Mk7.5 gti - best way to buy used?
Discussion
Hi all,
Looking for a bit of advice/assistance with a potential car purchase. Currently I’m in a rather boring 2009 A4 3.0 tdi Quattro, which although a good car is starting to show its age and ultimately isn’t a good steer. I’ve had “the itch” to get rid and get something nice again, so I’m currently looking at Mk7/7.5 Gti performance packs.
However, I’m currently not quite sure which way to go about the purchase. Previously I’ve always bought cars with cash, never financed, so this would be the first time. I know there’s a bias against finance on PH but this is realistically the best option for me - value in the previous cars owned (fk8 type r, m140, various imprezas) has been put into a house.
I’d be looking to buy HP through my bank - at 4.9%. Ideally I’d be looking to put 5k down which leaves me with around £375 a month as a monthly - I’d be looking to keep the car hence looking at HP over a longer term.
However, is this a god awful time to buy given used car prices? I’m happy to wait (it’s not exactly like Gti’s are thin on the ground) or even sack the idea off entirely if it’s a stupid idea to buy at this moment in time.
Likewise, complete finance newbie so if anyone has any advice/tips then I’m all ears - even it’s “Christ no, don’t do it!”
Many thanks in advance 🙂
Looking for a bit of advice/assistance with a potential car purchase. Currently I’m in a rather boring 2009 A4 3.0 tdi Quattro, which although a good car is starting to show its age and ultimately isn’t a good steer. I’ve had “the itch” to get rid and get something nice again, so I’m currently looking at Mk7/7.5 Gti performance packs.
However, I’m currently not quite sure which way to go about the purchase. Previously I’ve always bought cars with cash, never financed, so this would be the first time. I know there’s a bias against finance on PH but this is realistically the best option for me - value in the previous cars owned (fk8 type r, m140, various imprezas) has been put into a house.
I’d be looking to buy HP through my bank - at 4.9%. Ideally I’d be looking to put 5k down which leaves me with around £375 a month as a monthly - I’d be looking to keep the car hence looking at HP over a longer term.
However, is this a god awful time to buy given used car prices? I’m happy to wait (it’s not exactly like Gti’s are thin on the ground) or even sack the idea off entirely if it’s a stupid idea to buy at this moment in time.
Likewise, complete finance newbie so if anyone has any advice/tips then I’m all ears - even it’s “Christ no, don’t do it!”
Many thanks in advance 🙂
Key figures required.
Car price.
APR.
Term length.
Deposit.
If you’re happy to lose 20% a year in value and pay ~ 5% interest, fine.
Personally I’d be taking list prices and age and doing a 20% a year depreciation to check ‘where prices would have been’ logic check.
Ie. Loads of BMW M140i went for about £28,000 new in an ok spec in 2017/18 ish.
Today at 5 years old and 40k miles one might still go for £21,000 ish.
20% x 5 years on £28,000 ~ £9,200.
Even on their list of what, £40,000 ish?! £13,100 today.
I’m using that as my gauge today on what I might expect to see prices near once prices take a bath through a high interest rate period and a recession.
Car price.
APR.
Term length.
Deposit.
If you’re happy to lose 20% a year in value and pay ~ 5% interest, fine.
Personally I’d be taking list prices and age and doing a 20% a year depreciation to check ‘where prices would have been’ logic check.
Ie. Loads of BMW M140i went for about £28,000 new in an ok spec in 2017/18 ish.
Today at 5 years old and 40k miles one might still go for £21,000 ish.
20% x 5 years on £28,000 ~ £9,200.
Even on their list of what, £40,000 ish?! £13,100 today.
I’m using that as my gauge today on what I might expect to see prices near once prices take a bath through a high interest rate period and a recession.
Mr Whippy said:
Key figures required.
Car price.
APR.
Term length.
Deposit.
If you’re happy to lose 20% a year in value and pay ~ 5% interest, fine.
Personally I’d be taking list prices and age and doing a 20% a year depreciation to check ‘where prices would have been’ logic check.
Ie. Loads of BMW M140i went for about £28,000 new in an ok spec in 2017/18 ish.
Today at 5 years old and 40k miles one might still go for £21,000 ish.
20% x 5 years on £28,000 ~ £9,200.
Even on their list of what, £40,000 ish?! £13,100 today.
I’m using that as my gauge today on what I might expect to see prices near once prices take a bath through a high interest rate period and a recession.
