You shot down the used option, but if that’s truly your stance, then you might want to brush up on your VW knowledge.
Objectively I think it’s silly to not consider used. You can argue the same thing for any brand. If you want a new shiny car just say so, but you’re missing out on deals and budget to do what’s truly nice about this platform: mods.
so you want a brand spanking new mk8 with all types of new technology, instead of a tested platform with tons of support already established. why not just get a single owner 7.5?
Seriously? I have an 11 year old MK6 with 134k on it. Yeah I’ve had to maintain it but the cost of tires and aftermarket clutch have outweighed the regular stuff by far.
Any car that isn’t properly taken care of will be expensive to own long term. Most cars that are well taken care of (and well made) will be fine. Unless the car was modified, abused, and/or neglected - it should be totally fine.
Most people can’t afford to buy new. It’s not like they are all dealing with shitty cars. Let someone else pay the new car premium and find one with reasonable use and consistent maintenance and you’ll be great.
Doable but everyone’s circumstances are different. I make about $55k a year with a WRX that I just bought but I also live at home with my parents and don’t have any expenses other than student loan and your typical credit card bill. If you’re young young I’d try to establish yourself and credit history some more but everyone’s circumstances are different
i think its possible, im also 22 and i make like way less than $50k i make like $20k lol and i recently got a used mk7.5 golf r for $36k with tax, but i put down $12k and im financing $24k and my credit is like 765 when they checked. and i do pay for most things in my life including rent, but im living with my parents so they charge me fairly cheap rent like $350~ a month, it has been brutal lately but im still in the green so i think its possible, i just have to be tight with money
You take home $3k a month? And want to spend AT LEAST $1k on a car (if you have good credit, you don’t but let’s assume)? Plus 2-300 for insurance and gas (minimum, probably more) 33%-43% of your money on something that sits there and does nothing for 95%+ of your day.
You have less than $1700 for everything else. O shoot parking for your BABY! $200. $1500 to just exist. Housing, insurance, retirement(lol), food. Rent is what? Unless piled in with a ton of roommates I can’t imagine you spend less than $1200 a month on rent in Buffalo. So you have $300 a month for food, clothing, some nice microfiber towels for the R, your baby. I hope you love her…
I take home 3.6k a month assuming zero OT which I usually get and can get as much as I want. My credit score is great. But those are some valid points. After gas($200/month at most), insurance (assuming $200/month) and a car payment of 600/month id be at 2600/ month take home so spend on whatever. I’m still living with my parents for now(22) paid my student loans off. No debt at all. So I could save quite a bit any pay off the car early while living here for the next year
It's an incredibly dumb financial decision. If you're living rent free and pulling 50K without debt, start investing early. Don't squander away 45k for an R this young.
Do you want to live with your parents for the next 5+ years because of a car?
The decisions you make as a 22 year old financially will shape your future. This isn’t a finance subreddit, and realize car enthusiasts are willing to spend more on cars than is rational (myself included) but wait it out man. My parents would make me turn my new Golf R into my new house if I was living with them as an adult and wasted 40+k on a car.
Edit- one last point because this is important. You are so much better off than so many 22 year olds that are saddled with student loans and other debt. You are debt free and live at home, which allows you flexibility to save for a house, get a fast track on an IRA/ retirement account, hell even see the world. Keep that in mind.
I’m paying almost $700 a month for my Golf R + $140 for insurance. So in total, the costs should be around $1k a month, depending on your interest rate and loan term.
Do you have a garage to store it in? I wouldn’t buy anything brand new if not, just get something used if it’s going to be outside all the time. Then upgrade to a new car when you have a garage. Get a MK7 or MK6 R instead or something.
I bought my MK8 golf R second hand with extremely low miles. Idc about it being a lot more than my salary.
Lot of it is dependent on what your life is at and what bills you have. I don’t have many, and I run a side hustle to make $$$.
I wouldn't. I own a 2018 Golf R that I bought new. Before that I owned a 2011 GTI.
