When is it financially acceptable to buy a dream car?

InsideInsurance

kteara wrote: »

Hi guys, this forum has opened my eyes to the world of personal finance and I'm learning new ideas etc. I wanted to ask when is it financially acceptable to buy a dream car £50k+ in life? I see Porsches, Nissan GT-R's and Ferraris during my commute to work every now and again and I wonder when is it ok to buy one?

I'm 20 now and one of these cars are my biggest motivator in life. I can't help but think when/if I do have the money for one that It would cost me the opportunity to buy a house. Its like I can only choose one, out of those two options in life, the dream car or a house.

As others have already asked, financially acceptable in what context?

We decided to get the current version of my childhood dream car last year as we hope to start a family in a couple of years time and it will be a long time before a 2 seater sports car is going to be suitable again.

Was it a sensible decision? Obviously not, cars depreciate massively, but this life is about living, we can afford it comfortably and dont want to be buying property where we are.

Nearly 14 months on still love the car, do wonder a little bit how you go down from a top end car back to a Ford Focus etc but will cross that bridge in just under 2 years time. No pangs of upgraditis yet but that isnt to say they wont come one day

droopsnoot

InsideInsurance wrote: »

do wonder a little bit how you go down from a top end car back to a Ford Focus etc but will cross that bridge in just under 2 years time.

There's no specific need to go back to something run of the mill though (and I'm not having a go at the Focus, I'm sure they're fine). But you could move back to something luxurious and powerful but less costly and with more space, just by getting something older and accepting it might go wrong. But you know that of course.

For me, I found that the more I became able to afford something flash, the less I actually wanted it. I'm "into" cars, they've been an interest and a hobby of mine for many years. I've bought cars for £50 or £60 that needed a bit of work doing (not much, we're talking about the eighties here) and run them, then fancied something a bit better and moved to the heady heights of a £1200 car, then one for a few thousand, and then .. stuck with it for fifteen years. Then dropped a load of money on a new-ish 2-seater car and almost immediately wished I'd spent a fraction of that on remedial work on the car I had before.

Only the OP will know when it becomes acceptable, because only they know who they are seeking this acceptance from. If it makes them feel good, and they like the car and don't mind the fact* that it's going to drop in value and cost money to maintain, and can afford it, then it's their choice. I could buy something much nicer now, but I just wonder when I'd use it, and where I'd go in it.

(* I know, some classic cars go up in value, but that doesn't sound like the kind of car the OP is looking for).

jimjames

BillJones wrote: »

Just what I've gleaned from friends with them, and reports I've read. A very high level of steering responsiveness around the straight-ahead can make a car feel great at first, but is sometimes not what you want in more general use, or for longer trips.

It's what I've found too. Not necessarily on the steering but certainly suspension is very hard for normal day to day driving. The performance is fantastic but there are so few times you can actually use it on the roads unless you go to Germany or to a track day that it becomes less practical. It takes a little while to warm up and the controls are stiffer while that happens. So it is ideally suited to longer journeys yet for long journeys it is more practical to use my diesel car for cost and comfort. The 911 is more noisy on the motorway and would be more tiring for a very long journey plus require more fillup stops too.

I also then worry where I can park it if I take it out, certain car parks could be problematic and have the risk of getting damage. Much as I love the car the impracticalities of using it day to day are such that it gets very little use so in the last month I've done less than 100 miles. I can't justify having that value of car sat in the garage not being used so that's the reason I'm selling. Knowing my luck I'll be selling just at point when they start to appreciate and it would be worth a lot more in a couple of years time...

One of these companies that gives part ownership or driving days would probably be a much better option and not have the capital sitting there tied up in the car yourself.

InsideInsurance wrote: »

Nearly 14 months on still love the car, do wonder a little bit how you go down from a top end car back to a Ford Focus etc but will cross that bridge in just under 2 years time. No pangs of upgraditis yet but that isnt to say they wont come one day

My other car is a diesel Golf. Strangely it gives me just as much buzz as it was a bargain basement car and proves how you can run a cheap car as daily transport!

InsideInsurance

droopsnoot wrote: »

There's no specific need to go back to something run of the mill though (and I'm not having a go at the Focus, I'm sure they're fine). But you could move back to something luxurious and powerful but less costly and with more space, just by getting something older and accepting it might go wrong. But you know that of course.

It was an intentional exaggeration to highlight the point but the principle remains to some degree. Going from your dream car to a practical vehicle will be difficult, one option obv is to get two cars but then the step down on each is going to be much greater as you're splitting your budget over multiple vehicles and doubling up on insurance/ tax etc

vacheron

To me, a dream car should be just that. The one you can't ever realistically expect to own. Anything else should be an aspirational car, then, once you can afford it... a "car"!