That’s a great way of looking at it - thank you. It’s also rather off putting but that’s exactly what I was looking for!Car price.
APR.
Term length.
Deposit.
If you’re happy to lose 20% a year in value and pay ~ 5% interest, fine.
Personally I’d be taking list prices and age and doing a 20% a year depreciation to check ‘where prices would have been’ logic check.
Ie. Loads of BMW M140i went for about £28,000 new in an ok spec in 2017/18 ish.
Today at 5 years old and 40k miles one might still go for £21,000 ish.
20% x 5 years on £28,000 ~ £9,200.
Even on their list of what, £40,000 ish?! £13,100 today.
I’m using that as my gauge today on what I might expect to see prices near once prices take a bath through a high interest rate period and a recession.
Car in question is £25k, low miles 2018 gti pp. Rate is 4.9% over 5 years, with a 5k deposit.
Appreciate the reply
Mr Whippy said:
Key figures required.
Car price.
APR.
Term length.
Deposit.
If you’re happy to lose 20% a year in value and pay ~ 5% interest, fine.
Personally I’d be taking list prices and age and doing a 20% a year depreciation to check ‘where prices would have been’ logic check.
Ie. Loads of BMW M140i went for about £28,000 new in an ok spec in 2017/18 ish.
Today at 5 years old and 40k miles one might still go for £21,000 ish.
20% x 5 years on £28,000 ~ £9,200.
Even on their list of what, £40,000 ish?! £13,100 today.
I’m using that as my gauge today on what I might expect to see prices near once prices take a bath through a high interest rate period and a recession.
Interesting way of looking at. Definitely a good way of calculating a worse case scenario.Car price.
APR.
Term length.
Deposit.
If you’re happy to lose 20% a year in value and pay ~ 5% interest, fine.
Personally I’d be taking list prices and age and doing a 20% a year depreciation to check ‘where prices would have been’ logic check.
Ie. Loads of BMW M140i went for about £28,000 new in an ok spec in 2017/18 ish.
Today at 5 years old and 40k miles one might still go for £21,000 ish.
20% x 5 years on £28,000 ~ £9,200.
Even on their list of what, £40,000 ish?! £13,100 today.
I’m using that as my gauge today on what I might expect to see prices near once prices take a bath through a high interest rate period and a recession.
However it would be maybe better to start at the list price of the same comparable car now in 2023.
I have just purchased a gti pp 2019 myself a couple of weeks ago. Looking at your budget it appears you are after a fairly low mileage one. These seemed a bit thin on the ground when I was looking, partly due to a bit of nervousness around the mk8 I think and people holding onto the 7.5’s. The 7.5 seems to have held value quite well and having had mine for nearly 3 weeks I can see why people want them. It’s a great car so far and I have come from a Porsche cayman and am not at all disappointed. That finance rate you have quoted seems reasonable for the current climate. I think it works out at around £2600 interest over 5 years which isn’t too bad.
Cw4578 said:
I have just purchased a gti pp 2019 myself a couple of weeks ago. Looking at your budget it appears you are after a fairly low mileage one. These seemed a bit thin on the ground when I was looking, partly due to a bit of nervousness around the mk8 I think and people holding onto the 7.5’s. The 7.5 seems to have held value quite well and having had mine for nearly 3 weeks I can see why people want them. It’s a great car so far and I have come from a Porsche cayman and am not at all disappointed. That finance rate you have quoted seems reasonable for the current climate. I think it works out at around £2600 interest over 5 years which isn’t too bad.
Thanks for this - good to know.Glad to hear it’s a nice drive, I had a mk7 GTD and that wasn’t too shabby for a diesel hatch.
I had a Golf GTD mk7 manual - I sold it in May 2020 because I thought covid might put me out of work, cripple the economy and car prices might plummet. Which shows what I know ………
……..but I now have a Golf GTi mk 7 manual as my daily driver. Although I preferred the slightly more understated colour of the detailing and interior of the GTD, the GTi is a much more engaging and satisfying drive. The combination of the manual gearbox and limited rev range where much happens in the GTD, meant there was no point or joy in holding on to a gear, so it took a lot of the sparkle away from every day driving. And it wasn’t that good on fuel - around 45mpg.
By comparison, the GTi feels like it has similar torque - very easy to mooch about at low revs in a high gear. The engine pulls in a unfussed way from low revs. But then when you want to push on, the engine keeps pulling up to the top of the rev range. Much more satisfying. I’m averaging around 38mpg.
