GTR Forum banner
41 - 60 of 76 Posts

·
Registered
Joined
·
907 Posts
I agree with waiting for a better deposit im selling my car soon hopefully and waiting until feb or march the latest to get as much together as possible as i hate the fact of paying thousands of pounds in interest.
 

·
Registered
Joined
·
785 Posts
I've just heard of issues with the 09, and tbh would like the as-standard uprated power and tweaks in more recent models.
Mines an 09 matey. Had it from new 3 1/2 years. Done 26000 miles with no problems what so ever. Just look after it and it will run smooth.

If you want a 2011 model then with out a doubt they will be around £40k in 2 years anyway. I cant see any UK GTR dropping below £30k for a long while.
 

·
Registered
Joined
·
18 Posts
Discussion Starter · #45 ·
To be honest, these cars should never go below £30k because then every teenager with a bit of cash will snap them up and write them off. Knowing my luck, I'll have just bought one after all these years and then they'll bring out a new model and I'll want that one instead.
 

·
Registered
Joined
·
382 Posts
Don't know if it helps but this was/is my situation as I had the same kind of scenario as you..

I looked at financing a couple of years ago and bawked at the repayments so saved for a year and a half while driving a much cheaper car (350z - still very fun!) and then put down a big deposit with a small loan to cover the remaining amount. Sooo glad I waited and did it the sensible way plus it really focused me to save :)

Getting a 100% or close loan on a car is mad in my opinion unless you are uber flush or have the funds in your account and want to keep them there so pop it on your mortgage. If I'm honest I've purchased above my pay grade but I don't care as I've already done the sensible thing of getting a house with enough equity in it to be comfortable and I know that I can afford to run her and handle any surprise big bills that may crop up and if shit hits the fan I can sell at any time and be left with enough change to buy something sensible.

Another thing to bare in mind is if you invest £40k into a car and have a mortgage, that's £40k you could have paid off your house and lowered your repayments so effectively you are paying 3-4% on your £40k...

Also I had to budget in a 2nd car (the shed) for the times I dont want to use the R35.. e.g parking late at night in town or doing runs to the tip.

Bottom line I guess is never put yourself in a situation where you could end up in negative equity on the car or couldn't survive a £5k+ bill (a shopping list of Tyres, discs, pads, MOT, insurance and a service will exceed this in most cases).

Save and enjoy it ;)
 

·
Registered
Joined
·
382 Posts
popping the loan on your mortgage is only a good idea if you pay off the loan fast as it will cost you more in the long and as im looking into this myself.
Aye I have a friend who spent £20k on a boat and put it on his mortgage spread over the remaining years... he had a shock when i pointed out that his boat over this period was gonna cost almost £40k :chuckle:
 

·
Registered
Joined
·
907 Posts
Don't know if it helps but this was/is my situation as I had the same kind of scenario as you..

I looked at financing a couple of years ago and bawked at the repayments so saved for a year and a half while driving a much cheaper car (350z - still very fun!) and then put down a big deposit with a small loan to cover the remaining amount. Sooo glad I waited and did it the sensible way plus it really focused me to save :)

Getting a 100% or close loan on a car is mad in my opinion unless you are uber flush or have the funds in your account and want to keep them there so pop it on your mortgage. If I'm honest I've purchased above my pay grade but I don't care as I've already done the sensible thing of getting a house with enough equity in it to be comfortable and I know that I can afford to run her and handle any surprise big bills that may crop up and if shit hits the fan I can sell at any time and be left with enough change to buy something sensible.

Another thing to bare in mind is if you invest £40k into a car and have a mortgage, that's £40k you could have paid off your house and lowered your repayments so effectively you are paying 3-4% on your £40k...

Also I had to budget in a 2nd car (the shed) for the times I dont want to use the R35.. e.g parking late at night in town or doing runs to the tip.

Bottom line I guess is never put yourself in a situation where you could end up in negative equity on the car or couldn't survive a £5k+ bill (a shopping list of Tyres, discs, pads, MOT, insurance and a service will exceed this in most cases).

Save and enjoy it ;)

I've been thinking of the same lines of you should i pump the extra savings into the mortgage and try wipe out my mortgage the faster the better as its already 50% payed off. Then i thought F*CK it why are we living i want to enjoy myself and live my life go for it.
 

·
Premium Member
Joined
·
8,019 Posts
Same here.

It's getting the right balance between having what you want and not having it because you are planning for the future.

I used to do the latter too much, now I'm enjoying the finer things in life a bit more. :)
 

·
Registered
Joined
·
382 Posts
What is considered a good amount if going down the finance route then? Say for a GTR that is for sale at £36k, 20% be a good guess to start with?
I'd say 20% is going to cover the worst case scenario for depreciation should you need to sell in a hurry and not be in negative equity but it all comes down to what you are happy to part with each month.

For example take a 36k car...

If you put down £11k deposit that leaves £25k which over 3 years works out at circa £770 / month. I worked out that running costs for me are around £300/month + petrol for low milage running so now you are at £1070 a month + say £200/month on petrol (based on very low milage) = £1270/month

I've worked mine so that I put down a big deposit and am paying £1,000/month over 12months to get the rest paid off quickly which makes the current cost per month about £1,500 which is just on the edge of uncomfortable for me at the moment but I figured I only need to hang on in there for a year then it's done :)

I prefer to pay things off quickly!

