Can People Really Afford These Luxury Cars?

[phucheneh]

I've worked for two luxury car dealers. Volvo and Infiniti.

The answer is generally 'no.' People cannot afford their cars. The most likely to authorize very costly repairs? The people driving old 850's or Q45's or something.

I remember a tech writing up a multi-thousand-dollar estimate on a rather beat 850 some years ago. It was not padded (any more than a normal dealer estimate, at least). The guy authorized it. They were going to require money up front, since the bill exceeded the value of the car, even once fixed. They decided against that when they looked up the guy's address and found that he lived in a very large house in the most expensive part of town (somewhere in the 500k-1m range).

 

[Zenmervolt]

The most likely to authorize very costly repairs? The people driving old 850's or Q45's or something.

I remember a tech writing up a multi-thousand-dollar estimate on a rather beat 850 some years ago. It was not padded (any more than a normal dealer estimate, at least). The guy authorized it. They were going to require money up front, since the bill exceeded the value of the car, even once fixed. They decided against that when they looked up the guy's address and found that he lived in a very large house in the most expensive part of town (somewhere in the 500k-1m range).

I've noticed that too. The original 850/S70 series and first-generation Q45 series were pretty great vehicles though and they still have some very strong enthusiast followings.

I think that older cars tend to weed out the casual owners, leaving only those who truly enjoy the cars. I think there are probably actually more car guys buying the newer cars numerically, but because it's a smaller percentage it seems like fewer.

ZV

 

[madoka]

I've worked for two luxury car dealers. Volvo and Infiniti.

The answer is generally 'no.' People cannot afford their cars. The most likely to authorize very costly repairs? The people driving old 850's or Q45's or something.

I think every two years I spend more to keep my 18 year old Nissan running than the car is worth. It is worth far more to me than whatever Blue Book is on it.

 

[exdeath]

I think every two years I spend more to keep my 18 year old Nissan running than the car is worth. It is worth far more to me than whatever Blue Book is on it.

Same with my 95 Camry 2.2 5 speed.

It's worth more to me just in the utility of having another running vehicle I can drive rain or shine than the $1500 or less that it's worth.

Definitely have more in it on maintenance than it's worth.

I get stupid attached to cars.

 

[Grooveriding]

?

Your thread doesn't make sense and boils down to a belittlement of those who choose to spend more on a car than you do. It's all about priorities and what is important to you.

We have two cars, a Mazda 3 hatchback and an Audi A8 4.0. Wife and I drive both, neither uses one or the other exclusively. Sometimes you just like having nice things /shrug What's the point of working your ass off if not to enjoy the fruits of your labours ?

Maybe you choose to live in a better home than we do and drive a more affordable car. It's all about priorities and weighing your personal wants/needs.

 

[CraigRT]

If I made that much money I would at the very least be driving an E39 M5. I would not buy a new car, but a nice used one for sure. That car has great bang for buck.

You see people who make a lot less than you driving much nicer cars, so I'd say you're one of the smarter ones.

 

[BassBomb]

This goes for people who mod their car in a way you don't like. They like it so why should you care (I mean as long as its not intruding on other drivers)

I have an Accord which I'll drive till it falls off. If I could afford a nicer car say a TL, I would. I am enjoying my car even though I could be driving a Civic and save money. I took the comfort over savings.

 

[gmaster456]

You don't have to drop $200k on a brand new car. The used models carry the same badge and are considerably cheaper. And you get a nice car to drive to boot.

You can get one of these for $45k. Granted repairs are costly.

 

[AmdEmAll]

I drive a 2002 Lexus LS430 so I guess that means im this?

1. Vanity issue, insecurity, stroke myself, status seeker, "emulator". (Probably 80 to 90% of the owners)

Well the girls do like it.. but I really own it because I can do all my own work on it and I have always wanted one. The car is amazing in every way.. so why the hell would I drive a Toyota Camry when for a few grand more I can drive this?

 

[Vic Vega]

I'm around 30 yo and make over 136K a yr. I drive a 1999 Toyota Camry with around 104K on it right now. Just a few weeks ago I did (by myself) a timing belt change along with oil pump seal, crank seal, cam seal. I have excellent credit and can walk into a Jag, BMW, Mercedes, Volvo dealership and finance/purchase any of their mainstream vehicles. If there is any issue on if I could afford it, I probably have enough liquid to purchase it outright. My philosophy is I drive a vehicle to get from point A to point B. As long as it's safe, reliable and efficient that is good enough for me. I will likely drive my Camry until the wheels fall off and it is beyond mechanical repair. I don't give a shit what anyone thinks about me based on what I drive.

Anyway tend to see people who drive luxury vehicles. My suspicion is....

1. Vanity issue, insecurity, stroke myself, status seeker, "emulator". (Probably 80 to 90% of the owners)
2. VP, Director, CEO (C class), Some MDs, Excess of 200K a yr (usually more) (5 to 10%).

Some people like nice cars.

