Should I get a JL?

[runningonemptyy]

i get it. you see these trucks all day and you want one.
if i were you …. get you a used jeep and keep putting $$ away. learn how to invest and make good financial decisions: i don’t recommend saddling yourself with debt at 20.

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[SLSalazar19]

Before you spend $30k on a car, spend $10 on this book:

https://www.amazon.com/Millionaire-Next-Door-Surprising-Americas/dp/1589795474

If you come to a JL forum and ask that question of course you are going to get a biased answer. If you go to the Canon camera section of a photography website and ask “are Canon cameras any good?” you are going to get biased answers from an audience that had already pre-selected themselves. If you go to a Toyota forum and ask “should I buy a Wrangler?” you will get the standard “yeah, and have your buddy being along his Tacoma or 4Runner so that you won’t be stranded in the wild by the unreliability of the Jeep.”

Since you live in the Midwest, you’ll probably be able to handle lots of the terrain without having to get a Jeep Wrangler. You could do very well with a used compact pickup truck, the lighter the weight, the better. Doesn’t even have to be 4 wheel drive. Some sandbags in the rear over the axle, a bit of momentum, the light weight of the vehicle, a shovel, and picking a good line will get you most places you want to go. If you are worried then get a winch. I know there are some nice hills in the southern parts of Ohio, but I’d recommend you head up to the Huron Nationa Forest or Manistee National Forest in Michigan for some off pavement fun.

Don’t underestimate the benefit of a lighter weight vehicle when leaving the pavement.

I bought the book this morning... I’m gonna read it fully before I decide if I want to purchase the Jeep... I really do appreciate the advice and understand that I would get noting but biased answers here. The new car fever is real right now especially for a Jeep. Hopefully the book will calm me down! Thank you!

 

[AZJeepGuy]

Since you are not sure, keep saving. Figure out how much your payment would be including insurance and stick it in the bank. This ends up being a lower payment or cash reserves in case you were out of work for some reason.
And I second reading Millionaire Next Door. And Dave Ramsey. Debt is bad.

 

[viper88]

I originally suggested buying the Wrangler under the assumption you had balanced spending and savings-investing. Go for it if you do.

Life is all compromises. Experiencing a new Wrangler may or may not be worth the compromise? Money can buy a lot of things but it cannot buy you your youth. So I can understand wanting a Wrangler in your 20s.

As tempting as it is to buy a Wrangler I actually would recommend consulting with a financial planner. Many people think you have to have a lot of money to invest to use a planner. That is not true. A couple of hours with one can make a huge difference in your financial future.

Some other members also had some good advice about saving and investing early. Your youth and compounded interest is a powerful tool to gain financial freedom earlier in life. Some opportunities in life are very rare. The 2008 market crash and pandemic are some of them. There was a golden lining to the pandemic. Some very unique things happened to the markets as a result of the pandemic. Markets crashed and there were a lot of investment opportunities. There might be another dip in the markets if we have to close down again due to covid. It might be wiser to invest the Wrangler money into a fund if that happens. Something to think about?

 

[viper88]

Since you are not sure, keep saving. Figure out how much your payment would be including insurance and stick it in the bank. This ends up being a lower payment or cash reserves in case you were out of work for some reason.
And I second reading Millionaire Next Door. And Dave Ramsey. Debt is bad.

There is good advice in the book but not all debt is bad. Interest rates are near historic lows. I will borrow as much as I can at current interest rates. Inflation is on the horizon. Money will likely not be this cheap for long. And for a long time. Nothing wrong with borrowing for a lower rate than what you can make investing it.

An example. Lets say you "need" a $40K Wrangler and have the cash to buy it out right. And there was a option to finance the cost for 2.25% x 60 months. Personally I would invest the money and take the loan. I would take the risk. I would bet I could make more than the 2.25% over the 60 months. Many cars are 0%. For 0% or free money I would fianance everything down to the DOC fee and plates! Lol. Everyone's tolerance for risk is different though. It also depends on how old we are and how much time we have. Lol.

 

[LiveToWork]

Strongly disagree, especially with a Jeep and his age. OP, it's your money, do as you wish. The difference between a base Wrangler and a loaded one is minor. A Sport can do 90, maybe 95% of what a Rubicon can and more importantly it's still a convertible where the doors could come off. A Jeep is fun because it's a Jeep, not because of a better radio, heated seats, LED lights, etc. A base Jeep is one of the best buys around, though I couldn't do without power windows or A/C personally.

heres my problem with base models. Say money wasnt an issue. Would you want to drive a base jeep when you could own a loaded wrangler? No

Also hes young which means he will do stupid things so he’ll need LSD. And leather seats are nice for when you hit mud puddles with the top/doors off. Heated seats/wheel for when its just a little bit cool outside.

i get what youre saying though, but i personally just think its a bad idea for OP to buy a new vehicle yet. Life changes so fast in your early 20s.

