Author Topic: Car Value Vs Net Worth  (Read 34577 times)

markbike528CBX

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Re: Car Value Vs Net Worth
« Reply #150 on: March 06, 2021, 10:39:27 AM »
Anyway, 0.6% of investable NW,  less if paid house equity is included.

Update: 2 motorcycles, the CBX and a Honda 600F2,  2 cars HHR and Boxster.  Not sure the HHR was included last time.

0.51%



2Birds1Stone

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Re: Car Value Vs Net Worth
« Reply #151 on: March 06, 2021, 12:37:27 PM »
Net Worth - $114k
KBB Vehicle Value - $8k

7.5%

However I have only been at this for 4 years.

Net Worth - $375k
KBB Vehicle Value - $15k

4%

Progress!

I sold the motorcycle and  NW is up by 5%, so now my car is worth 2.9% of NW.

Love this thread

Our NW = $586k
2 Cars total value = $12k

2%

If I sell my older sports luxury car, we are down to one $1k value vehicle =) 2004 Nissan Sentra, base model. I'm listing it in May.

Car value is down to ~0.25% of NW.........we drive a really cheap car!

Dicey

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Re: Car Value Vs Net Worth
« Reply #152 on: March 06, 2021, 01:10:25 PM »
I love when an old thread gets revived. There is so much good stuff in our archives!

I especially love when people post updates.

I have a new to me car since this thread began. DH and bonus kid are still happily driving the same vehicles. I was just fine driving my old car, but DH does the maintenance and he deemed it time to go. We considered a Tesla, but I don't want the stress of such a fancy car, plus the driving ranges are not yet well suited to our needs. My "new"car is still older than this thread, lol. All of them are paid for and I can't be arsed to look up their values, but it's miniscule, compared to our TNW. I'm mostly posting to say congratulations to everyone for making such good progress during the last three years!
Hmmm, still driving all the same vehicles...
However, in early March last year we made a long-planned RV purchase.We paid about $70k for a 2012 Leisure Travel Serenity with 25k miles. We've used it exactly five nights during the pandemic, sheesh. Happily, apparently RV's are holding their value quite nicely, but our plans are to use the heck out of it when things normalize.
We still don't count it or any of our vehicles in our NW. We paid for it out of new money, so no debt taken on, no investments liquidated.

foghorn

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Re: Car Value Vs Net Worth
« Reply #153 on: March 06, 2021, 01:11:56 PM »
Car = 2016 Acura RDX = KBB = $18,000
Net Worth (Includes House) = $4,000,000

Car % of NW = .45%


« Last Edit: March 06, 2021, 01:52:53 PM by foghorn »

RWD

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Re: Car Value Vs Net Worth
« Reply #154 on: March 06, 2021, 01:19:56 PM »
8.4%.........

It's fun to come back and look at this again. It's been almost two years and we replaced one car (with an approximately equal value car). Down to 5.1% of net worth.

LeftA

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Re: Car Value Vs Net Worth
« Reply #155 on: March 06, 2021, 03:14:55 PM »
Around 1.8%.

Two cars bought new in 2010 and 2013.

Almost 2 years later, the number is now about half what it was....0.94%. Not sure if it will go much lower. Likely to get a replacement for the older car in 2022.

Bateaux

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Re: Car Value Vs Net Worth
« Reply #156 on: March 06, 2021, 10:57:54 PM »
My 13 year old Honda Accord is 0.05 percent of networth.

middo

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Re: Car Value Vs Net Worth
« Reply #157 on: March 07, 2021, 04:33:43 AM »
When we bought our "new car" it was worth .025% of our net worth.  Not sure what it is worth now, but it hasn't gone up in value.

Hmm.  I now get 0.14%. Must have calculated wrong.  A bit embarrassing for a maths teacher.  We do have a car worth nearly 10% of our net worth, but it is a family heirloom that will be restored during retirement.

badger1988

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Re: Car Value Vs Net Worth
« Reply #158 on: March 07, 2021, 08:54:23 AM »
Lookling at this thread for the first time, but I've got all the data back to 2011 when I graduated from college. Fun to see how this metric has improved over time, dropping below 1% for the first time at the end of January:

Current Vehicles (1/31/2021):
2011 Ford Fiesta - $3,232
2011 Chrysler Town and Country - $6,529
Total Value: $9,766

geekette

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Re: Car Value Vs Net Worth
« Reply #159 on: March 07, 2021, 09:12:49 AM »
A surprising .15% 

Might want a new car in the next few years, but this one only has 80k miles on it!

Exflyboy

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Re: Car Value Vs Net Worth
« Reply #160 on: March 08, 2021, 12:07:16 PM »
My answer to this question is the same answer to the "What is my credit rating?" Question..

