[TheMaxXHD]

Originally Posted by Unbuckled2579

What's crazy to me is that I have an 850 score, make 250k per year, am a multi millionaire and I'm still hesitating on buying a car slightly under 70k. I think that's what growing up poor does to you, it's hard to spend. Meanwhile kids who grew up in comfort/wealth barely even question stretching their limits.

I guarantee you, I am not stretching my limits by buying an m340i a few months after I graduated college, and I make a lot less than you do. It isn't just about net worth or salary. There are many factors at play. Expenses, debt, liquid cash amount, etc. Even people's risk factors.

Affording is different to different people. I would be lying if I said I wasn't worrying at all about the cost of my soon to arrive car. That said, I want the car, I looked at my finances, I determined I can do it, that I have the money, for a substantial downpayment (greater than 20% actually), and if something goes wrong with my job, I can afford the car payment for quite a while with a nice sized emergency fund.

At the end, I said, it's a lot of money, but I want it, I can do it, and it makes sense in the here and now where I am in my life. Everyone's assessment will be different. I don't have kids, I don't own a home and don't plan on it for a few years. I am able to live with really low expenses. Not everyone is like that. What makes sense for one person, won't for another person. Salary, is only a small piece of the puzzle.

In conclusion, everyone has to figure it out for themselves. There are obvious indicators of whether or not you can afford x, y, or z. But then there are less obvious indicators. And sometimes, for some people, the risk is worth it.

[Unbuckled2579]

Originally Posted by TheMaxXHD

I guarantee you, I am not stretching my limits by buying an m340i a few months after I graduated college, and I make a lot less than you do. It isn't just about net worth or salary. There are many factors at play. Expenses, debt, liquid cash amount, etc. Even people's risk factors.

Affording is different to different people. I would be lying if I said I wasn't worrying at all about the cost of my soon to arrive car. That said, I want the car, I looked at my finances, I determined I can do it, that I have the money, for a substantial downpayment (greater than 20% actually), and if something goes wrong with my job, I can afford the car payment for quite a while with a nice sized emergency fund.

At the end, I said, it's a lot of money, but I want it, I can do it, and it makes sense in the here and now where I am in my life. Everyone's assessment will be different. I don't have kids, I don't own a home and don't plan on it for a few years. I am able to live with really low expenses. Not everyone is like that. What makes sense for one person, won't for another person. Salary, is only a small piece of the puzzle.

In conclusion, everyone has to figure it out for themselves. There are obvious indicators of whether or not you can afford x, y, or z. But then there are less obvious indicators. And sometimes, for some people, the risk is worth it.

Well I certainly hope you enjoy it once you get it, make the most of it

[Panscan340]

Originally Posted by TheMaxXHD

I guarantee you, I am not stretching my limits by buying an m340i a few months after I graduated college, and I make a lot less than you do. It isn't just about net worth or salary. There are many factors at play. Expenses, debt, liquid cash amount, etc. Even people's risk factors.

Affording is different to different people. I would be lying if I said I wasn't worrying at all about the cost of my soon to arrive car. That said, I want the car, I looked at my finances, I determined I can do it, that I have the money, for a substantial downpayment (greater than 20% actually), and if something goes wrong with my job, I can afford the car payment for quite a while with a nice sized emergency fund.

At the end, I said, it's a lot of money, but I want it, I can do it, and it makes sense in the here and now where I am in my life. Everyone's assessment will be different. I don't have kids, I don't own a home and don't plan on it for a few years. I am able to live with really low expenses. Not everyone is like that. What makes sense for one person, won't for another person. Salary, is only a small piece of the puzzle.

In conclusion, everyone has to figure it out for themselves. There are obvious indicators of whether or not you can afford x, y, or z. But then there are less obvious indicators. And sometimes, for some people, the risk is worth it.

If you make a lot less than the quoted post and you just graduated college, possibly with debt then yes you are stretching yourself and that's not a great financial decision. It may be worth it to you but that's not a great move for most people.

That payment on a 60k car is going to take up a fair amount of your paycheck. Combine it with loans and there isn't a ton of money to save for retirement or other living expenses.

Would not advise, but personal finance is personal.

[TheMaxXHD]

Originally Posted by Panscan340

If you make a lot less than the quoted post and you just graduated college, possibly with debt then yes you are stretching yourself and that's not a great financial decision. It may be worth it to you but that's not a great move for most people.

That payment on a 60k car is going to take up a fair amount of your paycheck. Combine it with loans and there isn't a ton of money to save for retirement or other living expenses.

Would not advise, but personal finance is personal.

As I said, salary is not the only thing to consider. I did some napkin math real quick, if I really really wanted to, I could pay the car off in its entirety by the end of summer next year (I am not including my 1 year expenses emergency fund). Does that appear like I am stretching it to you? I have no other debt. I am already putting money into retirement, quite a bit.

My ace card? I am not currently paying 1000+ a month in housing. If I was, then I would agree with you, and I likely wouldn't be buying a BMW.

As always, my takeaway hasn't changed for these types of questions. Unless anyone here wants to breakdown their income, expenses, and debt, trying to make an accurate assessment on whether someone is "stretching themselves" financially is difficult. These questions are too hard to answer, which is why my point is, don't answer them, and instead give guidance, not definitive answers.

Guidance on insurance quotes, guidance on shopping for interest rates, shopping for deals, leasing vs loan, etc. Things that people don't know if they've never bought a car before. But not guidance on whether one can afford or not. That is up to the due diligence of the person to determine. The OP in this thread was asking about credit score for getting a good deal (rate). Not a thread about who can or cannot afford the car.

[Ereim]

I just financed part of the vehicle @ 3.59%.

I believe my credit score was 795.