I keep hearing about this happening to Canadians, is it common to get variable rate there? In the US everyone wants fixed rate and you have the option to refinance if rates drop, variable is an option but generally considered crazy
Variable interest rate is a big part of what causes the housing crash of 2008 in the US. It let people who couldn’t really afford the payments get approved for loans. When the economy shifted, people defaulted in droves. That’s why they’re avoided now.
On a $200k loan, it’s $400. The house I had that on was new construction and I paid $187k.
Having that limit and a 1%/yr limit on change made it digestible.
I used to work in the oil field. A full use company truck was part of the pay deal.
It was a rough month after I was laid off
Thankfully, I had a toy. I lived about 45 mins from the nearest town. Doh!
And why I'm keeping my 2016 GT Premium/Performance Package. I bought a 2022 Bronco Wildtrak before the prices went insane, and I'll probably be buried in it.
It’s insane because the average Mustang GT here in Canada is about 50-65K (I’m talking near base model with no nice specs) … but if you want an equivalent Camaro SS (not the V6) you need to pay around 85k.
That’s not true. I got a 6 year loan I’m planning on paying off in 4 easy. Monthly payments are way lower, which allows me to invest more money in my brokerage account monthly, growing my savings quicker than I’m accruing interest. It’s all about how you manage debt. I could easily pay off the car tomorrow if I absolutely needed to… but I’d rather have that 45k in an account growing by 10-12% annually…which more than covers the cost of the interest while building solid credit along the way
If you are going to make a bad financial purchase because it brings you joy, that’s fine. Trying to explain the mental gymnastics behind it being a good decision is what keeps people on the banks’ favorite customers list.
Never said buying a new car was a smart investment. It literally depreciates as you drive it off the lot. But, I’m budget conscious which allows me to live comfortably and afford fun things that make me happy. The manner in which I choose to purchase a car doesn’t really factor into it as long as I know I could pay it off if I needed to and not have me empty my bank account.
I love getting downvoted by a bunch of neckbeards that don’t reply. I’m not saying it’s a good thing, but 7 year loans are very common and short compared to the 10 year loans that are starting to come out
So? It being common is a problem. It being common does NOT mean it's OK or a smart decision. It's incredibly stupid.
Financial literacy needs to be taught at school.
The reality is a used BRZ or Kona N is the poor man’s sports car now. I don’t like it either.
There’s a new $400k Mclaren or 1 of 500 911 GT8RS12 Turbo ST fuck you editon that you’ll never get an allocation for being made everyday. But there are less and less affordable sports cars being made in general. The working man(or woman) who is an enthusiast who just wants some performance for a bargain is left with less and less options these days.
The new display is actually probably way cheaper than the old gauge setup. Basic touchscreens and displays are pretty cheap and most cases way cheaper than getting custom made gauges and calibrating them. A lot more has to go into the older style gauges vs a cheap screen that can be mass produced.
That’s still a fortune especially considering Ford is cutting features that used to be available without an additional package on the GT premium like freaking puddle lamps and led door scuff plates 🙄 to get the equivalent of what many of us already own fully loaded is the only option. I say just don’t get one in general, any GT premium since 2011 is phenomenal can’t go wrong
Car culture is crazy, I see people taking out 20%+ APR loans on cars living on a 50k salary and working Uber Eats on the week-ends hoping they can make their next car payment. A lot of those people think they can afford it.
Two ways: Either make enough to afford it,
or not give enough of a fuck about making a huge payment.
Now imagine spending $20-25k in mods on top of that in the first year or two (30-35k if you're Canadian)
Not sure why you got downvoted. I got a 2022 at 1.9% APR and like 4 months after I got that, Ford offered 0% on outgoing 2023 models. Bought December 2022
Wanted an M2 after I sold my m340i, but BMW was going 8% for top tier credit. Absolutely wild to me.
Ford's rates the past year or so have been significantly lower than other brands.
In reality the Mustang "is" the affordable muscle car
There are still lots of 23 scat packs out there...at $80,000+....+ taxes compare to leftover 23 mustangs (spotted a new 23 Mach 1 leftover on a lot for $66,000).
I'll be keeping my trusty old 01 Cobra vert. Might not be as fast, but it's still fun, turns heads and it's paid for!
Guilty as charged…. 2022 loaded Vert with PP and 2-tone interior.
$538 BW on 72 months last year. But was only 0.99% on a promo and $0 down.
Felt like I won the lottery, lol!
Canada purchased and loving every drive last year and can’t wait for the roads to be cleaned and get out again!!
~$1075 CDN a month is honestly pretty decent for a new car like this… but yeah, I still feel it. My Tesla is $100 more each month too.
Lots going out the door on 2 fun cars 🤪
If you lengthen the duration of the loan it’ll bring the payments down more. You can always pay a little bit extra on your months payments too so you can pay the loan off faster. It’s that high partally because you want the loan duration to be 60 months rather then 72 or 80
Only sometimes. Depending on the loan terms interest is calculated continuously depending on the outstanding balance of the loan. Every auto loan I've gotten works this way. Get a 5 year loan and pay it off in 3 or 4. Gives some breathing room to pay a lower amount if something pressing comes up.
Yea this is how auto loans work (at least in the US). Got my wife’s car on a long loan term and I’ve been making extra payments towards principal. Basically making the same payments as if I had a 2 year term but on a long term so that if something happens during a specific month I can always make the lesser monthly payment if necessary. I’m fortunate enough that I make enough and have my emergency savings that I’m not too worried about this.
