Can U Really Afford Luxury?

Lionel Locke

It’s human nature to picture yourself in the driver’s seat of the Benz that just passed you on the interstate, the Range Rover that pulled next to you at the traffic light, or the Jaguar that has just been retrieved from the valet. Often times, consumers consider a luxury vehicle without considering the luxury tax associated with them.

For example, let’s say you just purchased a brand new BMW 535i off the show room floor. Sure you will get recognition from your peers and friends, but did you calculate the cost of ownership for that vehicle? Did you consider the $150 oil change? When you buy luxury, you can’t take your car to a local repair shop for inexpensive service. You must take it to the dealership so that their certified technicians can service your vehicle appropriately. Maybe you just purchased a used Range Rover. Sure it’s a couple years old, but the body style is still current and you negotiated a real good price! However, when the air bag suspension goes out, do you have $1,400 per tire to repair it? Can you afford a $250 oil change or the cost for a new fan belt along with the labor associated with the repair? I know an individual who purchased a used 2004 Mercedes two years ago. After he realized how much routine maintenance costs were, he decided to park it. He quickly realized that as long as it is parked, he wouldn’t have to worry about the expensive maintenance costs.

It’s simple; if you can afford luxury, by all means enjoy it. However, if you are just trying to keep up with the Jones’, you might want to check your wallet first.

FYI – When purchasing any vehicle with a manufacturer or extended warranty, make sure you read and understand it thoroughly. When it comes time for a warranty repair, you will be well equipped to handle it with more confidence.