I am considering selling a vehicle that I own outright, to pay off a high-interest unsecured loan that I took out a few years ago to build my workshop. That will free up $750/mo. Then I will need to replace the vehicle I just sold.
I can't decide what makes more sense; to go buy a new vehicle or to buy a beater car and some land, or something else. Normally that would be a no-brainer (maybe it still is) but I think this might be a unique time in history where buying a new vehicle could actually make financial sense for the first time, and only for a brief window.
The reason is these stimulus checks that went out to everyone in the past months. That is likely to cause a lot of inflation in the coming years, no? If I took out a large auto loan right now, I would be paying it back with devalued dollars. In 2 or 3 years I might be able to sell it for the same amount I paid for it (while a brand new one would cost twice as much).
I might be exaggerating the extent of the inflation, I don’t know. That's why I ask. Does it make sense? Is there something that is a better buy for now?
I can't decide what makes more sense; to go buy a new vehicle or to buy a beater car and some land, or something else. Normally that would be a no-brainer (maybe it still is) but I think this might be a unique time in history where buying a new vehicle could actually make financial sense for the first time, and only for a brief window.
The reason is these stimulus checks that went out to everyone in the past months. That is likely to cause a lot of inflation in the coming years, no? If I took out a large auto loan right now, I would be paying it back with devalued dollars. In 2 or 3 years I might be able to sell it for the same amount I paid for it (while a brand new one would cost twice as much).
I might be exaggerating the extent of the inflation, I don’t know. That's why I ask. Does it make sense? Is there something that is a better buy for now?