Sold Race Car & Overall Status!

[401Killer]

Sold the second toy car yesterday. Put $16,000 in the bank and dropping $10k on the house for this next payment. House loan will be down to $16,000!!!!! The extra cash stacked with the e-fund I'll be adding an extra grand a month to finally kill that mortgage, and I raised my 401k from 10% back up to 20%. No interest to claim on the house or really anything anymore, so maxxing out that 401K every year is HUGELY important come tax time. 

37 y/o $300,000 net worth and about to have no house payment next year. The only debt I'll have is my Jeep after that.

EFF YEAH GUYS!!! Great feeling!

[BTDretire]

Tell me about your race car.

[401Killer]

Tell me about your race car.

Haha, well it was a 2006 Subaru WRX STI. I've had it for about 6 years and its the second 06 STI that I owned. Nice thing about those types of cars is that they hold their value VERY well. I bought that thing 6 years ago for $17,000. If I worked a little harder I could have sold it for $17,000 or a bit more but was just looking to get rid of it. Nice now I don't have to pay insurance or the occasional premium tank of fuel in it anymore. I figured it cost me about $2,000 a year to own that thing. Was hard to sell but the right decision and time to do it. Adore driving that thing, lots of great memories.

[Jack]

Tell me about the racing you did with it.

[401Killer]

Tell me about the racing you did with it.

Did some SCCA Autocross events with it. Lot's of closed road/abandoned industrial park race courses. Stood on the podium 4 times out of 16-20 prepped cars when mine was bone stock. Years ago I had my Suzuki GSXR on Grattan Raceway near Grand Rapids dragging knees. Always wanted to get the car on that track but never got around to it.

One of those things I've always thought about myself is I had a natural driving ability. Was not until I actually did some racing that those thoughts were realized. I should have been a professional driver...

[Debts_of_Despair]

I've known a few people who are fully immersed in a racecar lifestyle, but more along the lines of circle track.  My God, that has to be one of the worst cost to enjoyment ratio hobbies there is.  So much money and time to get the car ready for Saturday night to win at best a couple thousand dollars.  Don't even ask what happens when they wreck their car.

[HPstache]

I've known a few people who are fully immersed in a racecar lifestyle, but more along the lines of circle track.  My God, that has to be one of the worst cost to enjoyment ratio hobbies there is.  So much money and time to get the car ready for Saturday night to win at best a couple thousand dollars.  Don't even ask what happens when they wreck their car.

What happens?

Being an auto enthusiast myself, I'll say that more of the fun for me is building, dreaming and wrenching on the cars is where the real fun is at.  Racing is just the cherry on top.

[Jack]

I went to an SCCA autocross event recently that was being held at [the infield skidpad of] a racetrack where there was also club racing going on (that means wheel-to-wheel racing on the actual track, for those who don't know), and talked to some of the guys doing that afterwards. They estimated that each racing weekend cost them a couple thousand bucks between lodging, tires, gas, etc. and that they figured even a minimum would be close to $1000. I'm sure a mustachian could do better, but between that and the risk of damaging the car, the cost would still be pretty high. I think I'll stick to autocross, where the entry fee is ~$30, the only special equipment you need is a motorcycle helmet (which people occasionally give away for free) instead of a $200 "SA"-rated one, and one set of tires lasts a whole season.

[CYANiDE]

I traded in my 2012 STi and got into something and no longer have a monthly payment! Also sold my motorcycle so I could put that towards debt. However, I do miss the adrenaline of riding/driving, and I'm constantly battling paying off debt now versus enjoying myself as well. Trying to find that delicate balance is tough (but I already know the mustachian answer!).

[Jack]

Trying to find that delicate balance is tough (but I already know the mustachian answer!).

The answer is always Miata.

[Debts_of_Despair]

What happens?

Well it's never their fault, it's always someone else that caused the wreck.  So now the guy is out thousands of dollars on a toy that he was probably overextended on to begin with.  So whaddya gonna do?  Beat the guy up that caused the wreck after the race.

[gimp]

What happens?

Not much. Unless it was insured, you take home a scrap heap. Sucks. So it goes.