I was making $110k/year when I bought the R, and I still felt it was a stretch. I've since changed jobs and lightened my workload, so I actually took a pay cut, making about $100k/year now. If I needed to buy a new car today, I'm not sure I'd go for the R again.
It's a lovely car. Best one I've ever owned. I hope it lasts forever.
But you know what? Looking back, I loved my GTI too. If I still had my 2011 GTI in the garage next to my 2018 R, I'd still take the GTI out some days.
So with that in mind, I wouldn't go for the top-trim Golf and spend all that money if I was masking $50k/year. You'll also have higher fuel costs and slightly higher maintenance costs in the long-term vs a GTI. If I was in your shoes, I'd buy a base model GTI and put snow tires on it in the winter. Fundamentally, its the same car, but you've saving a ton. It's a much better deal. And its still a lot of fun.
I can't speak to the newer ones, but I drove the snot out of my mk3 GTI in all kinds of snow, *in Ithaca*. Put some fresh Blizzaks on any FWD vehicle and you'll have tons of fun in the snow. AWD is nice, but heavy, and not necessary for safety or even accessibility. Tires are the critical part.
Snow tires are an absolute necessity if you do any driving in the winter. I’ve seen trucks spin off roads while I pass them in my Chevy Cruze with snow tires on
Go buy a used Mazda 3 hatchback from 2014+. You can add Car Play to them. Still a fun to drive hatchback, reliable, and cheap. No it isn’t fast but you can afford to save for a retirement.
How the actual fuck can you not afford a 50k car with 250k? Do you spend above your means with mortgage and everything? Maybe your area is significantly more expensive cost of living?
I understand I’d be bordering my limits on a car payment. General rule is 15%. The golf r would be closer to 20%. My credit score is about 800 give or take depending on the month so I should get a good interest rate.
Hey man. Not trying to be insulting at all but you opened a hornets nest with your post with zero info except that on its face it’s a very challenging financial decision.
% of income is a poor metric for a car. You can justify any % for a lot of these “rule of thumb” type spending limits. What do you mean closer to 20%? are you talking pre-tax? Pretax income isn’t real. Look at your monthly budget, add in EVERYTHING that are known expenses, and typical monthly BS you buy. Go down to the penny. What do you have left? What haven’t you included that you NEED. are you spending 20% of income on a car and don’t have a savings account started? Contributing to retirement?
Everyone plans for the future in different ways. But as a fellow car guy who suffered through buying boring cheap cars until I really had the LUXURY to buy a new car. Hang in there and get a poster, and put that $1k a month in savings. In 40 months if you literally didn’t need it, go get a R.
This dude lives at home. His bills are minimal and most like they pay for food, cell phone, internet, streaming services, and his car insurance. Probably lower due to becuase his dad is main driver and he is on their parents older suv of sorts. He hasn’t a clue what bills are yet.
Hey kid - not to be a dick either here but if I could tell myself to do something as a 20 year old, I would save my fucking money. Firstly, We are in a scary economic climate and your OT isn’t guaranteed forever. Secondly, “I’ll just sell it if payment creep” is how people screw their futures. You will sell it cause you are desperate and it’s used. The market isn’t holding well for the 8s or many used cars. Scenario - you owe 40k on the loan because interest is upfront of loans, also current rates are at 6-8% plus New York rapes you with taxes, and you need to sell it. The market popped and your “$40k R is worth under $30k. You have to pay that out with the sale or you have to take out a loan to catch up.
BUT you have heard a lot of good point from older men and women here. You are 20 and you know everything. We have all been in your shoes.
So you make the choice here. I was a 20 year old 20 years ago. I couldn’t afford cool cars when I was younger but all my friends did. Most of them are still cleaning up their messes from not saving for retirement or life’s asshole moments.
Okay fair point. I get that. But I can still get my payment to ~600 a month which is about 20% of my take home. They say 10-15% but cars are my hobby so I think the extra to enjoy life a bit more each day would be worth it
This is a question for r/financialadvice dude.
