DON'T FINANCE A CAR UNTIL YOU WATCH THIS

[@michaelriddell2881]

Im a financial advisor and applaud this video, nicely done! Being debt free is an incredible feeling

[@stocksxbondage]

Finance major too with an interest in personal finance. This drives me up a wall. Lots of “car guys” are peaking and will never afford to own their dream car because they’ve plateaued financially. You can live like this for years and your financial situation isn’t gonna magically change when you’re in your 40s and 50s. You’ll be in the same place with nothing but a decade old German sports car to show for it… I like that Justin says put the extra car expenses in the Entertainment/Wants category! Less vacations, eating out or nice clothes but you get the car. Some people are happy with that.

[@iistoleyourshoegaming9948]

im debt free, Got plany of cc debit, just not paying it😅

[@mrstepitup9186]

Why didt you make a video like this?

[@KeKe-lt1rc]

Yes it is. I eat well,sleep well...

[@Nskm139]

That’s why Allah said interest is sin

[@AbrahamMusalem]

Focusing on paying off my car/student loans was the best thing I ever did. Debt free is an amazing feeling.

[@speedcircuit]

Another good piece of advise is to never roll your debt from one car into a new car loan. Or before you know it you'll be paying $1000 a month for a Civic.

[@brendanhickey9771]

I know someone paying 800 for a Camry.

[@michaeltyang4375]

@@brendanhickey9771I know someone who brought a new type r fl5 20k over msrp… $1200 a month for 300 hp and fwd is wild.

[@EduardoScobar]

I just did that :/

[@EduardoScobar]

@@brendanhickey9771 for a camry damm :/

[@eerielantern.]

@@brendanhickey9771Currently paying $600 a month for a 25’ Camry :(

[@TrevForPresident]

The humility section really landed with me. I don't ever want to take a step back in anything. This ensures I frugally up my lifestyle only when I'm 100% confident I won't settle for less later. It's been a blessing. 340i paid off is much sweeter than an m340i with a note. Congrats.

[@TheCalvinnnnn]

But an m4 though… 👀👀😂

[@flyguy9324]

@@TheCalvinnnnn no bs 😭😭😭😭

[@vaironxxrd]

This video is refreshing to see coming from an enthusiast. When most channels are throwing out crazy car payment numbers (not accounting for gas, insurance, maintenance) it’s refreshing to see someone recommend a more realistic, and sensible approach

[@Akac3sh]

your doing gods work. i was 18 when i got my first bmw. needless to say i got bent over. sometimes you need to understand your dreams till you captivate them. i promise you bro this will help a young enthusiast !

[@justinbuice]

I hope so! Wish I heard this advice when I was younger

[@floridaredneck]

You really had to invoke religion into buying a car? I doubt the gods are that interested in auto finance.

[@Into_d_Horizon]

@@floridarednecknot literally. A saying, if I had to describe it.

[@Into_d_Horizon]

Wise words!🗣️

[@floridaredneck]

@@Into_d_Horizon First, let's be friends, we're only talking. "Hit the sack", "Under the weather", and "Break a leg" are sayings. "You're doing gods work" is religious. When buying a car, "Good luck with that" is an appropriate saying.

[@speedfreaks1969]

You're a good dude, not many KZbinrs giving advice like this.

[@TtownLarry]

Original owner of BMW 550 paid off for 3 years now. Aftermarket mods from China have made me feel like I have a brand new car again.

[@SycaShow]

The carmall cluster saved my 2013 328i

[@ciabatta7538]

How have those aftermarket mods held up for you? The bimmer elitist, upper echelon consider aftermarket parts sacrilege . They will accuse you of heresy even though BMW continues to use plastic parts in cooling circuits 😅.

[@TtownLarry]

@@ciabatta7538 STRONG!

[@SoloVentureExplorer]

If i may ask, how did you source the aftermarket parts from China?

[@trexasaurus5322]

I was extremely fortunate. My parents bought my first car for me when I turned 16. 22 now and still rocking it. Been thinking about upgrading for a while now but I think I’ll hold off and drive this car until it completely breaks. Thank you.

[@xjameslove44]

What car is it? That they gave you

[@floridaredneck]

I don't think cars break completely, but there are exceptions. Generally things need repair gradually as it ages. I've had my car one year more than yours and it runs great. If it needs something, I fix it. I doubt anything could break that would cost more than another car to fix, unless it was one of those exceptions. If you get a job and double your salary or something, it might be financially okay to buy one if it doesn't affect your lifestyle. I have a Sentra, what do you have?

[@trexasaurus5322]

@@xjameslove44 2017 Jetta. Haven’t had a single problem with it and it has over 100k miles now.

[@trexasaurus5322]

@@floridaredneck a 2017 Jetta. I haven’t had anything break yet but I baby this car haha.

[@barnsnoble7066]

​@@trexasaurus5322funny enough my parents also bought me a 2014 Jetta when I was a teenager. Nearly 10 years and 130,000 miles later, this car has been with me through many life mile stones. I'm planning on looking into buying a new car in two years but part of me wants to see how far this car will go.

