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How Much of a Car Can You Afford Based on Your Salary? Many financial experts would advise you to not spend more than 10% to 15% of your net monthly income on car payments. For total vehicle costs ...
Based on a calculation of spending 10–15 percent of your monthly pay on a car loan, you should spend no more than $562.50 on your monthly car payment. On the lower end, your car payment would be ...
Buying a car is an enormous financial decision and can cause some sticker shock. Indeed, Kelley Blue Book noted that the average cost of new cars is now more than $47,000 — up a whopping $6,000 ...
Calculate how much car you can afford. How to save money on a car. A better approach to car buying. Why you should always negotiate. Let’s review each of these. Calculate How Much Car You Can Afford
The size of your preferred monthly payment If you’re seeking financing, you’ll need to speak with a professional, but you can get a general idea by using an online car affordability calculator.
When buying a car, one rule of thumb is the 20/4/10 guideline, which suggests putting 20% down on a 4-year car loan, with monthly payments that do not exceed 10% of your monthly income.
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