thank you for your response I really appreciate it! I see where your coming from 7 year loan in any account is never a good thing spending 7 years paying a loan off for a car I can lose in one big swoop weather that is maintenance or what happens in life is not a smart move. I feel as if I’m looking for that one article that says go for it as a means to give me satisfaction to go and do it,I’m glad that people in this have shown that maybe it’s cool right now, but look at we’re im going to be, to which I turned a blind eye towards.Wait - without a doubt.
An R8 is a toy that you buy with disposable income. If you're doing things like analyzing monthly payments, looking at 7+ year loans, etc., it's an indicator that you'd be putting yourself in a bad spot. Regardless of the car payment on a predatory 7+ year loan, you'd need to be prepared for significant repair bills on an exotic that's now 12 - 13 years old.
Loving something and wanting it doesn't make it a good financial decision. You can screw up your entire life by making decisions that put you in a financial hole - whether like this or otherwise. People don't often realize (until it's too late in life) that your financial health equates to freedom, and putting yourself in difficult financial situations limits your choices in life.
At 19 years old, you should be in college and broke. I had NO car at 19 - not for the lack of interest but it made no sense. Instead of looking at the R8, I'd recommend the following:
- Work on your education first. Whether this is college, trade school, apprenticeship, or learning skills somewhere on the job in a career that has a future. At 19 years old, your #1 objective is to build skills that are marketable. Having debt over your head will limit you. DO NOT accumulate any debt. Debt is one of the fastest ways to ruin your life. Read and re-read that last sentence.
- As an aside on the above, you'll notice I mentioned alternatives to college. Again, this comes back to debt. There are plenty of worthless degrees out there with colleges that will gladly put you in debt for a $200k degree in basket weaving. You'll need to be smart about ensuring the investment pays off. But DO invest in your education and skills first - well before a car.
- Start tracking your net worth. This is simply your assets (what you have in the bank, investments, house, etc.) minus your liabilities (loan debt, credit card debt, mortgage debt, etc.). You want that number to rise - assets going up, debt going down. Track it monthly - make it a game. Set goals for yourself regarding where you want it to be 6 months, 12 months, 24 months from now.
- Start investing. One of the most important lessons you can learn NOW while you're young is that most people don't become wealthy by earning a paycheck. Yes, it helps (and it's very important!) to have a good paying job - this provides stability and seed for your investments. However, if you simply earned a nice living and spent it all, you'd never grow your wealth. Investing is required. You need to get your money to make money. There's no silver bullet or "get rich quick" here - anyone, any website, or any WHATEVER that tells you otherwise is lying - run from it. The simplest way to do this is by putting regular monthly deposits into a brokerage, 401k, IRA, or other such vehicle. Pick a simple fund that mirrors the market, and put money in every single month. Don't touch it, just let it grow. Compounding will do the rest. Pick up a good book for beginners and make it your gospel. Learning how to properly invest is a make-it or break-it skill - your long-term financial health and success depends upon it.
Simply put, the R8 (or whatever fancy toy you want) is the thing that comes AFTER you've set yourself up nicely in life. I would have loved a car like the R8 at 19 - but it would have been a disaster on so many levels.
Currently I’m working on going into real estate testing the water for 5 years after that if it not going to pan out ima go into the electric union, I believe your right, right now invest in myself before investing in a car that isn’t going to help me long run, yes it’s cool but not what I need right now.
Thank you so much for your advice it really help me look at what I should do before doing something like a 7 year loan on a car that’s still going to cost me on top of what I’m already paying!!