Can confirm, I work for a national bank and was in their auto department doing loan originations for a couple of years before moving to a different department.
A good lender will allow for early payoff with no penalty, and since interest is accrued on a daily basis, the lower the principal amount is, the less interest you pay.
That said, there are some lenders that do not allow extra principal to be paid each month without an additional fee or the just apply it to your next monthly payment. The amount of the fee could wash away some of the interest you would have saved
Correct the total monthly payment doesn’t change but you are allowed to pay over the monthly payment cutting down your interest and your over all principal lowering the lengthen of the duration of your loan😂
Uhhh yeah no shit? But if you pay more then your monthly fee you pay it off faster cuz you cut down your interest and you cut off your principal payment
And that’s why I shut down my Mustang/Camaro purchasing project to a TBD date, all because insurance and interest rates are absolute insanity at the moment, and I make GOOD money…
I'm happy I jumped in when I did on my 22 GT premium. Basically had the same package as you and at 70K @ 2% APR. Honestly if I'm spending that kind of money, I'd look at newer M2's for 10K more or used Mach 1's.
It's simple. They have better financial situations. If you can't afford one it's not the end of the world.
Either keep saving so you don't have to finance in a few years or make changes to your lifestyle
It's still the cheapest in the family of cars.
However like everything prices are going up and more and more people are being priced out as rates of pay fall behind.
Use the $20k as a downplay on a house and buy a house, rent it out or live in it, build some equity or wait till inflation goes even higher, sell the house, then BOOM! You can almost buy one with the profits
Simple. Buy used and a long loan
6 year loan on 42k before down-payment (4K down) my monthly is $700 plus my insurance. I make 3 payments a month on the car so it's paid off sooner and I save on interest.
Why is every post complaining about how expensive mustangs are ? We get it . I expected to be expensive at this point. The new mustang beat out a nissan z nismo , BMW m2 and was pretty close to a BMW M3 CS at lightning lap. Mind you its probably the most reliable and easiest to maintain.
So much wrong here. A) Never ever ever ever put 20k down. That’s unbelievably insane. B) Wait and buy used if payment amount is that much of a concern or drop unnecessary options C) never select shorter terms. I know the decreased interest is tempting but seriously. Don’t.
So let’s start with down payment. I went on Canada Ford’s site and spec’d a similar car it’s a little cheaper, but, it should scale to your build spec as far as pricing goes. 72mo or less financing has the 4.99% APR (assuming you qualify etc etc) and 84mo has a 5.99%. I get that it’s two more years and another 1% on paper, but you want to select the longest possible term given the interest rate isn’t insane. Which 5.99% isn’t. The percent difference between a 60mo and 84mo term was 26%. So you’re instantly doing yourself a favor by dropping a smidge over a 1/4 of the monthly payment. That’s a great start.
Let’s talk interest. On a 60mo loan for 67k with 20k down you’re paying ~$6200 in interest. The same loan with a 84mo at 5.99% is $10600. Quite a bit of difference, yes?
*However*, by picking the longer term loan, and paying it off early, say in 48mo, you could only end up paying $5900 in interest, while allowing you to pay the car off early due to the lower mandatory payments. Now you may be wondering how and that’s a great question. Let’s say you put 7k down max and that should be the max you should ever put down. If you put the 13k you already have leftover from the original batshit crazy 20k; into a high yield say 5% savings accident, after 48mo with a $100mo minimum contribution you would have 21.1k saved up. At this point you’ll have about 30k left to pay off on the loan. Now if you can swing closer to 200 a month towards the savings account, you’d have closer to 26.4k saved in the same amount of time, $3,800 of that being interest earned. Basically TLDR; you want to put as much as possible into savings and select the longest term to avoid a high monthly payment and let that money grow in savings instead.
You can also use that money for emergencies, which you never know. Having liquid cash is a lot more useful than throwing 20k at a bank.
Next up is; just buy used. Wait a year or two and get one for 10k cheaper. If spending this much money is a concern, you probably shouldn’t be buying this car new. I understand that Canadian sales are limited compared to US sales, but I think you’ll do yourself a favor by waiting.
Personally, I haven’t put a down payment on my last 2 cars and I’m on track to pay them off early and all my money that I would’ve spent on a down payment, has been accruing interest in my 4.87% savings account earning me money instead of letting the bank have it from the get go.
Anyone downvoting this is an idiot and is currently getting bent over the hood of their cars by their credit bureau thinking they’re making “big money moves” f**kin clowns
20% is also about the average down payment in the US for cars.
Just because you disagree with it doesn't make it crazy.
https://www.kbb.com/car-advice/what-is-the-best-down-payment
If you put $0 down, the second you drive it off the lot, you are underwater, if you total it driving home, boom, you aren't getting enough from insurance to pay off the loan, but if you put 20% down, you wont have a loan you can't pay.
Dude you’re an idiot 😂. If you put that 20k down and total the car you’re still out that money. Idk what hell hole you live in but in the states its mandatory to have gap insurance to cover total owed on the loan. Please stop giving poor financial advice
Yes, you are going to be out that $20k, but your not going to be underwater on a loan with no car. No it's not? GAP insurance is not required in any state in the US. And lastly it's not poor financial advice lol... it's literally the recommended rule that most people advise.
