Many New Luxury Cars on the Road - How?
Discussion
troika said:
I remember watching a TV program years ago about some nice village somewhere. An old boy being interviewed said of the residents ‘some are worth a million, some owe a million and I have no idea who is who’. I think cars are now the same, they tell you very little.
What is it that they should tell us?! I’m baffled as to what business of anyone’s it is how others spend their money. The ability to get a job and spend your money on what you want seems to wind people up, it’s bazarre
Some people spend £100 a week on nights out down the pub
Some people save £100 a week for a nice holiday every year
Some people spend £100 a week on things for their kids
Some people spend £100 a week on a new car
If you can afford it, who the **** are you to tell people what their priorities should be?
Some people save £100 a week for a nice holiday every year
Some people spend £100 a week on things for their kids
Some people spend £100 a week on a new car
If you can afford it, who the **** are you to tell people what their priorities should be?
CS Garth said:
troika said:
I remember watching a TV program years ago about some nice village somewhere. An old boy being interviewed said of the residents ‘some are worth a million, some owe a million and I have no idea who is who’. I think cars are now the same, they tell you very little.
What is it that they should tell us?! I’m baffled as to what business of anyone’s it is how others spend their money. The ability to get a job and spend your money on what you want seems to wind people up, it’s bazarre
troika said:
I couldn’t give a monkeys what people drive or spend their money on, as long as I don’t have to bail them out when the music stops. I get the impression that many who rent their luxury cars really do give a monkeys what they drive, but can’t actually afford to buy it. I’m old school, if I want something I’ll pay cash or not have it. I get that some lease deals are a no brainer (I was in the leasing industry for 20 years) and I’ve done a few myself, but only with full cash cover. I’ve seen first hand how quickly and unexpectedly things can go south for people / businesses and it’s largely by carrying too much debt.
Its not those leasing the cars that have (or will have) the issue, but the car companies deep discounting them. Some other wally said it was all about profit for the car companies, no it's about cash flow. The real problem in the PCP industry is not discounting new models and hiding behind cheap monthlies to entice buyers into 30grand fiestas.If no one bought new cars, that bangernomics S Class wouldn't be cheap would it?. To an extent purchasing vehicles (on finance) has a trickle down effect in the economy. It's only the most extreme cases whom take easy credit too far and end up in trouble.
It seems to me, the ones moaning about cheap finance are just jealous and a bit special in the head. Over supply of used cars keeps prices depressed. Even if you are unlucky enough to buy a not cared for lemon, you can't get that burned as cars are cheap as chips to replace.
Unless it's uber special, or a keeper; I'll never buy a new car again. Leasing run out end of life models can get you discounts or 35-40% off list over 3 years. Sure it's not the latest Velar etc, but if warrantied motoring is a priority you'd be stupid NOT too lease.
Edited by stongle on Tuesday 17th July 18:28
£70k salary is not that much in some parts of the country anymore. Mortgage, travel, bills, maybe school fees etc all add up.
I am not envious in the least of anyone who has a new car to be honest.
But I probably spend a lot more than them on my old bangers!!
I am not envious in the least of anyone who has a new car to be honest.
But I probably spend a lot more than them on my old bangers!!
Edited by SidewaysSi on Tuesday 17th July 18:48
troika said:
I’ve seen threads on here where people are asking how to best get out of servicing their lease car before it goes back etc. I mean, FFS, you have to be either pretty sad or pretty skint to spend time working out how to save a few quid on an oil change for your ‘luxury’ car.
I thought your issue was people spending money, now you are moaning that people arent spending money?People have different outgoings, are mortgage free, get inheritances, do loads of overtime, run their own businesses, are contractors, can be very highly paid, get a monthly "allowance", have a modest house, play poker well, win the lottery.
All sorts of reasons for folk to have spare cash, not everyone with a new car is a feckless spedthrift, it does amaze me just how many expensive new cars are out there, I had to get made redundant to buy a two year old BMW despite not being in a bad position.
All sorts of reasons for folk to have spare cash, not everyone with a new car is a feckless spedthrift, it does amaze me just how many expensive new cars are out there, I had to get made redundant to buy a two year old BMW despite not being in a bad position.
austinsmirk said:
funnily enough I thought whilst on my hols in Spain for a couple of weeks, the same thing.
virtually all the cars were run of the mill, mundane stuff. Nothing fancy.
Yet back home in Engerland: all sorts of fancy stuff whizzing about.
