MND: Buying Cars, Millionaire Style

Here's another post in our series on the learnings from the book The Millionaire Next Door. A quote from page 112:

How do millionaires go about acquiring motor vehicles? About 81 percent purchase their vehicles. The balance lease. Only 23.5 percent of millionaires own new cars. Most have not purchased a car in the last two years. In fact, 25.2 percent have not purchased a motor vehicle in four or more years.

Not much surprise here. Millionaires buy cars and drive them forever. This is what I do as well. The last two cars we got rid of were 10 and 14 years old respectively.

Looking for a great book that has an almost infinite investment return? Here are three recommended by Free Money Finance:

• The Automatic Millionaire
• The Millionaire Next Door
• The Richest Man in Babylon

Comments

[Rich Slick]

This is ENTIRELY misleading on so many levels -especially this statement "Only 23.5 percent of millionaires own new cars." Having worked for a few millionaires I can personally vouch that you are correct; millionaires don't buy their cars, they have their companies do it for them.

The last 6 millionaire executives I worked around had company Lexus, Mercedes and other vehicles assigned to them: BRAND NEW. Often the vehicles are leased but others choose to buy.

[Jon]

Rich Slick,

The information came from the book, which is an interview with many millionaires. I guess your personal experience is different in this case, but overall I'd expect the book to be accurate.

[FMF]

Rich -- Yep, what Jon said.

Read the book and you'll find out that the high-flying millionaires you describe are not the average millionaire.