 

[The Last Cowboy]

Good point on interest rates. However, at 20 years old he will get stuck on the higher end. The trick is to pay for about a year, then refinance once credit is established.

Rates locally where I am are at 1.9%. If rates go back to where normal was several years back, expect rates of 6-8%. I’m afraid we will be back to those soon.

 

[viper88]

I was looking at a willys as well... the only thing about them is the black grill up front! Plus trynna stay as low on price as possible if I decide to get one! The Jeep fever is real!

Do yourself a favor and consult with a financial planner. Get a feel for how you are doing financially.

 

[The Last Cowboy]

A base 2 door is easy to live with. My JK was one. Roll up windows on a 2door are a non issue since you can reach the passenger side easy. Heated leather seats as a must? Just get quality heavy duty covers for the Sport seats. Luxuries are nice, but certainly not a need.

 

[viper88]

Good point on interest rates. However, at 20 years old he will get stuck on the higher end. The trick is to pay for about a year, then refinance once credit is established.

Rates locally where I am are at 1.9%. If rates go back to where normal was several years back, expect rates of 6-8%. I’m afraid we will be back to those soon.

I have helped many young adults in their 20's buy cars for 0%. It depends on how responsible someone is. Many car companies will offer special incentives for recent grads also. Every case is different.

 

[Notorious]

I work at the Jeep plant in Toledo

Worst mistake posting that you work at the factory. Anyone who finds this post will hound you for information and status updates on their custom ordered rigs.

Also, of course get one if your finances can justify it. Welcome to the forum.

 

[viper88]

A base 2 door is easy to live with. My JK was one. Roll up windows on a 2door are a non issue since you can reach the passenger side easy. Heated leather seats as a must? Just get quality heavy duty covers for the Sport seats. Luxuries are nice, but certainly not a need.

Your right. The secret to a happy life is lowering expectations and knowing what the differences are between needs and wants. My first Wrangler was a base 2.5L TJ with half doors and soft top. The only option was A/C. I loved that Wrangler. I could easily be VERY happy with another base Wrangler if that was what I could afford. No question about it.

 

[daveprice7]

This isn't financial advice... I spent way too much money on impractical vehicles when I was in my 20's. My only regret is that a Jeep wasn't one of them. You can't take it with you and there's more to life than stockpiling cash. That being said, I was making mortgage payments before I started pissing money away on cars!

JL's are awesome. If you can afford it, you'll love it. I have a base model, my wife has a Willys (most of the bells and whistles, automatic, etc). The lack of power locks is the only annoying thing about mine, but they can be added later. The AT is far superior and will likely have better resale if you need to get rid of it. If you're planning on having kids and keeping this for a while, a 2 door JL will be a giant pain in the ass for car seats, but otherwise it's a criminal amount of fun.

 

[viper88]

i get it. you see these trucks all day and you want one.
if i were you …. get you a used jeep and keep putting $$ away. learn how to invest and make good financial decisions: i don’t recommend saddling yourself with debt at 20.

I agree with most of your advice. With the exception of maybe a used Wrangler in today's market. Traditionally used cars have higher interest rates. Plus used Wranglers were not always the best buy in the long run due to impressive resale values. Used Wranglers today are definitely not a good value when they are selling at near msrp from 2 years ago. You can order a brand new one at 6%-8% under invoice today and take advantage of a new car's lower interest rates.

 

[The Last Cowboy]

I have helped many young adults in their 20's buy cars for 0%. It depends on how responsible someone is. Many car companies will offer special incentives for recent grads also. Every case is different.

I have found in almost every circumstance that zero percent is not the best deal. It may seem like it, but to get zero percent, you almost always have to give up rebates. This causes the amount of debt to be higher vs taking all available rebates. To get all available rebates, usually you have to agree to an interest rate above the going rate. Easily remedied by refinancing with a bank or credit union after a couple of payments are made.

In some rare instances I have seen zero percent offered as the only incentive. But usually it will get people to owe more than they would have otherwise. Plus there is no incentive to pay off early.

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