I don't quite get it either.
Last I heard, Spain's economy was in the bog.virtually all the cars were run of the mill, mundane stuff. Nothing fancy.
Yet back home in Engerland: all sorts of fancy stuff whizzing about.
I don't quite get it either.
SidewaysSi said:
£70k salary is not that much in some parts of the country anymore. Mortgage, travel, bills, maybe school fees etc all add up.
I am not envious in the least of anyone who has a new car to be honest.
But I probably spend a lot more than them on my old bangers!!
£70k is more than twice the average salary for London and three times UK so however you cut it, £70,000 is high.I am not envious in the least of anyone who has a new car to be honest.
But I probably spend a lot more than them on my old bangers!!
Edited by SidewaysSi on Tuesday 17th July 18:48
stongle said:
Its not those leasing the cars that have (or will have) the issue, but the car companies deep discounting them. Some other wally said it was all about profit for the car companies, no it's about cash flow. The real problem in the PCP industry is not discounting new models and hiding behind cheap monthlies to entice buyers into 30grand fiestas.
If no one bought new cars, that bangernomics S Class wouldn't be cheap would it?. To an extent purchasing vehicles (on finance) has a trickle down effect in the economy. It's only the most extreme cases whom take easy credit too far and end up in trouble.
It seems to me, the ones moaning about cheap finance are just jealous and a bit special in the head. Over supply of used cars keeps prices depressed. Even if you are unlucky enough to buy a not cared for lemon, you can't get that burned as cars are cheap as chips to replace.
Unless it's uber special, or a keeper; I'll never buy a new car again. Leasing run out end of life models can get you discounts or 35-40% off list over 3 years. Sure it's not the latest Velar etc, but if warrantied motoring is a priority you'd be stupid NOT too lease.
Don’t get me wrong, I’m extremely appreciative of leasing (enterprise level technology). It’s hugely profitable. Just as with technology, cars will continue to move further towards consumption models, maybe to the point where one will not actually be able to purchase a vehicle at all. However, sitting underneath all those agreements are debt instruments and so the debt balloon grows ever bigger. If no one bought new cars, that bangernomics S Class wouldn't be cheap would it?. To an extent purchasing vehicles (on finance) has a trickle down effect in the economy. It's only the most extreme cases whom take easy credit too far and end up in trouble.
It seems to me, the ones moaning about cheap finance are just jealous and a bit special in the head. Over supply of used cars keeps prices depressed. Even if you are unlucky enough to buy a not cared for lemon, you can't get that burned as cars are cheap as chips to replace.
Unless it's uber special, or a keeper; I'll never buy a new car again. Leasing run out end of life models can get you discounts or 35-40% off list over 3 years. Sure it's not the latest Velar etc, but if warrantied motoring is a priority you'd be stupid NOT too lease.
Edited by stongle on Tuesday 17th July 18:28
What would happen if people decided to buy that 5 year old car instead en masse ?
Its just a way of getting units out of the door, keeps the production lines going, keeps people in jobs, keeps money flowing through the economy.
Most people who lease or PCP actually pay for the car and dont default, then change it for a new one, the old one migrates down to a new owner.
Its been going like that for years, is there actually really massive day of reckoning coming when all the leasers and people who dont pay cash get their comeuppance, Human sacrifice, dogs and cats living together... mass hysteria !
I try to think, am I really bothered, does it irk me that Dave next door but one has a brand new S5 or Martin at work has a top of the range Discovery, its only a bloody car, they are sensible chaps who pay their dues, pay their taxes and look after their families, they havent gone bankrupt.
You need to ask yourself, are you actually concerned about global finance or have you got a crap car and no nope of a nice new lease/PCP car and cant comprehend how Dave and Martin manage, they have a shiny and you dont, its not fair !
Used to irk me but have long since realised its not worth worrying about, not that important, sometimes you are up, sometimes you are down, keep trying and it will come good, you see someone new car, but remember, they may have worked for years, taken risks, taken exams, scrimped and saved or just got to a point where they have some spare cash, you werent bothered when they were driving a snotter, and also, remember, life isnt always fair.
Its just a way of getting units out of the door, keeps the production lines going, keeps people in jobs, keeps money flowing through the economy.
Most people who lease or PCP actually pay for the car and dont default, then change it for a new one, the old one migrates down to a new owner.
Its been going like that for years, is there actually really massive day of reckoning coming when all the leasers and people who dont pay cash get their comeuppance, Human sacrifice, dogs and cats living together... mass hysteria !