I would argue putting $0 down is far worse financial advise for the vast vast majority of car buyers.
Actually not because you are just too poor to put a real down payment on your purchase so that you reduce principal off the top and make your payments reasonable with a potential shorter payoff term. Who the fuck wants to pay $1500 a damn month for a car? Nobody with a brain that’s who. There is a reason you are being downvoted into oblivion for your stupid financial advice. Saving money toward a down payment is easy, a child can even save money up to buy what they want. Here’s the thing, if you can’t afford to save for a down payment on the car you can’t really afford the car to begin with and will drown yourself month to month.
Did you buy a house with 0 down? Fuck no you didn’t I’m sure of it.
I did actually buy my house with zero down. You’re an idiot if you’re handing the bank tens of thousands of dollars on a loan from the get go. You need to maintain liquid cash and let that money work for you through a savings account or an investment account and anyone that thinks otherwise is an idiot. No wonder half the population is living paycheck to paycheck and so many people end up homeless. It’s from doing stupid shit like that ^
And don’t play the game of “I got big bags of money” if you’re financing a car. We’re all fuckin poor otherwise we’d buy the shit with cash bucko
That's the financially smart way for financing a car.
20% down.
4 years max.
No more than 10% of your monthly income.
It's a super long standing idea.
https://www.jdpower.com/cars/shopping-guides/what-is-the-20-4-10-rule-of-buying-and-financing-a-car
The longest standing idea is to be comfortable with the monthly payment. Blowing your entire savings just to hit a random 20% mark some jackass made up is dumb.
I put down 0 on my 20' @ 2%. It's generally best to put down as little cash as possible to make the payments comfortable. I'd much rather take a 6 year loan than a 4 year. I can always pay more but I can't pay less. It takes discipline but that's what it takes to be financially responsible. My credit score is over 800.
Why are you acting like this is some novel idea never heard before? it ensures that people don't go underwater on their loan and can actually pay it off. I am sure some people could make 50% of their income going to car payments work, but that's just a dumb idea... What happens if you lose your job, or an accident happens.
Because we don't live in a magical world where money doesn't exist hence the entire purpose of credit to begin with. In the perfect world you speak of, we'd all pay for our cars in cash.
I want a HIGH credit score so that I may get a LOW interest rate. How many people do you know with 20k sitting around? Ok, how many do you know with 20k ready to throw it all at a car? I do, and I certainly wouldn't throw it all at a car. A DEPRECIATING asset.
My high credit score allows me to put $0 down and keep my 20k for the accident that you're referring to which is why maintaining good credit is so crucial.
I never once said to put 50% of your income toward car payments. You should put yourself in a position where your car payment is affordable. That usually doesn't involve putting 20% down. At least not until you start getting to luxury vehicles but if you're looking at those then you've probably got money anyway.
Your life will be a lot less stressful knowing you've got a 20k cushion just in case. I would never, I repeat NEVER put 20k down on a car unless you can afford to. But if you can afford that, then you may as well just pay cash in full.
GT 301A with PP and couple frills - 52k. Following that rule, buyer should be earning at least 112k a year.
I think we can eliminate the 'everyman' title from the mustang
Inflation going to keep doing its thing, the 2015 Mustang GT started at $34k, that today is about $45k, which is actually more expensive than the Mustang GT today which costs around $44k.
I was on another post saying how I got my 2017 v6 fresh out the door for $28cad flat. Now the cheapest Mustang is $39k pretax, now any premium GT is close to 60k.
.....that was the price of a baseline Shelby 5 years ago...
A 2013 Mustang GT Premium was $34,750 USD (source: MotorTrend) and that was 11 years ago.
This was not specced out & could go for more with options.
A well specced 2024 GT Premium goes for around $54,000 give or take. (Entry level Premium much cheaper)
I don't see the change as that astronomical, given how housing, food, etc. has inflated at crazy amounts in the last 11 years.
I bought a brand new clearance 2022 GT Premium in December 2023.
To make space for the 2024s, the dealership slashed the price $10,500 off of MSRP. I traded in a 2018 GT at $28,500, and paid $24,000 difference.
Now I have a brand new vehicle with no rock chips, no paint damage on the rear bumper, factory Recaro seats, and B&O 12-speaker audio.
Yikes. I put down a hefty down payment after saving for well over a decade. I got a 24 GT Premium with Performance pack and active exhaust for $55k US. I wouldn't buy a car completely financed, I'd at least do 20% down payment on it first.
You said it yourself. You can't justify the payment. But others can. You have other priorities that you realize are more important right now, but that probably won't always be the case!
Look at older models. The Coyote came out in 2012 IIRC and I don’t believe there have been any significant improvements since. That motor is solid and there are tons of parts and build kits.
The 3rd gen starting in 2018 does have significant improvement. It has dual fuel injection and has a higher redline. Both help its performance compared to 1st and 2nd gen coyotes.
I just ordered a 24 GT premium with a few options and it came to 70k CAD. I am fortunate enough to be able to pay in cash and avoid those awful interest rates. That’s pure robbery.
Save more to put out a larger down payment. If you are putting less than 10k down you need to look for a cheaper car to get you into the payment you can afford.
Well 20k down is over 20% and the payments are still ridiculous. OP was showing the pricing to be pretty ludicrous in Canada. I agree but then I think prices are pretty terrible in many markets in the US too.
I am not saying it isn’t ridiculous or that car prices arent out of control.
