I am 20 years old, going to be 21 in about 8 months. I REALLY want an Elise, i am looking at an 05, yellow, real nice. They want 29,900 for it. I KNOW i can afford car payments and loan payments (I make about 1500 a month) i know my payments would be like 400 to 500 for the loan payment and another 400 to 500 for car insurance a month. BUT i cant get a loan without a co-signer right now because i do not have the history reputation with any banks and my parents will cosign for like an rsx but i really want this car and its so difficult to convince them to cosign on this car. I was hoping to be able to get this car but the Loan is CRITICAL for me, Please if anyone can provide any insight or guidance on anything i can possibly do towards getting a good loan and how i can do it? Thank you so much everyone!
CAR LOAN FOR ELISE HELP!!
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1,144 Posts
having 2/3 of your monthly income devoted to a car is never a good thing... EVER.
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2,522 Posts
Allyn, your estimate on your insurance sounds about right. But a 60 month loan (if you're lucky enough to get one) will run you more like $635 monthly. You'd probably have to take a 48 month loan; that's going to be a $780 nut. You also need to budget for maintenance and consumables; add another $125 to $200. Is $1500 your take-home? If it is, note that you have almost nothing left after your car costs. No food, lodging or entertainment for you.
In short, you can't afford it now. My unsolicited advice is to get some serious savings under your belt while you drive a more economical car (or bike). Good luck.
In short, you can't afford it now. My unsolicited advice is to get some serious savings under your belt while you drive a more economical car (or bike). Good luck.
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2,600 Posts
Hate to burst your bubble but realistically you cant afford that car with only 1500 a month. With tax your look at about 31k for that car. And "if" you get financed your looking at a crazy interest rate... lets say about 12% if your lucky. That adds up to a payment of 689/month over 60 months. Then if you add on insurance... at best your looking at about 300/month probably more. Which means that car will be taking up over 2/3s of your income and thats not including gas and other random stuff about the car. But if you must do it anyway.... and I dont blame you if you do... then I hope you stay with your parents and can eat for free.
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2,590 Posts
Good luck. Get a used CRX and mod it out.
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333 Posts
I suggest you do what I did: save like crazy for a year (or however long it takes, looks like more like two years at that rate). Then pay cash. The car will be cheaper in a year, you'll be better prepared, your insurance will probably be a bit lower, and (most important) you won't have a car payment hanging over your head. There will be other ones--try not to get too fixated on this particular one! A year or two isn't that long, and with this as an incentive you might be surprised how easy it is to save. It builds good habits, too--budgeting and such.
That seems like a lot for insurance. I'm only a couple of years older than you (but female) and I pay about that much every six months. But, obviously, YMMV.
I am so incredibly glad not to have a car payment. And with things the way they are it'd suck to lose your job and not be able to pay for your car. At $1500 a month and planning to spend $800-$1000 a month just on car payments and insurance, I hope you don't have to buy food, clothing, pay rent, or, really, drive all that much. $500 a month to live on is really not enough! What about when your new Elise needs new tires ($500+), or a minor repair, or just maintenance? What about when you want to go out with your friends but can't afford to because of your car payments?
That seems like a lot for insurance. I'm only a couple of years older than you (but female) and I pay about that much every six months. But, obviously, YMMV.
I am so incredibly glad not to have a car payment. And with things the way they are it'd suck to lose your job and not be able to pay for your car. At $1500 a month and planning to spend $800-$1000 a month just on car payments and insurance, I hope you don't have to buy food, clothing, pay rent, or, really, drive all that much. $500 a month to live on is really not enough! What about when your new Elise needs new tires ($500+), or a minor repair, or just maintenance? What about when you want to go out with your friends but can't afford to because of your car payments?
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5,088 Posts
maybe you could add your name to the list for a bailout from the government.
your business practices are equally as bad as those who are getting handouts( making payment of 2/3 of your income on something frivolous).
you cannot afford this car, and you dont sound nearly mature enough to realize it, and will likely wad the car pretty quickly as well from what i am reading into your post.
How a used scion Xb thats been lowered and has spinners on it. that is a baddass ride that will get you lots of chicks.
your business practices are equally as bad as those who are getting handouts( making payment of 2/3 of your income on something frivolous).
you cannot afford this car, and you dont sound nearly mature enough to realize it, and will likely wad the car pretty quickly as well from what i am reading into your post.
How a used scion Xb thats been lowered and has spinners on it. that is a baddass ride that will get you lots of chicks.
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287 Posts
You cannot afford it. Seriously, don't do it. I'm 21 and have an Elise, but I also have a nearly perfect credit score and make significantly more per month. Also, think about what you could be doing with that $400/month you would be wasting on insurance!
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433 Posts
All you naysayers are so cruel.
