I went the other route - my rate was low enough that I sprang for gap insurance and financed the whole thing. We'll be upside down for a while, but if something happens and it's totaled, we can also just walk away from the vehicle. I liked that better than being out-of-pocket for a lump sum and having the vehicle worth less than that. Let the insurer take the risk with gap. Once we're right-side-up on LTV, then we'll slam money at it to get it paid down. I'd rather not have a car payment. 
@revvystoke wrote:Looking at buying a car, the interest rate I was offered was low enough that I earn more sitting on cash then I do paying interest. With that said I don't want to be upside down so I looked up average depreciation rates for the first year and I was planning on putting that amount down initially, then paying the monthly payments forward for one year just so I don't have to worry about it and can still easily walk away if I want to. Is that a good strategy?
No.. never invest your cash into depreciating assets unless you are required to.
If the rates are that low.. which they are for qualified buyers.. put the money wher it earns more than you're paying.
These are fixed rate loans.. low interest at that.
Doesn't get better.
Heck, I'd borrow another $10K if they'd let me.
@Remember0 wrote:One thing about GAP: Look into how much your auto insurer would charge for it. Often it'll be much less than buying it from the dealer. As an example a dealer once quoted me $500 for GAP, but I was able to add GAP as part of my auto insurance for $1/month and cancel the GAP off of my auto insurance once not underwater. With the dealer's GAP, you can't get your $500 (or whatever) back typically.
False. It's prorated and refunded.. right up until the end of the term.
You learn something everyday. Thanks for pointing it out fury. 
I still say compare cost with your auto insurer, but as fury says the dealers can be prorated and refunded. In my case, auto insurance would still be cheaper, but YMMV.