this post was submitted on 20 Nov 2023
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[–] BombOmOm@lemmy.world 102 points 1 year ago (9 children)

data from Edmunds says a record 17.5% of borrowers have payments of $1,000 or more

That is a crazy high number. You are approaching mortgage territory there (yes, mortgages can be that price outside of cities). People need to stop spending so much on cars. They do not retain value.

[–] thedevisinthedetails@programming.dev 46 points 1 year ago (3 children)

While I agree cars themselves are just insanely expensive. A $25k car has you at $450+/month and this is if you have excellent credit.

We need other options besides cars and unfortunately they're the only option for many people.

People choose $80k cars on 5-7 year notes because “they can afford the payment” thinking that means they can afford the car.

[–] akilou@sh.itjust.works 8 points 11 months ago (1 children)

Exactly. "Not cars" is a solution to a ton of problems.

[–] Uranium3006@kbin.social 3 points 11 months ago
[–] wrath_of_grunge@kbin.social 7 points 1 year ago (2 children)

there are a great many cars to be had for less money.

maybe people shouldn't buy cars that cost half their yearly wages?

[–] FrostyTrichs@lemmy.world 5 points 11 months ago

There are some people in the US financing cars for 7-10 years. Half their yearly salary is actually more like 2x their yearly salary for many of them.

[–] CADmonkey@lemmy.world 3 points 11 months ago (1 children)

But if I drive a Mirage the neighbors will make fun of me.

[–] NightAuthor@lemmy.world 2 points 11 months ago (1 children)

Drive a Prius, all the cool kids are. Gen 2 makes you look kinda poor, but you still get green points. Gen3+, ur golden

[–] CADmonkey@lemmy.world 2 points 11 months ago (1 children)

I actually have a mirage. The only neighbor who makes fun of me is the guy next door, he has a truck, maybe if he tries real hard it will run one day.

Someone picks him up for work in a gen-2 Prius.

[–] NightAuthor@lemmy.world 2 points 11 months ago

Lmao, I wish him luck with his truck.

[–] wrath_of_grunge@kbin.social 13 points 1 year ago (2 children)

i'm really not sure why so many people worry about the value of a car. it's not some super-expensive, incredibly rare car. most are average commuter vehicles. they're a tool. buy them, use them, keep them until they're wore out, and repeat the process.

i never really had a problem with car debt. i currently am driving a Cadillac Escalade with 430k miles on it. i bought it 7 years ago with 160k on the odometer, for $12k. it's been a fantastic vehicle. no telling how much money that truck has made me over the years. it was a replacement for my beat up Tahoe that had about 325k on it when i traded it in.

[–] PlasmaDistortion@lemm.ee 5 points 1 year ago

Cars are so expensive now that you could probably sell it for more than you paid for it.

[–] pedalmore@lemmy.world 3 points 11 months ago

You spent somewhere around $54k in gas over 7 years @15 mpg and $3/gal. I wouldn't take an Escalade for free if I drove that much.

[–] BruceTwarzen@kbin.social 8 points 1 year ago

I make pretty good money and own my own house, no kids, and don't have crazy monthly expenses. But 1000 dollars a month would scare me.

[–] JJROKCZ@lemmy.world 6 points 1 year ago (1 children)

I bought mine with 0% interest for 36 months, best believe I’m paying that 1k bill in order to not have to pay interest lol

[–] IMongoose@lemmy.world 6 points 1 year ago (1 children)

36k for a new car is a lot for me but that's not the worst deal. The problem is people are paying over 1k a month for 6-7 years.

[–] JJROKCZ@lemmy.world 2 points 11 months ago

Yea that’s crazy to pay that for 7 years. The last car payment I had for 7 years was ~200 a month and I was 18 so credit was nonexistent.

36k isn’t crazy for a hybrid AWD SUV in todays market, I paid a little more for the hybrid and AWD to get 45 mpg instead of 20s and the AWD is a safety feature since my part of the world gets severe winter weather.

I’d love to have paid less but this is market is deranged

[–] ApathyTree@lemmy.dbzer0.com 5 points 11 months ago (1 children)

That’s $400/mth more than my 2013 mortgage, and you can get a property at the same I paid for mine in 2013 now, just in Indiana instead of Wisconsin.

I’ve thought about relocating because my property is now worth 3x what I paid, and that’s about the only option I have to net any perk from selling, but I don’t want to move somewhere that gets droughts in the best of times, much less with climate change.

But for someone who just wants a place? There are some, and they all come with drawbacks.

[–] tory@lemmy.world 1 points 11 months ago (1 children)

You think people can get $600/month mortgages in this economy? You seeing a ton of homes in Indiana for 75k?

Because at 8% interest, that's all you're getting for $600/month

[–] ApathyTree@lemmy.dbzer0.com 1 points 11 months ago (1 children)

Yes, that’s my point. Look at the housing market in Indiana. There are lots of properties under 75k.

They aren’t better than the place I live now, but they also aren’t worse.

[–] tory@lemmy.world 1 points 11 months ago

The only kind of place you're getting for under 75k in America is gonna be 100% pictures taken from the outside by a bank representative as they try to foreclose on a very poorly located hovel.

But sure, gl with your mystery box fixer upper.

[–] ohlaph@lemmy.world 3 points 11 months ago

Holy shit. That's mortgage territory. I would master the public transportation system and buy an electric bike before spending that much per month.

[–] SheeEttin@lemmy.world 2 points 1 year ago

For ordinary cars, they're not meant to. They're meant to be driven. That naturally involves wear and tear.

[–] Hexarei@programming.dev 2 points 11 months ago

And this is why I own my car out right. Bought it for $11k in 2013 and plan to drive it till the wheels fall off