Answer... I have no idea...:)

norajean

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Re: Car Value Vs Net Worth
« Reply #161 on: March 08, 2021, 01:53:50 PM »
There is no one-size fits all or rule of thumb here.  I'm not sure there is an accepted definition of net worth.

When I finished college my car was 100% of my assets but I had negative NW due to student loans.  So what?

We like 100k mile Lexus vehicles and have two a the moment which may be as much as 0.17% of our net worth.  Ho hum. Should I go on a buying frenzy and push that all the way to 1%?  That would be a huge splurge that I really can't imagine doing on a single vehicle but maybe a small collection.  I could use an old pickup with a hitch for hauling a trailer and perhaps a roadster (heaps of curvy local roads).  Also need an electric riding mower or a tractor. Do those count?

NotJen

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Re: Car Value Vs Net Worth
« Reply #162 on: March 08, 2021, 02:03:33 PM »
NW = $440k (as of first of month)
KBB = $16k (this seems ridiculously high, as I bought new for $17.5k OOP 2.5 years ago)

So, my "luxury" ride is 3.6% of my net worth. That percentage should drop pretty steeply over the next few years.

Ha.  6 years later I'm at 0.3% with the same car.
NW =  $1250k
KBB = $     4k

Le Barbu

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Re: Car Value Vs Net Worth
« Reply #163 on: March 11, 2021, 04:58:39 AM »
NW 1.1M$
Cars worth 11k$ (2006 Civic, 2010 Forester) so 1% of NW

I aim for buying 3-8 years old car for less than 10% of annual income and pay cash

NW 1.5M$
Cars worth 7.5k$ (2006 Civic, 2010 Forester) so 0.5% of NW

I hope to keep my cars for a while and someday, have no cars at all!

Car Jack

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Re: Car Value Vs Net Worth
« Reply #164 on: March 11, 2021, 05:11:52 AM »
Also need an electric riding mower or a tractor. Do those count?

Hope not.  I'm sure my Kubota 4 wheel drive diesel tractor with the bucket loader is holding its value way better than the 8 year old Subaru that my younger son is driving.

DadJokes

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Re: Car Value Vs Net Worth
« Reply #165 on: March 11, 2021, 05:38:52 AM »
Well, I don't think I like this game very much.

2012 GMC Terrain: ~$8.5k
2013 Ford Fusion: ~$7.5k
Net worth: ~$80k

Ratio: 0.2

I actually used KBB for values this time:

2012 Terrain: $5,700
2013 Fusion: $4,000
Net worth: $240,000

Ratio: 0.04

I doubt our cars dropped that much in two years, so I was probably overestimating their value before. Either way, they should both be good for another decade or so.

mizzourah2006

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Re: Car Value Vs Net Worth
« Reply #166 on: March 11, 2021, 05:47:53 AM »
2013 GMC Sierra Denali ~ $24k (bought before I found MMM)
2015 GMC Terrain ~ $12k

Networth ~1.35 million

So, 2.6%


Taran Wanderer

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Re: Car Value Vs Net Worth
« Reply #167 on: March 11, 2021, 05:29:19 PM »
3.6% for us, but I like cars and we have an extra. Plus a chunk of my car costs get reimbursed through frequent work travel. Or used to anyway.

Exflyboy

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Re: Car Value Vs Net Worth
« Reply #168 on: March 11, 2021, 05:56:46 PM »
Also need an electric riding mower or a tractor. Do those count?

Hope not.  I'm sure my Kubota 4 wheel drive diesel tractor with the bucket loader is holding its value way better than the 8 year old Subaru that my younger son is driving.

Same here.. On the tractor that is..:)

Morning Glory

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Re: Car Value Vs Net Worth
« Reply #169 on: March 11, 2021, 06:08:02 PM »
0.002 here for cars, plus 0.003 for the farm truck and 0.006 for the tractor. Total vehicles = 0.011, but it's less because they weren't included in the denominator. No wait, it's still 0.011. The value of our vehicles is so small in comparison to our net worth that there is no point in adding them to the denominator of the equation because the result is the same!!!!
« Last Edit: March 11, 2021, 10:03:09 PM by Morning Glory »

RWD

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Re: Car Value Vs Net Worth
« Reply #170 on: March 11, 2021, 08:56:07 PM »
0.002% here for cars, plus 0.003 for the farm truck and 0.006 for the tractor. Total vehicles = 0.011%, but it's less because they weren't included in the denominator. No wait, it's still 0.011%. The value of our vehicles is so small in comparison to our net worth that there is no point in adding them to the denominator of the equation because the result is the same!!!!
Are you sure you did the math right? Based on another post your net worth is around $650k so that means the total value of all your vehicles would be only $71! Did you mean 0.011 (1.1%) instead of 0.011%? That would be a combined vehicle value of ~$7,100 which sounds more likely.

