michel Posted 26April, 2015 Report Share Posted 26April, 2015 I reckon Hugh there are a few out there who have used the milk money and bought Into there dream Quote Link to comment Share on other sites More sharing options...
npvpositive Posted 26April, 2015 Report Share Posted 26April, 2015 Not many car loans, but I do think people are drawing down on (inflated) home equity to free up cash. More generally, this is mostly about sentiment, not actual cash . . . the so-called "wealth effect". To quote Wikipedia: "People typically spend more overall when one of two things is true: when people actually are richer, objectively, or when people perceive themselves to be richer—for example, the assessed value of their home increases, or a stock they own goes up in price." In this ultra low interest rate environment, with record house prices and a strong share market, many people perceive themselves to be rich, or at least financially comfortable. So they spend cash on something totally discretionary like an old Porsche. When the pendulum swings again, as it always does-- a 20% sharemarket correction, a 4% rise in interest rates, etc-- they are suddenly going to feel very, very uncomfortable having $200k of discretionary cash locked up in a 993TT. One last thought on this: the good news is that almost all the "bubble money" is going into the old air cooled cars. Let them have their fun and in the meantime there are amazing bargains to be had in cars like the Cayman S and 997. hugh and firstone 2 Quote Link to comment Share on other sites More sharing options...
GUT Posted 26April, 2015 Report Share Posted 26April, 2015 Home equity is an extremely common means of paying for all sorts of things. Relatively few people would have the cash in the bank to buy these things outright. Quote Link to comment Share on other sites More sharing options...
turboT Posted 26April, 2015 Report Share Posted 26April, 2015 Hey turbo T with around $360000.parked in the shed may I suggest that you you are one of the "lucky buggers" You got me there It's all relative mate. The guy that bought the TTS could turn turn around and say "what about that lucky bugger Jay Leno??" We are all enthusiasts at the end of the day. It's kind of what makes it interesting the massive range of p-cars available. Imagine if we were all into a brand that was no longer in production. At least with p-cars there is an entry level for everyone. Quote Link to comment Share on other sites More sharing options...
DJM Posted 26April, 2015 Report Share Posted 26April, 2015 Must make for some interesting dinner table chat "hey honey, I've just spotted a 20 year old Porsche that looks good and only $500,000, how about we draw down our recently inflated equity" You'd have to have some serious coin or compliant wife to pull off that one. I would expect a yes comes with some reciprocal rights which makes it rather more expensive...! firstone, turboT, DJM and 1 other 4 Quote Link to comment Share on other sites More sharing options...
DJM Posted 26April, 2015 Report Share Posted 26April, 2015 Do you know anyone who has remorgaged their home or taken a loan to buy a 20+ yo old Porsche? I can't say I know anyone who has and I know a large amount of owners + recent purchases. P.S If your in finance and know how I can this can be done we need to talk!It's easy Hugh - if your house is 500k and bank is owed 400k (80%) then house grows to 700k bank will happily lift credit limit to 560k (still 80% of valuation) so then you go buy your GT3 with the 160k of equity released. Bank couldn't care what you spend the money on as they will take the house and sell it to get their money back of they need to. That's what keeps JB and Harvey Norman going - must have new 90" LCD now that I have some spare cash (well, spare debt). Dangerous game because it relies on steady rates and growing house prices. Correction in either = fire sale the GT3 to pay down debt and keep bank happy. So no excuses not to get that GT3 really.....well except that you already have 2 Porsches and one doesn't want to look greedy...! hugh 1 Quote Link to comment Share on other sites More sharing options...
turboT Posted 26April, 2015 Report Share Posted 26April, 2015 Must make for some interesting dinner table chat "hey honey, I've just spotted a 20 year old Porsche that looks good and only $500,000, how about we draw down our recently inflated equity" You'd have to have some serious coin or compliant wife to pull off that one. I would expect a yes comes with some reciprocal rights which makes it rather more expensive...! Kind of had that conversation with the wife after I bought the 964 the other week.. "Mmm, looking forward to the 'push' present honey..." (2nd baby due in a few weeks) Quote Link to comment Share on other sites More sharing options...
DJM Posted 26April, 2015 Report Share Posted 26April, 2015 ^^ yeah we were in Dubai and I got dragged to the "diamond park". When I expressed concern I got the "oh, really" look and that was that. I'm still miles ahead though!! turboT 1 Quote Link to comment Share on other sites More sharing options...
pkulpa Posted 26April, 2015 Report Share Posted 26April, 2015 Funny how the odd diamond{or several} can make up for a spare car{or two}! turboT and Dreamr 2 Quote Link to comment Share on other sites More sharing options...
Carrera86 Posted 26April, 2015 Report Share Posted 26April, 2015 Fathers day coming up ..... http://garageworkshop.com.au/dmj-6.html JohnA 1 Quote Link to comment Share on other sites More sharing options...
edgy Posted 26April, 2015 Report Share Posted 26April, 2015 I could not imagine drawing against my mortgage to buy a stupidly expensive Porsche (or anything else mind you) It seems like really bad discipline to me to do so... At least that's what my dad taught me! However if you can pay for a Porsche with relatively pre-tax $$ that's not a bad scenario... The ATO may not agree! spiller, Harvs11 and Apogee 3 Quote Link to comment Share on other sites More sharing options...
edgy Posted 26April, 2015 Report Share Posted 26April, 2015 ..... Delete double post Quote Link to comment Share on other sites More sharing options...
