If you are a long time reader of ELYM you know that I tend to make some rather “out of character” moves now and then. Usually these out of character moves have to do with automobiles. If I was smart, I think I’d just sell everything and head on over to become an Amish man or a Mennonite. At least in their culture, there is one kind of transportation; a black cart being pulled by an animal that poops right in front of you. While the poop doesn’t sound too appealing, the lack of choice in vehicles might drastically improve my long term finances.
I bought another truck. Before you pummel me and excommunicate me from the rather large “circle” of personal finance bloggers, please hear me out. For starters, I have hated my new Toyota Tacoma since I bought it in 2006. I think the quality sucks and Toyota just wasn’t able to make it right. I’ve been driving it for about a year and a half and have watched it depreciate (although not as badly as many other brands). With the huge commitment to build our lake house, I could really use the money that I’ve got wrapped up in the truck. I paid cash for the truck originally so it really is a lot of money to have tied up in one automobile.
So here’s what I did. A friend of mine announced that he had decided to buy a new truck. He bought a 2000 Toyota Tacoma brand new back in 2000. Ever since I bought the 2006 Tacoma, I’ve missed my old 1997 Tacoma. More than once, I’ve wished I could go back in time and not have made the 2006 purchase. Since I can’t do that, I’m doing the next best thing; cutting my losses. I was able to buy the 2000 at a very good price. It is 3 years newer than what I had before and has half the miles. By my calculations, I should be able to get many years of loyal service out of it. The best part is that if it breaks, I know how to fix it.
What am I doing with the 2006? I’ve got it all cleaned up and have put it up on Craigslist for sale. So far I’ve had a few “virtual tire kickers” and am hoping to convert them in to real tire kickers in the next couple days. Once the sale is complete, I’ll have a TON more cash that we can use to finish up the lake house. The sooner we get it done, the sooner I can start accelerating paying off the lake house completely. Believe me, it will feel great to have one house paid for and the other with over 50% equity in it. It’s all part of my master plan to build wealth in multiple ways. This plan would be much easier to execute if I’d quit sandbagging myself by buying a new automobile during moments of weakness!