[401Killer]

That's the nice thing about auto crossing is the wear and tear on the cars is WAY less then road course racing. And the risk of crashing with anything, including other people is very, very low as its not wheel to wheel.

It was no more than $50 for a day of entertainment and 5 or so runs on the track. People would come out in their beater Ford POS whatever, pop the hubcaps off, pull the spare tire and jack out and race it having a blast.

[gearb0x]

It was no more than $50 for a day of entertainment and 5 or so runs on the track. People would come out in their beater Ford POS whatever, pop the hubcaps off, pull the spare tire and jack out and race it having a blast.

The only problem is the $ per minute of track time in autocross, i used to do offroad autocross here in aus but i worked out that i would only have around 7 minutes of total track time for the day. That said the guys in the beaters have the right idea, maximum fun minimum outlay

I ended up racing offroad enduro, similar entry cost but anywhere from 1.5-3hrs of track time ;)

[ACLR8R]

Nice, cars can be a tough one to let go of!

I am lucky enough to be able to turn a small profit on most of my cars by buying low, working on them myslef, and buying only used parts and then de-modding before sale. I average around $4-5k of profit per year while enjoying them!

Sold a 2005 Dodge magnum Hemi in June, paid 6400 and sold for 8000. Put about $200 into the suspension, tires, and alignment.

Currently driving a 2005 LS2 GTO.

[MustardTiger]

I'm going to have to get rid of my '05 S2000 at some point soon, really dreading that.

[gimp]

I'm going to have to get rid of my '05 S2000 at some point soon, really dreading that.

Clean title? How many miles? Valve adjustment done, compression numbers good?

If all that checks out, people are paying a pretty penny for 'em in the bay area.

[Debts_of_Despair]

I'm going to have to get rid of my '05 S2000 at some point soon, really dreading that.

Clean title? How many miles? Valve adjustment done, compression numbers good?

If all that checks out, people are paying a pretty penny for 'em in the bay area.

Yup, definitely an investment car if kept clean.

[401Killer]

Raised the 401K to 30% yesterday!!

I got divorced and will have to pay taxes this year like I've been single all year. So I dropped my status to Single - 0, and am adding another $50 to make up for it. Then I was thinking, I have no mortgage interest really to claim and all this cash in the bank from the car, I may as well go huge on the 401K so I can reduce my taxable income. I've been at 10% most of the year, takes 20% for the year to hit 18k.

Excited to see it at 30%!

[Mr. Young Gun]

I just sold mine as well. 2014 Subaru WRX. Had a Cosworth block with stock heads and bolt ons. Dom 1.5xtr 1000cc injectors, etc...

Was sad to see it go, but the pursuit for financial independence is not always so easy.

[bzzzt]

OP, Congrats!

I took a year off from racing last year to do some house projects and pay off my house. Knocked it out and got back to business this year. Had a great season and even with the cost, it's something I never plan on giving up.

I'm sure a mustachian could do better, but between that and the risk of damaging the car, the cost would still be pretty high. I think I'll stick to autocross, where the entry fee is ~$30, the only special equipment you need is a motorcycle helmet (which people occasionally give away for free) instead of a $200 "SA"-rated one, and one set of tires lasts a whole season.

Mustachians can do it better. ;) The guys who spend that much aren't willing to be a little uncomfortable.

Here are some ways to do it cheaper:

-There are other clubs that you can instruct new drivers and it knocks money off your entry fee.
-Winning can actually be profitable in contingency money. I sell tires, brake pads, and other winnings to offset the budget.
-Running a more open class where you can build your own parts can actually be cheaper than "stock" classes where you need to find the unobtainium produced for half-a-year chassis/part/etc.
-Use rewards credit cards as necessary (2% on everything, 3-5% on fuel, 6% on groceries for weekend). Redeem rewards for gift cards (fuel, Home Depot, Amazon, etc).
-Don't buy "race car" parts. A lot of things can be constructed with building materials. Being in construction, usually picked out of the dumpster.
-Crashing the car sucks, so don't do that. Learn how to fix things yourself. I even repair my own frame damage...
-Automotive paint is expensive. My car is painted with $25 worth of tractor paint and no one knows the difference.
-SA helmets are good for almost 10 years if you buy at the right time of the cycle. SA2015s just came out, good until 2025. If you race a lot, you'll be ready to buy a new one in 5 years though.
-Safety gear is expensive, buy it used. Don't work on the car in your suit, walk around the paddock in your shoes, etc. I'm still on my original suit/shoes after 10 years. Just bought new shoes with contingency money though.
-Pick a class with a long lasting tire. I've run 5 weekends this year and I have used 1.5 sets.
-Hotels are for cake eaters. Start out with a tent and open trailer, upgrade to an enclosed trailer and sleep in it when funds allow.
-Don't buy a "race" trailer. Buy a bare bones white box, finish the inside yourself.

