Will Coronavirus hit used car prices?

Will Coronavirus hit used car prices?

Author
Discussion

SpeckledJim

21,542 posts

207 months

Tuesday 24th March
quotequote all
Auto810graphy said:
Re the Motability cars, the dealer does not own them or need to sell them so Motability as the owner will handle the disposal as the price they sell for will be more than they paid.
And every buyer Motability finds is a buyer denied to the rest of the market.

Masiv

78 posts

37 months

Tuesday 24th March
quotequote all
Auto810graphy said:
Re the Motability cars, the dealer does not own them or need to sell them so Motability as the owner will handle the disposal as the price they sell for will be more than they paid.
Not saying that you are wrong, but IIRC the car doesn't pass to Motability till it is accepted by the client by way of inputting a PIN that they have received. I know of cases where a car has been rejected or the person has changed their mind and that the dealer was stuck with the car.

After owning some sporty cars over the years, I'm currently in a Motability vehicle, Rav4, as I'm awaiting surgery due to spinal injuries from playing rugby. After waiting for 18 months, the NHS decided to pay for my surgery at a private hospital, and that was scheduled for 2 weeks time. Obviously that won't be going ahead now which sucks donkey dicks.

I'm due for a new car, but have just extended my lease for 6 months.

If the right car at a bargain price became available, I'd seriously consider buying rather than leasing.

Johnnybee

1,887 posts

175 months

Tuesday 24th March
quotequote all
jjr1 said:
Touring442 said:
Sytners all closing as from today.
I believe they have also sent 2000 cars to auction with no reserve.

Prices of cars are definitely going to go up. It is obvious.
I drove past the Sheffield showroom earlier & the used cars have gone from the forecourt. I’m a key worker before anyone asks why I was out smile

jjr1

2,719 posts

214 months

Tuesday 24th March
quotequote all
Johnnybee said:
jjr1 said:
Touring442 said:
Sytners all closing as from today.
I believe they have also sent 2000 cars to auction with no reserve.

Prices of cars are definitely going to go up. It is obvious.
I drove past the Sheffield showroom earlier & the used cars have gone from the forecourt. I’m a key worker before anyone asks why I was out smile
That showroom is something else. Much like there Cheltenham one.

It leaves the my local Nottingham one looking like a poor relation.

smartypants

44,096 posts

123 months

Tuesday 24th March
quotequote all
Johnnybee said:
....I’m a key worker before anyone asks why I was out smile
We'll be the judge of that moan

av185

10,989 posts

81 months

Tuesday 24th March
quotequote all
Johnnybee said:
I’m a key worker before anyone asks why I was out smile
Timpsons have shut though.

Johnnybee

1,887 posts

175 months

Tuesday 24th March
quotequote all
smartypants said:
Johnnybee said:
....I’m a key worker before anyone asks why I was out smile
We'll be the judge of that moan
Lisa Riley body double?

Touring442

1,342 posts

163 months

Tuesday 24th March
quotequote all
So 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.
Is this vanilla stock or premium too?
I've no idea, sorry.

Auto810graphy

488 posts

46 months

Tuesday 24th March
quotequote all
Touring442 said:
They've dumped 2000 cars at auction, no reserve. Their overheads are incredible.
Are you sure? Auctions are shut and not the logistics would not be cost effective.

CRA1G

4,054 posts

149 months

Tuesday 24th March
quotequote all
Auto810graphy said:
Touring442 said:
They've dumped 2000 cars at auction, no reserve. Their overheads are incredible.
Are you sure? Auctions are shut and not the logistics would not be cost effective.
That doesn't ring true.... I don't think BCA would except any 3rd party vehicles now anyway,there over flowing with their own WBAC stock and they've closed all sites now including online auctions and I'm sure Sytners wouldn't put stock in without reserves......

Olivergt

328 posts

35 months

Tuesday 24th March
quotequote all
CRA1G said:
Auto810graphy said:
Touring442 said:
They've dumped 2000 cars at auction, no reserve. Their overheads are incredible.
Are you sure? Auctions are shut and not the logistics would not be cost effective.
That doesn't ring true.... I don't think BCA would except any 3rd party vehicles now anyway,there over flowing with their own WBAC stock and they've closed all sites now including online auctions and I'm sure Sytners wouldn't put stock in without reserves......
Is it more likely that they have moved them all to a secure location? The last thing you need is 50 premium cars sitting outside a showroom that is closed for weeks.


av185

10,989 posts

81 months

Tuesday 24th March
quotequote all
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.
scratchchin

Custard/link.

V8RX7

19,763 posts

217 months

Tuesday 24th March
quotequote all
Pommy said:
V8RX7 said:
Pommy said:
Those who have been so opposed to PCP and only buy cash are looking a bit fked now - they have an asset dropping like a stone that they cant get out of and costing them massively more than a loss limiting PCP/finance arrangement.
laughlaughlaugh

As everything I own is bought, not on any finance.