...though I guess it could still be a dream car if you really can't afford it... but decide to buy it anyway!

"Assuming a certain type of person" before I get lynched .....
The guy in the banger is dreaming of being the guy in the new Focus.
The Focus at the 3 Series.
The 3 Series > Boxter.
The Boxter > Ferrari.
The Ferrari > Sunseeker 100.
and so on.

As life goes on, this could very well be the same person. People are rarely satisfied wherever they are. No matter how comfortable you may be your aspirations will adapt accordingly.

I've had some aspirational cars, hobbyist, sports cars and luxury cars, they may have been a dream at one point, but not the moment I could afford them, the head then takes over. That said I thoroughly enjoyed my time with most of them and am I glad I had the opportunity to do such crazy stuff before settling down to family life.

I remember deciding to buy a couple of year old 500SL as a 30th birthday present to myself...I've just turned 40 and still haven't got around to it!

Though not a big fan of Kanye West, I do like his line on the track "Classic":

...."When they do make the whip you like, your chips ain't right.
By the time you can afford it, the car ain't important!"

For non rap fans, substitute "whip" for "motorised carriage" and "chips" for "current personal financial situation"

InsideInsurance

vacheron wrote: »

To me, a dream car should be just that. The one you can't ever realistically expect to own. Anything else should be an aspirational car, then, once you can afford it... a "car"!

Peoples situations change and some people go further than they anticipate in life. As a kid I didnt think I would ever have a job above NMW (or equiv as NMW didnt exist back then) and so what is now a >£75k car certainly was beyond what I ever considered realistic to own.

Now that I've been able to afford such a car has it stopped being my dream car? No. I do have others? Yes, will any of them ever become affordable to me? A couple might, others dont feel as if they will but I've already been proven wrong on that once before.

The wife's dream car is a classic Mini, I dare you to challenge her on that

MallyGirl

YorkshireBoy wrote: »

Can't answer for jimjames, but for me (3 years younger at just gone 21) it was down to...


1. Working all the hours I could (during my apprenticeship) to save for a 10% deposit
2. Driving old cars (and looking after them myself)...particularly relevant to your situation.
3. Waiting until 28 for my first foreign holiday (and until 34 for my second!)
4. Managing without a mobile phone/Sky/Gym membership


And then when I got the house...


1. Putting up with 2nd hand furniture and white goods
2. Watching a B&W TV (see your parents/grandparents for further details!) Yes prices have gone up, relative to income, but also because almost everyone these days lives next door to someone called Jones!

It also depends on what you are prepared to settle for to get on the market. I bought my first flat at 24 - cost me 42k which was 3 x my £14k graduate salary in 1991. Interest rate was 14% back then so I was paying £420 pcm in interest, plus an endowment. And I was living in Didcot, working in Oxford and driving an ancient VW Beetle. If I had held out to buy in Oxford it would never have happened. Just looked up my old flat and it is approx. £100k now so still achievable with today's higher multipliers.

vacheron

InsideInsurance wrote: »

Peoples situations change and some people go further than they anticipate in life. As a kid I didnt think I would ever have a job above NMW (or equiv as NMW didnt exist back then) and so what is now a >£75k car certainly was beyond what I ever considered realistic to own.

I agree which is why I thought the word "realistically" was needed in my original post.

If your career exceeds your financial expectations at the time, or you win the lottery or otherwise come into an unexpected amount of money, then that would also fall into the"dream car" category.

InsideInsurance wrote: »

Now that I've been able to afford such a car has it stopped being my dream car? No. .....................The wife's dream car is a classic Mini, I dare you to challenge her on that

I will dare to challenge you if can afford a 75K car and you haven't put your hand in your pocket and bought her one yet!

Joking aside though, you make a very good point. Many people may have a dream car which isn't necessarily expensive. Personally I would still love an original style 1990 Honda CRX. or a mid 1980's BMW 635CSI. My best friend would absolutely love a MK1 VW polo like he used to own when he was younger, or a mint condition, original MK2 Ford Fiesta.

kteara

Hurts me to say this, but I guess the 458 will only just be a dream. Feel a bit stupid for having it as an actual goal.

badger09

kteara wrote: »

Hurts me to say this, but I guess the 458 will only just be a dream. Feel a bit stupid for having it as an actual goal.

No need to feel stupid. Its good to have dreams, and also, sometimes, to move the goalposts