Why? Because RACE CAR!

[lamil]

I just sold mine as well. 2014 Subaru WRX. Had a Cosworth block with stock heads and bolt ons. Dom 1.5xtr 1000cc injectors, etc...

Was sad to see it go, but the pursuit for financial independence is not always so easy.

You mind if I ask what you sold it for?  Currently have a 2014 wrx limited hatch 23k miles @300/335 with some bolt ons and was wondering what a good realistic price point would be with everything on it before I take it back to stock and try to part out the mods / sell it stock.

[doug111]

Sold the second toy car yesterday. Put $16,000 in the bank and dropping $10k on the house for this next payment. House loan will be down to $16,000!!!!! The extra cash stacked with the e-fund I'll be adding an extra grand a month to finally kill that mortgage, and I raised my 401k from 10% back up to 20%. No interest to claim on the house or really anything anymore, so maxxing out that 401K every year is HUGELY important come tax time. 

37 y/o $300,000 net worth and about to have no house payment next year. The only debt I'll have is my Jeep after that.

EFF YEAH GUYS!!! Great feeling!

GOOD JOB !!!!!! I LOVE STORIES LIKE THIS !!!!!! I must warn you that theres a ton of haters on here that will tell you that its a bad idea to pay off your house.

[ketchup]

Sold the second toy car yesterday. Put $16,000 in the bank and dropping $10k on the house for this next payment. House loan will be down to $16,000!!!!! The extra cash stacked with the e-fund I'll be adding an extra grand a month to finally kill that mortgage, and I raised my 401k from 10% back up to 20%. No interest to claim on the house or really anything anymore, so maxxing out that 401K every year is HUGELY important come tax time. 

37 y/o $300,000 net worth and about to have no house payment next year. The only debt I'll have is my Jeep after that.

EFF YEAH GUYS!!! Great feeling!

GOOD JOB !!!!!! I LOVE STORIES LIKE THIS !!!!!! I must warn you that theres a ton of haters on here that will tell you that its a bad idea to pay off your house.

In addition to haters, there are also people who simply recognize that paying off such a low-interest loan is not automatically the correct course of action (as the all-debt-is-evil crowd spouts).  It's a lower-yielding more-conservative return than most other investments, but that doesn't make it objectively wrong either (as the haters would make you believe).  It's about your own situation and personal risk tolerance.  (Full disclosure: I am for the most part on the side of the "haters")

[doug111]

Sold the second toy car yesterday. Put $16,000 in the bank and dropping $10k on the house for this next payment. House loan will be down to $16,000!!!!! The extra cash stacked with the e-fund I'll be adding an extra grand a month to finally kill that mortgage, and I raised my 401k from 10% back up to 20%. No interest to claim on the house or really anything anymore, so maxxing out that 401K every year is HUGELY important come tax time. 

37 y/o $300,000 net worth and about to have no house payment next year. The only debt I'll have is my Jeep after that.

EFF YEAH GUYS!!! Great feeling!

GOOD JOB !!!!!! I LOVE STORIES LIKE THIS !!!!!! I must warn you that theres a ton of haters on here that will tell you that its a bad idea to pay off your house.

