Possible recession changing your Car hobby purchasing plans?

[Venamm]

This site is global correct?
Well it does seem that though the majority of attendees are American this topic might then be pertinent. As for Europe and Canada and other Cobra parts of the world nothing has financial gone tragically sour yet (knock on wood) As for a "possible" recession, here's a news bulletin it is a recession!! The only thing to watch for is if turns into the big "D" God forbid.

[Juggernaut]

NO WAY!!!

I just got my Cobra on the road after a 6 year build. Kids are all grown & married, doing well.

It's now my time! I'm gonna have some fun!!

[brobehr]

While I complain to my broker about the roller coaster my 401 K is taking he reminds me I am 20 years from retiring... haven't let him in on the cobra project yet as he is not a car guy

brobehr

[xlr8or]

No changes here. Plan for long term but live for today.

Recession just means don't spend frivolously. Like was said earlier don't sell off now, keep what have and buy while prices are down.

For instance you could buy my car and live for today and have something that won't depreciate later.

[SLHetal]

My plans continue but the belt tightening continues too. I live in ONE of the epicenters (South Florida) of the real estate downturn, which some say is somewhat responsible for our current financial debacle. If what we are seeing here in Florida spreads to other markets....well "Katy bar the door" because it's gonna be pretty bad for a while. I was in Dallas during the S&L crisis, so I've seen some financial and real estate carnage while working for Ron Perelman and doing the first Southwest Savings Plan deal. Since the media is focused on the housing downturn and everyone wants to know where the bottom lies (so we can know when the upturn will come), in my opinion it's going to come when the values of homes reach the level where people can afford to buy them again BUT the buyers will have to get mortgages that require 10%+ down payment and a 6%+/- fixed rate. That may be some time from now. Here in South Florida we see a further erosion of home values in the neighborhood of 30%....we've already lost 20%+/- so far. Recession?? mmmm, could be.
Sam

[skippy]

Not us, with the Euro/USD where it is, we are coming to enjoy some sunny holidays in Florida soon...

[thorconstr]

I certainly noticed it with very slack sales for my products, but this usually happens prior to an election. Then the bonehead that gets elected has something to crow about when it comes back. Scary bunch we have to choose from this time around.

[madmaxx]

Just the opposite I am buying. Why loose so much in the market and not have anything to show for it. Every time I loose alot in the market I buy something, why give it away and have nothing to show for it!!! MY Supeformance is on order.

The road to wealth and less stress is so simple. If you cannot pay cash do not buy I do not care if it is a TV or House and have a good friend with a nice boat LOL!!!!

Individuals buying a frivilous 45K plus cobra I would think are fairly recession proof. I guarantee the superformance I am buying will never ever depreciate as much as my 401K has since Jan 1st, 2008.

The majority of financial advisors are idiots, annual return on the S&P500 since 1998? is -minus 1%?, what happened to money doubling every 8 years? what happened to an average annual return of 8%, is the S&P 500 not diversified enough!!! Expect no more than 4% a year. I did not live in 1920,1930,1940,1950,1960 so do not factor in the second industrial revolution when calculating returns. The market was also flat for the 1970 decade!!!

Wow you got me lit up!!

[SF_SN888KE]

Hey, as a financial advisor I represent that remark The S&P 500 is not diversified enough. It does not have any Small and Mid Caps (which rocketed for two years), no international stocks (which also rocketed for 3 years), and no emerging markets (which also rocketed for 3 years). The US has not been the leader in the last 10 years.

So diversify with a Cobra, a Daytona, GT40, Ferrai, Porsche, BMW, Aston Martin, Jag, ......

[lovehamr]

I teetered off my rocker and dropped my down payment on a BDR the evening before their prices went up.

[TerrysSPF]

I've been contemplating getting a new car. Possibly a Brock Coupe, Z06, or even the new ZR1 (depending on it's final price). Still thinking it over, but no longer in "rush" mode to put the Cobra on the market for spring. I may wait a little while longer.

My business is slightly slower in Chicago, but it's stilldoing well in SC, so I may stay down here in the south a little longer than normal this spring / summer. The housing market in Hilton Head SC doesn't seem to be getting hit as hard as most parts of Florida are. We have friends & family scattered all over Florida and they are loosing their a$$es (for the most part), but our place here in HHI is still priced well above what we paid for it a few short years ago. -New construction here has definately slowed down though.

As mentioned earlier, 401K's and IRA's are for the long term. I have moved some things around a little, but nothing major. Just make sure you are properly diversified.