[@DeanBKK]

This is such a good video as you've done it from a car enthusiasts perspective. Being a "car guy" isn't a cheap hobby. So trying to find that balance between being financially responsible and enjoying a hobby you love is key.

[@illestprincessforeve]

This video came out great babe! I’m so proud of the time you took to put into this and the research you did for it. You have a lot of good information and I’m proud of the work you’ve done to take care of the car loan!

[@5Juss0Blaze4]

💯🔥💯

[@Realpreshaanb]

I was totally expecting you to come up behind Justin and say NO when he was looking at those wheels😁😅

[@justinbuice]

@@Realpreshaanb 🤣🤣🤣

[@TommyLGarage]

I agree. Good job babe!

[@justinbuice]

@@TommyLGarage 🤣😆

[@TazJumper]

30 years old now, I've always purchased my vehicles in full (with only one exception, '13 FRS) and it is quite rewarding to have a debt-free life, however, low interest rates help you acquire high-valued items without the sacrifice of investment opportunity. As of today, interest rates are high so it does make sense to avoid car payments but when interest rates are low, taking a loan could benefit you in the long term if you know how to hold on to your cash correctly. I purchased a '16 IS300 back in 2021 when interest rates were 2.8% for a car loan and regret buying it in full since I could have used that money for something else.

[@adamheaney3]

I just paid off my 60 month loan on my 19’ Yukon in 30 months, 52k miles. Still have my 2011 e90 with ~125k miles which is the reason I subscribe. Funny as I was going to contact you about some minor restoration recommendations with said e90 to keep it fresh. GREAT VIDEO.

[@KevG]

Being in finance/ banking, I can say this video is much appreciated. It's also VERY important to note: If you're younger and living at home or renting, your car payment will have a huge impact on your debt-to-income ratio, which affects what kind of house you can qualify for. Try and keep your car payment as ~10-15% of your income. It's better to be invested in an asset that appreciates! Cheers Justin, congrats on being debt free and thanks a lot for the video.

[@isaiahbledsoe257]

does it go in my history or something or do you just mean as im paying it? if its paid off by the time i go to purchase a house it would be alright right

[@KevG]

@@isaiahbledsoe257 if a debt is paid off by the time you run your credit for a home purchase, it will not be included in your debt to income ratio. However, if you close an account (auto loan) right before you want to buy a house, your credit score may also be negatively impacted. It’s a fun game lol

[@selfexplanatory6459]

The thing that got me was when you can out right buy your dream car. You see your bank account and think how long and how much work it took. To each their own but I went from wanting an M3 G80 to getting a 2021 330i.

[@SammySweetsxoxo]

lol best is when you have ppl around you saying you’ll never be able to afford it. Then showing up with it a few years later. Your honestly richer then you think. Put your mind to it and it will happen. 😊

[@jayy7712]

2021 330i you could afford a 2016 340i and still have fun

[@thegoldenratio8127]

330i is so mid

[@Arnold001-1]

Fellow Ramsey follower here. The borrower is slave to the lender. Never take out a loan for a car ! To anyone watching this video and reading this comment. He is outlining the Ramsey methodology. Great advice. Dave Ramsey and George Kamel talk about this topic ALL the time. Delayed gratification is key, don’t put yourself in a horrible financial situation bc you want your “dream car”. Wait until you’re in the right financial situation in your life and can afford the car in cash, have a 6 month emergency fund, you have no debt, and are investing 15% of your income towards retirement.

[@themancuniancandidate2744]

I didn’t have car finance for decades; I was happy to pay cash for cars costing less than $10000, and focus on owning my own home outright. Now I’m mortgage free, and I just financed a 5 year old Golf R. Even in my privileged position ($120k+ pa salary and no kids or mortgage or card debt) my car payment is less than 10% of my weekly take home pay. It’s nice to have a nice car, but debt can eat away at your soul and your sanity if you let it

[@AnthonyStromDesign]

Great topic. I love cars too. Made many financial mistakes with financing cars when I was younger. I'm 59 now. I still love cars. I own a 2009 BMW 128i Msport with a manual transmission. I upgrade with track emphasis performance parts, and service my own car to save money. the N52 is reliable and parts are cheap to buy. It is the best car I've ever owned because it is paid off.

[@dzlnitro]

Well done. Much respect for a video like this. It's needed, plain and simple. This topic isn't discussed enough!

[@justinbuice]

Thank you!

[@shaybrewster5602]

Much respect for you making this video!

[@optikadayz3659]

You’re so right on this one! I don’t have my BMW’s anymore but I still like watching your content. Thank you for being real 🙏

[@justinbuice]

Thanks for sticking around!

[@noahff292]

Thanks for making this video! I just sold sold my mustang that I was paying $500 a month for and paid cash for a work truck. A HUGE relief!