In addition to haters, there are also people who simply recognize that paying off such a low-interest loan is not automatically the correct course of action (as the all-debt-is-evil crowd spouts).  It's a lower-yielding more-conservative return than most other investments, but that doesn't make it objectively wrong either (as the haters would make you believe).  It's about your own situation and personal risk tolerance.  (Full disclosure: I am for the most part on the side of the "haters")

You need to pray to Dave Ramsey. lol  Joking of course. I know that you can arbitrage your mortgage into a less risky low rate of return something or rather but there is still some risk with it and thats why I chose not to do it period. Id rather hurry up with my mortgage and then I will have a ton  of ex house payments to start investing with.  Just curious what would you put your cash into to make a safe rate of return instead of paying off your mortgage and what %would you make on that safe investment ?

[ketchup]

Sold the second toy car yesterday. Put $16,000 in the bank and dropping $10k on the house for this next payment. House loan will be down to $16,000!!!!! The extra cash stacked with the e-fund I'll be adding an extra grand a month to finally kill that mortgage, and I raised my 401k from 10% back up to 20%. No interest to claim on the house or really anything anymore, so maxxing out that 401K every year is HUGELY important come tax time. 

37 y/o $300,000 net worth and about to have no house payment next year. The only debt I'll have is my Jeep after that.

EFF YEAH GUYS!!! Great feeling!

GOOD JOB !!!!!! I LOVE STORIES LIKE THIS !!!!!! I must warn you that theres a ton of haters on here that will tell you that its a bad idea to pay off your house.

In addition to haters, there are also people who simply recognize that paying off such a low-interest loan is not automatically the correct course of action (as the all-debt-is-evil crowd spouts).  It's a lower-yielding more-conservative return than most other investments, but that doesn't make it objectively wrong either (as the haters would make you believe).  It's about your own situation and personal risk tolerance.  (Full disclosure: I am for the most part on the side of the "haters")

You need to pray to Dave Ramsey. lol  Joking of course. I know tat you can arbitrage your mortgage into a less risky low rate of return something or rather but there is still some risk with it and thats why I chose not to do it period. Id rather hurry up with my mortgage and then I will have a ton  of ex house payments to start investing with.  Just curious what would you put your cash into to make a safe rate of return instead of paying off your mortgage and what %would you make on that safe investment ?

There's plenty of threads on here on that exact topic.  Let's not derail the thread any more...

[doug111]

Sold the second toy car yesterday. Put $16,000 in the bank and dropping $10k on the house for this next payment. House loan will be down to $16,000!!!!! The extra cash stacked with the e-fund I'll be adding an extra grand a month to finally kill that mortgage, and I raised my 401k from 10% back up to 20%. No interest to claim on the house or really anything anymore, so maxxing out that 401K every year is HUGELY important come tax time. 

37 y/o $300,000 net worth and about to have no house payment next year. The only debt I'll have is my Jeep after that.

EFF YEAH GUYS!!! Great feeling!

GOOD JOB !!!!!! I LOVE STORIES LIKE THIS !!!!!! I must warn you that theres a ton of haters on here that will tell you that its a bad idea to pay off your house.

In addition to haters, there are also people who simply recognize that paying off such a low-interest loan is not automatically the correct course of action (as the all-debt-is-evil crowd spouts).  It's a lower-yielding more-conservative return than most other investments, but that doesn't make it objectively wrong either (as the haters would make you believe).  It's about your own situation and personal risk tolerance.  (Full disclosure: I am for the most part on the side of the "haters")

You need to pray to Dave Ramsey. lol  Joking of course. I know tat you can arbitrage your mortgage into a less risky low rate of return something or rather but there is still some risk with it and thats why I chose not to do it period. Id rather hurry up with my mortgage and then I will have a ton  of ex house payments to start investing with.  Just curious what would you put your cash into to make a safe rate of return instead of paying off your mortgage and what %would you make on that safe investment ?

There's plenty of threads on here on that exact topic.  Let's not derail the thread any more...

Thanks for the tip my stellar ADHD is taking over once again !!!!! lol !!!!!!

[Metric Mouse]

Sold the second toy car yesterday. Put $16,000 in the bank and dropping $10k on the house for this next payment. House loan will be down to $16,000!!!!! The extra cash stacked with the e-fund I'll be adding an extra grand a month to finally kill that mortgage, and I raised my 401k from 10% back up to 20%. No interest to claim on the house or really anything anymore, so maxxing out that 401K every year is HUGELY important come tax time. 