Short term is for fun. Spend what you can, drive your car as much as you can, and don't run up the credit cards. We are still moving along fairly well as an economy. The housing bust will correct itself and get back on track shortly once the below prime mortgages are sorted out. Keep in mind that we are still around (or below) a 5% unemployment rate. -I remember not long ago, that was considered FULL employment by most administrations & economists.

[powerslide]

Hey Sam; remember when the price of oil went from $35.00 a barrel down to $9.00 a barrel in six weeks, in the Spring of 1986? The boom in Houston went down the toilet in one summer! '87 & '88 we had the S & L crisis; over 450 banks failing in Texas, alone; the creation of the Resolution Trust Corporation...it took Houston ten years to recover from the nightmare!
I'm with you Madmaxx; when there's blood in the streets, buy, buy, buy! Climb that wall of doom! Its bargain time!

[rbray]

Originally Posted by thorconstr

I certainly noticed it with very slack sales for my products, but this usually happens prior to an election. Then the bonehead that gets elected has something to crow about when it comes back. Scary bunch we have to choose from this time around.

Ditto.
I'm thinking of casting my vote for the candiate that I think will lose.

[Historybuff]

I am not in any position to buy a Cobra replica yet but if I were, I'd still think about getting it in the garage while the Good Ship america is heading into recession because by the time we as a country get out of this mess, the ecogreenies might have found a way to outlaw replica/kit cars though those already licensed will probably be
"grandfathered in." (though in California legislators are talking about eliminating the exemptionf or smog testing on older cars).

So what I am talking about is , as time goes on, the eco-weenies will try to eliminate any large engine-powered thing that's fun and I still want a Cobra of one sort or another to blast up that 5,000 ft. mountain that I can see from my front door...

[Historybuff]

am not in any position to buy a Cobra replica yet but if I were, I'd still think about getting it in the garage while the Good Ship america is heading into recession because by the time we as a country get out of this mess, the ecogreenies might have found a way to outlaw replica/kit cars though those already licensed will probably be
"grandfathered in." (though in California legislators are talking about eliminating the exemptionf or smog testing on older cars).

So what I am talking about is , as time goes on, the eco-weenies will try to eliminate any large engine-powered thing that's fun and I still want a Cobra of one sort or another to blast up that 5,000 ft. mountain that I can see from my front door...

Also bear in mind the sheer genius of those guys who went out and bought used 427 big block Cobras (real ones) around 1973 when we were all in line
for gas because of the OPEC oil embargo. While the worried were thinking we'd never have gas again, the smart guys bought Cobras for ten grand that are now worth fifty times more. They were looking at the big picture...

[Bxx1]

Originally Posted by tmareina

I retired a year ago and I don't plan on doing nothing. I'll be driving the cobra and enjoying the life I planned on having before the recession or whatever it is started . I've been through many of these little crisses, the last one in 2001-2004 when the market dropped over 30%...it came back strong and it will again. Don't panic and sell...the BIG money investors hope you will so they can make more money on your misfortune. After all 401k's are for the long term. I don't plan on moving so the dip in the housing market will only affect you if you are going to sell. Enjoy life, smile and drive the Cobra...if that doesn't put a smile on your face you have BIG problems!!!!

See some of you at WSCB in May. Those of you that will not attend...you'll be missing a GREAT time.

Tom

Hi Tom,
I will look for you at the BASH!
Ron

[427sharpe]

Not me. For once, I wound up on the top side of of the roller coaster! I have a relative that works in finance, and I basically let him run our portfolio to give him a jump start in his new career (1st job fresh out of college). He put us heavily into euros and euro-based companies, so we are making good profits (as for dollar comparison) now. He has done really well by us and others, and has been extremely energetic in responding to trends...doesn't want to put his uncle in the po' house! We are buying some US stocks now with the $ profits, for long term growth. Even looking for the occasional buy in real estate, just for flip sales later on. SOOOO, once it has all settled in a new toy budget can be derived....somewhere after my wife's and each of my 2 kids'.

[Bxx1]

The majority of financial advisors are idiots, annual return on the S&P500 since 1998? is -minus 1%?, what happened to money doubling every 8 years? what happened to an average annual return of 8%, is the S&P 500 not diversified enough


I dont know where some folks are getting their info but the S&P500 since 1988 till the 2008 annual return is approx +16% but during the last 5 yrs it has slipped...

[Chuckster]

It's times like these when money is made!

I agree with the previous post, the best diversified portfolio going forward is stocks, bonds, cash, and a cobra

[madmaxx]

SF SN888ke

I owned the small and midcap which as you stated did well. Problem is they are doing the worse now!!

I like your diversification plan!!!!!!!!!!!!!!!!!!!