Quote:
Originally Posted by you&me
I skimmed the article you linked, but the stats seem kind of dated. I will concede that a lot of wealthy people "purchase" their vehicles, but that is very often on some sort of line of credit, which is still not the same as an actual "cash" purchase.
But otherwise you might be surprised at the frequency very HNW individuals purchase very expensive cars using some form of finance or lease... I'm not talking a new E-class here, but at the level where the cars themselves become assets with prices in the 7 and even 8 figures.
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Yeah, I'm still not seeing any evidence of that except for your word. Why would a hnw person use a line of credit to purchase a car just to sit on it and pay interest on a line of credit? If they're getting credit so cheap and risk free that the cost of borrowing is lower than their returns elsewhere, why aren't they just maxing out the loc and investing that? I don't get why they'd turn to credit to speculate on exotic cars.
BTW, I think you're the only one talking about exotic car speculation. And can you even lease a car bought at Barrett-Jackson? What, you pay on it for a while then give it back? I'm not following.