Do it. You are smart not buying new.. most people are not that smart.

If you drive it for a few years, then opt to sell it you will only be about say.. 10K. vs 30k+ if you bough new.

like you said.. you only live once!

 

You need to think more about what it's going to cost you to drive it rather than just the sticker shock. There is nothing wrong with financing this car to keep yourself liquid if you are looking at a future home purchase or other investment, and you are able to secure a reasonable rate.

Put down 20-30% up front, get an extended warranty or CPO, finance the rest, and if the car doesn't make sense anymore you can walk away whenever you want and won't be impacting your savings all that significantly. If you can save almost 200k cash by 34 you can afford this car. It sounds like you keep your overhead pretty low, you deserve to own this car, even if it's just for a few years and a great experience and memories.

 

Do it... I bought a home when I was 26, best friend died when I was 26 and you realize how short life can be. Been buying cars for years because I enjoy it and bought a 997TT when I was 35 last year right after my divorce. I make a good living, but nothing like the ballers on sites like this. Just need to factor in repair costs, because god damn these cars are expensive if something goes wrong (which it will).

1/3 your life savings it's a huge deal if you still have time to save. Also prime time if you don't have kids and extra expenses. But try not to have regrets and do what makes you happy. I hate seeing that much less money in my bank acct, but when I look at that car and drive it, I don't think about my bank acct at all.

 

I am more like you than you may think so I will share my thoughts that are contrary to the advise you have gotten so far. Number one, 1/3 of your life savings is too much to on a percentage to spend on a depreciating asset. I hate being the wet blanket in the bunch but this is the advice I would give my kid.


I made sure my kids college was funded, mortgage paid off and retirement well under way before buying the car that was my dream car since I was old enough to read road and track. Posters of the car in many versions littered the walls of my childhood room and dorm. That me, and from what I see in my friends I am not the norm.


The reason I am the way I am is that I have learned the hard way that life is not a straight line and I have hit the bumps, been down and bled a bit and picked myself up and rebuilt better than before. This can happen at anytime and you need to be sure you are in a position to be self reliant, and live as you plan and rebuild.


at 30 you have plenty of time to get the dream car. And yes, we never know what the future holds or how long we will be here, but I always plan for the best and prepare for tough times. Wait until you get married and have kids . You are on a great track, 100K at 30 is wonderful. Be smart with your money. What type of industry are you in? PM me if you don't want to share in public. I have 20 Year old in Business School studying Finance and I am just curious what your doing.


Money is a funny thing, you can always spend it. Porsche cars are a better investment than most, but you will not make money and the service on an older car can take a substantial dent out of your 2/3 remaining life savings.


Sorry for the answer you did not want to hear, I hope you at least read it an consider it.


Good luck.

 

Although I agree with JSF, you have to look at the total cost of ownership. If you buy a 2007 Turbo, and sell it in two years.. it likely cost you ~10K (lets exclude insurance, tax for now).

If you have $200K in cash, spending $10k (or even 15K) over 2 years for enjoyment is an easy yes if you want it that bad.

If you have been able to put away that kind of money this early in your career, I doubt you will have any trouble making up the $15K hit on your retirement account (even with compound interest).

 

Great point !!! I try to tell my parents that all the time.

 

Lets be honest with the interest rates you might be smarter to invest that 60k separately and make money on it as long as you are making more than the interest rate its basically free money. Thats what I did and when you decide to pay it off because you can sell it for that or close to the initial investment back....

I have done pretty well and learned to leverage funding. Sometimes its ok to borrow if someone else is paying for it with rent with a little left over for repairs. No way is a 07 Porsche going to cost you the other 120k. you would need to blow multiple engines and need to buy brand new for that to happen.

Kids college fund? No plans on ever having kids, plus I paid for all of my advanced degrees, so I dont have an issue if kids have to learn the value of picking and staying with a program because they are paying for it. Paying off a house is great if its your Dream house and you know where you want to live for a long period of time.

 

Well said.

There are those who live so they can work. Then there are those who work so they can live. Big difference.

My motto is work hard, play hard. No point in working hard if you can't enjoy it. And you certainly can't take it with you.

FWIW from someone who is looking at purchasing a 911....

 

Wow, just do it. Used 997TTs can be found for reasonable money, with low miles and many, many years of smiles ahead. I'm deployed right now, so mine has been tucked into the garage for a long winter's nap, but guess what's on my wallpaper to bring the wide grin every time I fire up the Mac. Truth be told, while this is my 3rd P-car, it's the first TT and I waited till kids were grown, and saved a few years, but no regrets. PS -- we won't dime you out to Suze Orman either. Ha ha. Drive one, there's no substitute for the TT torque.

 

There is a reason this is a famous saying. Because it's true. Also get busy living or get busy dying.

Do you want to enjoy a TT when you are 65 with arthritis, a wobbly chin, high blood pressure and a bad back... or do you want to enjoy one now? Money comes and goes... you can never get time or youth back. I'm loving being 35 and driving a TT. I have no kids, no wife, I can track, drive fast, date, etc. Maybe i'm missing $70k in the bank, but I have no regrets with any car or depreciating asset i've purchased for self enjoyment. Why, because i've enjoyed them and enjoyed living my life. Still have money in the bank and have plenty of time to save more money and worry about retirement driving down the highway in my TT.

 

Is there a real need to pay cash, take out a reasonable loan and do it!

If you don't own a home, perhaps it would be a good investment before a big ticket item like an expensive car.

 

agreed, i would put 1/2 down and pay off half. How I usually purchase high end cars.

 

Agreed.

I've taken my wife and kid on cruises to Virgin Islands, Grand Cayman, etc. and I've seen many elderly people sitting on the lido deck with a cane or wheelchair, barely able to walk. All I can think was why wait until you are medically compromised to enjoy a nice cruise?

 

Lots of great comments, thanks everyone. I can already feel that this is a great online community

This is actually not a bad idea. However, if I do this, I would probably invest in something that generates some income, so that the income will "match" the interest/principal that I'd be paying from the loan each month. Not many investments out there does this, unless its an MLP or a mortgage REIT, which is not without risk.

You are not the first person on this thread that is telling me to get a 911 with CPO, that concerns me.

PM sent.


I agree, but there are a ton of things that I should spent money on other than a car. In fact, even before a home, which if you factor in maintenance, property taxes and etc, is actually an expense.

Interesting point. I am imagining that you are not a fan of turbo lag, which I thought shouldn't be a big issue for the 997, which got that VTG stuff? Or is it on the 997.2 only?

 

there is no lag on the TT the VTG turbos see to that.

I wouldnt look for the monthly income on the investment but the overall yield or return. As long as your 60 or 72 month interest return is greater than your Loan interest you basically borrowed for free.