37 y/o $300,000 net worth and about to have no house payment next year. The only debt I'll have is my Jeep after that.

EFF YEAH GUYS!!! Great feeling!

GOOD JOB !!!!!! I LOVE STORIES LIKE THIS !!!!!! I must warn you that theres a ton of haters on here that will tell you that its a bad idea to pay off your house.

Almost as many as will tell you not to haul a ladder in a metro. :D

[M2 pilot]

Trying to find that delicate balance is tough (but I already know the mustachian answer!).

The answer is always Miata.

You've been to the GRM forums, haven't you?

[LuxuryIsADrug]

Tell me about your race car.

Haha, well it was a 2006 Subaru WRX STI. I've had it for about 6 years and its the second 06 STI that I owned. Nice thing about those types of cars is that they hold their value VERY well. I bought that thing 6 years ago for $17,000. If I worked a little harder I could have sold it for $17,000 or a bit more but was just looking to get rid of it. Nice now I don't have to pay insurance or the occasional premium tank of fuel in it anymore. I figured it cost me about $2,000 a year to own that thing. Was hard to sell but the right decision and time to do it. Adore driving that thing, lots of great memories.

Very nice! I'm in the process of getting rid of my 2016 Subaru WRX and downgrading to a Honda Fit. Hoping it sells quickly!

[Metric Mouse]

Tell me about your race car.

Haha, well it was a 2006 Subaru WRX STI. I've had it for about 6 years and its the second 06 STI that I owned. Nice thing about those types of cars is that they hold their value VERY well. I bought that thing 6 years ago for $17,000. If I worked a little harder I could have sold it for $17,000 or a bit more but was just looking to get rid of it. Nice now I don't have to pay insurance or the occasional premium tank of fuel in it anymore. I figured it cost me about $2,000 a year to own that thing. Was hard to sell but the right decision and time to do it. Adore driving that thing, lots of great memories.

Very nice! I'm in the process of getting rid of my 2016 Subaru WRX and downgrading to a Honda Fit. Hoping it sells quickly!

I'm very sorry to hear that. :D

[Car Jack]

Congrats on the car sale.  Years ago, I had a former SCCA IT car that I transformed into a Prepared car for HPDEs and time trials.  It was a great car and cost me mostly tires and transport costs (the tow vehicle and trailer cost way more than the car).  In the end, I had amassed all of the stuff needed to re-engine and tranny the car to be way faster.  Then I just lost interest.  After the car sat for an entire year with no engine in it, I realized that it was time to go.  Sold the rolling shell first, then the garage full of engines, transmissions, axles and boxes and boxes of spares.  I don't really miss it....I was an instructor and I guess hopping in and out of cars all day just burned me out.  Even at that, for about 14 events a year, I was paying about $10k to support my hobby....and that was with free track time. 

I've since gone the next step and sold my toy street car to help fund my son's college tuition.  We have the means to pay for his college so he's going to a top rated school to become a Civil Engineer......which is less likely to be outsourced to Bangalore or China (like EE jobs are....I'm a EE).  Like the OP....I also have a Jeep that I use to plow snow off my driveway and daily drive.  Sure, I could own some 30 year old 4x4 pickup for the snow, but been there, done that and learned that doing that means spending hours getting the junker started, running or towed to the garage when it dies. 

[LuxuryIsADrug]

Tell me about your race car.

Haha, well it was a 2006 Subaru WRX STI. I've had it for about 6 years and its the second 06 STI that I owned. Nice thing about those types of cars is that they hold their value VERY well. I bought that thing 6 years ago for $17,000. If I worked a little harder I could have sold it for $17,000 or a bit more but was just looking to get rid of it. Nice now I don't have to pay insurance or the occasional premium tank of fuel in it anymore. I figured it cost me about $2,000 a year to own that thing. Was hard to sell but the right decision and time to do it. Adore driving that thing, lots of great memories.

Very nice! I'm in the process of getting rid of my 2016 Subaru WRX and downgrading to a Honda Fit. Hoping it sells quickly!

I'm very sorry to hear that. :D

It'll be for the best. :(