[eschaider]

Something being missed here is that if you do not have the free cash on hand to purchase a high-priced toy, buying it with a loan against anything as in your house, is going to be a tough to sell to creditors.

The free cash available in most all households today would be inadequate to float a $100K loan on a 20-year timeline. $100K @ 20 years works out to a little over $775 per month at a currently optimistic 7% interest. If the rate goes to 9% the monthly burden becomes $900 per month.

I suspect the statistically average household would be hard-pressed to find a reliably recurring $800/$900 of free cash flow each month for this loan. Even if you could, don't forget the operating expense of a Cobra (Insurance, gas etc) still needs to be added in.

If that isn't enough, then remember all the unexpected extra dings your wallet takes for toy enhancements, normal wear and tear, and of course, abnormal wear and tear.

"Yes" you say, "but I don't need to buy a $100K car. I can be easily satisfied with a $35K car." Not true! That is the path to a $135K car.

If you have the free cash and you want one go for it. If you don't, buy another set of very high-end golf clubs and enjoy the links. You'll be money ahead and still have a decent time.