Tit Posted 26April, 2015 Report Share Posted 26April, 2015 Look at those tiny little bolts... Fathers day coming up .....http://garageworkshop.com.au/dmj-6.html Quote Link to comment Share on other sites More sharing options...
LeeM Posted 26April, 2015 Report Share Posted 26April, 2015 Home equity is an extremely common means of paying for all sorts of things. Relatively few people would have the cash in the bank to buy these things outright. Correctamundo! Ya here for a good time, not a long time, so enjoy what ya can when ya can within your means Quote Link to comment Share on other sites More sharing options...
firstone Posted 26April, 2015 Report Share Posted 26April, 2015 Everyone finds an economic position they are comfortable with. Quote Link to comment Share on other sites More sharing options...
GRK930 Posted 26April, 2015 Report Share Posted 26April, 2015 I tend to agree with NPV. I don't think that all, or even most buyers of these cars are drawing down on their properties, but definitely some are. The very rare and collectible cars such as the 993tts's will most probably continue to appreciate. The problem lies in the more 'common' cars like the SC's you see going around and exchanging hands for ridiculous money. This of course is just my opinion. Quote Link to comment Share on other sites More sharing options...
Harvs11 Posted 26April, 2015 Report Share Posted 26April, 2015 I could not imagine drawing against my mortgage to buy a stupidly expensive Porsche (or anything else mind you) It seems like really bad discipline to me to do so... At least that's what my dad taught me! However if you can pay for a Porsche with relatively pre-tax $$ that's not a bad scenario... The ATO may not agree! I was taught the same thing by my dad. Never borrow if you can save up for it. Except for a home or a car to get to work. It's worked well for me so far. Chris-p 1 Quote Link to comment Share on other sites More sharing options...
Coastr Posted 26April, 2015 Report Share Posted 26April, 2015 I paid hard-won cash for mine, but then it's kinda home equity because I should have put the cash into the mortgage. In the end it's all the same if you have a home loan. If the crunch came the car would go to keep the house. Pre-tax classic cars. I talked to the accountant at length and he went to great pains to tell me if is very difficult. He told me about someone who bought a classic bike in a super fund but it was housed in a museum yada yada. But if you did actually want an RS or something similarly collectible, and you don't want to drive it, then there might be a way. But that's not for me at all. withers 1 Quote Link to comment Share on other sites More sharing options...
turboT Posted 26April, 2015 Report Share Posted 26April, 2015 ok -back on topic 996 turbo for $40K. Just a few issues I am sure someone here can sort out http://www.gumtree.com.au/s-ad/alexandria/wrecking/porsche-911-996-turbo-2001-coupe-write-off-selling-complete/1059841349 Quote Link to comment Share on other sites More sharing options...
BJM Posted 27April, 2015 Report Share Posted 27April, 2015 Left hook hot rod anyone? http://www.carsales.com.au/private/details/Porsche-911-Carrera-1986/SSE-AD-3372237 Quote Link to comment Share on other sites More sharing options...
Coastr Posted 27April, 2015 Report Share Posted 27April, 2015 Left hook hot rod anyone?http://www.carsales.com.au/private/details/Porsche-911-Carrera-1986/SSE-AD-3372237 Oh, I want! Quote Link to comment Share on other sites More sharing options...
J.J. Posted 27April, 2015 Report Share Posted 27April, 2015 looks like a fun car, I'm sure that was for sale 12 months or so ago for similar money Quote Link to comment Share on other sites More sharing options...
withers Posted 27April, 2015 Report Share Posted 27April, 2015 The photos are poorly exposed and probably make the color look worse than it is - other than that, anyone else know why this Targa hasn't sold? If it's a good car, then the Targa part wouldn't deter some from buying it. Or is the overall yellow + the interior color + Targa that is going against this one being sold? http://www.gumtree.com.au/s-ad/mangrove-mountain/cars-vans-utes/1979-porsche-911-sc-targa/1037245023 Quote Link to comment Share on other sites More sharing options...
Flatout Posted 27April, 2015 Report Share Posted 27April, 2015 I don't mind the interior. I'd lose the whale tale, put some fuchs (in silver not black) on it and you re away. Maybe blacken the targa hoop, but you'd decide that after the other things are done. Just visually anyway, some nice roads around Mangrove mountain too. Quote Link to comment Share on other sites More sharing options...
Dreamr Posted 27April, 2015 Report Share Posted 27April, 2015 The photos are poorly exposed and probably make the color look worse than it is - other than that, anyone else know why this Targa hasn't sold? If it's a good car, then the Targa part wouldn't deter some from buying it. Or is the overall yellow + the interior color + Targa that is going against this one being sold? http://www.gumtree.com.au/s-ad/mangrove-mountain/cars-vans-utes/1979-porsche-911-sc-targa/1037245023 It's amazing .... that car was for sale 12 months ago when I bought my car ...... its been advertised constantly the whole time ... I also don't know what's wrong and why it hasn't sold ... Quote Link to comment Share on other sites More sharing options...
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