As you all know I am planning to backpack around the world and part of planning a RTW trip is figuring out what you are going to do with your belongings. I have already become a minimalist. The only big things I own are my bedroom furniture and my car. Thankfully since I live with my sister she has agreed to allow me to leave everything in my bedroom as it is and use it as a guest bedroom while I am gone. I don’t mind if she does that because it works out great however this still leaves in limbo my baby Tyler.
My Bedroom!
So you may be thinking who the hell is Tyler. Well Tyler is my car, yes I named my car. I know naming a car is kinda crazy, but oh well I did. This is my first BRAND NEW car; it is a 2008 Nissan Altima Coupe 2.5s and I LOVE IT! I told myself when I bought it I was going to take care of it as if it was my child and I have been doing just that!
MY BABY TYLER!
Now we are at a crossroads and I am not sure what to do with him! Even though I know I am not leaving for another 11 months the one thing I am worried about is what am I going to do with Tyler. You would think it’s easy because it’s either sell him or leave him, but it’s not. My car is paid off and if I were to sell it right now it would go for about $15,000. Regardless of what I do with my car I am still going to save the $18,000 I need for my RTW trip and leave. So if I did sell it I wouldn’t need those funds for my RTW trip.
These are the different thoughts crossing my mind!
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Thought #1: I save my $18,000 leave my car here with my sister. I would then come back in a year (or longer) from my RTW trip. Since I live in Houston I would need a car to get around and would already have one that is paid off and hopefully still in great condition. I would then get on the job hunt, continue on with my life and not have to worry about buying a new car.
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Thought #2: I save my $18,000 sell my car put whatever I make from it in a savings account. I would go on my RTW trip come back home in a year (or longer). When I get back I can then decide to rest a bit and use the money I have in my savings account from selling the car to continue backpacking.
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Thought #3: Is just like #1 except I come home and am addicted to traveling and then decide to sell my car and end up selling it for a couple $1000 less then I could have had I sold it before I left. Then use that money to continue backpacking.
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Thought #4: Is just like #2 except I come home and I don’t want to travel anymore and would then need to go out and buy a new car and pay the difference between what I sold my car for and what a new car would cost.
So do you see my dilemma here? I seriously have no clue what to do with Tyler. I know I shouldn’t be worrying about this since I have such a long time before I take off, but I am. I think I really want to do thought #2 but part of me wants to keep him and use him as my safety net. So if backpacking around the world is a total disaster I would still come home to at least a nice paid off car.
For those of you currently on, back from or going on a RTW trip what did you do with your car (if you had one)? Maybe you didn’t have a car or are not going on a RTW trip what would you do in my situation?
Hmm… I’d go with #2, too.
Te vas… tienes el dinero en el banco. Te da intereses… si decides volver en un año (o más… o NUNCA) puedes volver por el dinero… o pedir una transferensia, en caso de necesitarlo… o regresar a “casa” y tener dinero para comprar un carro, menos ostentoso y descanzar mientras encuentras trabajo.
Sinceramente yo pienso que no vas a regresar a Houston… (no sé porque, no preguntes! LOL) y podrías usar el dinero… ya sea que vuelvas o no.
O… you can always inherit the car to me… LMAO!
Pinch R pues gracias por tu comentario! Semeace que voy ir con la opcion #2 porque como dices tu cuando regreso si decido quedarme pues me que y compro otro carro perro si me voy pues tengo el dinero!
Y pirque dices que no vaya regresar? Me da miedo pensarlo pero semace que no regreso tampoco!!!!
If you’re going to be traveling for a minimum of a year, you sell it (IMO).
The car does nothing but depreciate over time, so it will only lose value while it sits no matter how well you treated it. Sell it and gain interest in an account set aside for it.
And sitting unused is not good practice for the mechanics involved – it will freeze up/degrade in parts you don’t want it to if it’s not run once in a while.
I sold my car and will buy a used one when I get back – whenever that is. As a new “minimalist,” the car I buy will be less expensive than the one I sold.
Joel recently posted..Postcards From Valencia- Something New
That is actually very good way to look at it. Thanks for the advice!