[@willythewhale2235]

lol I totaled my2020 Mustang and got a lot of money back. Now I’m about to buy a 2007 bmw 😂 that’s going to be a huge relief also. I had the same monthly payment as you

[@Realpreshaanb]

The amazing stress free laugh of a debt free man... Things you love to see😁 Big Ups Brother 💪🏽 on that topic of having to work in the warehouse, i feel that was one of the catalysts in what turned out to be the greatest step by far and bringing this channel to life😁... I relate to it on a parallel level where if my previous car didn't get totalled, my channel wouldn't have been created and our following and friendship wouldn't have been in existence 🙏🏽 here's to many more videos and growth 🙏🏽💪🏽

[@justinbuice]

Yes! That all happened right around the time my channel was starting to take off. Rather than looking for another office job, I decided to grind it out in the warehouse for a couple years while making KZbin videos on weekends 😁

[@Realpreshaanb]

@@justinbuice and with that, a liability became a valuable asset 😁💪🏽

[@codywieczorek]

Having a monthly payment on a car also affects your debt to income ratio (DTI). Lenders look at your DTI to qualify you for loans. It is calculated by taking your monthly debt/gross monthly income. So if you wanted to buy a house, keep in mind that you can’t go over a certain percentage of DTI based on the mortgage program and product. For example, someone making the median salary of 48k/year, with no debt can qualify for a ~$240,000 home with today’s interest rates. Whereas someone with the average new car payment of 744 can only qualify for a ~$116,000 house. That’s $124,000 that you don’t have to secure the home you want. Even if you could afford a payment for a 240k house with a car payment, banks and lenders won’t lend to you to protect themselves.

[@HYPEREX]

huge props to bringing this issue to the Car Community. This definitely needed to be addressed.

[@Balanced--]

Ive been purchasing my cars cash for quite a while now. Purchased an M2 CS yesterday cash. Finance not only robs you monthly but adds a significant cost to your car on top of its devaluing.

[@alisaremi]

Truly the best English-speaking car video on KZbin. Thank you for raising awareness

[@justinbuice]

I appreciate that!

[@misteramerica5893]

I bought a really used, beater Fiesta ST that had 5 owners, rust forming, clapped suspension. I've driven it for the last almost 4.5 years. I got it for $7,700 at the start of COVID. I stupidly (as I thought) took out a loan for $5k at the time and my car payments were like $125 a month. I paid it off super early as I was deploying for a year. My only regret looking back was I didn't find something nicer, a little more expensive. I haven't had a car payment in almost two years and it's been really nice. I'm driving this thing until it dies.

[@stocksxbondage]

The car community NEEDS this message! Thank you! 🙏🏽

[@amfareed30]

Beside being a very very good bmw youtuber...you are a good person...thanks for your honesty

[@justinbuice]

Thank you for the kind words!

[@MR3DDev]

The way you think about is like a vacation. You can spend a lot of money in a vacation? that money is gone and what did you get in return? memories, happy times. Thats how it is buying a car for me.

[@krutarths]

My first car was new and financed, and as soon as the first payment went through, I regretted that decision. That was a 0% loan over the term so I definitely could have done worse, but the depreciation hit over the next few years was definitely more than I was willing to accept. Decided then on that I'd only get a USED car now that had already taken the major depreciation hit, and that I can pay for outright, but finance should the interest rate be low enough. So far, that strategy has worked wonders!

[@Eldaino999]

Love the car enthusiast angle here! Couldn’t agree more. Currently driving a paid off MK6 Gti after selling a relatively new 2024 Honda. I would go a step further and have everyone shoot for not having your monthly expenses for your vehicle, including car payment, not exceed 25% of your gross pay.

[@Nateriarchy]

As a car guy that can't seem to keep a car more than three years (at maximum), one thing I like to consider, as you mention, is depreciation. Paying enough on the loan to ensure the car's worth more than the loan amount left helps with the mental aspects if you can't pay off all at once. So, if I decide it's time to move on, I'll have "equity" in the car trade-in. Great vid!

[@alvarohernandez4225]

Great video man! I used to work at several quick lube shops. One of the most frustrating things was when u would get a high end car that just wants a basic oil change. Then u have to explain to them that there vehicle takes ten quarters of full synthetic oil and it’s going to be well over 100+ dollars for an oil change then they look at u like you’re crazy. Not many people ask how much a basic oil change for this car and dose it take premium fuel. Two of the most frequent things u do for your vehicle.

[@LOMBAX0RATCHET]

Never watched any of your videos before and this possibly came up as I’m a car person myself. What a great advice video, there should be more people like you who are putting out relatable and important content. We have quite the car loan crisis in Australia also. I’ve always avoided car loans and been smart with money but I was so sick of dreaming about one day owning my beloved E63 so I did some research and got a loan out to the get the car or I felt I was never going to get it. I can’t wait to pay it off but the smile it gives me daily when I start it is worth it.

