OT: Vrooom…

  • Posted: 27 February 2012 10:13 AM #16

    TanToday - 27 February 2012 02:03 PM

    Two assumptions:

    ONE - Sell AAPL shares and purchase your dream car for $40,000 inclusive of taxes and all.

    TWO - Keep your AAPL shares and drive the old jalopy longer.

    TIME FRAME = 7 years.

    Assuming you take good care of your hotrod and don’t live near the ocean or in a snow/ice/salt area, you should have a remaining residual value on your of give or take, $15,000.

    The fugal miser, drives the jalopy till it falls apart, but keeps his AAPL which appreciates at 25% a year.

    At the end of 7 years….

    Hot Rod Eddie has an old car worth $15,000

    Frugal Fred has a really really old car worth $2000 but has stock worth $191,000!

    Note, both had “wheels” and did manage to get from A->B at the same speed, but Frugal Fred ALSO saved $1,000 a year on insurance, and at the same time didn’t piss off everyone the second he drove up to show off his zoomer.

    Lesson:

    The TRULY WEALTHY got there by NOT buying fancy cars. They understand DEPRECIATING ASSETS versus APPRECIATING ASSETS.

    If you have cash to burn, NOW is the time to buy your MINI MANSION, prices will never be lower, and if you need to finance, interest rates will never be lower.

    Bricks ENDURE.

    Steel RUSTS.

    Never forget that.

    Different people have different priorities and financial positions. Never forget that either.

         
  • Posted: 27 February 2012 10:17 AM #17

    Thanks for the Infiniti G37, Steve! Been loving it every day and think of you often while driving it since you sort of bought it for me.

         
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    Posted: 27 February 2012 10:21 AM #18

    Lstream - 27 February 2012 02:13 PM

    Different people have different priorities and financial positions. Never forget that either.

    Yep.

    Got that.

    One will end up filthy rich, the other happily poor. The world will never change that.

    That is the essence of wealth creation, VS wealth consumption.

    —>> PRIORITIES <<—

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    “Even in the worst of times, someone turns a profit. . ” —#162 Ferengi: Rules of Acquisition

         
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    Posted: 27 February 2012 10:39 AM #19

    All this talk about cars has got me a little crazy.  I love cars. My favorite car that I have owned was a white 1988 BMW M3. She was my baby until I took a foreign assignment with the firm I worked for and had to sell it.

    My problem now is all this talk about cars has reignited that passion.  Unfortunately, I live in NYC and while I could “rationalize” spending mid 5 figures on a car I cannot wrap my head around spending $500/month on parking!  Is that penny wise and pound foolish or pound foolish and penny wise?

    So unless the car comes with a driveway in the suburbs or some parking garage mogul takes pity on me I am afraid I will have to live vicariously through you all.  For the record, I have been looking at an Audi S4.  grin

         
  • Posted: 27 February 2012 10:39 AM #20

    TanToday - 27 February 2012 02:21 PM
    Lstream - 27 February 2012 02:13 PM

    Different people have different priorities and financial positions. Never forget that either.

    Yep.

    Got that.

    One will end up filthy rich, the other happily poor. The world will never change that.

    That is the essence of wealth creation, VS wealth consumption.

    —>> PRIORITIES <<—

    I could concoct two fictitious individuals too, in order to make a different point if I felt like it. But I don’t have any interest in lecturing others about how to live their lives or spend their money.

         
  • Posted: 27 February 2012 10:48 AM #21

    TanToday - 27 February 2012 02:03 PM

    The TRULY WEALTHY got there by NOT buying fancy cars. They understand DEPRECIATING ASSETS versus APPRECIATING ASSETS.

    If you have cash to burn, NOW is the time to buy your MINI MANSION, prices will never be lower, and if you need to finance, interest rates will never be lower.

    Bricks ENDURE.

    Steel RUSTS.

    Never forget that.

    But there is a third path oh Jedi master.  A cheap car and an active imagination.  Fear the 2!
    Mazda2

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    I don’t mind being wrong…,I just hate being wrong so FAST!

         
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    Posted: 27 February 2012 11:27 AM #22

    Money is meant to be spent not hoarded.  Investing money is to delay consumption in hope of better consumption later.  Shouldn’t stretch it too far to mean don’t consume.  Frugality is good but carrying too far become miser, some flamboyant spending is good for the soul.  Having said that I’m driving an Acura TL, usually drive a car for 8-10 years before replacing.  Not a car fan, so no Ferrari, Porsche, Bentley or bugatti.veyron for me.  Last I heard, such super-luxury cars can’t last 8-10 years without giving you a migraine.  Reasonably priced car like Camry lasts for a long time with low maintenance bill.

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    Stay Hungry. Stay Foolish.  - Steve Jobs

         
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    Posted: 27 February 2012 11:30 AM #23

    TanToday - 27 February 2012 02:03 PM

    Two assumptions:

    ONE - Sell AAPL shares and purchase your dream car for $40,000 inclusive of taxes and all.

    TWO - Keep your AAPL shares and drive the old jalopy longer.

    TIME FRAME = 7 years.

    Assuming you take good care of your hotrod and don’t live near the ocean or in a snow/ice/salt area, you should have a remaining residual value on your of give or take, $15,000.

    The fugal miser, drives the jalopy till it falls apart, but keeps his AAPL which appreciates at 25% a year.

    At the end of 7 years….