Morning Glory

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Re: Car Value Vs Net Worth
« Reply #171 on: March 11, 2021, 09:36:37 PM »
0.002% here for cars, plus 0.003 for the farm truck and 0.006 for the tractor. Total vehicles = 0.011%, but it's less because they weren't included in the denominator. No wait, it's still 0.011%. The value of our vehicles is so small in comparison to our net worth that there is no point in adding them to the denominator of the equation because the result is the same!!!!
Are you sure you did the math right? Based on another post your net worth is around $650k so that means the total value of all your vehicles would be only $71! Did you mean 0.011 (1.1%) instead of 0.011%? That would be a combined vehicle value of ~$7,100 which sounds more likely.
I was math-ing while drunk, I'm sorry. I am also using an inflated NW value of 846k which includes my pension rollover information and stuff in my husband's name which I don't usually include in my race-to thread number because I don't look it up every month. It's about $9500 all together! Jeebus I am usually good at math I promise.

1 k each car plus 2.5k farm truck and 5-6k tractor
« Last Edit: March 11, 2021, 09:39:21 PM by Morning Glory »

SpareChange

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Re: Car Value Vs Net Worth
« Reply #172 on: March 12, 2021, 08:41:20 AM »
KBB says the private party value of my 2007 Focus hatchback is $2,456. Seems high, but I'll take it :). That puts it at 0.48% of NW.

JAYSLOL

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Re: Car Value Vs Net Worth
« Reply #173 on: March 12, 2021, 08:50:40 AM »
I’ll jump in on this one, 1995 Toyota Tercel with 330k worth about $400 = 0.3% of NW.  DWs car is an 06 Hyundai worth around $3k or 2.3% of NW

Money Badger

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Re: Car Value Vs Net Worth
« Reply #174 on: April 08, 2021, 07:24:48 PM »
4% today.   By FIRE in 2021, less than 3% is the goal.

Both are quite new and love them 2 yrs into ownership and drive less than 12K mi per year so hope we enjoy them 10+ years from here.

Alrighty then...   Looked back to my 2 year old post on this topic... As planned, same cars and est. private party value vs. NW is down to 2.8%.   
« Last Edit: April 08, 2021, 07:28:22 PM by Money Badger »

SimpleCycle

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Re: Car Value Vs Net Worth
« Reply #175 on: April 08, 2021, 08:23:43 PM »
We hit our lowest ratio in May of 2018 when our NW was $597k and our car was a 2003 Toyota Corolla worth $700. 0.11%

Now we’re worth $1.2M and own a 2016 Honda Fit worth $12k, so exactly 1%.

Morning Glory

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Re: Car Value Vs Net Worth
« Reply #176 on: April 08, 2021, 10:33:43 PM »
0.002% here for cars, plus 0.003 for the farm truck and 0.006 for the tractor. Total vehicles = 0.011%, but it's less because they weren't included in the denominator. No wait, it's still 0.011%. The value of our vehicles is so small in comparison to our net worth that there is no point in adding them to the denominator of the equation because the result is the same!!!!
Are you sure you did the math right? Based on another post your net worth is around $650k so that means the total value of all your vehicles would be only $71! Did you mean 0.011 (1.1%) instead of 0.011%? That would be a combined vehicle value of ~$7,100 which sounds more likely.
I was math-ing while drunk, I'm sorry. I am also using an inflated NW value of 846k which includes my pension rollover information and stuff in my husband's name which I don't usually include in my race-to thread number because I don't look it up every month. It's about $9500 all together! Jeebus I am usually good at math I promise.

1 k each car plus 2.5k farm truck and 5-6k tractor

This dropped a bit in the last week because the farm truck is leaking gas and it got warm enough to find out that the ac no longer works in one car and the other one just lost a nonessential piece of metal due to rust so now it looks worse. Tractor is still fine. It's like a country western song over here.  Can't wait to sell all of them and get something decent.

Arbitrage

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Re: Car Value Vs Net Worth
« Reply #177 on: April 14, 2021, 11:28:51 AM »
Ooh, I sold my car so I can redo this calculation.  Unfortunately, we also bought a second house (will sell first one in a few months, market willing), so that dinged our net worth with all of the various transaction costs.  More costs incoming with repairs (on two houses) and moving.

Nevertheless, we're now around 0.8% if we include our family car and my e-bike. 

windytrail

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Re: Car Value Vs Net Worth
« Reply #178 on: April 14, 2021, 11:36:03 AM »
Early 1990s Specialized Allez road bike (primary commuter): ~ $300
2020 Specialized Rockhopper mountain bike (recreation): ~$1200
No car

Net worth is $228k

= 0.65% of net worth

Bikes make you feel like a millionaire :)
« Last Edit: April 14, 2021, 11:48:07 AM by windytrail »