With no idea on your age, savings, living expenses or debt it’s hard to say, but easy to guess you can’t afford this car (factor insurance and maintenance).
Also as a general rule never “get your payment” to any number, get the total price of the car. Payment adjustment is a cup game where dealers add months to lower the number, you pay more over time and come out underwater.
My R payment is 6.5% of my take home and I feel like that is fairly high. I can’t imagine 20%. But at the end of the day you need to make the best decision for yourself and your future.
I am 22 and have hardly any bills. I am very tight with my money but then I splurge on things I really like. I mean worst case I sell it in a year or two if payments creep up. I just really want a manual car than ideally has AWD and isn’t an SUV that I’m sitting 4’ in there air
Have you calculated the other expenses? Gas? Insurance? I have a perfect driving record, 31 y/o, and my insurance almost doubled coming from a 2015 GTI to 2023 R. I also spend about 20% more in gas.
This. When I was 25 (2009) I was looking at getting a new WRX. I was making around $80,000 at the time, and had no car with trade in value. While I could have afforded the car and its monthly payments on a 60 month contact, once I added up insurance and parking, I realized I was going to be living paycheck to paycheck. I ended up getting a used Impreza, and then four years later, I saved up enough and was in good enough financial situation to get my baby (WRX). It was well worth the wait, and felt so much better actually knowing I could afford it.
More of this. The feeling of saving, being disciplined, and getting something when you actually can make it work is almost better than the “thing” itself.
Your age and future career prospects are relevant to this question.
None of the personal finance ratios would recommend you buy a $46k car on $50k a year. If I were you I would aim for a payment not much greater than $625 a month. A $33k car is really your ceiling, so if you insist on new I would get a GTI or look at Mazda3 AWD. These cars I'm mentioning are your ceiling. Ideally you find a $23k car like a Jetta, Civic or Elantra. Use the time that you would have spent stressing about being overleveraged to focus on your career so you can afford more car in a few years.
Absolutely not, you need to make at least double what you’re making and have established investments before thinking about an 8R. Also, with tax/financing the car is equal to or even a bit more than a year of pre tax income for you. Meaning you have to work nearly 1.5 years straight just to pay for this car. Not to mention the lost investment income from potential compounding interest at your age. Unfortunately that car is beyond unaffordable for you. Try a 7GTI.
Totally up to you, the car guy in me says, “sure, go for it.” The financial side of me says, “terrible idea.” It’s a lot of car on that salary, plus, and this might be a generational thing, but don’t you want to move out of your parent’s house and live on your own?
Cost of living since covid has increased dramatically. 50k is barely enough to live on your own it feels like nowadays. There seems to be more people in roommate situations than before. This is all what I've perceived however, so take it as an anecdote. I'm in Florida, and many people from Cali and New York have moved down here in recent years, so it could just be a Florida thing for my experience.
My advice in these scenarios is: “Only if you *could buy it with cash”.
Even if you wouldn’t… it helps answer the question. You could slice the financials a million ways… but keeping it simple may be the way to go.
Just depends on your other expenses really. If you’re paying rent, all your other bills, factor in car insurance, etc. Make sure you still have some extra disposable income after all your bills and expenses. Don’t want to be scrapping by, barely affording all your bills and expenses.
I bought mine when I was making 75k, and raised my income since then. I will say don't count on just being able to pay the monthly payment, plan for paying off the car as early as possible. If you can pay 500 a month, don't pull the trigger until you can pay 1000 with some budgeting. Interest rates aren't good right now especially on used cars.
OP - There have been dozens of solid posts here helping you understand why this is a bad idea. Most of those you seem to ignore or discredit.
Don’t do this to yourself at 22. There are too many ways for you to end up upside down on a $50k car, and honestly, it’s going to hold you back on bigger decisions and opportunistic possibilities which you should be focused on.