[@SpecializedDuck]

I have a car loan of 16,211 at a 27% interest rate for a 2011 335i with 99k. I bought this car march of this year. I needed a car because my last one failed me and I really wanted a BMW but didn't have the money to pay in cash and I had no credit at the time. It was my first time buying from a dealer alone and when I look back, I realized how much I over paid. Their excuse was the bank needed so much down and because I didn't have that amount that help make up the extra at the expense of raising the cars price. I was also sold a 2500 warranty which I was able to cancel and get a full refund for. My payment is 495 with a 60 month term loan. I am currently sitting at 9,700 not counting acured interest and if I follow my budget plan I set up, the car will be paid off by Feburary of 2025! I have learned my lesson and next time I will either have the cash, or I will READ THE FINE PRINT ON MY CONTRACT. Lesson learned the hard way.

[@floridaredneck]

That type of interest rate for a secured loan should be illegal. That is no less than predatory robbery. Check this out. I needed a roof because it was shot and leaking. I got a $7000 loan, but they only gave me $6300, but my balance was $7000. They charged me 10% of the loan up front, in addition to the high interest rate! Credit score was my problem too, so they make the poor stay poor. It was a 3 year loan, but paid it in 1. Doesn't matter how much I saved in interest, because nothing would get that $700 fee back. You could have bought a cheaper car, but I couldn't have bought a cheaper roof.

[@roarbahamut9866]

Bro, you cant afford a downpayment on a 2011 BMW but still decided to buy one at 27% APR?? How did that even make sense in your head? Im happy that you managed to pay it off, because that was one of the stupidest things you could have done lol

[@ltakallen]

You Rock Justin! I started watching you because of My 2011 LCI E93 M3 😁. I have always enjoyed your “presence”, delivery, content, intent and passion. You seem like a really cool Dude, and to do this for the”Community”, how cool! Great info yet again. If you have anymore E9X stuff…let it roll. Seriously 🙏🏾 Thank you.

[@Laursen_]

so happy to see you loan free and it will make the car feel soo much better to drive :D

[@user-gl5ld9vm7i]

Just paid off my BMW as well. Hey, I've been watching the channel for several years now. Heck, I remember when you used to skateboard in your videos lol. Excellent progress.

[@justinbuice]

Thanks for sticking around this long! I still skate 😁

[@TommyLGarage]

NCP club here and it feels great. Awesome video! Everyone in the US should watch it.

[@buckybarnes3803]

I'm one of the guys like your parents who bought used and paid cash. Dave Ramsey would be proud of you bro!

[@justinbuice]

Heck yeah! They were also the type to drive a car “until the wheels fell off.” I’m thinking of a minivan my dad had when I was a kid. It was on it’s 3rd transmission before they finally decided to let it go 😭

[@M3BEATS]

Good video man and congrats on paying it off early. I did the same as I was fortunate enough to triple my payments for most of my loan term. Best decision I made was buying a CPO over new. It was fully loaded only 3 years old and nearly half price!

[@justinbuice]

Thanks for helping me out with this vid 💪

[@Jazzmin554]

Nice video ❤ I just financed my new Camry after so much stress first was the money then is was paystubs and bank statements which I had to pay a vendor online

[@dreamviewLLC]

Pls I need a name or more information

[@omegasak1752]

Great video! Nobody in the car industry is talking about this, they only show luxurios cars drag races. Thanks for sharing your experience. We know you are a passionate bmw enthusiast, just like us, but this bring us more hinsight to the reality that cars are not everything in life.

[@Poooridge123]

Picked up my car last March for 30k. That same fire was lit under me so I paid it off in a year and a half. Last payment is this upcoming Thursday. My main issue was I didn’t enjoy my monthly cashflow being reduced by 555. To me I saw that as money for savings.

[@justinbuice]

Congrats on getting it paid off quickly! The last straw for us was my wife losing her job a few months ago. It's so much easier to make a budget without $414 coming right off the top each month. Now that money goes right into the savings 😎

[@_zach]

I too have been feeling the urge to pay off my car and student loans early. Thankfully I’m not in a tight situation, but just because I was fortunate to find a good-paying job doesn’t mean I should ride the comfort wave. Stacking up a sizable emergency fund and making my money work for me is far more valuable and the points made in this video are absolutely spot on. The idea of paying off my car super early and getting back that $640 monthly payment is freeing beyond belief. How I’m doing it: I started off the year by diversifying and was able to stack aside what I would consider a 6 month emergency fund (although I’ve not run the numbers). I’m now gearing up for a mass payment to knock out the rest of my principal as making recurring extra payments adds too much to my mental load imho. I’d rather take 1 shot and be free afterwards and be hurting a little bit thereafter than to keep having to think about it for another 6-12 months. I’ll make the money back. Not the time.

[@justsaying8254]

Good talk Justin! Cars are a depreciating liability, fact.... Just because you can get the credit doesn't mean you should... Build wealth not debt. Money saved is money earned.

[@Dreamcardriving]

Just bought my 335i for 12k 100k miles. All preventative maintenance done. Will pay off in 2 3 months then. I’ll modify the car aesthetically and engine wise!

[@justinbuice]

Congrats on the car!