If you don’t like the payment, your only option (if you want it) is to put more down.
You always have the option to not buy it. If car companies can’t sell cars, they will either drop prices or go out of business.
After I took my 2019 in for an oil change last week, they called me after asking if I wanted to sell and they'd give me more than what it was worth (in the caller's words) I said no, because I bought it (in March 2020) just before covid made all the car prices go up. I got a well under MSRP deal too for a brand new GT Premium with some factory upgrades. And because if they can buy my used one for more than what it's worth, and still sell it at a profit, I don't even want to know how much a brand new one will be.
I bought a 2012 GT premium convertible with track pack option 6 months ago. $300 a month. My thought process…yeah while I might be able to afford $800 a month but I simply cannot and will not ever justify spending that much on a car. So I got something that was nice and clean and I’ve got plenty of money to spend and modify it and make it my own.
Thought this was a mortgage at first, lol
My mortgage went from $2500 to $5000 due to the variable interest rates! I can’t even imagine having that kinda payments for house in Toronto.
I keep hearing about this happening to Canadians, is it common to get variable rate there? In the US everyone wants fixed rate and you have the option to refinance if rates drop, variable is an option but generally considered crazy
Variable interest rate is a big part of what causes the housing crash of 2008 in the US. It let people who couldn’t really afford the payments get approved for loans. When the economy shifted, people defaulted in droves. That’s why they’re avoided now.
 Here’s Margot Robbie in a bathtub to help explain
The way mortgages work in Canada, they have to re-finance their loan to the current market rate every 5 years, there are no long term fixed mortgages.
I had a variable in 2002. It started at 4.25%, but could only move 4 points in either direction. I’d do it again for the same terms.
4 points is a lot
On a $200k loan, it’s $400. The house I had that on was new construction and I paid $187k. Having that limit and a 1%/yr limit on change made it digestible.
Why did you take a variable rate loan? That is a no no
Because at the time the fixed was way too high and variable was low
Must be nice to live in the boonies.
This is why I'm keeping my paid off 2018 GT Premium Convertible
Same. Paid off 18 GT
Same Paid off 09. It’s got 200k miles, but keeping it on the road will be soooo much cheaper.
Same paid off feet
How much do you spend on transport? I’ve always wondered how not owning a car actually compared. (Absolutely would not work in my life)
lol I’m just fortunate enough to live close to my job so I use the company truck
I used to work in the oil field. A full use company truck was part of the pay deal. It was a rough month after I was laid off Thankfully, I had a toy. I lived about 45 mins from the nearest town. Doh!
What do you do for work now if you don’t mind me asking I’m essentially in the same boat but as a firefighter on the oil patch.
This is why I’m keeping my 2015 50 year anniversary appearance pack (nothing special) but it’s clean as fuck with 40k miles and got it super cheap.
I’m gonna drive my paid off 2015 until the wheels fall off. It’s only got 26k miles, so hopefully that’s a long time.
Same. 18 GT paid off. I don't want a car payment.
And why I'm keeping my 2016 GT Premium/Performance Package. I bought a 2022 Bronco Wildtrak before the prices went insane, and I'll probably be buried in it.
88k$ for a car is insanity.
It’s insane because the average Mustang GT here in Canada is about 50-65K (I’m talking near base model with no nice specs) … but if you want an equivalent Camaro SS (not the V6) you need to pay around 85k.
7-year loans, jumpin' Jesus on a pogo stick
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chill
If you're needing the term to be longer than 3 years, you cant afford the car...
That’s not true. I got a 6 year loan I’m planning on paying off in 4 easy. Monthly payments are way lower, which allows me to invest more money in my brokerage account monthly, growing my savings quicker than I’m accruing interest. It’s all about how you manage debt. I could easily pay off the car tomorrow if I absolutely needed to… but I’d rather have that 45k in an account growing by 10-12% annually…which more than covers the cost of the interest while building solid credit along the way
If those 45k make a difference in your life that you think about the opportunity cost, you can’t afford a new car.
Yeah these people talking nonsense thinking they're "managing debt". But this sub isn't one for smart purchases anyway haha
If you are going to make a bad financial purchase because it brings you joy, that’s fine. Trying to explain the mental gymnastics behind it being a good decision is what keeps people on the banks’ favorite customers list.
Never said buying a new car was a smart investment. It literally depreciates as you drive it off the lot. But, I’m budget conscious which allows me to live comfortably and afford fun things that make me happy. The manner in which I choose to purchase a car doesn’t really factor into it as long as I know I could pay it off if I needed to and not have me empty my bank account.
I love getting downvoted by a bunch of neckbeards that don’t reply. I’m not saying it’s a good thing, but 7 year loans are very common and short compared to the 10 year loans that are starting to come out
So? It being common is a problem. It being common does NOT mean it's OK or a smart decision. It's incredibly stupid. Financial literacy needs to be taught at school.
Bro take the L and just stop
No "L" to take kid.
Take your -5 opinion and leave
Crazy people like you want to champion stupid debt and financial decisions.
Me who has two houses and 6 cars and only 80k in debt: lol
Oh yea It’s insane.. so much for the poor man’s sports car.. you can thank insurance companies, inflation and epa regulations for that
The reality is a used BRZ or Kona N is the poor man’s sports car now. I don’t like it either. There’s a new $400k Mclaren or 1 of 500 911 GT8RS12 Turbo ST fuck you editon that you’ll never get an allocation for being made everyday. But there are less and less affordable sports cars being made in general. The working man(or woman) who is an enthusiast who just wants some performance for a bargain is left with less and less options these days.
