Gas prices going up.... Insurance going up....

[MigAce312]

I wanna get the cheapest, most fuel-efficient used car. I'm in college right now and that carries its own expenses. The only 2003 car I would think about getting is the Ford Focus. And thats if I happen to find 0% financing. Truth is I'm tiered of driving my '89 Plymouth Voyager and I think its time for another good car. My budget falls in at around $3000. Anyone know of any good car auctions near Florida? I live in Miami, FL but I am willing to go out of state if there is a good enough offer. Also, how much of a persons income can go towards the payment of a car? I don't pay rent or anyhting (I live with my mommy ). So what you peeps think?

 

[XMan]

I know it's out of your budget, but why not go for a Toyota Prius?

It's a gas-electric hybrid, about the same size as a Fuc-us, and gets 52MPG city, 45 highway (less because the batteries aren't used as much).

 

[PsychoAndy]

Miami is big enough to have its own auction, but TMK its dealers only. You have to show your license to get a bidder #. Call a broker and see if you can pay him to buy for you.

-PAB

 

[MigAce312]

So how much of a persons income can go to car payment?...is it something like 75% at the most?

 

[PsychoAndy]

Originally posted by: MigAce312
So how much of a persons income can go to car payment?...is it something like 75% at the most?

Are you high? 75% of my income towards a CAR? A house....MAYBE. But there is no way in hell 75% of your income should go into a depreciating pit of despair.

-PAB

 

[mithrandir2001]

Financial experts say your transportation expenses (payments, gas, insurance, maintanence, fees, etc.) should not exceed 10% of your gross income. So if you make $25,000 a year, you are looking at taking the bus; $50,000 a year you might be looking at a small used car; $100,000 a year you can finally afford something nice.

 

[Eli]

Originally posted by: mithrandir2001
Financial experts say your transportation expenses (payments, gas, insurance, maintanence, fees, etc.) should not exceed 10% of your gross income. So if you make $25,000 a year, you are looking at taking the bus; $50,000 a year you might be looking at a small used car; $100,000 a year you can finally afford something nice.

:Q

 

[SuperSix]

Originally posted by: PsychoAndy

Originally posted by: MigAce312
So how much of a persons income can go to car payment?...is it something like 75% at the most?

Are you high?

-PAB

LOL!

 

[Viper GTS]

10% is unrealistically low, reality says that many people who only make $25K need vehicles.

I wouldn't go over 25% though.

I've heard about a legal limit that car dealerships can't finance you over, but it's insanely high. Dunno if it's true though, but anybody who would do that is an absolute fvcking idiot.

Viper GTS

 

[Maetryx]

The percentage of your income for a HOUSE is about 45%. Anyway, get yourself a Subaru Justy. Their blue book value is rock bottom, yet Subarus are very reliable. My 1990 Subaru Justy has 4 wheel drive on demand, and gets 35mpg. It cost me $2900 and that's only because it has a new engine in it. Otherwise it would have been like $1800 or so.

 

[OS]

Originally posted by: mithrandir2001
Financial experts say your transportation expenses (payments, gas, insurance, maintanence, fees, etc.) should not exceed 10% of your gross income. So if you make $25,000 a year, you are looking at taking the bus; $50,000 a year you might be looking at a small used car; $100,000 a year you can finally afford something nice.

haha, yeah right.

If I'm pulling in 50K before tax as a single engineer, I sure as hell ain't driving my dates out in the corolla I drive now.

Financial experts often fail to consider the nice side benefits of a sweet car.

350Z, here I come. (~26K base)

 

[T2T III]

If I'm pulling in 50K before tax as a single engineer, I sure as hell ain't driving my dates out in the corolla I drive now.

When going on dates, why not splurge and spend $30 - $35 on a rental vehicle? This way, you would have a nicer vehicle for the date, but would be able to hold onto your economical Corolla during the 98% of other driving that you do.

 

[iamwiz82]

Originally posted by: OuterSquare

Originally posted by: mithrandir2001
Financial experts say your transportation expenses (payments, gas, insurance, maintanence, fees, etc.) should not exceed 10% of your gross income. So if you make $25,000 a year, you are looking at taking the bus; $50,000 a year you might be looking at a small used car; $100,000 a year you can finally afford something nice.

haha, yeah right.

If I'm pulling in 50K before tax as a single engineer, I sure as hell ain't driving my dates out in the corolla I drive now.

Financial experts often fail to consider the nice side benefits of a sweet car.

350Z, here I come. (~26K base)

heaven forbid you be seen in a car worht less than your annual income. You certainly remind me of the guy on this board that threw a hissy fit until his parents bought him a celica and then totalled it like a month later.

EDIT: DonNiggera, is that you?

 

[transluko]

Originally posted by: mithrandir2001
Financial experts say your transportation expenses (payments, gas, insurance, maintanence, fees, etc.) should not exceed 10% of your gross income. So if you make $25,000 a year, you are looking at taking the bus; $50,000 a year you might be looking at a small used car; $100,000 a year you can finally afford something nice.

Everyone knows this is per year, for the life of the car?

That means if you keep a car for 10 years then if you make $25,000 a year then you should spend only $25,000 on a car over 10 years.

And, of course that doesn't mean a $25,000 car. That means a cheap new or used car for ~5or6k and spend the rest of that 25,000 on insurance, gas, repairing over 10 years.

edit: does this make sense. i just thought of it from what mithrand said.

 

[Linflas]

Originally posted by: Maetryx
The percentage of your income for a HOUSE is about 45%. Anyway, get yourself a Subaru Justy. Their blue book value is rock bottom, yet Subarus are very reliable. My 1990 Subaru Justy has 4 wheel drive on demand, and gets 35mpg. It cost me $2900 and that's only because it has a new engine in it. Otherwise it would have been like $1800 or so.

I have been trying for 2 years now to kill my 1990 Subaru Legacy so I will be forced to finally get something better but the doggone thing is tough. :Q 190,000 miles and it refuses to die.

 

[mithrandir2001]

Originally posted by: transluko

Originally posted by: mithrandir2001
Financial experts say your transportation expenses (payments, gas, insurance, maintanence, fees, etc.) should not exceed 10% of your gross income. So if you make $25,000 a year, you are looking at taking the bus; $50,000 a year you might be looking at a small used car; $100,000 a year you can finally afford something nice.

Everyone knows this is per year, for the life of the car?

That means if you keep a car for 10 years then if you make $25,000 a year then you should spend only $25,000 on a car over 10 years.

And, of course that doesn't mean a $25,000 car. That means a cheap new or used car for ~5or6k and spend the rest of that 25,000 on insurance, gas, repairing over 10 years.

edit: does this make sense. i just thought of it from what mithrand said.

The suggested percentage is not fixed, obviously...I shouldn't have applied it that way. People who make very little will have a higher percentage of their income spent on housing, food and transportation (the necessities) than the wealthy. The 10% figure is aimed toward people earning in the middle. Spending $50,000 on transportation over 10 years (for a person making $50K) sounds reasonable. These financial experts are trying to steer you into a life of financial prudence: months of emergency cash, fully-funded tuition and retirement accounts, complete insurance coverage, etc. They don't care about your wants, unfortunately. To be financially healthy, it seems you have to live like a pauper.