Will Coronavirus hit used car prices?

[The Cardinal]

I placed a £500 deposit on a Golf Mk8 - the first the dealer has ordered - last week. It's due in June or July, but who knows what Covid-19 will do to that timescale and the trade-in value of my current car.

I settled my current car's PCP recently, so I have some flexibility... but there's only so far I'd be prepared to see its trade value go down (I remember 2009, too!) before I would pull out and write-off the £500.

Of course, I'm very much hoping it doesn't come to that.

[Str6mik]

Might be related... might not. But the valuation for my fk8 on webuyanycar went down £1200 in a week!

New model coming out was announced weeks ago so can’t be a huge influence in the last week.

[Douglas Quaid]

gizlaroc said:

Is it more worrying?

I don't think it is for many. Worrying about loosing their homes, no food etc. I would imagine is far more worrying for some than dying.
As for parents dying? C'mon, be realistic.

How do you have a loose home? Do you mean one that is tied loosely to a cliff or something?

[gizlaroc]

swisstoni said:

I know this is a car forum but, this thread.

In what way?

[Justin Case]

Douglas Quaid said:

gizlaroc said:

Is it more worrying?

I don't think it is for many. Worrying about loosing their homes, no food etc. I would imagine is far more worrying for some than dying.
As for parents dying? C'mon, be realistic.

How do you have a loose home? Do you mean one that is tied loosely to a cliff or something?

I see that despite any restrictions on movement the spelling police are still on the lose.

[gizlaroc]

Douglas Quaid said:

How do you have a loose home? Do you mean one that is tied loosely to a cliff or something?

You cant!

Oops, did I spell that wrong or did I forget an apostrophe?
You decide.


Nice to see that while discussing about losing my business, and the business is guaranteed by my house, so would mean I lose that too, and taking a huge paycut, that the first thing you think of is pulling apart my spelling.

Thanks.

[swisstoni]

gizlaroc said:

swisstoni said:

I know this is a car forum but, this thread.

In what way?

Well, let’s see. Pandemic. Health fears for the elderly and infirm.

Now, how is this going to effect used car prices?

[TimoMak]

Lots of lightly used Honda Jazzes to hit the market in 2-3 months ?

[Venisonpie]

swisstoni said:

Well, let’s see. Pandemic. Health fears for the elderly and infirm.

Now, how is this going to effect used car prices?

Significantly. The economy is about to rapidly head into recession, jobs will go, confidence will tank. Folk are not going to be buying cars.

[Xcore]

Looks like I’m keeping my weekend car for another 6 months then!

[Wacky Racer]

If 95% of people in the UK die, there will still be the same number of cars around.

So yes, prices will go down, supply and demand you see.

Might be a few bargains about...…

[0a]

Things changed completely this week. We went from being down 5%, to down 75% vs the same period last year. Each day saw a double digit decline in trading. Very sobering.

[Wacky Racer]

Justin Case said:

Douglas Quaid said:

gizlaroc said:

Is it more worrying?

I don't think it is for many. Worrying about loosing their homes, no food etc. I would imagine is far more worrying for some than dying.
As for parents dying? C'mon, be realistic.

How do you have a loose home? Do you mean one that is tied loosely to a cliff or something?

I see that despite any restrictions on movement the spelling police are still on the lose.

Loose.

[Robmarriott]

swisstoni said:

gizlaroc said:

swisstoni said:

I know this is a car forum but, this thread.

In what way?

Well, let’s see. Pandemic. Health fears for the elderly and infirm.

Now, how is this going to effect used car prices?

wait 'til you see the people talking about all the houses which will come on to the market when the old people die...

[LuS1fer]

Wacky Racer said:

Loose.

Whoosh parrot, aisle 4.

[nickfrog]

TimoMak said:

Lots of lightly used Honda Jazzes to hit the market in 2-3 months ?

You really maintain your reputation as a tt with gusto.

[ninepoint2]

nickfrog said:

TimoMak said:

Lots of lightly used Honda Jazzes to hit the market in 2-3 months ?

You really maintain your reputation as a tt with gusto.

Another of the permanently offended brigade

[av185]

Venisonpie said:

my debt is relatively low and manageable.

This is the key to it and keeping your head above the water.

Those that are heavily indebted as ever will feel the pain the most.

[av185]

MitchT said:

I predict that everything will be hit except house prices and rail fares which will somehow remain stupidly high.

The housing market will take a hit.

[av185]

Doubtful that mainstream vanilla cars will take much of a hit pricewise and desirable stuff could actually strengthen ££ due to demand as folks trade out of their higher capital value high fuel consumption wheels and downgrade to more economical cars. As previously mentioned modern euro 6 diesels have held up very well as they are cheap to ved and fuel.

Dont forget vehicles are an absolute necessity for most.

Higher end stuff will inevitably take a hit depending on the vehicle but again this will be propped up by reduced manufacturing numbers by the likes of Ferrari (factory now closed ban on shorting Ferrari stock) and Porsche and rare restricted run cars as ever will indoubtedly hold up extremely well.

The other aspect to this is that it is a structural event bear stock market scenario (as opposed to a single event like sars etc) triggering a probable global recession which could well last on average 4+years hence folks pension funds will be feeling the pain and these markets could drop up to 60% from their peak suggesting much more loss of value on the financial markets is to come with a corresponding huge reduction in consumers confidence and spending ability.