[@876jonop]

Where’d you find it?

[@ma-scalia8629]

@@876jonopthere are so many on fb marketplace, 335is go all day for like 11-14k for 70-100k miles.

[@jaywavy5734]

Why would you buy a 335 with 100k miles

[@ma-scalia8629]

@@jaywavy5734 I bought one with 150k 😂 if they’re taken care of they will go double that distance. The reason I got mine was because I drive 36k miles a year and didn’t want something low mileage bc it would add up. Plus being in the city all the time with mine being cheaper it not really so worried ab door dings or bumper damage, plus no car payment.

[@coleblackburn8386]

I'll be paying off my car next month (six months early). What a relief it will be!

[@justinbuice]

Congrats! That's awesome!

[@jasonloera3358]

How much more per month do you pay off?? Congrats!

[@coleblackburn8386]

@@jasonloera3358 varied month to month, but the average was between 50 and 75 extra. Makes a big difference in the end.

[@tross549]

Love it. I only buy things with cash! I’ve purchased two in the last 18 months. In my view if you can’t pay in cash, you can’t afford it!

[@justinbuice]

Congrats on the cars! Cash is king

[@floridaredneck]

Did you pay cash for your house too? If not, you can't afford it. You are telling us that you have never financed anything? And people making minimum wage should do what, walk? Seniors on fixed incomes should what, stay home? You're quite arrogant, but I'm not sure you're aware of it. People making less than $25,000 (like me) can afford to buy a car, but they cannot afford to pay cash for it. Your solution only works for about 5% of the population. What do you suggest the other 95% do? Crash the auto industry by not buying and financing cars? My car is paid for, but I did not pay cash for it.

[@tross549]

@@floridaredneck Applies for everything but a house (Dave Ramsey plan). The key is getting out of the debt loop which you can do at any income level. Obviously the more you make (over time) will make this easier and easier to accomplish. You got this!

[@jakeinasky]

Incredible video! I tell people I know all the time to avoid financing a car if possible. You see so many people finance cars they cannot afford and it often puts them in dire situations. I bought my car for $11k in full and pay $100 for insurance. Having a car I love without having an intrusive car payment is such a blessing.

[@CarsonKing2002]

Bought myself a 2016 Silverado back in october 2021. it was close to 40 grand total after tax and everything. Paid it off in 2.5 years and haven’t had to make a car payment in 8 months. The money is so nice and I’m gonna be able to buy myself a home 2025!

[@rg6982]

Great video! Excellent you made this video as not many KZbinrs open about this! I bought my F30 out right and genuinely its the best

[@justinbuice]

Thanks! Congrats on paying cash for yours, not many people do that nowadays.

[@Laufc93]

Thank you for being so transparent with all of your videos the internet has a lot of liars!

[@justinbuice]

I try to set a good example ☺️

[@AdamJames-g3j]

Thanks so much Justin I just paid off one of my vehicles & I was doing the same & it worked out great. I also want to thank you for all the videos on the 330xi you use to own. Ii really helped me out with my 330xi I own & it running great!

[@justinbuice]

Glad I could help! Would love to get another one some day

[@markday5797]

My last few cars were paid with a check $100% mine when I drove off the lot. Yes new cars. I saved for a few years putting some money away each payday. And before long I have enough for that new ride.

[@marcuslee2026]

That’s great! Congratulations to you and your family! I bought my first car, a 6MT Corolla SE, last July shortly after graduating university. Car payment, insurance, gas, and maintenance is

[@justinbuice]

Thank you! Congrats on getting the student loans paid off, that's huge! I think we can find a balance between the Dave Ramsey approach - no debt under any circumstance, and "average" - $700+ payments while making $40k a year. If car payments cause someone to have to work overtime, get a second job, or prevent them from saving, it's not a good deal.

[@SerialWheeler]

Boredom is another reason that could lead someone to jump into car debt. A new car sounds nice, but if you already have a car that's working fine and that's paid off, use that to save up in order to buy it outright. Excellent video. I currently own a Ford Focus estate and actually Savin up for an F31 or G21, depending how much I can take care of the focus 😅.

[@ColonelKreme]

Keeping it real, been a subscriber since back in the E90 days!

[@justinbuice]

Thanks for sticking around this long! 🤝

[@edwinwilliams9780]

I really like your videos, Justin. Big fan of your channel and a BMW enthusiat. I hope to get the 340i soon. Love from Nigeria.

[@m.wallis8500]

Well done. We are financially secure, but have never paid more than $18k for a vehicle. I drive an extreme low miles E90 & my wife drives a GMC Sierra. Older, pampered, low miles vehicles can be a great option since they are (almost) fully depreciated.

[@itswufey2540]

Great timing, been eyeing new trucks lately but think I’ll decide to stick with the 95 k1500. Been nice being debt free.

[@joebloggs4191]

Being debt free is totally liberating and feels great! Too many mugs financing cars these days, if only they understood the power of compounding interest. In short you should only finance a car if you can make use of opportunity costs or have a highly profitable business and can use car payments to offset taxes. In any case it makes sense to only buy things when you have at least 3 to 5 times the value of that item in cash or assets.