I’m going away for a year in October and have taken the decision to sell my car that I love – because it won’t be used whilst I’m away, I may well not be coming back for long before jetting off somewhere and I would prefer someone to enjoy it as much as I have!
If when you come back you can always buy another car – there’s nothing to say your tastes won’t change and you may want something different to suit the ‘new you’!
Go with option 2 – sell it, then you have the freedom to decide what to do when you get back – go backpacking again, have a bit of time out to reflect what you’ve done, or buy another car 🙂
Your right who knows what the NEW ME is going to even like or want when I get back. I am now following you on twitter hopefully we can help each other out as we plan our #RTWsoon!!!
I’m having the same dilemma with my motorcycle. Just bought it earlier this year, totally love it and don’t want to get rid of it but I’ve gotta agree with Joel and go with #2. it just simply loses money sitting around as well as being a mental burden while on the road. Get what you can while you can. There will always be another car on the tail end should you want one. Guess I’ll have to follow my own advice and sell the bike now too…
So are you planning a RTW trip as well? When do you leave…
I’m looking at jumping off In January…as long as everything holds up as planned.
Oh wow that’s in a few months. I hope everything goes as planned. Do you have a blog or twitter name? It would be nice to chat a bit to help each other out through the planning!
I agree Jaime.
Antes que te salgas, tienes que vender tu coche. It will just waste space and it’s in great condition so you can get a good amount of money for it, which you can put towards eliminating your debt, or to accruing your savings goal. When you come back, you can decide on what you want to do. Hell, you may decide you want a moped or a motorcycle 😉 hahah!
Bueno, yo creo que volverás pero con un mente completamente diferente, por lo mejor 😉
So R piensa que NO voy regresar y tu piensas que SI voy regresar… que enteresante…. Pues alla veremos~
Sell it! I am biased because I’m not into cars and never spent more than $600 on one, so selling/scrapping ours both times we travelled was a no brainer. Cars do depreciate though, so you’d be better off putting the money in a savings account, and if you want to you can always buy one when you get back.
This leaves you open to the possibilities of travelling longer. A year of travel changes you and your priorities and you don’t know how you’ll feel about things.
I was actually waiting for yalls comment…lol! I wanted to get the opinion of the couple who sold everything to travel the world. That’s one of the scariest parts of this whole thing “I dont know how I am going to feel about anything when i get back”. Thank you very much for the advice.
Hmmm I would have to say go with option #2, as hard as it may be to do that, honestly it makes the most sense.
I totally agree with Joel!
I’m going to offer a couple different schools of thought, but ultimately they all suggest the same conclusion.
You’re new identity as a “minimalist”: Minimalism suggests that strip a thing down to its most fundamental features (i.e. only the things it needs). Since you can’t use the car on your RTW, it is not fundamental to you and therefore, not necessary. Get rid of it.
The Economist: Cars depreciate in value over time. Even if you keep the car to have upon your return, it will be worth less than whatever you sell it for now. It probably will not be in as good condition as you left it in if it’s not used. The money you make from selling it can sit and earn interest (gaining value) while you’re away. Basically, the money you would get from selling it before your trip will be of more value upon your return than the car itself. You would also be saving the cost of car insurance for a car you weren’t even driving.
A combined principle: If, when you come home, you decide you need private transportation you will have the saving to buy it. Here is the catch: DON’T BUY A BRAND NEW CAR! A used car performs the same function (gets you from point A to point B) and costs less. The money left after buying a used car can serve as a cushion to support you while you job hunt, bum around, or plan for your next trip. Additionally, your insurance costs will be lower because you won’t have to pay for full coverage.
OMFG. It’s only second week of law school and look what they’ve done to me!!!!
OMG WOW WHAT HAS LAW SCHOOL DONE TO YOU???? Ahhh I miss you so damn much can you come home already… PLEASE???
You basically said the same thing as everyone else but actually threw it in my face…lol! Well after reading everyones advice I really think I am going to with thought #2! I know it is still 11 months away but I just wanted to get other peoples thoughts on this. To me its a pretty big deal.
