The first time most people buy a car, they just get what they can actually afford. Later in adulthood, when they have some financial stability, they can likely spend a bit more but they’re still restricted to just getting something that suits their needs at the time.
When can you get the car you want? At what age should you finance your dream car?
Not everyone follows the same path in life, so there’s no set age that works for everyone. The short answer is really just when you can actually afford it and enjoy it.
American Family Insurance has a great checklist for saving up for your dream car. Of importance are three crucial steps in particular.
First, check your credit score. Clear up any inaccuracies and do what you can to clean it up. Raising your credit score can save you thousands in interest on your financing. It might even make your insurance cheaper.
Second, try to save up at least 20 percent of the overall car value in cash. Putting this as a down payment will lower the amount you borrow, and many financing options might even mandate it.
Third, make sure your monthly budget can handle the car. That’s not just car payments, but also insurance, property taxes, gas, and maintenance.
Are You a Parent?
Whether or not you have kids can possibly matter, depending on your dream car. If you’re okay with a second vehicle, then maybe this isn’t an issue. However, if you can only afford one vehicle at a time, and your dream car doesn’t mesh with the reality of being a parent, then you’d either need to finance your dream car before your family-rearing years or after your home becomes an empty nest. If your teenagers get their own cars, you might be able to expedite things.
Here’s a Good Trick
If you have a specific make and model that you consider your dream car, then chances are good others also think of that same vehicle as their dream car. That means the secondary market likely has options available that their prior owners took great care of. Used car dealers aren’t restricted to dealing with just one brand they’re linked to, so there are plenty of options. Given how much value new vehicles lose in the first year, used vehicles actually offer you far more bang for the buck.
If you live in or around Gainesville, Florida, then checking out IndiCarCredit is worth some of your browsing time for selection and value. Your dream car might just be waiting in those listings.
Don’t Wait Forever
As much as you should wait until you’re financially able to drive a dream car, don’t wait forever. The Conversation points out that men 85 and older have the same rates of crashes as younger adults in their early 20s. While age-related driving decline happens at different times for everyone, just make sure you actually get your dream car while you can realistically and physically enjoy it.
Financing your dream car is hopefully something you get to do at least once in life. Hopefully, you’ll actually get to pull it off more than once. In regards to what age you should finance your dream car, do it after you can actually afford it but while you can still enjoy it!