    Hot Rod Eddie has an old car worth $15,000

    Frugal Fred has a really really old car worth $2000 but has stock worth $191,000!

    Note, both had “wheels” and did manage to get from A->B at the same speed, but Frugal Fred ALSO saved $1,000 a year on insurance, and at the same time didn’t piss off everyone the second he drove up to show off his zoomer.

    Lesson:

    The TRULY WEALTHY got there by NOT buying fancy cars. They understand DEPRECIATING ASSETS versus APPRECIATING ASSETS.

    If you have cash to burn, NOW is the time to buy your MINI MANSION, prices will never be lower, and if you need to finance, interest rates will never be lower.

    Bricks ENDURE.

    Steel RUSTS.

    Never forget that.

    I take that as a vote against spending $650,000 on a new E-type?

    Signature

    Black Swan Counter: 9 (Banks need money, Jobs needs a break, Geithner has no plan, Cuomo’s grandstanding, .Gov needs a hobby, GS works for money, flash crash, is that bubbling crude?).

    For those who look, a flash allows one to see farther.

         
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    Posted: 27 February 2012 12:05 PM #24

    Eric Landstrom - 27 February 2012 08:04 AM
    mightydog - 27 February 2012 05:42 AM

    In honor of SJ, we should all consider a Mercedes SL. One year leases should do the trick so those of you in Cali can forgo the a license plate just like SJ.

    http://www.mbusa.com/mercedes/vehicles/class/class-SL

    Already got it checked off my to-do list.

    Now I’m thinking about a different car.

    Pretty nice, Eric - for an Indian car.

    Actually that C-X16 looks awful nice.

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    We filed for over 200 patents for all the inventions in iPhone and we intend to protect them. — Steve Jobs, 2007

         
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    Posted: 27 February 2012 02:14 PM #25

    The Mercedes Benz A-Class to integrate Siri and iPhone 4S.  I can see Siri spreading to a lot of high end cars in the coming years.

    http://www.cultofmac.com/148966/mercedes-benz-a-class-to-integrate-with-iphone-4s-and-siri/

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    Tim Cook: iPad is 91% of all tablet web traffic. I don’t know what these other tablets are doing.

         
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    Posted: 27 February 2012 02:46 PM #26

    Siri integration would be awesome.  Bear in mind the A-class is about the equivalent of a top-trim family sedan price, maybe a bit less.

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    The Summer of AAPL is here.  Enjoy it (responsibly) while it lasts.
    AFB Night Owl Team™
    Thanks, Steve.

         
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    Posted: 27 February 2012 03:30 PM #27

    JDSoCal - 27 February 2012 04:05 PM
    Eric Landstrom - 27 February 2012 08:04 AM
    mightydog - 27 February 2012 05:42 AM

    In honor of SJ, we should all consider a Mercedes SL. One year leases should do the trick so those of you in Cali can forgo the a license plate just like SJ.

    http://www.mbusa.com/mercedes/vehicles/class/class-SL

    Already got it checked off my to-do list.

    Now I’m thinking about a different car.

    Pretty nice, Eric - for an Indian car.

    Actually that C-X16 looks awful nice.

    It’s Swiss.

    With planed production to take place in England.

    http://www.classicfactory.ch/new/automotive-design/

    Signature

    Black Swan Counter: 9 (Banks need money, Jobs needs a break, Geithner has no plan, Cuomo’s grandstanding, .Gov needs a hobby, GS works for money, flash crash, is that bubbling crude?).

    For those who look, a flash allows one to see farther.

         
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    Posted: 27 February 2012 04:55 PM #28

    Eric Landstrom - 27 February 2012 07:30 PM
    JDSoCal - 27 February 2012 04:05 PM
    Eric Landstrom - 27 February 2012 08:04 AM
    mightydog - 27 February 2012 05:42 AM

    In honor of SJ, we should all consider a Mercedes SL. One year leases should do the trick so those of you in Cali can forgo the a license plate just like SJ.

    http://www.mbusa.com/mercedes/vehicles/class/class-SL

    Already got it checked off my to-do list.

    Now I’m thinking about a different car.

    Pretty nice, Eric - for an Indian car.

    Actually that C-X16 looks awful nice.

    It’s Swiss.

    With planed production to take place in England.

    http://www.classicfactory.ch/new/automotive-design/

    Hmm, thought it was a Jag. I get it, they do customs in classic styles. Very nice. But $650K, must have been a good year, Eric.

    Signature

    We filed for over 200 patents for all the inventions in iPhone and we intend to protect them. — Steve Jobs, 2007

         
  • Posted: 27 February 2012 08:41 PM #29

    Mace - 27 February 2012 03:27 PM

    Money is meant to be spent not hoarded.  Investing money is to delay consumption in hope of better consumption later.  Shouldn’t stretch it too far to mean don’t consume.  Frugality is good but carrying too far become miser, some flamboyant spending is good for the soul.

    Agree totally.  Wasn’t it S.J. who was quoted “I don’t want to be the richest guy in the cemetery.”

    S.J. navigated both the frugality and the extravagant.  The yin and yang, positive and negative, up and down….you know, the metaphysical stuff.

         
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    Posted: 27 February 2012 09:16 PM #30

    Mercedes SL performance GTs and broccoli prepared a million different ways for dinner.  There are worse ways to live one’s life. wink

    Signature

    The Summer of AAPL is here.  Enjoy it (responsibly) while it lasts.
    AFB Night Owl Team™
    Thanks, Steve.