Man Maths help required

[TTmonkey]

Need some help with my 'Man Maths' on this......

https://www.pistonheads.com/classifieds/used-cars/...

How much could this cost to finance?

Lets say a deposit of 5k.
What would be the likely monthly cost
Could it be done with some kind of PCP deal....? I know its old, but its value in three years should be significant.....
What would it be worth in three years time with say another 24k miles on the clock (but still in top condition)
What is the likelihood of this car stopping depreciating....? At what price point will it just stop falling in value and become a future collectable?

I cant see you ever being able to buy one of these for £25k or under, if kept in A1 condition.

[fido]

It's too old for PCP.

Let's say HP with 5k deposit @ 7% over 24 months = £1400 per month => £2,600 of interest payments.

Linear depreciation to zero over 10 years (as a starting point*) so after 2 years it's worth £28.5k => £7,500 of depreciation.

So that's 5k per year before servicing/repairs. How much can you haggle the price down?

• have no idea how much a V8 model will hold it's value - in terms of outright performance terms they aren't special any more.

Edited by fido on Thursday 22 February 13:44

[99dndd]

Don't forget to factor in the lifetime savings by the improved credit rating you'll get when it's paid off.

That one helped me get the Up! GTI order in.

[TTmonkey]

99dndd said:

Don't forget to factor in the lifetime savings by the improved credit rating you'll get when it's paid off.

That one helped me get the Up! GTI order in.

now that's TOP man maths! Thanks

[TTmonkey]

Thanks goodness this has been buried in the 'car Buying' forum.... otherwise I'd have way too much to read.

[Integroo]

fido said:

It's too old for PCP.

Let's say HP with 5k deposit @ 7% over 24 months = £1400 per month => £2,600 of interest payments.

Linear depreciation to zero over 10 years (as a starting point*) so after 2 years it's worth £28.5k => £7,500 of depreciation.

So that's 5k per year before servicing/repairs. How much can you haggle the price down?

• have no idea how much a V8 model will hold it's value - in terms of outright performance terms they aren't special any more.

Edited by fido on Thursday 22 February 13:44

With a decent credit rating should easily do better than 7%. I'd say 4% is realistic. 5k deposit, straight loan for 32k, monthlies of £950 and paying £1,960 in interest. If after three years it is worth 25k, it's cost 13k, which is 4.3k a year. No idea if that depreciation is realistic or not.

[TTmonkey]

RAC do a 'flexiloan', which mimics PCP deals, for cars up to 8 years old.....

[PH_77]

MOT history online shows extremely low mileage in the first three years (under 2K miles) along with incomplete service history and 6 previous owners!

[TTmonkey]

PH_77 said:

MOT history online shows extremely low mileage in the first three years (under 2K miles) along with incomplete service history and 6 previous owners!

WHere do you get history of records of servicing?

Wouldn't be worried about number of previous owners, many cars like us change hands often, wealthy people are often thickle, want change. Also low mileage, if confirmed, shows ownership of multiple cars

Would look much more carefully for 'the one', this was just an example of what can be bought for the price of a nice mid level car.

[PH_77]

Apologies - I'm speculating that there isn't a full service history - there's no mention of it in the ad anyway. That 3 year mileage looks suspiciously low but I'm sure there's a very good chance that it's all completely legit.

[TTmonkey]

PH_77 said:

Apologies - I'm speculating that there isn't a full service history - there's no mention of it in the ad anyway. That 3 year mileage looks suspiciously low but I'm sure there's a very good chance that it's all completely legit.

if it was a four seater 'taxi capable' car I'd be dead suspicious. But this type of car is often only used for 'sunday best', especially when brand new,,,,,



What I'd really like is peoples best estimates on what value the car will have in another three years of low milage ownership, and will it achieve a 'plateau' residual price and stop depreciating, like cars like the Lotus Elise, or Ford RS did.

I think it will. You'll never be able to buy a good condition one of these for less than 20k minimum, perhaps 30k.

[CzechItOut]

TTmonkey said:

What I'd really like is peoples best estimates on what value the car will have in another three years of low milage ownership, and will it achieve a 'plateau' residual price and stop depreciating, like cars like the Lotus Elise, or Ford RS did.

I think it will. You'll never be able to buy a good condition one of these for less than 20k minimum, perhaps 30k.

The cheapest R8 is £35k and the one above is a few grand more than that. I don't see why they wouldn't drop in price down to high 20s or even lower as they get older and higher mileage. R8s are not particularly rare and Audi isn't really an aspirational brand if you are in the market for that kind of car.

The other thing to consider is that the car market is currently very strong and used prices are holding up extremely well. Who knows what the economy will be like in three years time and what the demand for high end cars will be.