[@ssjdavid]

🙏🙏🙏 Waking up knowing you owe people and or the bank is the worst feeling

[@briantheodore5109]

The lighting and production value of your videos is fantastic! Nice work!

[@justinbuice]

Thank you!

[@antonioschiano7666]

Fantastic video. Im about to pay off my 340 2 years early. My strategy was one month i pay the full payment and im allowed to buy some sort of mod and the following month i paid double the normal payment in order to space out modifying it and keeping myself responsible along with all tax returns going to my principal each year. I also bought the car i could afford even though i really wanted the f80 the 340 was more reasonable and under my budget at the time.

[@justinbuice]

That's a great strategy. Allows you to have some fun with the car while still paying it off aggressively.

[@Passion_Autoblog]

Thanks to my dad for giving me the mindset that debt is bad. We have many relatives who had extremely nice cars and big houses but they all lived off of debt and recently it backfired on them. My family though never financed a car or else besides for our home. We don’t have supercars but they are decent and the way we afford it is by buying them used because even after a year most cars lose most their value and after that you don’t have to worry about depreciation as much.

[@ovrxpsd]

thanks for this video. i wish i could habe watched a similar video before i purchased my forst car a while ago. I was dumb and had started a new job making 14hr and at the time i felt "rich" because it was more than what people my age were making at the time. i went straight to the dealer and financed my "dream car". a used 2012 WRX with a 6 year loan at $420 a month. i just signed the papers because i had no idea about interest rates etc. i just looked at the monthly payment and thought, "yeah i can afford it". if you do the math, i paid $32k for a car that was listed at 20k. 5 and a half years later, i was so excited to not have a car note, and then my motor went out. (wrx of course). i was so upset because i didnt have $10k to fix it, so the same day i went to a dealer and started a brand new loan. this time i made sure i got a reliable vehicle. im a little more than halfway done with it now and ive been trying to pay off extra here and there but i cant WAIT to finish it. im done finacing cars from now on.

[@FrocketGaming]

Your take gave me a different perspective on why people might buy these cars, I appreciated hearing that you see it more as an entertainment expense. I've personally never understood why people spend so much money on cars as I viewed it as a utility to get from point a to b; nothing more.

[@jdot88]

If you have a PCP (in the UK, not sure what it’s called in the states) a car loan is more financially viable. You can get into a really nice car (sometimes ones of your dreams) and over a fixed term of 36-48 months, drive it for what it would have cost post depreciation, sometimes even saving 2-3 months worth from what you would’ve paid if you did it all outright, and sometimes still hold equity within the car in the 2/3 or 3/4 period of the term. The equity can then be used towards another car. HCP (which is what this video sounds like) isn’t a good option, as you pay off the total value with interest for you to keep, whereas PCP is up to you. PCP with its guaranteed balloon payment that is optional, is up to you to pay, you either hand the keys back, or you can go to any dealership and sell it and use that money towards progressively upgrading cars over time. It’s not logical to pay £50k outright to buy the car of your dreams (unless you’re loaded, then it’s logical). But this all only applies if you’re not already tanked with other debt, if you will struggle with taking the payments, you shouldn’t sign on for a loaned vehicle.

[@metalgear1288]

Thank you for making a realistic financial video. My parents told me 2 rules. 3 years for a car loan and 15 years for a home loan.

[@itsJoshW]

Car loan payment terms don't matter nearly as much as house payment terms. An example would be the cost differences; However that assumes you're buying a car at a reasonable cost (say under $20k). The net difference within interest between 3-5 years is maybe 6 months. You actually get a better deal in the long term, if expected to have more money/month with a longer auto repayment term than a shorter one. Here's a real world example. I'm 35. In 2015, I purchased a condemned house for $25k or so. I took out a personal loan for it. This agreement was 3 years. In 2018, I purchased an Infiniti G37x, which is a long winded story, but to simplify: From 2016-2018 I had a subaru that was a poor decision. These are my "dailys" (my project car is a 350z). In 2018, I financed this for 5 years at I believe it was 7-10% apr (I can't remember it anymore). I was done with my personal loan in 2019, so I used the additional amount of money from the personal loan every month and paid a second payment on top of that. I paid the car off in 2021 and the estimated total wasn't much different over the shorter agreement. For a mortgage, I 100% agree. The problem with mortgages is the length duration; doubling the length from 15 to 30 years, while keeping interest identical at such a volume of cost (200k+) will heavily inflate the amount you're actually borrowing. One of my biggest pet peeves paying attention to Financial KZbinr advice is people thinking that: 1) 30-years are the way to go 2) The President/Feds chooses the private lenders interest rate (lol).

[@TruBlq]

Love this video. Bought my 2014 330i in 2017. Paid it off, then added to the allotted car payment within my budget so I could begin saving for my dream car (Porsche Cayman or 911). After saving $800 a month for 3 years it's like I almost no longer want the dream car 😆. Living debt free (or at least with no car payment) is uber relaxing.

