Good/bad idea?

[Jonboy_t]

My missus works for a main stealer (not BMW btw) and they have recently had a 55 plate Mini Cooper S Checkmate edition in and we have the option of buying it for a smidge over £8k. It's only got 14300 miles on it and is taxed and tested for (I think) 6 months.

I have just sold my car to buy a VX220, but I'm thinking that we could use the funds from my car sale, plus whatever cash we find behind the sofa to buy this Mini, run it and insure it for a month so we officially 'own it' for a bit (I think her work are funny about staff buying cars not for personal use) and then flog it for a couple of £K profit.

I have an awful track record with having my fingers burned whilst trying to make a few quid (loooooong stories!), so what could feasibly go wrong if I did this - Am I liable to be taxed on profits, fall victim to dramatic depreciation (they're currently selling for about £10k) or is it worth risking my VX to make a bit of wonga (and probably get a Turbo rather than an N/A)?!!

[TonyRPH]

You'll be adding another keeper to the V5 which can only be a bad thing.

Also, many people are suspicious of cars that have only been owned for a very short period of time.

I would say; buy your VX220

It'll be a lot more fun anyway.

HTH.

ETA: Removed uncecesary quote.

Edited by TonyRPH on Tuesday 13th July 20:30

[300bhp/ton]

TonyRPH said:

You'll be adding another keeper to the V5 which can only be a bad thing.

Also, many people are suspicious of cars that have only been owned for a very short period of time.

Edited by TonyRPH on Tuesday 13th July 20:30

[TonyRPH]

300bhp/ton said:

TonyRPH said:

You'll be adding another keeper to the V5 which can only be a bad thing.

Also, many people are suspicious of cars that have only been owned for a very short period of time.

Edited by TonyRPH on Tuesday 13th July 20:30

Did I miss someting?

[300bhp/ton]

TonyRPH said:

300bhp/ton said:

TonyRPH said:

You'll be adding another keeper to the V5 which can only be a bad thing.

Also, many people are suspicious of cars that have only been owned for a very short period of time.

Edited by TonyRPH on Tuesday 13th July 20:30

Did I miss someting?

Number of owners on the logbook is less of an issue IMO, ok if it's only 3 years old and has had 15 owners, but one more is nothing on what is a 5 year old car IMO.


As for people being suspicious, sure there are. But then there those that won't care. And either way, what would it matter, its the car people want to buy not the fact its not someone selling it on for money.

[tstain]

I'd second that, just buy the VX220. Cars are not always the most liquid of assets so could take a while longer than expected to sell.
what if it gets damaged and you are stuck with a car you don't really want?

[Jonboy_t]

tstain said:

I'd second that, just buy the VX220. Cars are not always the most liquid of assets so could take a while longer than expected to sell.
what if it gets damaged and you are stuck with a car you don't really want?

Very, very good point!! The car I have just sold got sold once and on the day the auction ended (sold it on eBay), SWMBO took it out and put it in the rear end of a 5 series (albeit slowly). This is what I mean when 'getting fingers burned' in the past where money is concerned!

[slipstream 1985]

do it.

but when selling be honnest to a degree. it WAS your dream car but you now need a diesel car because your job moved and you have a big commute.
gives a valid reason.


be careful though. what if your misses falls in love with the car!

[nottyash]

300bhp/ton said:

TonyRPH said:

300bhp/ton said:

TonyRPH said:

You'll be adding another keeper to the V5 which can only be a bad thing.

Also, many people are suspicious of cars that have only been owned for a very short period of time.

Edited by TonyRPH on Tuesday 13th July 20:30

Did I miss someting?

Number of owners on the logbook is less of an issue IMO, ok if it's only 3 years old and has had 15 owners, but one more is nothing on what is a 5 year old car IMO.


As for people being suspicious, sure there are. But then there those that won't care. And either way, what would it matter, its the car people want to buy not the fact its not someone selling it on for money.

Yeh, I dont know anyone who buys a car on the strength of how many owners it has. Thats just daft IMO.
Back on topic, yes I would buy the Mini, I bought the Mrs one last year ran it a year and made a profit. Your getting it at a cracking price you would be mad to miss that. As for the VX 220, I wouldnt bother with a N/A version, you will be driving it wishing you had the turbo.;)

[peterbredde]

You wouldn't need to worry about paying any tax on the profit. A motor car is classed as a 'personal chattel' for tax purposes and you may sell it without having to declare any income from that sale, regardless of the profit. The revenue would only take an interest if it appeared as though you were habitually engaging in the buying and selling of motors with a view to making a profit - ie in the nature of a trade. There is no hard and fast rule on how many transactions over a 1 year period would suggest some trade the and fact that you registered the car yourself suggests you did not intend to trade in it. With only 1 transaction you needn't be worried.