I try to think, am I really bothered, does it irk me that Dave next door but one has a brand new S5 or Martin at work has a top of the range Discovery, its only a bloody car, they are sensible chaps who pay their dues, pay their taxes and look after their families, they havent gone bankrupt.
You need to ask yourself, are you actually concerned about global finance or have you got a crap car and no nope of a nice new lease/PCP car and cant comprehend how Dave and Martin manage, they have a shiny and you dont, its not fair !
Used to irk me but have long since realised its not worth worrying about, not that important, sometimes you are up, sometimes you are down, keep trying and it will come good, you see someone new car, but remember, they may have worked for years, taken risks, taken exams, scrimped and saved or just got to a point where they have some spare cash, you werent bothered when they were driving a snotter, and also, remember, life isnt always fair.
90% of new car sales are on PCP which is the also the great leveller. Got a nice car, people now know pretty much anything can be rented on finance so it means nothing any more, and I don’t think that’s a bad thing.
Behind the smoke and mirrors there are much smarter ways of doing things to own a car of average status imo, such as picking up a 2-3 year old 5 series BMW/Audi on ~£20k for a 50% discount and buying cash so no interest (except perhaps the very low rate on your mortgage).
Take out a PCP if you wish, but for god’s sake divide the total cost payable (inc deposit) over the period rather than just looking at the monthly repayments. Future values are also quite useful, deduct the interest cost of the PCP from the GFV and you can work out the actual break even point for the residual amount vs a cash buyer. Can be eye opening. I’ve yet to see a cheaper lease deal than ownership proposition but they tell me they do come up on here from time to time. Personally I just couldn’t be arsed with the paperwork and restrictions, e,g, if I want to drive to Europe I don’t need the finance company’s permission because I own the car outright.
Behind the smoke and mirrors there are much smarter ways of doing things to own a car of average status imo, such as picking up a 2-3 year old 5 series BMW/Audi on ~£20k for a 50% discount and buying cash so no interest (except perhaps the very low rate on your mortgage).
Take out a PCP if you wish, but for god’s sake divide the total cost payable (inc deposit) over the period rather than just looking at the monthly repayments. Future values are also quite useful, deduct the interest cost of the PCP from the GFV and you can work out the actual break even point for the residual amount vs a cash buyer. Can be eye opening. I’ve yet to see a cheaper lease deal than ownership proposition but they tell me they do come up on here from time to time. Personally I just couldn’t be arsed with the paperwork and restrictions, e,g, if I want to drive to Europe I don’t need the finance company’s permission because I own the car outright.
Schmed said:
Take out a PCP if you wish, but for god’s sake divide the total cost payable (inc deposit) over the period rather than just looking at the monthly repayments. Future values are also quite useful, deduct the interest cost of the PCP from the GFV and you can work out the actual break even point for the residual amount vs a cash buyer. Can be eye opening. I’ve yet to see a cheaper lease deal than ownership proposition but they tell me they do come up on here from time to time. Personally I just couldn’t be arsed with the paperwork and restrictions, e,g, if I want to drive to Europe I don’t need the finance company’s permission because I own the car outright.
Yeah, thats good advice, my son bought his car, his was broken so we just got one from the local Ford agent and took the PCP, then paid it off with a personal loan, almost two grand cheaper over the term, the dealers do encourage you to focus on the monthlies, and it does work for a lot of people but you can do it a bit cheaper.jeremyh1 said:
Coffin Dodger I too am abosoluty baffled how people on the same income as me or less can drive around in these things .
The Land Rover Magazine has a quote in its buying guide that I will always remember
" These car were expensive when new and their running costs reflect that "
So expect to see some decent looking cars cheap on ebay because the owners cannot afford the repairs that they did not budget for
My question is why would you buy a car you cant afford ?
Lots of premium 1-2 year old non-maintenance lease/pcp cars end up with Ditchfinders. When I go to my local tyre guy, people turn up in these cars only wanting budget tyres.The Land Rover Magazine has a quote in its buying guide that I will always remember
" These car were expensive when new and their running costs reflect that "
So expect to see some decent looking cars cheap on ebay because the owners cannot afford the repairs that they did not budget for
My question is why would you buy a car you cant afford ?
