that house is the most important thing, getting it paid off is the next most important thing.
Do not underestimate the power true independence gives you, THEY do not have a hold on you once you own your own home, you are at no one's beck and call, if you don't like your job you simply walk and find another.

Think outside the box car wise, MB don't make great FWD cars anyway, they do however make superb real cars with the correct (rear) wheels driven.

Leasing is no better than buying, you're still commited to paying a huge lump every month, and unless you wrap it cotton wool and never use it it will collect parking dings etc during its tenure with you and you will be paying a large wedge out to fix the faults when you hand it back after three years of paying half the value of the car.

You probably don't want to hear all this and we're not being miserable old so and so's, some of us have made mistakes like this in our lives and some of us have been fortunate enough to watch others do the same and been extremely glad it wasn't us.

maninthestreet

A bit late now, but £1800 for a 20 year old to drive an AMG Sport Mercedes sounds way to little to me, even if it's only TPF+T.

david555_2

OP - Just to give you an idea, I bought a superb 53 plate Forester XT for just under 3k with 1 owner and 105k on the clock. It is flawless, will go forever and costs me nothing other than consumables and fuel. MPG means very little when you factor in depreciation and monthly finance so your idea of 200pm on a diesel that you will likely hate in a year isn't wise.

Buy smartly on something that ticks your boxes and buy it outright.

Good luck with the house hunting too, you've made the right call.

Dukesy

hight wrote: »

I was looking at possibility going into leasing? Yes, I will be paying money without owning the car, but it gives me the chance to drive a nice car

If this is really the most important thing to you, then there's nothing we can do to stop you. All that I can say is that there are more important things in life than driving a nicer car than anyone else, that there are great cars around that you could buy outright and that if you spend your money wisely now, you can put yourself in a better position for the future.

Richard53

If you absolutely must drive a nice car (and I can understand your thinking here), why not splash out and hire something exotic for the weekend every so often? I would bet that would be massively cheaper than shackling yourself to a 5-year finance agreement that would blow your budget for everything else.

To paraphrase Mr Micawber:

Tatty car on your driveway that you own outright and can afford to run and repair, result happiness.

Fabulous car on your driveway that keeps you poor and you can't run or fix because you are giving all your money to the finance company, result misery.