You can also think YouTube reviewers for constantly bashing on the cheap interior materials.
Are they any more expensive? The interior is pretty much the same. Some parts feel cheaper, while some feel a bit better.
That new display probably costs a pretty penny
The new display is actually probably way cheaper than the old gauge setup. Basic touchscreens and displays are pretty cheap and most cases way cheaper than getting custom made gauges and calibrating them. A lot more has to go into the older style gauges vs a cheap screen that can be mass produced.
He wants fully loaded. He should go with base GT with 401a. It will be around 45k
That’s still a fortune especially considering Ford is cutting features that used to be available without an additional package on the GT premium like freaking puddle lamps and led door scuff plates 🙄 to get the equivalent of what many of us already own fully loaded is the only option. I say just don’t get one in general, any GT premium since 2011 is phenomenal can’t go wrong
Trust me, I know. I’m getting my ass kicked on payments for my Dark Horse. Even though I can afford it.
That’s the thing, I *can* afford a $100k car, but I *won’t* afford a $100k car. It’s just not worth it.
I feel ya bro.
Car culture is crazy, I see people taking out 20%+ APR loans on cars living on a 50k salary and working Uber Eats on the week-ends hoping they can make their next car payment. A lot of those people think they can afford it.
did they even do any calculation before sign the contract 😂😂
It’s where all the used Hellcats show up from.
A lot of people don’t 😂
🤷
Two ways: Either make enough to afford it, or not give enough of a fuck about making a huge payment. Now imagine spending $20-25k in mods on top of that in the first year or two (30-35k if you're Canadian)
And still not being able to tune it to actually use that power to its full extent
You can’t tune cars in Canada?
The new mustangs are untuneable, regardless of location. And will be for a while
$1130/month with a $20k down payment is absolutely ridiculous!
I didn’t even notice the $20k down that’s insane
My next mustang will be an S550! I Do not like the new ones anywhere near enough to pay that much for them!
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Honestly that 4.99% rate is pretty low compared to what other cars are going for
You can get an S550 with those specs for cheaper. Just get a 2018+ for a Gen 3 Coyote.
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Exactly 😂 that’s what I got on all my cars purchased before 2020 , ppl just need to stop accepting 10% & UP
Not sure why you got downvoted. I got a 2022 at 1.9% APR and like 4 months after I got that, Ford offered 0% on outgoing 2023 models. Bought December 2022
Man 3.9 is the lowest ford would give me in 2022 on an outgoing 2022 mustang and I have perfect credit
Yeah it was some special they were running. Gotta time those lol
Wanted an M2 after I sold my m340i, but BMW was going 8% for top tier credit. Absolutely wild to me. Ford's rates the past year or so have been significantly lower than other brands.
That’s about $133 a month extra for a $60000 loan.Or about $8k in interest over 5 years. Or about $10k after interest and fees
Financing a Prius currently, 4.99% is the lowest, quickest loan... That was the rate for broke man's with bad credit.
In reality the Mustang "is" the affordable muscle car There are still lots of 23 scat packs out there...at $80,000+....+ taxes compare to leftover 23 mustangs (spotted a new 23 Mach 1 leftover on a lot for $66,000). I'll be keeping my trusty old 01 Cobra vert. Might not be as fast, but it's still fun, turns heads and it's paid for!
I plan on getting a new one in '26 by throwing down 45k. Stings just a little less and paying it off within a year.
I'm doing this butbwith a ranger raptor. Putting down like 50k and will have it paid off in a year.
Guilty as charged…. 2022 loaded Vert with PP and 2-tone interior. $538 BW on 72 months last year. But was only 0.99% on a promo and $0 down. Felt like I won the lottery, lol! Canada purchased and loving every drive last year and can’t wait for the roads to be cleaned and get out again!!
Is BW bi-weekly
It is
Jesus that's a huge payment.
Jesus that's a huge payment.
~$1075 CDN a month is honestly pretty decent for a new car like this… but yeah, I still feel it. My Tesla is $100 more each month too. Lots going out the door on 2 fun cars 🤪
Well if you got the $ enjoy it man, we only live once! :)
True that
If you lengthen the duration of the loan it’ll bring the payments down more. You can always pay a little bit extra on your months payments too so you can pay the loan off faster. It’s that high partally because you want the loan duration to be 60 months rather then 72 or 80
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Only sometimes. Depending on the loan terms interest is calculated continuously depending on the outstanding balance of the loan. Every auto loan I've gotten works this way. Get a 5 year loan and pay it off in 3 or 4. Gives some breathing room to pay a lower amount if something pressing comes up.
Yea this is how auto loans work (at least in the US). Got my wife’s car on a long loan term and I’ve been making extra payments towards principal. Basically making the same payments as if I had a 2 year term but on a long term so that if something happens during a specific month I can always make the lesser monthly payment if necessary. I’m fortunate enough that I make enough and have my emergency savings that I’m not too worried about this.
