When I drive by an apartment complex I see rows of $40,000+ cars, likely either leases or they are paying almost as much as their apartment rent trying to finance it (many of these people are also upside down on their loans).
Later in the day I was in an upscale part of town (100 year old homes worth 1 mil and up, mostly white area) and what was often parked in driveways were 1997 Saturns, 2001 Jeeps, 10-15 year old Toyota’s and Hondas..
It looks like poor/ghetto people think a car is more important than owning equity in a home. On the other hand the home owners in the upscale neighborhood will be 1 mil richer in several years when their prime real estate doubles in value.
A $50,000 car is the worst investment. It will only be worth 10% of its purchase value in ten years.
Don’t they teach economics in school anymore?