Blind, I need a car to run errands (tired of Ubering and bussing everywhere like an idiot) and go on weekend getaways. Also, I want to be able to go anywhere anytime (none of that renting shit which depends on availability). Is it a good idea to sell off some stock to raise down payment for a car? Iāll be purchasing a Mazda 3 hatchback (35-40k fully loaded). TC: ~200k
Depends where you live. Insurance is also a factor and maintenance.
You donāt get it. Iāve already decided that I NEED a car. My question was more of whether itās wise to raise the money by selling some stock.
I think selling stock should be your last choice, thats if you dont have any cash at all. If you can afford one with what you have, then no need to sell
I sold mine for booze so a car seems more practical by comparison
Username checks out
"Should I use the compensation from my job to buy something I need?" Did you really need to ask this?
Bad time to buy a car, nevertheless, consider 2-3 year old pre-owned. Less depreciation.
Iāve already made up my mind about NEEDING a car whether itās expensive or not (itās a necessity for my lifestyle). My question was whether itās a smart move to sell stock to buy one.
Yes, you have to get one if you need it, which is why my point was to get a used one instead of new. Someone posted a couple of reasons below on why it makes more sense. Good luck with your shopping!
Probably the worst time. Best time was two weeks ago.
This guy fucks!
New to investing world! Can someone tell why it is a good idea to sell stocks for the depreciating asset?
The depreciating asset will HUGELY IMPROVE my quality of life. Itās like saying, ādonāt get a bikeā if you like triathlons
But if you think.. msft stock kept for at least 3-4 years more can help you in buying house! (Can help you in the downpayment) In my opinion that will definitely improve quality of life.
Better to take an auto loan instead of selling stock and paying taxes.
Yeah but I need money for the down payment.
Don't know your credit score situation but for 35-40k you don't really need a down payment. What you want to factor is the interest cost of loan vs potential gains of stock. I think a loan that's <=5% is better than selling depreciated MSFT that could/should regain more than the total interest amount in auto loan. But do the math for your situation.
You can always make more money. But the time you waste bussing around will be gone forever. Sell your stocks. Get the car.
Word!
Bad timing. If you NEED a car why not buy a used one? Odds are if you get a new one: 1) you'll pay more than MSRP or 2) you'll get it delivered in 1 year
You donāt get it. I NEED a car whether itās expensive or not. My life style needs a car. How am I supposed to carry around gear for my hobbies (I have to travel for most of them, believe it or not). Itās more a question of whether I should use stocks to buy one or find money elsewhere.
Most of them are selling at MSRP and delivery wait time isnāt very long.
Yes