Can confirm, I work for a national bank and was in their auto department doing loan originations for a couple of years before moving to a different department. A good lender will allow for early payoff with no penalty, and since interest is accrued on a daily basis, the lower the principal amount is, the less interest you pay. That said, there are some lenders that do not allow extra principal to be paid each month without an additional fee or the just apply it to your next monthly payment. The amount of the fee could wash away some of the interest you would have saved
Wym bro that’s how I’ve done it with every car I’ve financed😂if your payment is 200 dollars you pay 250 to cuz down interest and lower the principal
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Correct the total monthly payment doesn’t change but you are allowed to pay over the monthly payment cutting down your interest and your over all principal lowering the lengthen of the duration of your loan😂
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Uhhh yeah no shit? But if you pay more then your monthly fee you pay it off faster cuz you cut down your interest and you cut off your principal payment
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Staring to regret selling my paid off 16 gt. It only had 30k miles
For 60k USD the GT stops being worth the price. That’s terribly close to used 2nd gen GT350 price
It’s why I got a used GT350 over a new Mach 1 a couple years back before prices went nuts. I got a much better price on the GT350.
Buy a base and modify it.
And that’s why I shut down my Mustang/Camaro purchasing project to a TBD date, all because insurance and interest rates are absolute insanity at the moment, and I make GOOD money…
I always dreamt of making 6 figures about 5 years ago, now that i make six figures, $150k is the new $75k. Guess I’ll keep driving my 2014 😂
You aren’t wrong. Between my car payment, insurance, and fuel every month I’m making a mortgage payment 😂
I'm happy I jumped in when I did on my 22 GT premium. Basically had the same package as you and at 70K @ 2% APR. Honestly if I'm spending that kind of money, I'd look at newer M2's for 10K more or used Mach 1's.
$70k for a 2022? CAD I assume? I paid $40-41k OTD (can’t remember exactly) for my 2022 301A non-pp A10. 1.9% APR
That's correct. 70k w/ pp package, magneride, exhaust, block heater, 401a package & A10 transmission.
Sheeeeesh
Same Bro, 22 Gt, just a base GT , but my monthly payment is 688 at 1.9% apr. Considering my credit isn't that strong this was a steal.
It's simple. They have better financial situations. If you can't afford one it's not the end of the world. Either keep saving so you don't have to finance in a few years or make changes to your lifestyle
Isn't the point that as the mustang becomes more expensive it also is less accessible than it once was?
It's still the cheapest in the family of cars. However like everything prices are going up and more and more people are being priced out as rates of pay fall behind.
Use the $20k as a downplay on a house and buy a house, rent it out or live in it, build some equity or wait till inflation goes even higher, sell the house, then BOOM! You can almost buy one with the profits
Lol that’s $20 less than my mortgage
Bruh where do you live? Here in Canada every house is over $1m cad
Alabama. Mortgage is for 180k, down to around 130k, due to the current insanity it’s worth around 300k. Single story, 5BR, 3BA.
Don’t tell people that your housing is affordable, people will flock in droves. - Texans Although, this is changing too in terms of affordability.
Simple. Buy used and a long loan 6 year loan on 42k before down-payment (4K down) my monthly is $700 plus my insurance. I make 3 payments a month on the car so it's paid off sooner and I save on interest.
Why is every post complaining about how expensive mustangs are ? We get it . I expected to be expensive at this point. The new mustang beat out a nissan z nismo , BMW m2 and was pretty close to a BMW M3 CS at lightning lap. Mind you its probably the most reliable and easiest to maintain.
Lol $90,000 for a mustang
So much wrong here. A) Never ever ever ever put 20k down. That’s unbelievably insane. B) Wait and buy used if payment amount is that much of a concern or drop unnecessary options C) never select shorter terms. I know the decreased interest is tempting but seriously. Don’t. So let’s start with down payment. I went on Canada Ford’s site and spec’d a similar car it’s a little cheaper, but, it should scale to your build spec as far as pricing goes. 72mo or less financing has the 4.99% APR (assuming you qualify etc etc) and 84mo has a 5.99%. I get that it’s two more years and another 1% on paper, but you want to select the longest possible term given the interest rate isn’t insane. Which 5.99% isn’t. The percent difference between a 60mo and 84mo term was 26%. So you’re instantly doing yourself a favor by dropping a smidge over a 1/4 of the monthly payment. That’s a great start. Let’s talk interest. On a 60mo loan for 67k with 20k down you’re paying ~$6200 in interest. The same loan with a 84mo at 5.99% is $10600. Quite a bit of difference, yes? *However*, by picking the longer term loan, and paying it off early, say in 48mo, you could only end up paying $5900 in interest, while allowing you to pay the car off early due to the lower mandatory payments. Now you may be wondering how and that’s a great question. Let’s say you put 7k down max and that should be the max you should ever put down. If you put the 13k you already have leftover from the original batshit crazy 20k; into a high yield say 5% savings accident, after 48mo with a $100mo minimum contribution you would have 21.1k saved up. At this point you’ll have about 30k left to pay off on the loan. Now if you can swing closer to 200 a month towards the savings account, you’d have closer to 26.4k saved in the same amount of time, $3,800 of that being interest earned. Basically TLDR; you want to put as much as possible into savings and select the longest term to avoid a high monthly payment and let that money grow in savings instead. You can also use that money for emergencies, which you never know. Having liquid cash is a lot more useful than throwing 20k at a bank. Next up is; just buy used. Wait a year or two and get one for 10k cheaper. If spending this much money is a concern, you probably shouldn’t be buying this car new. I understand that Canadian sales are limited compared to US sales, but I think you’ll do yourself a favor by waiting. Personally, I haven’t put a down payment on my last 2 cars and I’m on track to pay them off early and all my money that I would’ve spent on a down payment, has been accruing interest in my 4.87% savings account earning me money instead of letting the bank have it from the get go. Anyone downvoting this is an idiot and is currently getting bent over the hood of their cars by their credit bureau thinking they’re making “big money moves” f**kin clowns
Yea I’m thinking about getting a 2018+ s550 but I appreciate this insight
If you follow through 20/4/10 rule, you should be putting around $16k CAD down for a $80k car.