Schmed said:
Take out a PCP if you wish, but for god’s sake divide the total cost payable (inc deposit) over the period rather than just looking at the monthly repayments. Future values are also quite useful, deduct the interest cost of the PCP from the GFV and you can work out the actual break even point for the residual amount vs a cash buyer.
Good advice... but how many people can find that kind of maths in any way understandable? That is one of the main issues, easy and cheap every month without really thinking it through.Back to the OP, surely it depends on the areas you are seeing them? Drive around Ascot and you're probably right, a high proportion of nice motors... drive around Halifax? Maybe not...
No offence Halifax...
C0ffin D0dger said:
I know this is is Pistonheads and cars are everything but anyway...
An observation on my part whilst driving around is seeing many more new high end cars on the road especially the luxury SUV type of things (Landrover Discos, Range Rovers, Evoques, Audi Q5/7, BMW X3/X5 etc.). Now I'd love a brand new Disco for dragging my caravan around but there's no way I could justify the cost of one, even on a lease you'd be looking at well over £500 a month + finding 9 months upfront payment and that's for the entry level version. I'm not exactly poor either as our household income is supposedly within the top 5% of the UK. I suppose I live in a fairly affluent part of the UK so maybe there may be more nice cars around.
So how do people "afford" these vehicles? Is having a new prestigious car a priority for them above all else and will actually compromise in other areas of life to afford it? Are they all leased / on PCP? Company cars, though last time I looked that doesn't exactly come cheap either? Am I missing something?
Many other people have more money than you, and many other people have different priorities to you.An observation on my part whilst driving around is seeing many more new high end cars on the road especially the luxury SUV type of things (Landrover Discos, Range Rovers, Evoques, Audi Q5/7, BMW X3/X5 etc.). Now I'd love a brand new Disco for dragging my caravan around but there's no way I could justify the cost of one, even on a lease you'd be looking at well over £500 a month + finding 9 months upfront payment and that's for the entry level version. I'm not exactly poor either as our household income is supposedly within the top 5% of the UK. I suppose I live in a fairly affluent part of the UK so maybe there may be more nice cars around.
So how do people "afford" these vehicles? Is having a new prestigious car a priority for them above all else and will actually compromise in other areas of life to afford it? Are they all leased / on PCP? Company cars, though last time I looked that doesn't exactly come cheap either? Am I missing something?
ETA: Ah. It's one of those threads. OK - wealth whispers, and they're all poverty stricken council dwellers trying to impress you.
Shakermaker said:
schmalex said:
Al U said:
Curious to know what the top 5% of income is? Also curious to know why someone who is in that bracket is wondering how to afford a posh SUV?
£70k or over£70k is only £3,600ish / month.
If you live in the South East and bought a 3 / 4 bed house any time in the last 10 years, chances are your repayment mortgage will be somewhere around £1.5k - £2k / month.
House bills and food are, what, £750 - £1k / month
Going out / saving for holidays etc is maybe £500 / month
It doesn’t leave a lot to buy and run a car with...
t bit of the south east) purchased in the last 10 years with less than 15% deposit. troika said:
I couldn’t give a monkeys what people drive or spend their money on, as long as I don’t have to bail them out when the music stops.
troika said:
I’ve seen first hand how quickly and unexpectedly things can go south for people
Not a problem. I'm PCPing at the moment. Joke is I was in the dealer looking to buy a 2 year old car. Walked out with a brand new one because with dealers deposit contribution, subsidised finance, insurance and service plan the new car would cost less than three years ownership of the second hand alternative. (I now, it's just wrong.If the economy goes tits up and I lose my job or I fall off a horse and break every bone in my body the car will be paid for for six months. If I'm still not fit to work it just gets handed back. It's all in the contract. The finance company must carry insurance which is probably paid for by the manufacturer desperate to sell cars.
The important thing is that when the music stops your bail out won't be required. Now chill.
Pica-Pica said:
Luxury car = new/dirty money/bit of finance lease on a nice new reliable car you may enjoy using
Beaten up Defender = old money/landed gentry/pleb who was born into money but can't rub 2 pennies together because apart from the family estate hasn't earnt a fking bean in their life/hoards loads of old st because they think a shed full of 40 year asbestos roofing is actually worth something
efaBeaten up Defender = old money/landed gentry/pleb who was born into money but can't rub 2 pennies together because apart from the family estate hasn't earnt a f
king bean in their life/hoards loads of old st because they think a shed full of 40 year asbestos roofing is actually worth somethingGassing Station | General Gassing | Top of Page | What's New | My Stuff