Moving jobs - can I finally afford my dream? | FerrariChat

Moving jobs - can I finally afford my dream?

Discussion in 'Ferrari Discussion (not model specific)' started by ZBanks, Oct 16, 2018.

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  1. ZBanks

    ZBanks Rookie

    Oct 16, 2018
    1
    Full Name:
    Zachary Banks
    #1 ZBanks, Oct 16, 2018
    Last edited by a moderator: Oct 16, 2018
    Hi! I'm moving away from London to Oxford to further my career and further my journey to a Ferrari ;) And with property being cheaper in Oxford than London my monthly expenditure will be down hugely, and with the new job my income is up. I currently have about £90,000 saved and another few thousand in various investments, and can imagine in a year of living cheaper than before I can save around £35,000 a year. Is it worth it? Would you do the same?

    Look forward to hearing from you :)
     
  2. greyboxer

    greyboxer F1 World Champ

    Dec 8, 2004
    12,282
    South East
    Full Name:
    Jimmie
    Welcome and good luck with your ambition

    It sounds like you are budgeting on a very new car but is that necessarily what you want ? Perhaps something like a 430 might do the trick for you

    You'll need running costs (regular maintenance and insurance) as well as purchase plus most folk here recommend a rainy day fund for if a big bill comes along

    And as the cars can be slow and/or expensive to sell be comfortable in your new job rather than spending it all on day one

    A bit more information might be helpful and don't forget there's lots of sections below where the merits of various models are discussed at length which are well worth spending some time browsing through - there are also previous 'do I earn enough' type threads here which might be worth a look (for dollars read pounds)
     
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  3. JimEakin

    JimEakin Formula Junior

    Jun 13, 2015
    988
    Mountain Living
    Full Name:
    Jim
    I like to tell my story of my $300,000 Corvette. I bought my Corvette new for about $55,000, with $850 a month payment. My girlfriend at the time, a real estate agent, was pushing for me to buy a condo for $125,000, $850 a month payment. I bought the Corvette, instead. 15 years later, the Corvette was worth about $15,000 while the condo was worth $350,000.

    So I learned a couple of lessons: invest wisely and you can have the cash to buy what you want. Until you have a lot of wealth, avoid taking a huge depreciation by buying a new car. You can find really low miles older Ferraris that won't depreciate that much, even though you always need to have some mad money for the repairs.
     
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  4. AceMaster

    AceMaster Three Time F1 World Champ

    Feb 6, 2009
    34,548
    Ontario, Canada
    Full Name:
    Mike
    Jim, you can never lose with real estate.
     
  5. MrF355

    MrF355 Formula Junior

    Mar 4, 2008
    493
    Sydney
    Full Name:
    Kimi
    Very true and applies no matter what part of the world you are in. To the OP sounds like you are young and don't own your own home. I would first purchase my home pay it off build up an investment portfolio and then look to purchase a Ferrari. With assets and a passive income Ferrari affordability is greatly enhanced. It worked for me but not everyone I suspect will agree with me.
     
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  6. Texas Forever

    Texas Forever Seven Time F1 World Champ
    Rossa Subscribed

    Apr 28, 2003
    75,386
    Texas!
    Seriously?
     
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  7. MrF355

    MrF355 Formula Junior

    Mar 4, 2008
    493
    Sydney
    Full Name:
    Kimi
    Yes s seriously. Perhaps in the short term if you buy at the peak of the market but as a long term investment no. You also need to make the right purchase. Maybe things are different in your part of the world.
     
  8. BMW.SauberF1Team

    BMW.SauberF1Team F1 World Champ

    Dec 4, 2004
    14,244
    Lol that has to be a joke.
     
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  9. AceMaster

    AceMaster Three Time F1 World Champ

    Feb 6, 2009
    34,548
    Ontario, Canada
    Full Name:
    Mike
    Actually no joke
     
  10. AceMaster

    AceMaster Three Time F1 World Champ

    Feb 6, 2009
    34,548
    Ontario, Canada
    Full Name:
    Mike
    Yes
     
  11. Texas Forever

    Texas Forever Seven Time F1 World Champ
    Rossa Subscribed

    Apr 28, 2003
    75,386
    Texas!
    Come on down to Texas, I’ve got some real estate I’d love to sell you.


    Sent from my iPhone using FerrariChat
     
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  12. A348W

    A348W Formula 3

    Jun 28, 2017
    1,741
    North Wiltshire, UK
    Depends what you want to do. Everybody has different objectives/desires and hence financial risk appetite!

    With your budget, get a good tidy 360, find your way into the marque and go from there. Market seems a bit flat at the moment, and especially as we come into winter so I suspect pricing could be competative. Get the right one, I suspect you wouldn't loose, and even if you do loose it wouldn't be much.