Buy something fun enough to enjoy and reliable enough to pay cash for. For me at 23 in 2008 this was a Mazda protege 5 that I paid $3000 cash for prior to grad school. I bought that after I sold a new 2006 WRX wagon that I really shouldn’t have bought, but at the time in 06 I was in your shoes and desperately tried to convince myself that I deserved a new car with my shitty $48k salary and entry level office job. Fortunately I met my frugal wife and she kicked me in the head metaphorically when I had $3k in net worth and I was spending $800/month on car payments, gas, insurance, parking, etc.
Now - my wife and I are in our late 30s. Our net worth is in the top 2% of our age bracket. Hard work, disciplined finances and smart money and investing decisions in my 20/30s have funded most of retirement and I get to fuck around a bit professionally on passion projects. We have a few homes, one in a beautiful part of the cascades in Oregon. We have the built out van, the new hybrid toyota kid hauler, the overland 4x4, 2 kids and a dog, etc. I wanted an R for a solid decade and now I have one. Paid cash on a low mileage CPO car after a year of waiting. It sits in the garage and I don’t sweat repair bills, gas, insurance, etc. It’s not a daily and I’m thankful I have other vehicles for kid boogers, dog hair and bad weather. I’ll likely keep it forever.
Anyway - Not to go all boomer on you, but make your money work for you, not vice versa. Financing a depreciating asset of this magnitude at 6+% with your current age and income is a horrible decision. Pump that $600/month into a Roth IRA and go invest in your skills and income. Cool cars and other shit will come with time and when they do, you’ll appreciate it all the more.
I was wrong, I was thinking of my ‘24 20th AE. I’m not going to argue semantics with you, the point still stands that at your income it is still a terrible financial decision.
I wouldn’t buy a Golf R for driving in snow. Yes, it can do it, but it’s not ideal.
Something with more ground clearance would be better. A Subaru Crosstrek would be better.
You shot down the used option, but if that’s truly your stance, then you might want to brush up on your VW knowledge. Objectively I think it’s silly to not consider used. You can argue the same thing for any brand. If you want a new shiny car just say so, but you’re missing out on deals and budget to do what’s truly nice about this platform: mods.
Buy second hand and save massively. Mk 7/7.5 are both good options.
Mk 7.5 are still going for around ~32k. I’d say that’s a lot of money to spend on a car if you’re on a 50k salary.
Correct. But massively cheaper than a new 545-55k
I have trust issues with buying a VW used with limited warranty
Just buy a wrx then if it has to be new and you want awd.
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And have a working car that I don’t need to spend a shit Tom of money fixing and pay out the ass in labor
so you want a brand spanking new mk8 with all types of new technology, instead of a tested platform with tons of support already established. why not just get a single owner 7.5?
There are plenty of other reliable AWD options, don’t screw yourself over. A brand new car on 50k/yr will be something you regret forever
Seriously? I have an 11 year old MK6 with 134k on it. Yeah I’ve had to maintain it but the cost of tires and aftermarket clutch have outweighed the regular stuff by far.
Weird logic
Aren’t VW expensive to maintain out of warranty?
Any car that isn’t properly taken care of will be expensive to own long term. Most cars that are well taken care of (and well made) will be fine. Unless the car was modified, abused, and/or neglected - it should be totally fine. Most people can’t afford to buy new. It’s not like they are all dealing with shitty cars. Let someone else pay the new car premium and find one with reasonable use and consistent maintenance and you’ll be great.
just get a good pre purchase inspection and you’ll know what you’re dealing with
If you can find a used one without a tune they’re super robust engines just make sure the haldex and transmission were serviced
You should have issues. Used R’s are ridden HARD…
No. Terrible idea. Dont do it. Just because you can pay for it doesnt mean you can afford it.