15K is 15 months of travel in Latin America – it’s an easy decision – sell it!
ayngelina recently posted..Zipping through the air with the greatest of ease
Oh wow you really put it into perspective!!!
I think I am gonna sell it~
I had the same decision! My car was paid off (2000 Camry purchased used in 2004 with just 23,000 miles o it!) and I didn’t know if I wanted it just sitting (at my parents’ house) while I was gone. It’s still a GREAT car and has quite a few more years in it…so did I leave it with them, pay minimal insurance while gone (comes out of my bank account each month), and come home to a car (which as you said, without a job initially is nice!). I thought about selling it and putting the money in the bank and then looking for a used car when I returned…but this car is SO good that I would be hard pressed to find a used car for the money that I’d actually like.
It’s at home and my parents drive it once a week. I’m really glad I’ll have it when I come home!
Heather recently posted..Guurrbi The place where you find yourself
See isn’t it supper hard to decide!!! But i think since its still new it will really be better for me to sell it and when I get back if I want to stay then just buy a used car. I was also thinking if I have the $15k in my account I can then apply for a working VISA to Australia and live there for a year (while working)!
Yay for the WHV for Oz 🙂 I’m doing the job search thing in Sydney now. Have a flat…just need a job O:-)
Definitely do it!
Heather recently posted..Guurrbi The place where you find yourself
Sell it …
I guess I’m lucky that I’m not faced with that, I don’t own a vehicle. I’ve been driving a company truck for 4 years. I do have something major I need to deal with, my house that I bought last year. I want to sell it, even though I know I’ll probably end up loosing money on it.
I would rather loose money then have to worry about tentants destroying my house while I’m gone.
Nick Laborde recently posted..7 Harsh Realities And A Thieving Santa
Yes you are lucky to not own a vehicle but I could barely deal with this decision imagine a house!!! I think you are making the right decision in selling then leasing it to tenants. I would worry to much~
Sell it Sell it Sell it! My advice isn’t the best on this matter as I’m not a car person and haven’t owned one in over three years anyway.
I was thinking before I left I wish I had something (like a car) to sell before we left. I’d spend the money we saved (like we are doing) then go home after its gone and still have enough money in the bank to say a few weeks later “sod this! I’m off to do it all again!” Now that would be awesome!
Poi recently posted..Lessons of the Road
Yeah I am like 95% sure I will be selling when the time comes!!
Sell it already! You are putting way too much thought into this decision. I don’t think you should be thinking about selling Tyler just yet. Wait till 2011 atleast. However, if you sell it then do your RTW trip and use the Tyler money to work in Australia!
I know you will be gone longer than you expect. Just keep enjoying the planning of this trip until departure time! yay~
xoxo
QueenB
Um its not an easy choice to make. Seriously a paid off car is an amazing thing to have but your right it may be to soon to be thinking about it. On 2nd thought its not because I think aside from making the decision to go on the trip this maybe the 2nd hardest thing to do. For now I will continue to plan for my trip!!!
XOXO
Pinky~
You know what I’m going to say!!! SELL IT! Your not going to be using it for a FULL YEAR or more. Why keep it?
That money can help keep you on the road longer or gain interest while your away. Either way, you’ll have that money to do whatever you need to do when you get back, if you even come back at all.
Jenny recently posted..Letting Go of Everything and Becoming a Minimalist
Aww I love that you said “if you even come back at all”!!!
My opinion… sell that beautiful car! ;). You’ll be better off without it.
Ryan recently posted..28 Grueling Hours from Vientiane to Hanoi- Vietnam
Yup! I have made the decision and I am going to be selling it for sure before I leave~
Jaime,
I like your posts. They have plenty of authentic truths in them.
I thought I’d comment on the way you are going to take care of those 15k. Saving account…mmh. There might better.
You should consider making this money work for you and invest in bonds, ETF gold or any investment that is conservative enough for you.
Coming back with a 5% to 10% increased capital depending on your investment profile is a nice perspective
Ill give you 2 cents lmao