Loan options for SPF or Backdraft turnkey?

[LudicrousSpeed]

Hey all. Any recommendations for financing a new/used Cobra? My understanding is most banks/ credit unions wont due to not being able to get a blue-book value.

[1795]

Do you have a home equity line of credit? That's what I used.

[Jim Vander Wal]

I'd go after a home equity as well. Just an FYI, I think Factory Five worked out something for their customers. I'd guess that your relationship with your banker would have some influence.

Jim

[Mark IV]

We have two lenders who are familiar with Superformance and do financing.

info@timemachinesauto.com

[twobjshelbys]

Frankly, it is my firm belief that cars like Cobras and Ford GTs and Ferraris and all those others are truly toys, and that toys should be paid for with cash. Just my belief though. There is an exception. If you HAVE the cash and choose to leverage it because you're getting more return than the interest rate on a loan, go for it.

[snakeeyes]

Home equity or an unsecured loan (if you qualify) are good options. I also used J.J. Best a couple of times years ago and had no issues with them. Lightstream and Suntrust also do classic car financing so you may have better luck with them than a normal lender.

[FredG]

There are several that will do it and are very easy to use. JJ Best, Woodside and Lightstream. Lightstream probably has the lowest rates. I used Woodside and they were very easy to deal with.

Fred

[twobjshelbys]

Home equity interest is no longer deductible, it's just other interest now. Consider that before using it for a car loan.

[rads42]

I used Lightstream and I couldn't be happier with them. Lowest rates (at the time) super easy application, no bull****, nice and quick. They take the money out of my account every month, it's been a little over a year and and it's all gone without a glitch.

[Cashburn]

We have 4 primary lenders we use. I have several customers that also were able to use their credit unions based on banking history. Years ago USAA would also write loans and then they stopped, but recently one of my customers was able to get USAA again.

[LudicrousSpeed]

Gentlemen, thank you for all the info. I am in research mode and this helps immensely. I do have a ton of equity in my house, its almost doubled in value over the last decade. I guess that could be an option.

Originally Posted by Cashburn

We have 4 primary lenders we use. I have several customers that also were able to use their credit unions based on banking history. Years ago USAA would also write loans and then they stopped, but recently one of my customers was able to get USAA again.

Cash- I’m a long time USAA member so I’ll definitely check them out. My local credit union was a no-go last time I checked

[FredG]

One of the first rules of investing is to never buy any large purchase with cash...do it with others peoples money....not yours. Let your money work for you in the meantime. You can do the math. Take look at what kind of returns you would get with the 75k you would drop on a new Cobra. Those returns would cut sharply into any loan you might take out. Good luck.

[olddog]

FredG - I get your point and it is always best to see if you can borrow money for less than it will make in an investment. However I think the question is to borrow the money, because they do not have the cash to purchase the car. If my assumption is correct, then this has nothing to do with investing. Certainly buying a replica is not an investment.

[tortuga]

Originally Posted by LudicrousSpeed

Gentlemen, thank you for all the info. I am in research mode and this helps immensely. I do have a ton of equity in my house, its almost doubled in value over the last decade. I guess that could be an option.



Cash- I’m a long time USAA member so I’ll definitely check them out. My local credit union was a no-go last time I checked

You may want to check on that too...

[dacobb]

I paid cash for my ERA.

Couldn't imagine getting a loan for $75k.

[RB60]

Originally Posted by dacobb

I paid cash for my ERA.

Couldn't imagine getting a loan for $75k.

I paid cash for my Unique as well.

Couldn't get a loan.

[jeffgrice]

Originally Posted by LudicrousSpeed

Hey all. Any recommendations for financing a new/used Cobra? My understanding is most banks/ credit unions wont due to not being able to get a blue-book value.

In my experience either home equity or credit union (they tend to no require much information on valuation).

Also we have an arrangement with JJ Best for financing on Backdraft Cobras we sell. All setup...not questions on Backdrafts as we have already vetted values with them.

Jeff

jeff@nostalgicmotoring.com | 586.489.5990

[t walgamuth]

Originally Posted by twobjshelbys

Home equity interest is no longer deductible, it's just other interest now. Consider that before using it for a car loan.

Part of the "tax cut"?

[t walgamuth]

Another possible avenue is refinancing a vehicle that is paid for. Payments are larger but the pay down is swift compared to home equity credit.

[twobjshelbys]

Originally Posted by t walgamuth

Part of the "tax cut"?

Yes. But so far we've not been able to itemize for the past two years. Standard deduction much greater. Neither of our daughters either. And taxes MUCH LESS than prior years. So I'd call it a cut,yeah. The claim was most people will file a form that is "less" than your previous, and you'll pay less. I used to have a complicated 1040, now I get 1040EZ even with my investment income. We don't have a mortgage and even if we did have our former Colorado mortgate it wouldn't matter. Our daughter in Colorado gets no benefit and greater benefit from standard deduction and still pays less.

Your mileage may vary.