Car Restoration Financing? - Lateral-g Forums

dmaxwell · #1 01-29-2013, 09:02 AM

Quote:

Originally Posted by Z10ROD

all good advice . Dmaxwell did you get your answer ?

Nope.

Quote:

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 · #2 01-29-2013, 09:16 AM

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 ???

**Flash68** · #3 01-29-2013, 09:38 AM

Quote:

Originally Posted by Z10ROD

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.

I doubt that is what he meant.

Quote:

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

Yes. Some people avoid debt at all costs, and it is not always the most strategic decision financially, but it makes them happy.

Quote:

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?

More info in your first post on this forum would have been helpful.

Bucketlist2012 · #4 01-29-2013, 09:58 AM

[QUOTE=Flash68;461053]

Yes. Some people avoid debt at all costs, and it is not always the most strategic decision financially, but it makes them happy.

Some debt is OK...I would always keep my Home Loan even though I could pay it off...I would rather Invest the Money and get double the return.

But only on a Home loan. That Debt sounds fine to me,especially at mid 3%..

dmaxwell · #5 01-29-2013, 10:13 AM

Quote:

Originally Posted by Flash68

More info in your first post on this forum would have been helpful.

Such as?

**Flash68** · #6 01-29-2013, 10:15 AM

Quote:

Originally Posted by dmaxwell

Such as?

Such as a sentence or two explaining your reasoning behind it. It would have prevented much of the 2 pages of responses telling you not to do it.

Not a case where less is more. More is more.

Oh, and welcome to the best forum on the internet.

**214Chevy** · #7 01-29-2013, 10:23 AM

Quote:

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.

Tony_SS · #8 01-29-2013, 10:42 AM

Even if you do finance, I would search for a completed project closer to your liking. It sort of like paying top dollar to buy new car with 0 miles, and saving thousands buying the same car with 10-20,000 miles on it.

And one more thing. Ben Benanke for president. Print money bitchaz!

fesler · #9 01-29-2013, 10:51 AM

Not sure how everyone on here thinks its such a bad idea, its like doing work at your house and everyone thinks thats such a great idea...... If you really want a car and can afford to do the payments on it this will fast track that. We have thought about doing something like this for many years with a flooring company. Just have to work out all the details so everyone is on the same page and you understand what you are getting yoursefl into.

**214Chevy** · #10 01-29-2013, 11:38 AM

Quote:

Originally Posted by fesler

Not sure how everyone on here thinks its such a bad idea, its like doing work at your house and everyone thinks thats such a great idea...... If you really want a car and can afford to do the payments on it this will fast track that. We have thought about doing something like this for many years with a flooring company. Just have to work out all the details so everyone is on the same page and you understand what you are getting yoursefl into.

Chris, I wouldn't compare a house, which is a necessity and gains equity, to a classic car, which is a luxury and can lose equity. Now, I know the housing market is not good now, but a house is still an equity item. Like some one else mentioned, unless you have some rare Duesenberg, the very first James Bond Jaguar or something like that, the muscle car is not the same thing. 20 years from now, housing will still be a necessity. In those same 20 years, we can only hope pro-touring is still as big as it is today. If not, you'll still be paying that lone you borrowed. Just my $.02. There's no right or wrong answer.