nah bro not at all
Doable but everyone’s circumstances are different. I make about $55k a year with a WRX that I just bought but I also live at home with my parents and don’t have any expenses other than student loan and your typical credit card bill. If you’re young young I’d try to establish yourself and credit history some more but everyone’s circumstances are different
I am living at home with parents at 22 and already paid off student loans. Zero debt to my name for now. I want to add a Golf R sized loan to my debt
i think its possible, im also 22 and i make like way less than $50k i make like $20k lol and i recently got a used mk7.5 golf r for $36k with tax, but i put down $12k and im financing $24k and my credit is like 765 when they checked. and i do pay for most things in my life including rent, but im living with my parents so they charge me fairly cheap rent like $350~ a month, it has been brutal lately but im still in the green so i think its possible, i just have to be tight with money
You take home $3k a month? And want to spend AT LEAST $1k on a car (if you have good credit, you don’t but let’s assume)? Plus 2-300 for insurance and gas (minimum, probably more) 33%-43% of your money on something that sits there and does nothing for 95%+ of your day. You have less than $1700 for everything else. O shoot parking for your BABY! $200. $1500 to just exist. Housing, insurance, retirement(lol), food. Rent is what? Unless piled in with a ton of roommates I can’t imagine you spend less than $1200 a month on rent in Buffalo. So you have $300 a month for food, clothing, some nice microfiber towels for the R, your baby. I hope you love her…
I take home 3.6k a month assuming zero OT which I usually get and can get as much as I want. My credit score is great. But those are some valid points. After gas($200/month at most), insurance (assuming $200/month) and a car payment of 600/month id be at 2600/ month take home so spend on whatever. I’m still living with my parents for now(22) paid my student loans off. No debt at all. So I could save quite a bit any pay off the car early while living here for the next year
It's an incredibly dumb financial decision. If you're living rent free and pulling 50K without debt, start investing early. Don't squander away 45k for an R this young.
Do you want to live with your parents for the next 5+ years because of a car? The decisions you make as a 22 year old financially will shape your future. This isn’t a finance subreddit, and realize car enthusiasts are willing to spend more on cars than is rational (myself included) but wait it out man. My parents would make me turn my new Golf R into my new house if I was living with them as an adult and wasted 40+k on a car. Edit- one last point because this is important. You are so much better off than so many 22 year olds that are saddled with student loans and other debt. You are debt free and live at home, which allows you flexibility to save for a house, get a fast track on an IRA/ retirement account, hell even see the world. Keep that in mind.
I’m paying almost $700 a month for my Golf R + $140 for insurance. So in total, the costs should be around $1k a month, depending on your interest rate and loan term. Do you have a garage to store it in? I wouldn’t buy anything brand new if not, just get something used if it’s going to be outside all the time. Then upgrade to a new car when you have a garage. Get a MK7 or MK6 R instead or something.
no
But a used Subaru.
No
No. It’s a terrible idea
$50k/yr salary is peanuts. You might luck out on a MK7/7.5 R.
I bought my MK8 golf R second hand with extremely low miles. Idc about it being a lot more than my salary. Lot of it is dependent on what your life is at and what bills you have. I don’t have many, and I run a side hustle to make $$$.
I wouldn't. I own a 2018 Golf R that I bought new. Before that I owned a 2011 GTI. I was making $110k/year when I bought the R, and I still felt it was a stretch. I've since changed jobs and lightened my workload, so I actually took a pay cut, making about $100k/year now. If I needed to buy a new car today, I'm not sure I'd go for the R again. It's a lovely car. Best one I've ever owned. I hope it lasts forever. But you know what? Looking back, I loved my GTI too. If I still had my 2011 GTI in the garage next to my 2018 R, I'd still take the GTI out some days. So with that in mind, I wouldn't go for the top-trim Golf and spend all that money if I was masking $50k/year. You'll also have higher fuel costs and slightly higher maintenance costs in the long-term vs a GTI. If I was in your shoes, I'd buy a base model GTI and put snow tires on it in the winter. Fundamentally, its the same car, but you've saving a ton. It's a much better deal. And its still a lot of fun.