    Good luck. (Get out to the local groups and pick people brains.)

    (You can certainly loose on property in the short term. But fairly rare in the Uk.)
     
  13. Jaguar36

    Jaguar36 Formula Junior

    Nov 8, 2010
    834
    Cherry Hill, NJ
    Yeah no.
    I bought my house over a decade ago, and it still worth less than what I paid for it. Not to mention that I've spent more than what the house is worth in renovations and maintenance. Ohh and taxes, don't forget them.

    On the upside I've had a nice place to live for all that time which is worth it for me.

    As an investment though, no, terrible advice.
     
  14. paulchua

    paulchua Cat Herder
    Lifetime Rossa Owner

    Jul 1, 2013
    15,979
    Menlo Park, CA
    Full Name:
    Paul Chua
    You know the cliche: location location location
     
  15. A348W

    A348W Formula 3

    Jun 28, 2017
    1,741
    North Wiltshire, UK
    In the uk it’s fairly hard to loose money on property. 5-10% per annum has been fairly normal for some time now. Brexit has cooled things a bit, but as long as you are sensible where you buy you’d be fine. I do know a few people who had negative equity back in the late 90s but that was temporary.
     
  16. paulchua

    paulchua Cat Herder
    Lifetime Rossa Owner

    Jul 1, 2013
    15,979
    Menlo Park, CA
    Full Name:
    Paul Chua
    All depends on what model. Personally, I would continue to save and wait for next economic downturn.
     
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  17. Statler

    Statler F1 World Champ

    Jun 7, 2011
    17,389
    I vote no but not because of any numbers... because asking strangers online if you have enough to buy shows you don't have the decision making skills to do it. everyone's priorities are different; risk adversity is different.... You can do basic math and see if a car at a certain price is worth it to you in terms of fun and balanced against basic needs and other discretionary expenses you think are important.
     
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  18. davemqv

    davemqv F1 Rookie

    Aug 28, 2014
    3,097
    USA
    Full Name:
    Dave
    Or he's just excited and happy about the prospect of finally being able to buy a Ferrari and keep his head above water in the other areas of his life, and felt compelled to share that excitement on a forum about Ferrari's, where he'd likely find other people who would understand that excitement. :)
     
  19. AceMaster

    AceMaster Three Time F1 World Champ

    Feb 6, 2009
    34,548
    Ontario, Canada
    Full Name:
    Mike
    Details.
     
  20. AceMaster

    AceMaster Three Time F1 World Champ

    Feb 6, 2009
    34,548
    Ontario, Canada
    Full Name:
    Mike
    Speak for yourself. I have 5 properties, all of which have at least doubled and some more than tripled.

    I guess you live in the wrong area for my argument to be valid.
     
  21. AceMaster

    AceMaster Three Time F1 World Champ

    Feb 6, 2009
    34,548
    Ontario, Canada
    Full Name:
    Mike
    Never argue with an American - they fail to grasp the concept that there is life outside of their borders.

    If their property values decrease, then by golly it must be the same way everywhere and anywhere on the globe.
     
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  22. BMW.SauberF1Team

    BMW.SauberF1Team F1 World Champ

    Dec 4, 2004
    14,244
    Actually no one painted with a broad brush here except you. You said you can't lose on real estate. I said that is incorrect because you can. You can also win with real estate. I never said all real estate had gone down regardless of location but your statement said you can't lose on RE.
     
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  23. Statler

    Statler F1 World Champ

    Jun 7, 2011
    17,389
    I’ll be the first to congratulate him and enjoy reading about the first drives.
     
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  24. AceMaster

    AceMaster Three Time F1 World Champ

    Feb 6, 2009
    34,548
    Ontario, Canada
    Full Name:
    Mike
    And I stand behind what I said.
     
  25. Jaguar36

    Jaguar36 Formula Junior

    Nov 8, 2010
    834
    Cherry Hill, NJ
    Your argument said "never". It didn't say "In my geographical area" or "in some parts of the world". Obviously you can make money in real estate, and obviously real estate frequently goes up. That is not to say you can never lose in real estate, there are many situations and many locations where you can lose. Real estate is just like any other investment, there are risks involved with it.

    Talk of a house being the best investment you can ever make, or you can never go wrong with real estate is one reason why alot of people end up spending way more on houses then they should.


    Back to the op, is the £90,000 you have saved your entire savings, or just the portion of your savings you have allocated for a Ferrari? It sounds like that's your entire savings, in which case I would certainly wait awhile until you have plenty saved up beyond the cost of a Ferrari for unexpected events.
     
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