Will Coronavirus hit used car prices? (Vol 2)
Discussion
av185 said:
Manheim Auctions also reporting green shoots of recovery across certain used car sectors although as expected and previously posted particular heavy fuel sectors increasingly weaker.
Green shoots of recovery from what?You've been insisting everything is up except a handful of lardy gas guzzlers
nickfrog said:
Joey Deacon said:
You cannot argue that the price of brand new cars is going up rapidly now, and that there are long waiting lists. The knock on effect of this is that second hand prices of nearly new cars are the same if not more than list and are often more expensive due to the finance rate being better on new cars.
How long this is going to carry on for I don't know, but it is not suddenly going to stop overnight.
Go and look at the new prices of some pretty mundane white goods cars, I think you will be shocked.
That's true. Not only that but discounts are still very limited compared to what they were. How long this is going to carry on for I don't know, but it is not suddenly going to stop overnight.
Go and look at the new prices of some pretty mundane white goods cars, I think you will be shocked.
Our humble Kia's price list has gone up £2k since we bought it but the lower max discount means that they're effectively £3.5k more expensive than 1 year ago.
Easy to see the effect of this on 1-3 year old cars, and that's from a manufacturer that has had less supply issues than most.
I don't how this will last though but any return to previous transaction prices will be gradual.
With such strong used values it meant the gap between a new one and 3 year old one with 30-40k, wasn’t a huge amount more, considering the warranty new car etc.
For what it's worth (as an accountant), I have quite a few very successful business owners as clients. Over the last few weeks/months they have been planning for harder times and house/asset purchases are on hold until 'bargains can be had'. They've done it many times before and see this time as no different. Personally new money buys shiny things, not old. And if things turn out as predicted, the new money may dry up for a while.
av185 said:
Manheim Auctions also reporting green shoots of recovery across certain used car sectors although as expected and previously posted particular heavy fuel sectors increasingly weaker.
You were all about BCA auctions for months until they starting posting downwards trends. You're just posting what fits your opinion as fact, and ignoring everything else going on around it.
The cheque books are definitely open this week, watching online auctions people back to paying CAP clean whilst the past few weeks it seemed to have dropped off by about 5%. CAP figures are not the bible on pricing but so many dealers just seem to use it that way.
I can’t understand if but then again I have been lost in this for two years and I work in vehicle finance.
I can’t understand if but then again I have been lost in this for two years and I work in vehicle finance.
yellowbentines said:
av185 said:
Manheim Auctions also reporting green shoots of recovery across certain used car sectors although as expected and previously posted particular heavy fuel sectors increasingly weaker.
You were all about BCA auctions for months until they starting posting downwards trends. You're just posting what fits your opinion as fact, and ignoring everything else going on around it.
av185 said:
yellowbentines said:
av185 said:
Manheim Auctions also reporting green shoots of recovery across certain used car sectors although as expected and previously posted particular heavy fuel sectors increasingly weaker.
You were all about BCA auctions for months until they starting posting downwards trends. You're just posting what fits your opinion as fact, and ignoring everything else going on around it.
... Although to be fair it was a part of the article that you didn't include.
carparkno1 said:
av185 said:
yellowbentines said:
av185 said:
Manheim Auctions also reporting green shoots of recovery across certain used car sectors although as expected and previously posted particular heavy fuel sectors increasingly weaker.
You were all about BCA auctions for months until they starting posting downwards trends. You're just posting what fits your opinion as fact, and ignoring everything else going on around it.
... Although to be fair it was a part of the article that you didn't include.
To suggest values across the whole used car sector are falling would be as inaccurate as suggesting they are all rising and these points are confirmed by other used car threads if you care to read them.
Try and understand some cars are increasing in value some cars are relatively static and some cars are falling in value.
To suggest that the used car market is one dimensional in terms of value trends is moronic.
carparkno1 said:
It literally states in the article you posted "as CAP values continue to fall"...
... Although to be fair it was a part of the article that you didn't include.
The Manheim report which for some reason you have since removed from your post also states 'a big increase in buyers has resulted in a rise in prices.'... Although to be fair it was a part of the article that you didn't include.
carparkno1 said:
av185 said:
carparkno1 said:
av185 said:
Manheim Auctions also reporting green shoots of recovery across certain used car sectors although as expected and previously posted particular heavy fuel sectors increasingly weaker.
Do you have a link thanks
Bit more to it than that from what I am reading
That reads like an article where someone is struggling to find the right words of positivity like when a bird s
ts on you and you're told it's good luck.You don't get shoots of recovery when your market has been overheated, comes off a little bit and some areas see a slight jump. That's not a recovery, that's just a temporary resilience to maintain an artificial bubble. Ever seen an investment chart where it booms and bust? They don't go straight up and straight down - they jaggedly go up and jaggedly go down and the article is finding the jagged bits just as it's about to fall off.
It appears everyones going 'ooh, inflation, that means prices go up, brilliant!' conveniently, or stupidly, ignoring the impending interest rate rises that will be used to attempt to temper inflation. And then also conveniently ignoring that everything surrounding said item will cost more to run.
The worst part is that inflated prices of the last few years have been artificially inflated - the situation causing the inflation was not of a normal making and therefore it cannot be maintained in any way and there is absolutely nothing supporting a hill of sand of £90k RS3s and £60k Golf R's.
Theres going to be so many people underwater on car loans they can't afford living in negative equity land.
Interesting stats from an Ipsos Mori poll:
https://www.ipsos.com/en-uk/global-perceptions-of-...
Over half of respondents either "Just about getting by" or "Finding it difficult" financially in the UK.
https://www.ipsos.com/en-uk/global-perceptions-of-...
Over half of respondents either "Just about getting by" or "Finding it difficult" financially in the UK.
av185 said:
carparkno1 said:
It literally states in the article you posted "as CAP values continue to fall"...
... Although to be fair it was a part of the article that you didn't include.
The Manheim report which for some reason you have since removed from your post also states 'a big increase in buyers has resulted in a rise in prices.'... Although to be fair it was a part of the article that you didn't include.
av185 said:
yellowbentines said:
av185 said:
Manheim Auctions also reporting green shoots of recovery across certain used car sectors although as expected and previously posted particular heavy fuel sectors increasingly weaker.
You were all about BCA auctions for months until they starting posting downwards trends. You're just posting what fits your opinion as fact, and ignoring everything else going on around it.
carparkno1 said:
It literally states in the article you posted "as CAP values continue to fall"...
... Although to be fair it was a part of the article that you didn't include.
CAP prices have been dropping the past few months but pre covid most car values nearly always dropped in CAP as they depreciated. My point is that dealers seem to have more confidence and are now buying again this week at current prices, maybe a few have cleared out some stock and just reloading their stocking facilities. ... Although to be fair it was a part of the article that you didn't include.
There's alot of confirmation bias going on here
Inflation through the roof, cost of living crisis, every corner of the population being squeezed yet car prices are still rising.
I've said it before, on high-end & hard to source cars I completely get it, but run-of-the-mill stuff, no chance.
It's going to be a bloodbath.
Inflation through the roof, cost of living crisis, every corner of the population being squeezed yet car prices are still rising.
I've said it before, on high-end & hard to source cars I completely get it, but run-of-the-mill stuff, no chance.
It's going to be a bloodbath.
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