We get it, cars and trucks are fun! But if one is not careful, owning a car can wreck havoc on personal finances. Automobile loan debt is at an all time high. There are not many reasons to buy an expensive luxury car in the year 2018! Here is why:
1. All cars are made by robots and quality can be obtained in mid level cars by researching consumer reports.
2. Many “luxury” features are in regular cars. Mid level cars continue to adopt more and more “luxury” features. Safety features, comfort, seat warmers, etc.
3. Expensive repairs and cost of ownership. Luxury cars not only gouge you at the purchase, they gouge you on the repairs.
4. Car culture will transform in the next 5 years. The future of car ownership will change rapidly. More and more people may be able to order the use of a car as a subscription service that may drastically reduce the cost of ownership. There are thousands of people and billions being poured into how to majorly disrupt the automobile industry as it currently exists.
5. Cars are tools not Golden Carriages. Think of a car as a tool like a hammer. You do not buy a beautiful hammer with diamonds encrusted to show off to your friends. Hey, like anyone, I appreciate beautiful design. But it’s one thing to appreciate something and another to destroy your wealth to obtain it.