And the GTi is quieter.
……..but I now have a Golf GTi mk 7 manual as my daily driver. Although I preferred the slightly more understated colour of the detailing and interior of the GTD, the GTi is a much more engaging and satisfying drive. The combination of the manual gearbox and limited rev range where much happens in the GTD, meant there was no point or joy in holding on to a gear, so it took a lot of the sparkle away from every day driving. And it wasn’t that good on fuel - around 45mpg.
By comparison, the GTi feels like it has similar torque - very easy to mooch about at low revs in a high gear. The engine pulls in a unfussed way from low revs. But then when you want to push on, the engine keeps pulling up to the top of the rev range. Much more satisfying. I’m averaging around 38mpg.
And the GTi is quieter.
OP have you ruled out the R? They seem a lot more of them about. They do have the disadvantages of a smaller boot, weight, increased complexity leading to bigger bills etc.
I'm also looking at the same car and PPs do seem to be hens teeth. I'm still toying with the idea of resorting to an R as they seem to be pretty much the same prices, although I've had a 7.5 R before a few years back, I want to go to a GTi as I've not had one, and the R's seem a bit ubiquitous and a GTi has always seemed a bit more classic.
I'm also looking at the same car and PPs do seem to be hens teeth. I'm still toying with the idea of resorting to an R as they seem to be pretty much the same prices, although I've had a 7.5 R before a few years back, I want to go to a GTi as I've not had one, and the R's seem a bit ubiquitous and a GTi has always seemed a bit more classic.
PDpreza91 said:
Cw4578 said:
I have just purchased a gti pp 2019 myself a couple of weeks ago. Looking at your budget it appears you are after a fairly low mileage one. These seemed a bit thin on the ground when I was looking, partly due to a bit of nervousness around the mk8 I think and people holding onto the 7.5’s. The 7.5 seems to have held value quite well and having had mine for nearly 3 weeks I can see why people want them. It’s a great car so far and I have come from a Porsche cayman and am not at all disappointed. That finance rate you have quoted seems reasonable for the current climate. I think it works out at around £2600 interest over 5 years which isn’t too bad.
Thanks for this - good to know.Glad to hear it’s a nice drive, I had a mk7 GTD and that wasn’t too shabby for a diesel hatch.
Jackx1 said:
Mr Whippy said:
Key figures required.
Car price.
APR.
Term length.
Deposit.
If you’re happy to lose 20% a year in value and pay ~ 5% interest, fine.
Personally I’d be taking list prices and age and doing a 20% a year depreciation to check ‘where prices would have been’ logic check.
Ie. Loads of BMW M140i went for about £28,000 new in an ok spec in 2017/18 ish.
Today at 5 years old and 40k miles one might still go for £21,000 ish.
20% x 5 years on £28,000 ~ £9,200.
Even on their list of what, £40,000 ish?! £13,100 today.
I’m using that as my gauge today on what I might expect to see prices near once prices take a bath through a high interest rate period and a recession.
Interesting way of looking at. Definitely a good way of calculating a worse case scenario.Car price.
APR.
Term length.
Deposit.
If you’re happy to lose 20% a year in value and pay ~ 5% interest, fine.
Personally I’d be taking list prices and age and doing a 20% a year depreciation to check ‘where prices would have been’ logic check.
Ie. Loads of BMW M140i went for about £28,000 new in an ok spec in 2017/18 ish.
Today at 5 years old and 40k miles one might still go for £21,000 ish.
20% x 5 years on £28,000 ~ £9,200.
Even on their list of what, £40,000 ish?! £13,100 today.
I’m using that as my gauge today on what I might expect to see prices near once prices take a bath through a high interest rate period and a recession.
However it would be maybe better to start at the list price of the same comparable car now in 2023.
Just applying reversion to the mean.
Cars were never ever ever ever ever a thing you’d lean on for keeping value.
It was either bad depreciation, or shocking.
Chances are car makers start “incentivising” car sales again and falling new prices.
I’d say “list” when new x years at 20% is a good gauge for anything up to 2020.
No idea how things will pan out for 2020-23 stuff… I recall 09-12 cars being residually quite strong from 12-15 ish because not as many were sold during that time, so low used supplies.
Gawd knows what’ll happen, but always good to think about it.
By most measures, used cars are at a high point.
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