Hope that helps a little
 

·
Registered
Joined
·
785 Posts
popping the loan on your mortgage is only a good idea if you pay off the loan fast as it will cost you more in the long and as im looking into this myself.
Let me put it another way. If you put it on your mortgage. £30000. The Interest would cost you £75 a month. Thats peanuts. The cost of a tank of fuel ! Just pay on top of the £75 a further say £250. So £325 a month to own a GTR. Thats Cheap. Obviosly you need a deposit.

As long as youve got good equity in your house then it should work out fine.

You dont get anything for nothing in this life so do what makes you happy.

Your a long time Dead and money is not much good when your old and grumpy.
 

·
Registered
Joined
·
382 Posts
Let me put it another way. If you put it on your mortgage. £30000. The Interest would cost you £75 a month. Thats peanuts. The cost of a tank of fuel ! Just pay on top of the £75 a further say £250. So £325 a month to own a GTR. Thats Cheap. Obviosly you need a deposit.

As long as youve got good equity in your house then it should work out fine.

You dont get anything for nothing in this life so do what makes you happy.

Your a long time Dead and money is not much good when your old and grumpy.
That's a fair point, my calculations above were based on a 7% car loan. If you can safely use house equity then it does make the interest easier to stomach :)
 

·
Premium Member
Joined
·
8,019 Posts
Let me put it another way. If you put it on your mortgage. £30000. The Interest would cost you £75 a month. Thats peanuts. The cost of a tank of fuel ! Just pay on top of the £75 a further say £250. So £325 a month to own a GTR. Thats Cheap. Obviosly you need a deposit.
At the risk of stating the blindingly obvious, paying £250 capital off per month means it'll take you 10 years to pay the £30k back. Your payments may not even keep up with the depreciation leaving you with a higher mortgage than when you started if you sell the car later. Depending on the deposit of course. :)

Yes, it's cheap. But I'd say you need to be paying off £500 plus interest at least so you are not getting into negative equity and paying the car off over five years.

What is considered a good amount if going down the finance route then? Say for a GTR that is for sale at £36k, 20% be a good guess to start with?
If going down that route you have two main options. HP or PCP.

I find HP costs around 12% on top of what you borrow, if you spread the cost over three years.
So £36k will leave you with repayments of around £1120 per month.
Over five year's it'll be around 19%, so £714 per month for £36k.

On a PCP you will get shafted.
This is only an option (disclaimed - in my opinion) for people that don't have the resources to buy the car any other way.
As you defer a large percentage of the cost until the end in a balloon, you end up paying interest on that lump of capital for the whole time of the loan.
So you pay much more in interest, but get lower month repayments.
But as you are not building up any capital in the vehicle you could be stuck in this situation for a long time if you keep wanting a nice car. Because when you sell the car and pay off the balloon you are still not going to have a decent deposit for the next one.

With the running costs of a GT-R I am of the opinion that if you need to go the PCP route you need to ask yourself if you can really afford the car.



For me a decent deposit is the way to go.
 

·
Premium Member
Joined
·
8,107 Posts
Thanks for the posts, I still want a GTR so this gives me some things to think over, got a few changes happening next year in terms of work etc so doing the sensible thing and not commiting to one yet
 

·
Registered
Joined
·
537 Posts
Anyway car finance is not the way to go as the APR is high. Just pop it on the Mortgage if you can & enjoy 3% rates.
DONT DO THIS whatever you do. Its about the worst advice i could imagine you getting.

Putting a car on a mortgage over god knows how many years will cost you far more than looking for a suitable HP or personal loan deal. There are HP deals with base rates around 4% and Personal loans for even less. Any loan these days has the ability to be reduced in full or in part by means of overpayments. So you dont have to settle the loan in full to benefit from this. HP loans also have voluntary termination rights that you would also forfeit if you purchased by Personal loan or Mortgage borrowing. Remember the only guarantee you get with a car is that it will depreciate in value. Dont undervalue termination rights (in short it would mean that you have the legal right to hand the car back after you have paid half of the finance ammount. Regardless of mileage as long as you have kept the car in reasonable condition). Nobody can see what is around the corner in their future. I recently paid £4000 off my HP and its reduced my payments by £100 per month and saved a further £1000 in interest over the remaining term.

The new overpayment rights mean you could borrow more for the lowest rate and then pay back immediately what you dont need keeping the rate and reducing the agreed payment terms.

Rate isnt everything on this, its how banks fool the uninitiated. They hide early repayment charges within the T&C and restrict the ammounts you can overpay within certain timescales of taking out the loan. dont be fooled, banks are money shops and we all know they are corrupt.

Houses go up in value (generally) so get the mortgage paid off and enjoy the security. Cars come and go. Buy it, use it, get rid if things go wrong and you need out fast. dont put your home at risk.

sorry for the long post. Ive worked in F&I for a long time in this industry and worked for santander and RBS. ive seen so many people burned by mortgage borrowing for cars after listening to a mate in the pub who doesnt realise the difference between a base rate and an APR and that borrowing on a mortgage also incurs handling admin fees that slide under the radar because you want the money and get swept up in the dream of it all.
 
41 - 60 of 76 Posts
This is an older thread, you may not receive a response, and could be reviving an old thread. Please consider creating a new thread.
Top