Can we afford a $105k Range Rover or LX570?

[Anonymous]

I'm 29 and DW is 30. I make 290k (possibly and likely more if my employer does well) and she makes 120k so HHI is ~410k. Both of our jobs are very stable. Planning to start trying for kids in the next 2-3 months.

The numbers:

~300k in home equity (850k home value, 500k left on mortgage)
400k in retirement
160k in brokerage/investments
60k saved for college
100k liquid savings as an emergency fund

We max out 401ks, liquid e-fund could sustain our spending for 12+ months, any excess every month is put into VTSAX, we wear cheap clothes from Target and Amazon, and vacation/weekend away consists of going to my in-law's place on the water in DE.

I feel like we're doing everything right financially and on a good trajectory for 1) paying full freight for our two planned children's college tuition and 2) early retirement at a SWR that's comfortable for us.

I really like cars and want to have an indulgence. DW is not a car person and doesn't really care for expensive/flashy stuff in general but thought the RR and LX were both really nice SUVs. She's on board in that if I really want it I should treat myself. It would also make a lot more sense in the near/mid-term than something like a 911.

What does everyone think? If no, then when would a "smart" (as smart as an emotional purchase like this can be) time be?

[Anonymous]

If you can pay cash, I guess so. If you have to finance, no. Kids are expensive. Very expensive.

[Anonymous]

I drive a RR so I'm not judging (though people judge me for driving it!!!) - wait until you have kids to get the bigger cars. You'll need them, and enjoy the freedom of a smaller one for now. Less about your net worth than practicality.

[Anonymous]

It's pretty crazy that you guys match us almost dollar for dollar on all of these numbers, except I have multiple kids with more college savings. We were comfortable each driving a 80k-90k car. Nothing says you can't go higher, especially if you're just going to have one car. People come out of college making 50k and buy a 20k Honda Civic. Why couldn't someone making 8 times as much spend 8 times as much on car (on the contrary, ability to pay should rise faster than income at a certain point)

[Anonymous]

No

[Anonymous]

Anonymous wrote:If you can pay cash, I guess so. If you have to finance, no. Kids are expensive. Very expensive.

This is such dumb advice. As has been said many times over on these car posts, financing is cheaper than paying cash if your return on investments > interest rate on debt

[Anonymous]

Range Rover = horribly unreliable vehicle. Budget a couple grand per year for repairs.

The LX570 literally looks like a vehicle from 2004.

Why would you want these behemoth gas guzzlers?

There's so many cooler cars you could get for less money: Tesla X or Y, Rivian R1S, VW ID.4, etc. All of these cars would scratch that itch at $30-50K cheaper. Or the Kia Telluride if you want to go with the ICE.

You can afford it.....but I question your judgment.

[Anonymous]

Pp here. Let’s just say you have two kids. If you dont stay home, you have to pay daycare. And then preschool. Have to. And my two kids are in private school. If you think that is even remotely possible, consider that we pay about 80k every year. Cash. For school. So then we have mortgage and college savings and things like that. Kids are expensive.

[Anonymous]

Why not wait until DW is actually pregnant? Could be a year newer. And if somehow you have fertility problems you’ll be glad to have the money for treatments.

[Anonymous]

Anonymous wrote:Pp here. Let’s just say you have two kids. If you dont stay home, you have to pay daycare. And then preschool. Have to. And my two kids are in private school. If you think that is even remotely possible, consider that we pay about 80k every year. Cash. For school. So then we have mortgage and college savings and things like that. Kids are expensive.

Where did OP say they were going to waste money on private school?

[Anonymous]

You can and you know it.

[Anonymous]

Look into the time value of money concept. It's better to buy these expensive cars later in life once money has piled up and each incremental dollar has less future potential.

https://www.investopedia.com/terms/t/timevalueofmoney.asp

[Anonymous]

Anonymous wrote:Range Rover = horribly unreliable vehicle. Budget a couple grand per year for repairs.

The LX570 literally looks like a vehicle from 2004.

Why would you want these behemoth gas guzzlers?

There's so many cooler cars you could get for less money: Tesla X or Y, Rivian R1S, VW ID.4, etc. All of these cars would scratch that itch at $30-50K cheaper. Or the Kia Telluride if you want to go with the ICE.

You can afford it.....but I question your judgment.

This is so true. Theyre so ugly

[Anonymous]

Since this is the Money and Finances forum, my answer is yes, of course you can afford it. I personally think it's a stupid thing to spend $100K on, but you can definitely afford it.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Pp here. Let’s just say you have two kids. If you dont stay home, you have to pay daycare. And then preschool. Have to. And my two kids are in private school. If you think that is even remotely possible, consider that we pay about 80k every year. Cash. For school. So then we have mortgage and college savings and things like that. Kids are expensive.

Where did OP say they were going to waste money on private school?

m
You are a jerk. I have special needs kids. I didn’t plan to but I do. Life is full of surprises and stupid over the top luxuries make unexpected hardships just that much harder. Try not to think everyone has the same life as you. We all walk a different path. So glad yours is problem free. Mine has not been so eff off.