Hello everyone, first I would like to say thank you for taking your time to read this.
I'll try to keep this as brief as possible. I presently am searching for a new apartment. My budget is roughly $1,200. I am looking for every way possible to lower my monthly expenses, as apartments where I'm from really aren't cheap (Long Island, NY).
I thought that a good way to lower my monthly expenses would be to lower my car payment and insurance by trading in my current car for something cheaper and less flashy.
My car payment is currently $322 a month (lease, 2016 Subaru WRX) and my insurance payment is $200 a month (25 year old male, not a single accident on my record, full coverage). I went to the dealership to see what options I had, and he said he would by the car, wholesale for $22,000, but when we called the bank, the payoff is $27,000 (despite it showing up as $25,000 on my mint account). I have the lease for another 23 months, so unless I'm saving $220 a month, it's not worth paying anything off early.
I have $19,000 between two retirement accounts that I have yet to roll over to my current job. I was considering speaking with other dealerships and attempting to get a better deal, at least, be much closer to breaking even. Then just using some money from my retirement to pay off the difference.
I'm looking for a new apartment, so I need to have cash on hand ($1,200 a month usually means $3,600 up front with security, broker's fee, and first month).
I'm really okay with getting a much cheaper car because it will end up saving me in not only payments, but also insurance, would could be upwards of $150 a month.
Would you recommend taking from my retirement to lower payments? It may also be important to note that I take home about $3,100 a month.
Please let me know if you need any other details, or have any recommendations. Thanks!
Submitted February 22, 2017 at 10:50AM by FMFBoiko http://ift.tt/2lp9cQB
