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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

To be puzzled by neighbours financial priorities.

120 replies

SirGawain · 31/12/2022 19:11

First let me say that this is in no way a criticism of anyone, just idle curiosity.
We live on a development of about 200 two and three bedroom homes built about thirty years ago. A pleasant place to live but most people are not particularly well off. Lady Gawain and I are comfortable but by no means wealthy. We have a good but modest car and are mortgage free.
Many of the houses have been bought up as buy to let or housing association properties. What puzzles me is that, bearing in mind that some cannot be very well off, they seem to prioritise expensive cars. There are many people with Audi’s, BMW’s and Range Rover’s. What is theirs thinking in focusing on a depreciating car rather than an appreciating house.

OP posts:
User478 · 31/12/2022 20:22

If my DH wanted to claim his company's funding for a car we would have to get a new one as they only cover cars that are under 5 years old and have a lower mileage than our 2nd hand banger with 200,000 on the clock (as it is he decided to work from home and we get a hire car if he needs to use one for work -sometimes that is a fancy Audi)

Anotherdayanother2 · 31/12/2022 20:24

35965a · 31/12/2022 19:13

Some people will never be able to afford to buy a house. Even if they lived of porridge and took the bus everywhere. So why not have the car they want?

I totally agree with this

OppsUpsSide · 31/12/2022 20:27

I’ve wondered the same op, some of the replies here seem a bit weird too.

PegasusReturns · 31/12/2022 20:27

So you can get a £25k car on HP for what £250 pcm?

and to put down a deposit on a £180k house you’d need £20k?

and to save £20k at the rate of £250 pcm would take what six years?

And if you need a car you need a car so you’ve got costs associated with that anyway.

Doesn’t take a genius to understand why people might go with the car.

IncompleteSenten · 31/12/2022 20:29

Different people like different things. 🤷
It really is that simple a thing to understand.

Tamarindtree · 31/12/2022 20:30

Would it not be a case of people move to an area such as yours where house prices are low and for whatever reason (shops, work, schools) they like living there and when they are in a better financial position to afford a dearer house but they don’t want to move because they like the area they are already in and their neighbours etc.

They then spend their extra income on home improvements and having nice cars.

Blossomtoes · 31/12/2022 20:31

Our PCP deal is about to end. Because the price of used cars has gone up there’s virtually no depreciation. We’re getting the whole of the deposit for the next car and some cash.

kimchifix · 31/12/2022 20:33

Some people change cars every few (3?) years all on HP type deals. I'm not sure, as it's a depreciating asset, whether this works out better value in the long run. Some cars hold their value better than others. Idk, I'm not very interested in cars. Also I do think some people put a higher "value" on looking good. So nice expensive car, nice expensive threads, done up interiors etc. I'm not one of those people must make more effort in 2023.

Reugny · 31/12/2022 20:33

PegasusReturns · 31/12/2022 20:27

So you can get a £25k car on HP for what £250 pcm?

and to put down a deposit on a £180k house you’d need £20k?

and to save £20k at the rate of £250 pcm would take what six years?

And if you need a car you need a car so you’ve got costs associated with that anyway.

Doesn’t take a genius to understand why people might go with the car.

You've missed out the fact in the 6 years you are saving for a deposit house prices have gone up 20%.

On the other hand due to some government scheme on emissions you can get £2-5k of a new car if you trade your old one. And as you know someone who works in a dealership reasonably well you can get the equivalent of another £1-2k off.

(Ok only the last bit is true for me.)

TheGirlWhoTamedTheDragon · 31/12/2022 20:35

I've owned all my cars to date outright. I've now (belatedly) figured out that the monthly cost of buying say a 4 year old car and running it with all repairs, MOTs etc to 8-10 years old is overall the same as leasing a brand new car and changing it every 3 years. So that's what I'm doing from now on. None of my neighbours will probably even notice when it arrives in the spring though, nor do I imagine they'd be remotely interested. I think you have too much time on your hands!

RosesAndHellebores · 31/12/2022 23:23

Thing is posh cars are not audis and mercs, they are Maseratis and McLarens. An old Aston Martin or Bentley. Or a renovated 1960s Austin Clubman with the wood bits replaced or actually French Polished,

The Audis and Range Rover Evoques are the Ford Granadas, Rovers and Jags of my childhood.