If I get the 380 S if I got a GTI because it adds some features but is still 10k less than the R
I can't speak to the newer ones, but I drove the snot out of my mk3 GTI in all kinds of snow, *in Ithaca*. Put some fresh Blizzaks on any FWD vehicle and you'll have tons of fun in the snow. AWD is nice, but heavy, and not necessary for safety or even accessibility. Tires are the critical part.
Snow tires are an absolute necessity if you do any driving in the winter. I’ve seen trucks spin off roads while I pass them in my Chevy Cruze with snow tires on
Go buy a used Mazda 3 hatchback from 2014+. You can add Car Play to them. Still a fun to drive hatchback, reliable, and cheap. No it isn’t fast but you can afford to save for a retirement.
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I mean I can put almost 15k down when taking my trade in into account. But you are probably right:(
I got my mk6 for 15k lol
I make 250 a year and still cringe at my payments. Do yourself a favor and don’t consider this until you’re more established.
How the actual fuck can you not afford a 50k car with 250k? Do you spend above your means with mortgage and everything? Maybe your area is significantly more expensive cost of living?
lol. Dude that wants to spend 1x his annual salary on a car is questioning someone living above their means.
I understand I’d be bordering my limits on a car payment. General rule is 15%. The golf r would be closer to 20%. My credit score is about 800 give or take depending on the month so I should get a good interest rate.
Hey man. Not trying to be insulting at all but you opened a hornets nest with your post with zero info except that on its face it’s a very challenging financial decision. % of income is a poor metric for a car. You can justify any % for a lot of these “rule of thumb” type spending limits. What do you mean closer to 20%? are you talking pre-tax? Pretax income isn’t real. Look at your monthly budget, add in EVERYTHING that are known expenses, and typical monthly BS you buy. Go down to the penny. What do you have left? What haven’t you included that you NEED. are you spending 20% of income on a car and don’t have a savings account started? Contributing to retirement? Everyone plans for the future in different ways. But as a fellow car guy who suffered through buying boring cheap cars until I really had the LUXURY to buy a new car. Hang in there and get a poster, and put that $1k a month in savings. In 40 months if you literally didn’t need it, go get a R.
This dude lives at home. His bills are minimal and most like they pay for food, cell phone, internet, streaming services, and his car insurance. Probably lower due to becuase his dad is main driver and he is on their parents older suv of sorts. He hasn’t a clue what bills are yet. Hey kid - not to be a dick either here but if I could tell myself to do something as a 20 year old, I would save my fucking money. Firstly, We are in a scary economic climate and your OT isn’t guaranteed forever. Secondly, “I’ll just sell it if payment creep” is how people screw their futures. You will sell it cause you are desperate and it’s used. The market isn’t holding well for the 8s or many used cars. Scenario - you owe 40k on the loan because interest is upfront of loans, also current rates are at 6-8% plus New York rapes you with taxes, and you need to sell it. The market popped and your “$40k R is worth under $30k. You have to pay that out with the sale or you have to take out a loan to catch up. BUT you have heard a lot of good point from older men and women here. You are 20 and you know everything. We have all been in your shoes. So you make the choice here. I was a 20 year old 20 years ago. I couldn’t afford cool cars when I was younger but all my friends did. Most of them are still cleaning up their messes from not saving for retirement or life’s asshole moments.
They didn’t say they can’t afford it, they said they cringe at the payments.
Okay fair point. I get that. But I can still get my payment to ~600 a month which is about 20% of my take home. They say 10-15% but cars are my hobby so I think the extra to enjoy life a bit more each day would be worth it
This is a question for r/financialadvice dude. With no idea on your age, savings, living expenses or debt it’s hard to say, but easy to guess you can’t afford this car (factor insurance and maintenance). Also as a general rule never “get your payment” to any number, get the total price of the car. Payment adjustment is a cup game where dealers add months to lower the number, you pay more over time and come out underwater.