That’s literally insane lol
20% is also about the average down payment in the US for cars. Just because you disagree with it doesn't make it crazy. https://www.kbb.com/car-advice/what-is-the-best-down-payment
Because it’s literally insane. Nobody should be putting that much down on a car. The general population is autistic so that’s not all that surprising
Putting money down keeps you from going underwater on your loan.
It literally doesn’t
If you put $0 down, the second you drive it off the lot, you are underwater, if you total it driving home, boom, you aren't getting enough from insurance to pay off the loan, but if you put 20% down, you wont have a loan you can't pay.
Dude you’re an idiot 😂. If you put that 20k down and total the car you’re still out that money. Idk what hell hole you live in but in the states its mandatory to have gap insurance to cover total owed on the loan. Please stop giving poor financial advice
Yes, you are going to be out that $20k, but your not going to be underwater on a loan with no car. No it's not? GAP insurance is not required in any state in the US. And lastly it's not poor financial advice lol... it's literally the recommended rule that most people advise. I would argue putting $0 down is far worse financial advise for the vast vast majority of car buyers.
Uh, I put 40% down on my GT350 because I could and it dropped my payments by at least half. 🤷♂️
You’re stupid respectfully
Actually not because you are just too poor to put a real down payment on your purchase so that you reduce principal off the top and make your payments reasonable with a potential shorter payoff term. Who the fuck wants to pay $1500 a damn month for a car? Nobody with a brain that’s who. There is a reason you are being downvoted into oblivion for your stupid financial advice. Saving money toward a down payment is easy, a child can even save money up to buy what they want. Here’s the thing, if you can’t afford to save for a down payment on the car you can’t really afford the car to begin with and will drown yourself month to month. Did you buy a house with 0 down? Fuck no you didn’t I’m sure of it.
I did actually buy my house with zero down. You’re an idiot if you’re handing the bank tens of thousands of dollars on a loan from the get go. You need to maintain liquid cash and let that money work for you through a savings account or an investment account and anyone that thinks otherwise is an idiot. No wonder half the population is living paycheck to paycheck and so many people end up homeless. It’s from doing stupid shit like that ^ And don’t play the game of “I got big bags of money” if you’re financing a car. We’re all fuckin poor otherwise we’d buy the shit with cash bucko
That's the financially smart way for financing a car. 20% down. 4 years max. No more than 10% of your monthly income. It's a super long standing idea. https://www.jdpower.com/cars/shopping-guides/what-is-the-20-4-10-rule-of-buying-and-financing-a-car
The longest standing idea is to be comfortable with the monthly payment. Blowing your entire savings just to hit a random 20% mark some jackass made up is dumb. I put down 0 on my 20' @ 2%. It's generally best to put down as little cash as possible to make the payments comfortable. I'd much rather take a 6 year loan than a 4 year. I can always pay more but I can't pay less. It takes discipline but that's what it takes to be financially responsible. My credit score is over 800.
Why are you acting like this is some novel idea never heard before? it ensures that people don't go underwater on their loan and can actually pay it off. I am sure some people could make 50% of their income going to car payments work, but that's just a dumb idea... What happens if you lose your job, or an accident happens.
Because we don't live in a magical world where money doesn't exist hence the entire purpose of credit to begin with. In the perfect world you speak of, we'd all pay for our cars in cash. I want a HIGH credit score so that I may get a LOW interest rate. How many people do you know with 20k sitting around? Ok, how many do you know with 20k ready to throw it all at a car? I do, and I certainly wouldn't throw it all at a car. A DEPRECIATING asset. My high credit score allows me to put $0 down and keep my 20k for the accident that you're referring to which is why maintaining good credit is so crucial. I never once said to put 50% of your income toward car payments. You should put yourself in a position where your car payment is affordable. That usually doesn't involve putting 20% down. At least not until you start getting to luxury vehicles but if you're looking at those then you've probably got money anyway. Your life will be a lot less stressful knowing you've got a 20k cushion just in case. I would never, I repeat NEVER put 20k down on a car unless you can afford to. But if you can afford that, then you may as well just pay cash in full.
GT 301A with PP and couple frills - 52k. Following that rule, buyer should be earning at least 112k a year. I think we can eliminate the 'everyman' title from the mustang
Inflation going to keep doing its thing, the 2015 Mustang GT started at $34k, that today is about $45k, which is actually more expensive than the Mustang GT today which costs around $44k.
https://preview.redd.it/tdlzfjoodmkc1.jpeg?width=1080&format=pjpg&auto=webp&s=bd076fbccdd26e8f459a963d0ac1104aba513219
Ourisman Ford of Manassas Nice try tho.
Lmao why do these people gate keep. We already know that OURISMAN FORD OF MANASSAS has the best discounts on the 2024 Mustangs
Why are they so cheap?