TheGirlWhoTamedTheDragon · 31/12/2022 23:36

I thought Maseratis were the height of bad taste?

RosesAndHellebores · 31/12/2022 23:38

Nobody who can afford one would give a flying. The Ghibli's a bit wannabee but the MC20 and Gran Turismo aren't.

TheGirlWhoTamedTheDragon · 31/12/2022 23:40

Hmmm not sure. They usually provoke ridicule in my experience.

TheHateIsNotGood · 01/01/2023 00:01

It is indeed a bemusement that Lady Thing also wonders about - the massive price of cars and how do people afford them? A few of them are parked in the local hood, besides the motability funded vehicles, I'm pushed to guess who can afford them; can't be local workers, we all drive old bangers and spend less keeping those legally driveable and operational.

WaddleAway · 01/01/2023 00:21

TheHateIsNotGood · 01/01/2023 00:01

It is indeed a bemusement that Lady Thing also wonders about - the massive price of cars and how do people afford them? A few of them are parked in the local hood, besides the motability funded vehicles, I'm pushed to guess who can afford them; can't be local workers, we all drive old bangers and spend less keeping those legally driveable and operational.

The people who can afford them are probably the people who earn more than you.

Blossomtoes · 01/01/2023 00:31

TheGirlWhoTamedTheDragon · 31/12/2022 23:36

I thought Maseratis were the height of bad taste?

They are. Ostentatious displays of wealth.

TheHateIsNotGood · 01/01/2023 00:37

Waddle undoubtedly. The trend seems to be buy a cheap house here and work where they usually work elsewhere. They can't earn that much to warrant paying so much of their income on these big, hefty vehicles but their life their choice, I only wonder why.

Adding to my bemusement is given the very narrow roads and limited parking, it's often these newer, wider vehicles that get scrunched on their sides. Anyone that actually lives and/or works here full time finds out eventually; no matter how much they earn.

Murdoch1949 · 01/01/2023 01:15

Aren't most new cars leased? Don't people struggle to raise a 20% deposit so rent? Speaking as a 4 bed new house owner, no mortgage, 12 year old car (v low mileage!). Cars are just a way to get from A to B for me, but for some they are status.

EilonwyWithRedGoldHair · 01/01/2023 01:20

WeAreBorg · 31/12/2022 19:26

I judge everyone that drives a Range Rover. ALL OF THEM

Also a lot of people make terrible financial decisions, mostly people who buy Range Rovers

Even people with an ancient one who actually drive it off road through their fields?

Seems a bit harsh.

Saz12 · 01/01/2023 01:36

I don’t get it either. Company cars ;excluding electric vehicles) have such high tax burden that you’d need to seriously prioritise car over income.
Not that many qualify for Motability scheme.
Do people just not bother to work out the costs? Surely only a teensy number of people value “looking successful” that highly?

I get that home ownership is farcically impossible in some areas. But I don’t get why anyone would spend such a huge proportion of take-home pay on marketing shite.

IsEveryDayReallyASchoolDay · 01/01/2023 01:56

I don't judge people on what their house is like vs what car they drive.

However, I like to invest in property that appreciates rather than cars that depreciate.

We have a relatively expensive property but just drive around in something that is safe, fits us all in, and is a reasonable price.

Everyone has different priorities though. We spend a lot of money on holidays. Others may have less holidays and a more expensive car. Each to their own!

IsEveryDayReallyASchoolDay · 01/01/2023 02:08

I may have these figures wildly wrong, as I can't recall exactly, but a family member lives in a fairly small house. The house needs a lot of work which they can't afford.

However, they bought a Range Rover for over £70,000 and about five years later sold it for about £16,000 and bought another!

Personally I don't understand it!

dentydown · 01/01/2023 07:48

My old school friend lives in a council house and has a Mercedes. Her council house is an absolute show home inside and her Mercedes is her “achievement”.

She works as well.

She will never own a house, but a nice car is the next best thing.

it’s about pride, aspirations etc.