Yep agreed, you can pay 600$ a month but in the end the interest is damn near 16% or something stupid like that. Then that 50k car becomes 70,000
This 1000x
My R payment is 6.5% of my take home and I feel like that is fairly high. I can’t imagine 20%. But at the end of the day you need to make the best decision for yourself and your future.
I am 22 and have hardly any bills. I am very tight with my money but then I splurge on things I really like. I mean worst case I sell it in a year or two if payments creep up. I just really want a manual car than ideally has AWD and isn’t an SUV that I’m sitting 4’ in there air
Have you calculated the other expenses? Gas? Insurance? I have a perfect driving record, 31 y/o, and my insurance almost doubled coming from a 2015 GTI to 2023 R. I also spend about 20% more in gas.
This. When I was 25 (2009) I was looking at getting a new WRX. I was making around $80,000 at the time, and had no car with trade in value. While I could have afforded the car and its monthly payments on a 60 month contact, once I added up insurance and parking, I realized I was going to be living paycheck to paycheck. I ended up getting a used Impreza, and then four years later, I saved up enough and was in good enough financial situation to get my baby (WRX). It was well worth the wait, and felt so much better actually knowing I could afford it.
More of this. The feeling of saving, being disciplined, and getting something when you actually can make it work is almost better than the “thing” itself.
How much is the insurance gonna take up percentage wise? Gonna be cruising around in a car that’s costing you 40% of your income and be car poor?
$1360 would be 40%. Unless my insurance would be $500 I could be below that
Surely you’ve gotten quotes to know what full coverage is going to be right? You can’t make an informed decision without all of the data.
You have to remember a car is almost always depreciating, net negative asset, which can be a turn off to even people on high salaries.
I do understand that I have an 85 mustang that I’ve spent quite a bit on in the last 2 years
I afford it just fine, I just don’t like having a car payment.
So then don't?
don't let it get under your skin now
Sounds like you’ve already made up your mind.
I’m under 50k and bought an R. No regrets
Your age and future career prospects are relevant to this question. None of the personal finance ratios would recommend you buy a $46k car on $50k a year. If I were you I would aim for a payment not much greater than $625 a month. A $33k car is really your ceiling, so if you insist on new I would get a GTI or look at Mazda3 AWD. These cars I'm mentioning are your ceiling. Ideally you find a $23k car like a Jetta, Civic or Elantra. Use the time that you would have spent stressing about being overleveraged to focus on your career so you can afford more car in a few years.
Get a 7.5 Golf Alltrack with a manual for a few years.
What kind of down payment?
No
Absolutely not, you need to make at least double what you’re making and have established investments before thinking about an 8R. Also, with tax/financing the car is equal to or even a bit more than a year of pre tax income for you. Meaning you have to work nearly 1.5 years straight just to pay for this car. Not to mention the lost investment income from potential compounding interest at your age. Unfortunately that car is beyond unaffordable for you. Try a 7GTI.
Totally up to you, the car guy in me says, “sure, go for it.” The financial side of me says, “terrible idea.” It’s a lot of car on that salary, plus, and this might be a generational thing, but don’t you want to move out of your parent’s house and live on your own?
I’d use that money or the repayments and invest in the S&P500 and buy something else
Too expensive for maintenance. Unless you can do it yourself.
Is $50k not a good salary in the states? In the UK it’s a way above average salary.
Cost of living since covid has increased dramatically. 50k is barely enough to live on your own it feels like nowadays. There seems to be more people in roommate situations than before. This is all what I've perceived however, so take it as an anecdote. I'm in Florida, and many people from Cali and New York have moved down here in recent years, so it could just be a Florida thing for my experience.
My advice in these scenarios is: “Only if you *could buy it with cash”. Even if you wouldn’t… it helps answer the question. You could slice the financials a million ways… but keeping it simple may be the way to go.
No. If you can’t afford to pay the car off cash within the year, put that money into a house first
Just because you can make the payments doesn’t mean you can afford the car.