I make more money than you and drove a 1996 Crown Victoria for almost ten years. I recently bought a new (to me) 2012 car and paid cash for it.

If you like driving your Camry then by all means keep doing so.

 

[AdamK47]

Some people like nice cars.

I make more money than you and drove a 1996 Crown Victoria for almost ten years. I recently bought a new (to me) 2012 car and paid cash for it.

If you like driving your Camry then by all means keep doing so.

Pssssst.... he was trolling. Just wanted to clue you in on the latest intelligence info gathered from this thread.

 

[zCypher]

Lame troll thread, but a lot of great posts!

I've spent time driving cars I should never have purchased if viewed from a purely financial standpoint, but like many have said it all has to do with where you like to spend your money. A family friend makes quite a bit of money, but always drives an old ass Taurus. Just doesn't care to spend money on that...

I don't make anywhere near OP claimed salary and probably won't for a long time but somehow I manage to have everything I need and most of what I want too. Mind blasting!

Actually, I don't even have a car at the moment. After having a stretch of incredible weather, I really felt the desire to get a convertible or something. However I am sticking to getting a motorcycle as my toy since I've wanted one for so long and I don't really need a car anyway.

As for making payments, auto loans have their place. If you have a very low interest rate or 0%, it can make sense to pay a loan instead of paying the whole car up front. You can do better with your money than put it all into a quickly depreciating hunk of metal and plastic all at once. Doesn't automatically mean you are poor or are living above your means. Just cause some people do this, doesn't mean it's the case for anyone who takes a loan.

 

[Leyawiin]

Same with my 95 Camry 2.2 5 speed.

Best looking generation of Camry made. Very classy. Every one after that has looked like cheap, dowdy crap.

 

[hans007]

Best looking generation of Camry made. Very classy. Every one after that has looked like cheap, dowdy crap.

My dad had a 96. Still running and being used in mexico by some employees.


That gen was very well built . Toyota started making them cheaper after that since they figured out Americans didn't care . That was the last gen built in japan. I know my dads had the 3.0 v6 was shutter smooth of an engine ( way smoother than say the new turbo 4s everything has now) and was a japan build

 

[halik]

^ spam

Spam was removed. -Admin DrPizza

 

[mmntech]

My parents both own luxury cars. My mom has a 1997 Lexus ES300 and my dad has a 2006 Audi A6. They owned their own business, worked very hard, and these two cars were the result of some very good years.

I see a lot of guys in their 20s these days though driving around in BWM 3 series and Mercedes Benz C-class cars, or better. A lot of them look brand new too. I don't make terrible money but I know I can't afford them. People in their 30s are running around in new $40,000+ SUVs. I must be doing something wrong.

Of course this is ATG so anyone driving anything less than a BMW M3 is considered a peasant.

 

[tamm]

I have to add (or more like support since I think someone already mentioned it) driving experience. I love my corolla, and its just dandy when commuting, as its super easy (steering is feather-like) and efficient, and the fact your not driving in an F1 race, but more like a froggy type driving circuit; trying to figure out the best way to avoid other cars and get their on time. However I remember sometimes driving a mountain pass with the corolla and wanting more, since the corolla suspension tends to float and thats kind of a weird experience when your driving a mountain pass. A buddy took me in his BMW X3 and that was a train on wheels. So driving experience is a plus.


Additionally, I was reading an article on I think WSJ, and they were talking about the easement situation and how car loans providers are reevaluating their criteria. Once specific point was that car loan amounts must be only 36% of loanee's annual income to be approved. So something to consider when asking the question in the title

 

[WhoBeDaPlaya]

Anyway tend to see people who drive luxury vehicles. My suspicion is....

Meh, I got my 06 LS for a song (to me) and love it. Will drive it 'till it gives up the ghost, and it still turns heads (people can't believe that it is an 06 - apparently they routinely beat the sh*t out of their cars).

I live in Minneapolis, we get snow and lots of salt on the roads... 4-5 months a year RWD "sports" cars are next to worthless. I see TONS of people driving cars that are by no means cheap $40k+ "sports" cars all year round (lot more that are $65k+)

I drove a lot between Minneapolis and Ames. Never had any issues with getting around. Two bags of sand in the trunk, good winter rubber and RWD = fun on the bun.
That said, I did try to use my old 98 Cavvy as a winter beater for shorter in-town trips

Yes, and hopefully those people stay away from Minnesota...and other snowy regions!

Have you seen Dallas when we get the least bit of ice, slush or snow? Turns into a city of clowns

Oh yeah? I make 200,000.01 and take the bus!

That's one helluva bus! :biggrin:

 

[senseamp]

Considering how good even economy cars are nowadays, nobody really needs a luxury car. But if they want one, they should go for it, even if I personally wouldn't. If people only bought things they need, many of us would be out of a job

 

[tsupersonic]

You joined just to post that in a 3+ year old thread?

And you and Iron/Wing just had to respond?
admin allisolm

 

[IronWing]

You joined just to post that in a 3+ year old thread?

Profile spammer.