[@mvloz113]

Have a 2015 A5, no engine mods just cosmetics and sound, I do the maintenance myself. Looks beautiful , has been reliable despite what others say and I enjoy it. I only pay 217 a month for it at 4% and invest heavily all while being able to actually drive a car I love. Eventually I plan on getting a GTR but the goal is to have my net worth around 2-3x the amount the car actually costs before buying.

[@TickleMePinkGaming]

I feel this, bought my m4 cash and have wanted something new but honestly just enjoying what you have and utilizing that capital else where is the move.

[@justinbuice]

Congrats on paying cash for that 💪. Enjoy it 😎

[@jacksampson7711]

Great advice at end. I almost always buy used and always pay off early term. Life is short drink, eat, and take every drug you want right!

[@Posted3000]

My last car i bought was an 05' BMW e46, cost $6000, down payment was $2000, monthly payment was $200. I paid it off in a year & a half. Had the car for almost 7 years. Unfortunately a car rear-ended me. Took the insurance money & got a BMW e30. This one was $9000. No monthly payment on it. All I pay is insurance. My wife bought a brand new Toyota back in 2014 & just paid it off not too long ago. 10 years of monthly payments for her, I could never but she says it finally feels good to get rid of that bill. I told her keep that car for a while & enjoy not paying for it.

[@floridaredneck]

Wait a minute. Did you say 10 years to pay for a car? What? That is so bizarre, would you mind sharing the numbers with us? How much the price was, and how much it really cost? I have a 10 year loan on my house! I have never heard of that. You were smart with your car on the other hand. I could not imagine being married to a car payment that long. Mine (2017 Sentra, $19,000) was financed for 6 years, but paid in 5 1/2 and that was torture ($325/mo.). I'm keeping it forever. I just can't imagine being imprisoned by a car for that length of time. As you can tell, I'm absolutely shocked. I've got to tell someone I read this, that's how incredible it is. Of course, if she makes buckets of money, then I digress. I don't, so that's why it's so surprising to hear. I'd pass out. That's just unbelievable. By the 9th year, I'd be insane for sure. Some pets don't even live that long. I'm mortified. If my wife did that and then bought another one, I'd get divorced; I couldn't handle it. There's nothing like the ball-and-chain a car payment is.

[@matte_luna]

​@@floridaredneckdamn, poor E46. congrats con financial independence btw!

[@robertadriansantos]

do your best to be simple and content. this is the key to be financially strong. i drive a 21 year old corolla given to me by sister who didn’t need it after buying herself a new BMW. Everyday is a temptation but I just remind myself that the car I drive now is a blessing from the Lord so why not be content and be happy with it. The corolla is so easy and cheap to maintain plus its a gas saver. 😊❤ i hope no one will fall into the trap of paying expensive car payments beyond their financial capcity.

[@Condemned4Honor]

I am now debt free, I paid off my student loans. I'm currently driving a 2005 Camry, I can afford to get a new car no problem, but I'm trying damn hard not too. It's so hard not to just take out the next loan. It sucks driving an old car but I'm so much happier being debt free. I'm really hoping I can continue to save and just buy a car but sometimes I don't feel like I'm that strong to wait hah Great video!

[@abdalrahmanal-sabbagh3906]

11:29 BOINK You got me inspired man, I'll work harder to save up for my first car so i dont have to need finance. I hope you get that G80 M3 and have a great day sir

[@DFrost1005]

Loved this video! I’ve definitely found that as much as I’d love cars, I’d much rather enjoy them while being as financially free as possible. Congrats on paying off your cars!

[@justinbuice]

Thank you!

[@CashMoneyKC1]

You’ve done well for yourself I do like the idea of not having payments. Just paid off one our cars a modded veloster turbo that’s been a great car so far. But I usually lease so I’m “throwing money away” but I enjoy getting something new 3yrs and having no additional out of pocket expenses. There’s some pros to it but also cons like anything. Idk I’m looking at used x3M g80 or new m340. We shall see or Keep my 22 S4

[@Charlottesville798]

Here in the UK, I had a 5 year loan on a black convertible e93 which I crashed in year 4. My insurer payed out, but instead of clearing the loan, I bought a top spec Msport e92 with the money & let the loan run out on its own... Ive been Loan free for 2 years. It was the bank who told me to buy another car than a loan.. Rare, that a bank would be ethical..!!

[@TheBooostleak]

Amazing video Justin Keep it up man!

[@justinbuice]

Thank you!!

[@purp6137]

I paid off my 1st car last year it was a BMW 320i, I am about to finish paying off my 2nd car which is a KIA Stinger and will make the final payment this year! Finishing BOTH cars earlier than the loan itself! After that no more for a while going to save hard and next car I buy will be full cash!

[@Ahmed-oi9pw]

Great video Justin, I think the young generation need to realize you don’t need an expensive/new car to get through college or early career phase. I never owned a car while through school and was able to buy my dream G30 540i used with cash about 3 years ago. I personally tend to stay from all kinds of debt and stay a debt free life.