Edited by peterbredde on Tuesday 13th July 21:52

Edited by peterbredde on Tuesday 13th July 21:54

[tstain]

tstain said:

Jonboy_t said:

tstain said:

I'd second that, just buy the VX220. Cars are not always the most liquid of assets so could take a while longer than expected to sell.
what if it gets damaged and you are stuck with a car you don't really want?

Very, very good point!! The car I have just sold got sold once and on the day the auction ended (sold it on eBay), SWMBO took it out and put it in the rear end of a 5 series (albeit slowly). This is what I mean when 'getting fingers burned' in the past where money is concerned!

Thanks, it's a lesson I learnt in the trade. the other point i was going to raise is the price you say they are selling for, is that what they actually realise or is that what is being asked by dealers?

If you do it, remember to update this post when its sold so we can see how you fared out.

Edited by tstain on Tuesday 13th July 22:09

[TonyRPH]

nottyash said:

Yeh, I dont know anyone who buys a car on the strength of how many owners it has. Thats just daft IMO.

One of the first questions asked, for every car I've ever sold:

"How many former keepers has it had?"

Now isn't that silly.

Just maybe it matters to more people than you actually think....

[2 sMoKiN bArReLs]

TonyRPH said:

nottyash said:

Yeh, I dont know anyone who buys a car on the strength of how many owners it has. Thats just daft IMO.

One of the first questions asked, for every car I've ever sold:

"How many former keepers has it had?"

Now isn't that silly.

Just maybe it matters to more people than you actually think....

I agree with Tony 100%. I'm ESPECIALLY suspicious of a sale within a year.

[bazking69]

I'd suggest she spoke to her manager with regards to how the company views flipping cars bought at a staff rate for personal gain. At every dealer I have worked it it has been very much frowned upon.

[rfn]

2 sMoKiN bArReLs said:

I agree with Tony 100%. I'm ESPECIALLY suspicious of a sale within a year.

Don't buy a car off me then - I've only owned one of my previous 7 cars for more than 12 months!

[nottyash]

rfn said:

2 sMoKiN bArReLs said:

I agree with Tony 100%. I'm ESPECIALLY suspicious of a sale within a year.

Don't buy a car off me then - I've only owned one of my previous 7 cars for more than 12 months!

well actually come to think of it I ask how many owners too when car buying, but it has never influenced me buying it. My Celica has had 7 owners, and the bloke i bought it from had it just 1 month, so what?

I change my cars a lot, sometimes having them just 3 months. Ive had 5 cars this year alone. A local Porsche dealer reckons a lot of the stuff they get in changes hands quite frequently.

[frosted]

Ain't that a bit wrong ie 7 owners that maybe bought the car and found it was decked and tried moving it along swiftly to the next idiot ?

Recently I had the chance to buy a r32 07 55k with 5 previous owners for 11k.Buying that car was the last thing that entered my mind

[nottyash]

frosted said:

Ain't that a bit wrong ie 7 owners that maybe bought the car and found it was decked and tried moving it along swiftly to the next idiot ?

Recently I had the chance to buy a r32 07 55k with 5 previous owners for 11k.Buying that car was the last thing that entered my mind

Your talking about a 3 year old car with 5 owners. I have a 9 year old car with 7 owners, not quite the same.
Even then, it doesnt mean to say there is something wrong with the car, more something wrong with your attitude to buying a car because of this stereotypical theory that all cars with more than 2 owners are dodgy.

[TonyRPH]

frosted said:

Ain't that a bit wrong ie 7 owners that maybe bought the car and found it was decked and tried moving it along swiftly to the next idiot ?

I'm afraid I have been guilty of this.

Late last year, I bought an A4 Quattro, one lady owner, FSH, all bills etc. etc.

This was purchased from a low volume specialist dealer.

Within 2 months I realised that all was not how it should be, so I traded it in...

And I wouldn't be surprised to see this car changing hands rapidly over the course of the next year, unless of course one of the new owners demonstrates some real committent and fixes it.