Dream Car vs. Dream House?: The Real Value of Each Investment

Busayo O.
3 min readJun 29, 2020


Lamborghini Urus (SUV) parked on a London street near luxury condos.
Andrei Ianovskii via Unsplash

As I’ve been working on my financial goals, as a millennial living near a city, I have thought about getting a car, but as my rideshare fares have added up, it’s more important to save up for a car. Having a car will not only save me money on ride share, but it also will help me to get what I need like groceries without having to lug it from the ride. Yes, cars allow for convenience to get where you need to on your own time, but they do come with a big price tag.

The Dream

Although I’ve been dreaming of getting a luxury car, from the advice of my mom, I’ve given more thought to what the true value of a car is. If I save up $30,000–$50,000 for a car, I get no return on that car and the value of it depreciates. If I invest that same money into a downpayment for a home, I get equity, thus building wealth from my home.

We have to open our minds to this shift in perspective. Yes, luxury cars are nice, but they don’t hold more value than a home. A home is where you can lay your head, whereas a car is simply a means of transportation. A home is your shelter and a source of peace and comfort. A luxury car can be a source of stress if you don’t have more than enough to pay for the high maintenance.

The Shift

Now, I have shifted my primary goal to be towards saving up for a home like a condo. I can always get a car or get a more affordable car, but it’s important to keep more of your investment toward your home. A home you can have for generations to come even.

Thinking of investments in the macro sense will help you to delay the instant gratification of getting something like an expensive car now rather than a house which will benefit you more in the long run. Yes, luxury cars are nice, but if you are going to get one, get a more affordable one like a used luxury car or simply trade in when you have more than enough to cover the car, after you get your home. This is a good approach, I believe and one that will help you shift your focus toward something you will always need — a roof over your head.

I didn’t think it was necessary to buy a home until I got married, but if you’re single like me, you can still invest in a home like a condo or townhome (more affordable) and build wealth on it. Not just to build wealth, but you can also have a more stable living environment, rather than paying for an apartment of which its rent will continue to increase.

You know yourself, so it’s important to decide on what’s best for you. For me, I will continue to rent while saving for a home.

I hope this was helpful for you and that you got a better understanding of investing your money.

Happy Investing!




Busayo O.

Woman of God, writer, content strategist, and here to give you eye-opening, exciting articles.