How the hell do people afford cars these days?
Discussion
nickfrog said:
£250 sounds less than the depreciation of most mundane cars particularly when the opp cost is taken account of.
I have spent less than that on mid size crossover on leases, even amortised but that's still my budget when I own one.
Does it? Pretty sure my mundane car has lost about that in value per year I have spent less than that on mid size crossover on leases, even amortised but that's still my budget when I own one.
But I was more referring to some of the larger sums being thrown about. £500 is a lot of money for most of the U.K. population.
okgo said:
It’s the normalisation of huge sums of money for completely mundane cars that’s surprising. “Only £240” - I’d be furious if I had to spend £250 a month on a car!
Would you be any less furious if you got £8640 less than you paid for it when you sold it after 3 years? Cars depreciate and new cars depreciate lots. But you know that, and presumably don't buy them. Someone does, though, otherwise there wouldn't be used ones to buy. varsas said:
It's just a personal opinion, but I think it's the other way around. When I was young I didn't know how much money I had, because I didn't know how much I would be earning or how much the house I wanted to live in forever would cost. Now, I didn't know that at the time and bought plenty of cars....but actually I am in a much better position to spend on cars now; despite having a mortgage, two young children etc than I was when young because I have my forever home and know how much I owe and have a much better understanding of my, and my wifes, earning potential. Buying a brand new 911 when I was 25 would have meant I would never have been able to buy the home we are all living in happily, buying one now would be selfish but the repurcussions would be much less severe. In fact I am looking at spending more than I ever have before on a car at the end of the Summer and it'll be the least 'guilty' I'll have ever felt.
This mirrors my experience fairly closely. It's an interesting thread this and love to see others opinions on the topic.Edited by varsas on Thursday 2nd May 17:06
Always intrigues me does car expenditure. On one hand it's a thing that most people use on a daily basis and is critical to your life, on the other it is for some a bit of a statement or passion - if it wasn't then everyone would be in something cheap. I suppose to an extent you do get what you pay for but also you are often just paying a lot for a name, much like with designer clothes.
Our household (me and wife, mid 30s, two kids under 5) only has one car as wife doesn't drive, yet I am still flinching at spending plus £300 a month on either a cheap loan, or more unlikely, pcp. I guess that's because I've never done it, just saved a few grand and bought an old non-prestigious brand. I have a 13 year old Astra currently and nothing about it does or probably has ever excited me. It's an age that got me thinking about replacing and now we have got the family home done, and income has increased a bit, it's an option.
House near me has a brand new electric Porsche and nearly new Merc SUV. Fair play, frightens me how much that either cost outright or every month!
otolith said:
Would you be any less furious if you got £8640 less than you paid for it when you sold it after 3 years? Cars depreciate and new cars depreciate lots. But you know that, and presumably don't buy them. Someone does, though, otherwise there wouldn't be used ones to buy.
Exactly. My golf was bought years ago. Is worth broadly similar to what I paid for it. ooid said:
Some EVs got slapped massively recently. I see you can literally get a Taycan now (approved used) around 40ks, and they were like around 100k 2 years ago brand new ?
Cheapest approved used Taycan I can see is £53k and 3 years old. List price then was just over £70k so seems like above average residuals to me...rix said:
Cheapest approved used Taycan I can see is £53k and 3 years old. List price then was just over £70k so seems like above average residuals to me...
The car in question is a Taycan with approx £20k+ of options so closer to £100k new than £70k.It's also for sale at £53k, not sold for.
Edited by SWoll on Sunday 5th May 10:48
said:
Seems to be a base car? Next cheapest is the 4s but that's a 2020 car.
Point being is that I can't see any 2 year old approved used taycans for anything like approaching 40k or I would be very tempted!
rix said:
Point being is that I can't see any 2 year old approved used taycans for anything like approaching 40k or I would be very tempted!
I probably checked more than a week ago and there were a few around 40k. I think there is an over supply and most owners can't event part exchange them for other models.ooid said:
I probably checked more than a week ago and there were a few around 40k. I think there is an over supply and most owners can't event part exchange them for other models.
Approved used have never got anywhere near £40k. You might find the odd high mileage private sale car on AT for mid £40's but that's about as low as they've gotten so far.Well, this gent's car has seen pretty deep depreciation though.
https://www.youtube.com/watch?v=77Yo4LpksWM&t=...
I have no idea how Taycan is actually, though like this example I have heard most used EVs are going pretty low values and back to topic, no suprise there if many people buy them now with such discounts.
https://www.youtube.com/watch?v=77Yo4LpksWM&t=...
I have no idea how Taycan is actually, though like this example I have heard most used EVs are going pretty low values and back to topic, no suprise there if many people buy them now with such discounts.
In terms of the question, I chatted to a receptionist at a major car dealership who drives a PCP bmw X3,
Her PCP on the X3 is £559 a month over 4 years. Her apartment rent is £450 (she goes half’s with her sister) a month plus bills.
She said it’s the top of what she can afford but it’s affordable.
People find a way to manage if a nice car is high on the priority list.
Her PCP on the X3 is £559 a month over 4 years. Her apartment rent is £450 (she goes half’s with her sister) a month plus bills.
She said it’s the top of what she can afford but it’s affordable.
People find a way to manage if a nice car is high on the priority list.
ACCYSTAN said:
In terms of the question, I chatted to a receptionist at a major car dealership who drives a PCP bmw X3,
Her PCP on the X3 is £559 a month over 4 years. Her apartment rent is £450 (she goes half’s with her sister) a month plus bills.
She said it’s the top of what she can afford but it’s affordable.
People find a way to manage if a nice car is high on the priority list.
Not the most astute financial decision there.Her PCP on the X3 is £559 a month over 4 years. Her apartment rent is £450 (she goes half’s with her sister) a month plus bills.
She said it’s the top of what she can afford but it’s affordable.
People find a way to manage if a nice car is high on the priority list.
ACCYSTAN said:
In terms of the question, I chatted to a receptionist at a major car dealership who drives a PCP bmw X3,
Her PCP on the X3 is £559 a month over 4 years. Her apartment rent is £450 (she goes half’s with her sister) a month plus bills.
She said it’s the top of what she can afford but it’s affordable.
People find a way to manage if a nice car is high on the priority list.
It’s when it needs a new set of run flat tyres at £200 a corner that the pain hits ! Her PCP on the X3 is £559 a month over 4 years. Her apartment rent is £450 (she goes half’s with her sister) a month plus bills.
She said it’s the top of what she can afford but it’s affordable.
People find a way to manage if a nice car is high on the priority list.
ACCYSTAN said:
In terms of the question, I chatted to a receptionist at a major car dealership who drives a PCP bmw X3,
Her PCP on the X3 is £559 a month over 4 years. Her apartment rent is £450 (she goes half’s with her sister) a month plus bills.
She said it’s the top of what she can afford but it’s affordable.
People find a way to manage if a nice car is high on the priority list.
All that effort to ‘look successful’ and it’s sadly still a junior SUV that nobody looks twice at. She could have just bought a Rolex!Her PCP on the X3 is £559 a month over 4 years. Her apartment rent is £450 (she goes half’s with her sister) a month plus bills.
She said it’s the top of what she can afford but it’s affordable.
People find a way to manage if a nice car is high on the priority list.
Gassing Station | Car Buying | Top of Page | What's New | My Stuff