<prompt> Human: This may be obvious to many people out there, but I, 28, would like others opinions on a current situation I am in. I received a promotion last February and had to move to NJ for work. The cost of living increase compared to where I lived before Texas was significantly higher. I was at a point in my life where I was looking at buying a house in Texas and continue my role there, or take the promotion. The pay increase was significant, and the location as much closer to my family, so I moved to NJ. Once I got here I realized that the cost of buying a house, along with the property taxes made it very unlikely that I would be buying a home anytime soon. So I did something very stupid, and I took the money I received for a bonus and put it towards a down payment on a new car. In my previous role I had a company car that I had to give up as part of the promotion. I decided that I would not be able to afford a house, and as a single guy moving to a new area, I wanted to get a nice car. So, I went out and purchased a, new at the time, 2014 Audi S4. Amazing car, and I love it, but it came with a 55,000 price tag. Well over the course of the past year and a half, I met a woman, we moved in together and have started talking about buying a home sometime in 2016 potentially. Putting a down payment down on a house is not an issue, however the monthly payments on the mortgage, property tax, PMI and homeowners insurance are too much to take on from a monthly standpoint. I have been thinking about taking a loss on the car, sucking it up and realizing I have made a mistake, selling it and buying something more economical, in order to be able to afford a home.The situation could be worse than it is, as I did put a sizeable down payment on the car at the time of purchase 20,000. If I were to sell the car for 40,000, which is under kbb, I would still end up with 10,000 to put down on another vehicle. I could then get a car that is more economical and cut my monthly car payment from a remaining 5.5 years at 640month to a new 5 year term of 300month and buy a vehicle that is roughly 25,000 before my down payment. Short term, I would take a financial hit of:20,000 down payment11,400 monthly payments for the Audi S4-5,400 in monthly payments during that term for a 15,000 car over 5 years-40,000 selling value of the Audi 30,000 owed on existing loan___16,000 total cost for driving an Audi S4 for a year and a halfBut the long term view I would save 340month for the next 5 years that I wouldnt be spending on the more expensive Audi, plus the full 640 for the remaining 6 months of my current term, totaling 24,240. That would be treated as future benefit from financial costs I would avoid long term.I think, from a financial sense, I should cut my loses on this car and admit I made a mistake in order to prepare for my future of buying a home, as well as preparing for an future purchases I may need to make.I would appreciate any thoughts, or advice on this situation.  <response>: I would still end up with 10,000 to put down on another vehicle. I think what you mean is I would end up being able to buy a 10k vehicle. There is no reason to go into more debt. Stop thinking in terms of monthly payments. 