Car Restoration Financing?

[Northeast Rod Run]

Originally Posted by dmaxwell

Does anyone know of a company that will finance car restorations? I've heard of one, but I'm looking to see if there are others / if anyone has any experience doing it.

Looks like someone new joined this site, got overwhelmed with all the great projects on here and forgot about all common sense when building a car and forgot to realize that his eyes were bigger than his wallet

Financing a build is a sure-fire way to go broke... or even worse

[srh3trinity]

Someone wise once told me that you should pay for toys with cash. So, I am in the majority here. I have the means to move faster, but I choose to plan and buy as I can after tithe, paying bills, savings plan, life/disability insurance, family fun expenses, etc.

[Bucketlist2012]

This site has a way of making you spend more money...

But it should be disposable income...Because it goes fast and never far enough..

[Z10ROD]

all good advice . Dmaxwell did you get your answer ? just a thought but have you found a pay as you go builder ?? thats why some of these projects take a while. I would not pay any shop all up front.

[Bucketlist2012]

Originally Posted by Z10ROD

all good advice . Dmaxwell did you get your answer ? just a thought but have you found a pay as you go builder ?? thats why some of these projects take a while. I would not pay any shop all up front.

AMEN.. You only pay for the parts needed for each phase. And then you pay for the Labor AFTER the labor is done..

[Z10ROD]

Originally Posted by Bucketlist2012

AMEN.. You only pay for the parts needed for each phase. And then you pay for the Labor AFTER the labor is done..

UH NO you will have to pay as you go on labor too I don't think ANY shop is going to foot the bill on a complete build. they don't want your car they just want to build it.

[dmaxwell]

Originally Posted by Z10ROD

all good advice . Dmaxwell did you get your answer ?

Nope.

Originally Posted by Tony_SS

This is a bit off the topic, but a buddy and I were talking.... he is firmly against any debt whatsoever... my argument was that, if rates are so crazy low, wouldnt it be wise to borrow money at 1.9%, and keep your cash liquid? He thought not. I disagreed: The cost of the loan is worth the price, if I can keep my cash, and even make money on what I have, and use the bank's 'cheap' money. I'm all about avoiding debt, but living by that absolute isnt always the wisest choice IMO. In this case though, it's a wise one. lol

This. I didn't say I needed to finance a build, I was curious if such a service existed and, if it did, how cheap the money was. If I can barrow at a low enough rate, why would I tie up $100k+ in liquid capital if I have an alternative?

[Z10ROD]

I would make a call to the classic car insurance people ??

otherwise its probably going to be an unsecured loan from a bank
and not the lowest interest rate probably around 6.5% for excellent credit

a purchase money second on your home could be an option for a low interest rate.

what kind of car is it that could change things ???

[214Chevy]

Originally Posted by dmaxwell

Nope.



This. I didn't say I needed to finance a build, I was curious if such a service existed and, if it did, how cheap the money was. If I can barrow at a low enough rate, why would I tie up $100k+ in liquid capital if I have an alternative?

Not being mean, but some people have to learn from experience. DMaxwell, go ahead and procure a loan for whatever amount you feel you need. Let's say $100k for a decent car with all the bells and whistles. While building the car, see if you can stick to that budget, hope you can see the project all the way thru til the end. If so, you now owe the back, with interest, roughly $120k. You get tired of the car and want to sell it. The best offer you've gotten was for $70k because you built the car for you and the market is still bad. Now you still owe the bank $50k. All we are saying is it isn't a wise choice to borrow for a build. Do whatever you feel is right and makes you happy. Good luck.

[FETorino]

Originally Posted by dmaxwell

Does anyone know of a company that will finance car restorations? I've heard of one, but I'm looking to see if there are others / if anyone has any experience doing it.

Hey what kind of car are you building. Maybe I'll grab it for $0.50 on the dollar when you realize you can't afford it and put it up for sale.

Financing is for buying a home or machinery needed to run a business. Anything on this board should only be bought with cash in hand.