Comments on: Is Buying that New BMW in your 20’s Really Worth It? By: Jake Kuss

By: joshgoodman3

joshgoodman3 — Tue, 23 Sep 2008 01:31:29 +0000

I do not think that buying a bmw in your 20s is worth it. There is absolutely no need to spend that kind of money on a car before so many other things have not been attained. Many people think that a car defines who you are. I read the book “The Millionaire Next Door” and it clearly says that the successful person is not the one with the fancy car or the fancy watch. He is the one that knows where and when to spend the money and not be flassy about it. There are appropriate times for someone to own something that is a big expense. Someone in their twenties is starting out and researching the possibilities to own a home. I think that that is what should come first – buying a home or a piece of property. The car is a toy as there are so many others that are less expensive. It also gives incentive to work harder and save more to try and buy the ultimate dream car. Having goals is important and if someone wants or always dreamt of a special car then there should be goal to follow to get to it. Nothing comes easy and it is sure more satisfying when you have to work hard to get it.

By: daniellee2

daniellee2 — Sun, 21 Sep 2008 17:32:27 +0000

Sure, its nice to have the car you always dreamed about right out of college, but it is important to realize the added costs to purchasing something like a car or house. Many of us are probably in debt from the students loans and credit cards we use during college, which will all have to paid off after graduation. Factoring the cost of an expensive car does not seem like the smart financial decision.

By: cdaviscpa

cdaviscpa — Sun, 21 Sep 2008 02:52:42 +0000

My advice is to buy whatever you can afford to buy with cash. My personal value is to buy a reasonably priced car. I was not always that way. At the age of 50 I have owned a BMW, an Audi, two Fords two VW’s and a 15 year old Suburban. My favorite car is the old Suburban – 275,000 miles and humming. It is relegated to hauling gardening and home improvement supplies now but I can’t bear to part with it. Not pretty but reliable.

The VW’s were the least expensive cars and the most fun per dollar. The BMW and Audi were way too expensive to acquire and operate. Great cars but budget busters (and I was making A LOT of money at the time). Would not go that way again.

Whatever you do – save the money and pay cash. On a basic car that will save you at least $2000 without even negotiating. Remember – the reason most people are broke is parked in their driveway.

By: stephaniehan

stephaniehan — Sat, 20 Sep 2008 02:31:26 +0000

M mother just recently gave me some advice. The markets are a crazy thing and everyone would love a large paycheck. But as other people have commented before it is all about your values and being smart. You have to do a cost benefit analysis. Would you rather have a high salary but give up your life working as slave labor? Its important to make healthy choices, buying that bmw or putting it towards a life and a family. It depends on what you value and what makes you happy. So although a car isn’t the smartest decision, it might make you happy. And why wouldn’t want to be happy?

By: mfschoeneck

mfschoeneck — Thu, 18 Sep 2008 01:04:30 +0000

My Father use to own a Automotive repair shop and I have grown up working on cars my entire life. One of the things my Father always use to tell me was the more expensive car you buy, the more expensive repairs are going to be on them. So when looking to purchase a new car (brand new or used), the buyer has to look into the additional costs of the purchase. Insurance, repair, and even maintenance. These costs can be a small fortune if you buy the best car on the market. You must also look into all of the factors when you buy a car. Just like every large financial purchase, you have to research the additional costs that go along with the purchase.
Additionally I feel that if you save money now and wait to spend it when you get older you can drive that car you alway have dreamed about. Plus if you wait longer you will probably get a better car with the new and best technologies. When your retire you have nothing better to do then spend money so you might as well have a lot of it to spend.

By: patricksullivan

patricksullivan — Thu, 18 Sep 2008 00:04:07 +0000

A car is a terrible investment. It depreciates the second you drive it off the lot. In addition to the initial expense of owning a expensive car one must remember the insurance on the vehicle. The rates on a new luxury car could be very steep for a 20 something year old driver. The person is better off saving and putting the money into something more practical like a home.

By: alexchung01

alexchung01 — Wed, 17 Sep 2008 21:23:04 +0000

This article is important because I’m sure everyone out of college wants to land that huge job and make all the money right away. It shouldn’t be about making all the money right away anyway because the first thing you should with the money you earn is to start saving for the future. Be able to budget yourself. Our parents have worked real hard for us to be where we are now and for us to come out of college and buy a $35,000 car is ridiculous. First year out of colleges even if you are making so much money, there’s no reason to spend it on a luxury car when you can buy other cars such as a honda or ford and be able to get around.

By: joshwilliams11

joshwilliams11 — Wed, 17 Sep 2008 20:38:38 +0000

The way I think about this article is that it is much more of your own personal values. If you are the type of person that likes to live life one day at a time then buying the BMW might be a good idea. No one knows how many days they have left so if you have an opportunity to do something then they should take advantage. When people get older they are always saying “take advantage when your young”. It is also very important to save your money, but if you are thinking about get a BMW i think you are doing pretty well for yourself. At the same time when buying a BMW most often you are buying the logo not the car, so buying a high-end car that does not have the luxurious name of BMW might not be a bad idea.

By: bmkriger

bmkriger — Wed, 17 Sep 2008 20:01:51 +0000

The golden rule that EVERYBODY needs to learn right from the get-go is:

“ITS NOT HOW MUCH YOU MAKE, ITS HOW MUCH YOU SAVE”

Life is a trade off. Whenever you choose on thing, you forgo another thing. This is called opportunity cost. In truth, the fact that this girl is asking a question like this is silly. No financial calculator can really answer her question. The question isn’t math, its about values.

So what if she figures out if she can afford the BMW or not. What is she going to do next time she wants to buy something? Maybe a watch, or Prada shoes? Is she going to consult a financial calculator each time she makes a noteworthy purchase?

She needs to weigh the ups and downs of her decision, and not just using financials. Maybe she needs the car to look a certain way to potential clients, or maybe potential clients will look down on her for splurging on the car. This is just one example of something she would have to think of.

Personally, I’d rather have an Audi anyway…

By: scottcraft

scottcraft — Wed, 17 Sep 2008 19:22:26 +0000

I like to think that graduating from Syracuse University, we are all very likely to get a pretty respectable college right after graduation. But having a high-paying job doesn’t necessarily entitle us to going out and splurging on a fresh BMW right away. I agree with the suggestion that you need to live below your means for a while until you’ve built up a bit of a nest egg in a retirement fund. As cool as it would be to have a bigger house than we could necessarily afford, there’s nothing cool about risking your credit by defaulting on a home mortgage or car lease–especially with the currently volatile and unpredictable economy.