Back in about '80 I worked in a Porsche dealership. A customer brought in his new 911 for the first service, which was free except for oil and filter. He could not afford the $50. Not only that, the car already looked as if he lived in it. Allyn, that is probably a little more extreme than what you want to do, but there is even less room in an Elise if you need to live in it.
Back in about '80 I worked in a Porsche dealership. A customer brought in his new 911 for the first service, which was free except for oil and filter. He could not afford the $50. Not only that, the car already looked as if he lived in it. Allyn, that is probably a little more extreme than what you want to do, but there is even less room in an Elise if you need to live in it.
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398 Posts
I'm 25, and have enjoyed two Elises in the last year. The Elise is a toy, plain and simple. Toys should be bought when you can afford to buy them for cash.
Having said that, I didn't buy mine for cash because I invest that money better and get fantastic returns on it that far outweigh the interest I have to pay on the loan. But I do have the money to buy it out if I need to.
If you still do decide you want it badly enough to get a loan, figure that in California, realistically, to be able to afford a room and a garage to rent, to eat, entertain yourself well, AND own an Elise, plan on making $4000/month +.
If you plan on living with your parents and driving an Elise, I feel sorry for you.
Having said that, I didn't buy mine for cash because I invest that money better and get fantastic returns on it that far outweigh the interest I have to pay on the loan. But I do have the money to buy it out if I need to.
If you still do decide you want it badly enough to get a loan, figure that in California, realistically, to be able to afford a room and a garage to rent, to eat, entertain yourself well, AND own an Elise, plan on making $4000/month +.
If you plan on living with your parents and driving an Elise, I feel sorry for you.
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2,417 Posts
its not being cruel, just a lot of us who are on here everyday see a follow up post in 2 months looking like this:
"I got my Elise 2 months ago but now I cant afford it, its an 05, I didnt put anything down, took out a 72 month loan and now lost my job, what can I do?"
OR
"I just got my Elise 2 months ago and I hit a tree and totalled it today, I didnt have Gap insurance and the insurance company is only going to give me 24k for it, I cant afford to pay off the other 6 that I still owe on it, what should I do?"
"I got my Elise 2 months ago but now I cant afford it, its an 05, I didnt put anything down, took out a 72 month loan and now lost my job, what can I do?"
OR
"I just got my Elise 2 months ago and I hit a tree and totalled it today, I didnt have Gap insurance and the insurance company is only going to give me 24k for it, I cant afford to pay off the other 6 that I still owe on it, what should I do?"
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8,099 Posts
Just go for it. Don't pay cash, whatever you do. We're being told we all need to borrow, borrow, borrow to get the economy going, so your getting a high-risk, high-interest loan will more than do your part for the betterment of the collective.
Best of luck!
Best of luck!
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7,592 Posts
They need tires every few thousand miles too, and if you can't service them yourself, service is expensive- like hundreds for an oil change.
I'd say get a Miata, MR2, etc, and a copy of Dave Ramsey's Total Money Makeover, and just pay cash for one in another couple/few years. You are young. Don't start out on totally the wrong foot. Drive a beater now and an Elise when you are older, not the other way around because it's much harder to go backwards.
I'd say get a Miata, MR2, etc, and a copy of Dave Ramsey's Total Money Makeover, and just pay cash for one in another couple/few years. You are young. Don't start out on totally the wrong foot. Drive a beater now and an Elise when you are older, not the other way around because it's much harder to go backwards.
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7,083 Posts
Rule of thumb that a bank will use in making approvals (at least as far as income is concerned) is that they will loan up to 75% of your annual income. So if the Elise costs $30,000, you would need to make a minimum of $40,000 per year.
Additionally, you should estimate roughly $20 per month per thousand dollars borrowed on a 60 month loan. Thus a $30,000 car would cost roughly $600 per month.
Additionally, you should estimate roughly $20 per month per thousand dollars borrowed on a 60 month loan. Thus a $30,000 car would cost roughly $600 per month.
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1,476 Posts
Hurray for Dave Ramsey! :clap: If ever there is a candidate for reading his book it is you. Pick it up at a local book store read it cover to cover. You are not even close to being able to afford this car. Do you know the easiest way to stay poor .... keep borrowing money. It doesn't matter how much money you make, if you spend more than you make you will always be broke!!!
Here is a simple exercise. Right down all your must pay monthly bills such as housing, water, electricity, food, gas, insurance, taxes, etc. Subtract that from your take home pay and you will find out that there is no way you can afford a $600-700/month car payment plus the car insurance. :no:
You need to look for an old Miata, MR2, etc. if you want something with some fun factor to it and you can afford it. Most of all save and pay cash! Don't take a loan on a depreciating asset. At your age with no history, the banks will eat you alive with the interest rate and you will end up paying way more than the car is worth with a good chance of ending upside down if something bad happens and totals the car.
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