[@justinbuice]

That's the way to do it. People nowadays have such a casual relationship with debt, and perhaps don't feel the weight of it like older generations. Congrats on saving up and buying a 540i! Enjoy it!

[@eliezerxabidi1192]

Wow love the the humility story now inspiring indeed brother

[@ChadwellTheo]

What a responsible video 🧐 I haven’t quite paid off my car, but I am making it my mission to do so before the year ends. I owe $6k on my 2019 GLI. The original loan was $23k, and the rate is 2.74%. It has just over 47k miles on the it.

[@invertedv12powerhouse77]

I put 40% down on my gr86. I still plan on paying over what my 5 year loan is before modding or anything. Got a 1000$ truck too paid off (old yukon). I still add to invesments and have retirement. Currently with modern day interests rates paying your car faster is better than investing it for sure for alot of cases. Now i love my 86. I got it in neptune blue and i have an emergency fund. With the ppf i wrapped around it and the very limited options its half my yearly income in worth

[@DDd-hr6mz]

One of the things to keep in mind when you do this is that the EARLIER in the process you do it, the more interest you save. A quick look on-line at loan amortization schedules for car loans (and home mortgages, for that matter) is that the biggest interest cost is in the first year, and the share of interest paid gets lower from day one. So if you can, double down EARLY, because by the end of the loan, all you're doing is returning borrowed capital back to the lender. So you can give yourself a break from accelerated payments as you get closer to the end and just let it run off.

[@sydneyr0s3]

I just got my first financed vehicle this past weekend. Funny timing 🤣 Got it as my daily e90 became too much maintenance. Thank you for all your past videos that helped me though!

[@justinbuice]

Glad I could help! What's been going on with your E90?

[@sydneyr0s3]

@@justinbuice crazy intermittent rough idle (cyl6 misfire) despite changing all spark plugs, coil packs, injectors, and trying to swap DME

[@widowmker101st8]

Love your videos boss I bought a 2013 BMW 535I. PAID 11,000 cash and thank God that it is in great shapes.

[@justinbuice]

Congrats on paying cash for it, that's the way to do it!

[@maxwrangler5788]

I traded my E90 328i in at the place I used to work at and got a mint F01 740 and only payed a 300 sales tax….. living debt free is the best, and it’s good to network to make things go smooth too.

[@sphamandlamazibuko3074]

Very inspirational, my brother. Thanks a lot for sharing. We all make these mistakes! Love that laughter at the end...(RSA)

[@justinbuice]

Thank you!

[@SammySweetsxoxo]

🎉 great video. My husband and I just paid off our 50k loan we had for our cars combined. I’ve got a bmw white 340 I drive and he’s got Audi s line. Both pre owned. Took us three years to do it but so happy we did. Now I can focus on the modifications I want to do. Starting with exterior. Feel like I want to do same thing you’ve got going on. Looks so sweet. 👌🏼

[@justinbuice]

Thanks! And congrats in getting your cars paid off!

[@jg_media9]

Great video bro and great topic that most people aren't talking about much tbh. I think it's so important since now a days youtube is almost like keeping up with the joneses and what's the next big thing. No one talks about how that shiny toy syndrome can cribble people financially. Yeah it's cool to have nice and new things but to a degree. I've always just kept it a rule of thumb that I would never buy anything unless I could afford to literally straight up buy it twice. Hasn't let me down.

[@isaacchavez1425]

Im a car enthusiast 💯 and im so happy all 4 of my vehicles are paid off! 1980 gmc sierra grande, 92 tercel, & 10 IS F, & 20 mirage. Only thing now is maintenance and for 4 vehicle's its almost like a car payment 😅.

[@Cookie-jb3xd]

I bought a e39 530i for 3000€ it had some dents and a few problems. After fixing all those things myself and learning a lot in the process I love this car. I'd never finance a car the only thing I ever would is a house but cars are just a luxury and hey you can buy an old 530i like I did it doesn't have to be an m5 or something you can have fun with cheap cars too

[@NewEra22]

Us long time subscribers, we 100% appreciate your honesty in this. I might go that same route soon... 🤜🏼

[@ruslan2676]

Instead of financing brand new Toyota Camry SE I bough Mercedes-Benz C300 2010 with cash. Sport package, amg line, so much more character and still looks dope after 14 years. Not to mention that it's a really reliable car, gives great driving impression, has enough power, and absolute tank during winter with 4matic AWD

[@Motorlytics]

Great video! As someone who has grown up watching a lot of car KZbinrs and hope to get my channel big enough to be monetized. I don't think I have heard any of them make a video like this. Thank you 😊🙏🏾

[@justinbuice]

Thank you! KZbin is a grind, but if you stick with it and stay consistent, it will pay off 😎

[@hawkinsjd11]

My 2003 Boxster S is paid off. My 2017 M240i is at least above water and 3.9% interest.