Quote:
Originally Posted by NYCX3
I was a financial researcher, and i will say that the suggestion to secure a depreciating liability (car) by sacrificing equity from an asset (your home) isnt the best approach.
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In most situations, I would have to agree with you. However, to clarify my second response - it would depend upon your financial situation. I don't think it's wise to buy a luxury vehicle if there is any question of financial instability. You have to be absolutely sure that there is no chance of default before you tie up home equity with a car purchase.
It's like using credit cards. I use credit cards for all of my purchases knowing full well that I can and do pay them off in full every month. I use them for the convenience factor and it's a monthly interest free loan to boot. This is not be feasible for some, but for others it's fine.