People who make under $300k hhi: do you really have over $1000+ per mo in car payments?

[Anonymous]

No, we bought our car cash.

[Anonymous]

Anonymous wrote:Mine is $600+ for 4 years. Interest rate was 2.99 so there was no point paying cash.

Except if you’d put $600/month in a saving account at 3%…or invested it…you’d have a nice nest egg, if you can buy a car cash, do that.

[Anonymous]

Average car price is now $48K. Easy to get to $1K payment if you are financing $40K plus at current high rates.

[Anonymous]

I have been a trial attorney for a long time. One of the issues that I investigate during discovery relates to finances. I have met more people than I can count who have a $52k net HHI and pay more than $1k per month for their vehicle loan. First time I saw it was around 2010. I don’t get it.

[Anonymous]

We make way less and bought a 60k car but we saved for years and paid cash. Keep cars till they die. We had a cheaper house and never upgraded as our income changed so no big deal. Our house is now paid off so we’d do it again. If we took a loan it would be very high.

[Anonymous]

[quote=Anonymous][quote=Anonymous]I have never read or heard of 1000 dollar car payments.
This is a troll post.[/quote]

Do you not buy cars? We have two car payments that are over $1000 a month, and holding off on getting a new car because you can’t get a nice car for $1000 a month anymore. The new Range rover starts at over $100,000 msrp. You do the math on that, even at 0% interest. [/quote]

WTF There are plenty of "nice cars" that are well under $100,000. Even under 50k. How about you adjust your idea that a "nice car" has a to be a luxury car? And don't buy a car for $100,000 if you can't put a substantial amount down on it.

[Anonymous]

Anonymous wrote:I have been a trial attorney for a long time. One of the issues that I investigate during discovery relates to finances. I have met more people than I can count who have a $52k net HHI and pay more than $1k per month for their vehicle loan. First time I saw it was around 2010. I don’t get it.

When I graduated from college and got a job, I remember being told that my rent should be no more than 30% of my gross income. But I don’t remember being told about car costs. I think the guideline is no more than 10%. Sometimes people get stuck with bad loans and have no public transportation options. Others count their car as part of their image and are inelastic on price. I posted the nytimes article earlier - it’s not surprising that people opt to live in their cars because of all the costs.

[Anonymous]

We make more than 300k and had 1k car payment, but only for 3 years and interest was lower than the money market rate so it was net positive and made sense to do that.

[Anonymous]

We make more than $300k and have had no car payments for a few years (it was less than $400). The other car is getting a bit old so we may have one in a couple years but $40k is the absolute max id spend on a car. We’re going to be paying full freight for college!

[Anonymous]

Anonymous wrote:I have never read or heard of 1000 dollar car payments.
This is a troll post.

Please go educate yourself on the definition of an internet troll.

[Anonymous]

Anonymous wrote:We just bought a bare bones hybrid Corolla and it’s $582 a month on a five year loan. So, yeah, I can believe it.

Yes, cars are crazy expensive right now.

[Anonymous]

[quote=Anonymous][quote=Anonymous][quote=Anonymous]I have never read or heard of 1000 dollar car payments.
This is a troll post.[/quote]

Do you not buy cars? We have two car payments that are over $1000 a month, and holding off on getting a new car because you can’t get a nice car for $1000 a month anymore. The new Range rover starts at over $100,000 msrp. You do the math on that, even at 0% interest. [/quote]

WTF There are plenty of "nice cars" that are well under $100,000. Even under 50k. How about you adjust your idea that a "nice car" has a to be a luxury car? And don't buy a car for $100,000 if you can't put a substantial amount down on it.[/quote]
I can put a substantial amount down, but I won’t, because I lease since I usually only keep cars three years. Covid messed that up, but things are normalizing. $1000 a month is immaterial, but I have a mental block on paying over $100,000 for a car that a few years ago I got for $1000 a month.

[Anonymous]

This is why we make 200k and have a 21 year old paid off Toyota.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Mine is $600+ for 4 years. Interest rate was 2.99 so there was no point paying cash.

Except if you’d put $600/month in a saving account at 3%…or invested it…you’d have a nice nest egg, if you can buy a car cash, do that.

No the cash I didn’t spend is earning me 4.7-5+% so I think I am better borrowing 2.9 % money.

[Anonymous]

We have this really novel thing, it's called a savings account. We put money in there every month so that can afford to make occasional large purchases instead of having to finance them at high interest rates. Try it!