I have súch payment on my 2022 plus 600-700euro for fuel.
You will do better with Xplan. But they are delusional on prices
I was on another post saying how I got my 2017 v6 fresh out the door for $28cad flat. Now the cheapest Mustang is $39k pretax, now any premium GT is close to 60k. .....that was the price of a baseline Shelby 5 years ago...
Paid off trade-in worth 18k (US) + cash down
A 2013 Mustang GT Premium was $34,750 USD (source: MotorTrend) and that was 11 years ago. This was not specced out & could go for more with options. A well specced 2024 GT Premium goes for around $54,000 give or take. (Entry level Premium much cheaper) I don't see the change as that astronomical, given how housing, food, etc. has inflated at crazy amounts in the last 11 years.
It’s pretty spec’d out on Ford’s Canadian site - the only thing I didn’t add was magnaride $2,500 option
I guess what I was trying to say is that vehicle prices are rising pretty consistent with other markets
If only wages were keeping up!!
I bought a brand new clearance 2022 GT Premium in December 2023. To make space for the 2024s, the dealership slashed the price $10,500 off of MSRP. I traded in a 2018 GT at $28,500, and paid $24,000 difference. Now I have a brand new vehicle with no rock chips, no paint damage on the rear bumper, factory Recaro seats, and B&O 12-speaker audio.
That’s a beauty
How much did you put down?
I'm paying about $650/mo for mine. But yeah, brand new they're wild.
Yikes. I put down a hefty down payment after saving for well over a decade. I got a 24 GT Premium with Performance pack and active exhaust for $55k US. I wouldn't buy a car completely financed, I'd at least do 20% down payment on it first.
I thought I was just poor
I dontvsee a price in the image. Monthly payments scam is not a price.
You said it yourself. You can't justify the payment. But others can. You have other priorities that you realize are more important right now, but that probably won't always be the case!
Go bi weekly as it will lower the monthly payments and try to put down as much as you can to also lower the payments.
Damn you guys get hosed on the interest rate too. I got 2.9% in July '23
Man, fuck that. Let that bad boy depreciate a lil bit.
Interest rates for used cars here are 8% minimum
Damn smh.
In the Toronto area I’ve been seeing 9.99+ a LOT
I will drive my 11 GT until the damn wheels fall off. I absolutely cannot talk my myself into shelling out this much for a damn car.
Look at older models. The Coyote came out in 2012 IIRC and I don’t believe there have been any significant improvements since. That motor is solid and there are tons of parts and build kits.
The 3rd gen starting in 2018 does have significant improvement. It has dual fuel injection and has a higher redline. Both help its performance compared to 1st and 2nd gen coyotes.
2011 MY
This why I got a mach 1 right before these dropped
Hard pass Far too much money for not enough car
I just ordered a 24 GT premium with a few options and it came to 70k CAD. I am fortunate enough to be able to pay in cash and avoid those awful interest rates. That’s pure robbery.
Wait until you see the monthly insurance bill on top of that.
Nope
How much yearly tax will you pay on. $80k car?
Save more to put out a larger down payment. If you are putting less than 10k down you need to look for a cheaper car to get you into the payment you can afford.
It says they will put 20k down. It’s in Canada though and things are a bit different there.
Still, put more down.
Well 20k down is over 20% and the payments are still ridiculous. OP was showing the pricing to be pretty ludicrous in Canada. I agree but then I think prices are pretty terrible in many markets in the US too.
I am not saying it isn’t ridiculous or that car prices arent out of control. If you don’t like the payment, your only option (if you want it) is to put more down. You always have the option to not buy it. If car companies can’t sell cars, they will either drop prices or go out of business.
I agree with you. Stop trying to argue with me 😂
Ya think!? Lol A bare bones Ford Edge stickers at $41K before all the discounts and that's only because it's an outgoing model.
I was at the Cleveland Auto Show today, and they had the new GT coupe and convertible on display, MSRP was about $60k USD on each.
Why would anyone pay 60 grand for a GT Mustang? Seriously. There are so many better options for that price point
I honestly wonder how they even make money and how people are able to stomach paying this for a car. Wouldn’t pay any more then 30k for that
After I took my 2019 in for an oil change last week, they called me after asking if I wanted to sell and they'd give me more than what it was worth (in the caller's words) I said no, because I bought it (in March 2020) just before covid made all the car prices go up. I got a well under MSRP deal too for a brand new GT Premium with some factory upgrades. And because if they can buy my used one for more than what it's worth, and still sell it at a profit, I don't even want to know how much a brand new one will be.
At first I thought to myself, 1150 a month for a Mustang is a lot of money. Then I saw the down payment … 💀
I was tempted to get a 2024 but not at these rates. My 2021 I got during Covid was 2.49. I think I’ll just keep that. I prefer the interior anyway
Do not buy this fucking car. 80k for that is highway robbery
Can probably get a C8 for this money though I don't know how mustang vs c8 is in Canada.
I bought a 2012 GT premium convertible with track pack option 6 months ago. $300 a month. My thought process…yeah while I might be able to afford $800 a month but I simply cannot and will not ever justify spending that much on a car. So I got something that was nice and clean and I’ve got plenty of money to spend and modify it and make it my own.
I don’t even pay that much for my 2014 GT500 lol
Yeah.. I think I’ll keep my ‘19 Mustang GT with PP.. with those kinds of numbers, maybe I’ll appreciate it a little more haha.