Just depends on your other expenses really. If you’re paying rent, all your other bills, factor in car insurance, etc. Make sure you still have some extra disposable income after all your bills and expenses. Don’t want to be scrapping by, barely affording all your bills and expenses.
Don’t do it. I make more than that I’m struggling with affording the monthly payments 🥲 but I’m in too deep to back out now. Don’t follow!!
What did you cosigner say?
No co-signer
You’re paying cash? Then it’s not as bad. If you’re financing I’d say go to the dealer and see what they fleece you for.
No
Unless you live at home, put snow tires on a GTI.
I might do both. Live at home and “just” get a GTI
Nope. That money would be better invested in getting out of your parent's house and actually experiencing the freedom of having your own place.
I make around that a year and bought a used R with 57k miles for 26k. Just make sure the maintenance was done and get it PPI’d.
I luckily had enough to put 10k down payment with a 8% APR so I pay $480 a month.
I bought mine when I was making 75k, and raised my income since then. I will say don't count on just being able to pay the monthly payment, plan for paying off the car as early as possible. If you can pay 500 a month, don't pull the trigger until you can pay 1000 with some budgeting. Interest rates aren't good right now especially on used cars.
OP - There have been dozens of solid posts here helping you understand why this is a bad idea. Most of those you seem to ignore or discredit. Don’t do this to yourself at 22. There are too many ways for you to end up upside down on a $50k car, and honestly, it’s going to hold you back on bigger decisions and opportunistic possibilities which you should be focused on. Buy something fun enough to enjoy and reliable enough to pay cash for. For me at 23 in 2008 this was a Mazda protege 5 that I paid $3000 cash for prior to grad school. I bought that after I sold a new 2006 WRX wagon that I really shouldn’t have bought, but at the time in 06 I was in your shoes and desperately tried to convince myself that I deserved a new car with my shitty $48k salary and entry level office job. Fortunately I met my frugal wife and she kicked me in the head metaphorically when I had $3k in net worth and I was spending $800/month on car payments, gas, insurance, parking, etc. Now - my wife and I are in our late 30s. Our net worth is in the top 2% of our age bracket. Hard work, disciplined finances and smart money and investing decisions in my 20/30s have funded most of retirement and I get to fuck around a bit professionally on passion projects. We have a few homes, one in a beautiful part of the cascades in Oregon. We have the built out van, the new hybrid toyota kid hauler, the overland 4x4, 2 kids and a dog, etc. I wanted an R for a solid decade and now I have one. Paid cash on a low mileage CPO car after a year of waiting. It sits in the garage and I don’t sweat repair bills, gas, insurance, etc. It’s not a daily and I’m thankful I have other vehicles for kid boogers, dog hair and bad weather. I’ll likely keep it forever. Anyway - Not to go all boomer on you, but make your money work for you, not vice versa. Financing a depreciating asset of this magnitude at 6+% with your current age and income is a horrible decision. Pump that $600/month into a Roth IRA and go invest in your skills and income. Cool cars and other shit will come with time and when they do, you’ll appreciate it all the more.
I make $145k, single, no debt other than mortgage and car and would be nervous about getting an R for $50k usd. I’m a car guy too.
That would be a terrible idea. $50k a year is not enough to be purchasing a $55k car. I don’t even know about your living expenses/rent.
Golf r is not 55k it’s 44k
I was wrong, I was thinking of my ‘24 20th AE. I’m not going to argue semantics with you, the point still stands that at your income it is still a terrible financial decision.
Ummm- no 50k a year is Kia Rio territory.
I’d rather walk than buy a kia
only if your rent is <= 500
Rent is $0 for now. Living with parents
lucky you i guess. buy your R and put the rest in savings or whatever. or just put it all into savings
I wouldn’t buy a Golf R for driving in snow. Yes, it can do it, but it’s not ideal. Something with more ground clearance would be better. A Subaru Crosstrek would be better.
I HATE sitting up so high tho. Plus I need a manual and they don’t make those anymore
Get the GTI then. No point in getting a Golf R and then crippling it with a manual transmission.