Will Coronavirus hit used car prices?

[gizlaroc]

So said:

Trustmeimadoctor said:

But loan rates have gone up

Yes it seems so, We got an asset finance quote 10 days ago at a good rate and anticipated a better rate a week later. But rates rose.

Risk rate has gone through the roof.

[av185]

av185 said:

Touring442 said:

Fezzaman said:

it will be interesting to see how Sytner go about their 'buy cars online' model.

They've dumped 2000 cars at auction, no reserve. Their overheads are incredible.

Custard/link.

Repeat custard link.

I call bullst.

[So]

av185 said:

av185 said:

Touring442 said:

Fezzaman said:

it will be interesting to see how Sytner go about their 'buy cars online' model.

They've dumped 2000 cars at auction, no reserve. Their overheads are incredible.

Custard/link.

Repeat custard link.

I call bullst.

You haven't got the hang of this have you. You should be calling "custard".

[Trustmeimadoctor]

the xj im tracking now 948 below average was 962 for last 2 days si average for them is coming down

[av185]

We assume guilty by silence.

[Shuvi McTupya]

Trustmeimadoctor said:

the xj im tracking now 948 below average was 962 for last 2 days si average for them is coming down

Eh?

[GT3Manthey]

av185 said:

Largely depends on the age of the car.

The newer and more oversupplied less popular the car the bigger the drop ££.

Agreed. The run of the mill cars fine but something like a GT porsche wont fall another 30% IMO

[Dave Hedgehog]

GT3Manthey said:

Agreed. The run of the mill cars fine but something like a GT porsche wont fall another 30% IMO

too many people have bought cars for investment, and just like the stock market when it turns bad they will panic and try to get out also many people will need to sell to raise cashflow

imagine what state the economy is going to be in if we are still in isolation in 6 months time or if we have to cycle 2 months out 2 months in isolation as they wait for the virus to run its course or a vaccine

[Auto810graphy]

So said:

You haven't got the hang of this have you. You should be calling "custard".

Only 3 tins per customer so he won’t be able to.

To be fair Vertu / Farnell put about 15 nearly new Range Rover products onto the BCA online platform including a couple of delivery mileage ones but from experience they set the reserve within a few hundred pounds of their retail forecourt price.

[GT3Manthey]

Dave Hedgehog said:

too many people have bought cars for investment, and just like the stock market when it turns bad they will panic and try to get out also many people will need to sell to raise cashflow

imagine what state the economy is going to be in if we are still in isolation in 6 months time or if we have to cycle 2 months out 2 months in isolation as they wait for the virus to run its course or a vaccine

Yup i get all of this and run of the mill cars are not exempt. Not sure its the case with small number build GT cars.

Maybe some of the RS models return to list but that i suspect will be the worst of it

[av185]

GT3Manthey said:

av185 said:

Largely depends on the age of the car.

The newer and more oversupplied less popular the car the bigger the drop ££.

Agreed. The run of the mill cars fine but something like a GT porsche wont fall another 30% IMO

Yup and don't forget a 12 month old e.g. Focus trading at say £13k last week would lose up to another 25% over the next 6 months anyway pre CV all other things being equal.

Porsche along with other manufacturers have stopped production and the 992 GT3 launch probably now next year, Turbo and Turbo S delayed amongst others. Production of niche Cayster models in doubt.

[RUSSELLM]

Shuvi McTupya said:

Trustmeimadoctor said:

the xj im tracking now 948 below average was 962 for last 2 days si average for them is coming down

Eh?

The XJ was a 1980’s Porsche economy entry below average, where as it’s proper Porsche race car money below average now.

That’s what I took from it.

[Trustmeimadoctor]

Shuvi McTupya said:

Trustmeimadoctor said:

the xj im tracking now 948 below average was 962 for last 2 days si average for them is coming down

Eh?

On autotrader it shows you the difference between the car your looking at and the average price that that type is up for

A week ago the car im looking at was about 1400 below the average 2 days ago i noticed it was now only 962 below the average now its only 942 below the average.

So the average of this xj has dropped (this one hasnt been reduced yet)

[RUSSELLM]

Not the greatest of stats for following car prices.

If I stick an XJ on Autotrader for £1M, all of a sudden the ‘Below average price’ increases across the board.

[av185]

GT3Manthey said:

Yup i get all of this and run of the mill cars are not exempt. Not sure its the case with small number build GT cars.

Maybe some of the RS models return to list but that i suspect will be the worst of it

They will hold up relatively well and certainly compared to 488s Hurracans and of course Mclarens merely due to the usual demons of oversupply.

JZM have a 5k mile 18 18 Miami GT3 RS just over list price £185k although it appeared to have sold just before they closed. These were selling at £210k last month btw.

[SidewaysSi]

So said:

av185 said:

av185 said:

Touring442 said:

Fezzaman said:

it will be interesting to see how Sytner go about their 'buy cars online' model.

They've dumped 2000 cars at auction, no reserve. Their overheads are incredible.

Custard/link.

Repeat custard link.

I call bullst.

You haven't got the hang of this have you. You should be calling "custard".

No chance of getting 2000 tins of Birds now is there?

[anonymous-user]

GT3Manthey said:

Agreed. The run of the mill cars fine but something like a GT porsche wont fall another 30% IMO

Why not?

The people who own this type of car tend to live expensive lives, their income could be severely reduced compared to the average person now on 80% salary.

They also tend to be business owners who may need cash to stay afloat.

So isn't this type of car the most likely to get hammered on price?

[GT3Manthey]

jsf said:

Why not?

The people who own this type of car tend to live expensive lives, their income could be severely reduced compared to the average person now on 80% salary.

They also tend to be business owners who may need cash to stay afloat.

So isn't this type of car the most likely to get hammered on price?

The people that can afford to spend 150k on a car to start with tend not to be skint especially given in order to have been able to buy one of these type cars in the first place you generally had to have had purchase history with Porsche in the 1st place

[Fezzaman]

jsf said:

Why not?

The people who own this type of car tend to live expensive lives, their income could be severely reduced compared to the average person now on 80% salary.

They also tend to be business owners who may need cash to stay afloat.

So isn't this type of car the most likely to get hammered on price?

As ever, the answer is 'it depends'. A business owner who has a chain of hotels or restaurants - absolutely. A business owner that produces something very niche for a pharmaceutical company? Maybe not so much.

And even then, a business owner who owns all his restaurants outright with no rent/mortgage to pay with sufficient cash reserves is not as stressed as a business owner who has just started out and taken out loans etc just to get off the ground...

[thelostboy]

This country is built on credit. There are a load more GT Porsches these days and many are bought on finance - people only care about what they are paying out a month rather than the fact they've just bought a £150,000+ car.

I have plenty of mates who run successful small businesses who are going to really feel the squeeze, and sadly I think cars will be sold out of necessity and therefore big losses are inevitable.

In February, my client had a successive record week as part of an all time record month after almost 10 years in business. Yesterday they were making redundancies; just a few weeks later.

I think that is a fair indication of what's happening nationwide. In January it looked like we were set up for a great recovery as an economy. Now it's going to be a sh*t show a matter of weeks after.