Remind me how I'm in trouble as I haven't got any bills to pay ?
Wouldn’t you rather have cash available rather than tied up in a car?

Maybe, maybe not but there will come a point this ends and you’re left with an asset that has cost you a lot more than if you simply financed its cost for a limited period with certain total outlay.

My point is more pointed at some of the recent PCP threads where there were vehement ‘PCP arrangements are bad’ points made are clearly affected by a substantial downturn in car values as ultimately your losses are limited whereas owning something outright is a much bigger financial impact.
I have enough cash available to not work for several years, cars / toys can always be sold too.

You are making big assumptions there - I've owned my MX5 that cost me £3500 almost 20 years - what would it have cost on PCP ?

Ah - you didn't state that in the OP and again it depends on what their situation is - however as the current situation shows - life isn't certain, bad things happen, it's best to have a rainy day fund however you wish to configure it.


smartypants

44,096 posts

123 months

Tuesday 24th March
quotequote all
Olivergt said:
Is it more likely that they have moved them all to a secure location? The last thing you need is 50 premium cars sitting outside a showroom that is closed for weeks.
Yes, same has happened to a local Ford dealership. Extra barriers all cars gone. Think it’s more to do with security

monzaxjr

481 posts

100 months

Tuesday 24th March
quotequote all
Nice offer from this classic car dealer. Pay full price of £15350 and he'll store the car for you for three months FOC. laughrolleyes Lucky if the car is worth £8k as it's pretty rough.

https://www.carandclassic.co.uk/car/C1215893

Touring442

1,342 posts

163 months

Tuesday 24th March
quotequote all
It's worth a cup of cold piss at the moment.

What a clown. laugh

Jibaro

201 posts

135 months

Tuesday 24th March
quotequote all
that looks like a safe place for £15k of your readies until this virus malarkey blows over rofl

jsf

16,624 posts

190 months

Wednesday 25th March
quotequote all
Pommy said:
Wouldn’t you rather have cash available rather than tied up in a car? Maybe, maybe not but there will come a point this ends and you’re left with an asset that has cost you a lot more than if you simply financed its cost for a limited period with certain total outlay.

My point is more pointed at some of the recent PCP threads where there were vehement ‘PCP arrangements are bad’ points made are clearly affected by a substantial downturn in car values as ultimately your losses are limited whereas owning something outright is a much bigger financial impact.

I’m not generally pro or anti PCP nor am I pro or anti Cash, depends on the persons circumstances, but for me, I’d rather keep as much money in the bank to have freedom to deal with the uncertainty ahead than £’000’s locked up without the flexibility.
Quite a lot of us on here have our cars as a hobby, not just as a white good. Buying outright allows us to do what we want with them. My car is used mainly as my road car, but i also use it to compete in sprints and have changed the spec massively, something you can't do with a car you don't own.

I bought my current car Jan 2009 when the market fell on its arse, pre this CV it was worth £8K more than i paid for it after putting 100K miles on it.

As i paid cash for it, i don't have to sell it and have no payments going out, so i can continue to use it for the shopping run, even though i am now sat on my arse at home with 80% income.

If i was on a PCP type deal with my outgoings maxed out at normal pay and no savings i'd be crapping myself.

Pommy

10,730 posts

170 months

Wednesday 25th March
quotequote all
jsf said:
Pommy said:
Wouldn’t you rather have cash available rather than tied up in a car? Maybe, maybe not but there will come a point this ends and you’re left with an asset that has cost you a lot more than if you simply financed its cost for a limited period with certain total outlay.

My point is more pointed at some of the recent PCP threads where there were vehement ‘PCP arrangements are bad’ points made are clearly affected by a substantial downturn in car values as ultimately your losses are limited whereas owning something outright is a much bigger financial impact.

I’m not generally pro or anti PCP nor am I pro or anti Cash, depends on the persons circumstances, but for me, I’d rather keep as much money in the bank to have freedom to deal with the uncertainty ahead than £’000’s locked up without the flexibility.
Quite a lot of us on here have our cars as a hobby, not just as a white good. Buying outright allows us to do what we want with them. My car is used mainly as my road car, but i also use it to compete in sprints and have changed the spec massively, something you can't do with a car you don't own.

I bought my current car Jan 2009 when the market fell on its arse, pre this CV it was worth £8K more than i paid for it after putting 100K miles on it.

As i paid cash for it, i don't have to sell it and have no payments going out, so i can continue to use it for the shopping run, even though i am now sat on my arse at home with 80% income.

If i was on a PCP type deal with my outgoings maxed out at normal pay and no savings i'd be crapping myself.
I wouldn't disagree in any way with the point you are making. My point doesnt align with your point.


Liamst

95 posts

69 months

Wednesday 25th March
quotequote all
Has anyone noticed interest rates on used cars dropping?
A few independent car sales and brokers online are now quoting cars at 4.9% where as this was 6.9% just last month.
I wonder if BMW can do 4.9% now on used when previously capped at 6.9% 🤔