R2 Delivery Problems

[Dennisis]

If you get a good rate, it is much better financial decision to finance and invest the principal. Otherwise you are flushing money down the drain. Giving up a good rate makes Zero sense to me.

This is ridiculous - just a general reply to peoples very specific financial situations. And again, some find value in not being in debt.

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[tivoboy]

That is excellent these days... I only checked one CU as I probably was not financing.

Yeah, I think it’s a semi subsidized rate via the alumni association..they do this often, employers will as well sometimes.

 

[Dennisis]

Yeah, I think it’s a semi subsidized rate via the alumni association..they do this often, employers will as well sometimes.

Navy Federal has 3.89 or 4.29 depending on term.

 

[Blitzjb]

This is ridiculous - just a general reply to peoples very specific financial situations. And again, some find value in not being in debt.

Exactly. It is liberating to be debt free....... I have an 850 credit score- and proud of it!

 

[Hereforthesnacks]

This is ridiculous - just a general reply to peoples very specific financial situations. And again, some find value in not being in debt.

lol I was obviously being tongue in cheek with my specifics. But the principle of financing at good rates and putting your money to work is what every financial advisor would tell you to do. Same with mortgage etc.

You just have to have the discipline. In fact, buying a house with a mortgage and a good rate and investing the rest of the cash means the house pays for itself over 30 years. Cars can’t quite do that since you are looking at 4-6 year loans.

 

[Blitzjb]

lol I was obviously being tongue in cheek with my specifics. But the principle of financing at good rates and putting your money to work is what every financial advisor would tell you to do. Same with mortgage etc.

You just have to have the discipline. In fact, buying a house with a mortgage and a good rate and investing the rest of the cash means the house pays for itself over 30 years. Cars can’t quite do that since you are looking at 4-6 year loans.

Real Estate appreciates, Cars depreciate.....

 

[Hereforthesnacks]

Real Estate appreciates, Cars depreciate.....

Lol are you just spitting out random terms now? This has nothing to do with with financing or not.

Houses use water. Cars don’t. Cash is better.

 

[Dennisis]

I know we’ve strayed off topic, apologies. My point was R2 lease terms make leasing it a poor choice, recommend pursuing alternatives.

 

[Blitzjb]

Lol are you just spitting out random terms now? This has nothing to do with with financing or not.

Houses use water. Cars don’t. Cash is better.

This has nothing to do with the financing topis? Oh boy.... At least you are a fellow Bronco owner...

 

[Millbarge]

Lol are you just spitting out random terms now? This has nothing to do with with financing or not.

LOL - of course it does. How do you think people end up underwater on car loans with much more frequency than they do on home loans?

 

[Hereforthesnacks]

LOL - of course it does. How do you think people end up underwater on car loans with much more frequency than they do on home loans?

If you plan to keep the asset beyond the loan then you will never be underwater in a relevant way.

All that matters is how much you are paying for it vs how much the sticker is - house or car. And horizon for investment return. You will never care about being underwater on a car on a good loan if you invest the saved cash and keep the car past the loan. In fact, with a good loan and invested money, you would have paid less for the car than paying cash. It’s the advice any competent financial advisor would give someone.

Real world example. $80k 2022 R1 financed at 3.5% for 6 years. You pay about $90k with interest. The $80k in an S&P index fund is likely to end up at about $150k in 2028 (partly projected). Why is cash better? Why pay more for the car? Lol

 

[Millbarge]

If you plan to keep the asset beyond the loan then you will never be underwater in a relevant way.

LOL - "if you're good with money, you'll never be bad with money."

 

[Dennisis]

If you plan to keep the asset beyond the loan then you will never be underwater in a relevant way.

All that matters is how much you are paying for it vs how much the sticker is - house or car. And horizon for investment return. You will never care about being underwater on a car on a good loan if you invest the saved cash and keep the car past the loan. In fact, with a good loan and invested money, you would have paid less for the car than paying cash. It’s the advice any competent financial advisor would give someone.

Real world example. $80k 2022 R1 financed at 3.5% for 6 years. You pay about $90k with interest. The $80k in an S&P index fund is likely to end up at about $150k in 2028 (partly projected). Why is cash better? Why pay more for the car? Lol

Yep in your scenario you’ve cracked the code! You win! Can we move on to the subject of the thread now? Lol

 

[Hereforthesnacks]

Yep in your scenario you’ve cracked the code! You win! Can we move on to the subject of the thread now? Lol

Leases are expensive. R2 deliveries could improve with better communication.

 

[kah]

The lowest interest rate from a credit union for the R2 is 5.14%. No need to finance.

Today I received 4.69 from Andrews FCU.

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