Will Coronavirus hit used car prices? (Vol 2)
Discussion
When I was younger I was told buy the best house you can and least expensive car you can get away with.
Didn’t listen but it seems to have worked out OK.
In regards prices, our old 2019 Evoque that we sold to Webuyanycar a few weeks back has appeared for sale for £3k more than we sold it. When we sold it we got got similar money to what you could buy one for at the time, looking again it looks like it is well priced compared to similar cars.
Didn’t listen but it seems to have worked out OK.
In regards prices, our old 2019 Evoque that we sold to Webuyanycar a few weeks back has appeared for sale for £3k more than we sold it. When we sold it we got got similar money to what you could buy one for at the time, looking again it looks like it is well priced compared to similar cars.
ToastMan76 said:
Sorry figures were as a mental experience, but just ran a finance calculator for a 1.0l Golf over 3 years - £400pm. Since SUVs are one of the most desired options, if we look at a Tiguan its £445 per month. Bmw 118i SE IS £440pm. These are on boggo standard cars with no options, a Kia Sportage is £380 on the same terms. These are not small sums to a normal person on an average wage.
You need to have a look at those prices, you can PCH an M135 for £100 a month less than that. You can PCH an M235 GC for £20 less
I got my Mustang used from Cazoo still under original warranty (2.5 years old) for £27.5k a year ago and it’s currently worth £31k at one of the “drop it off and we’ll take it off your hands” places. It’s now out of warranty and has another 5k miles on it.
The shortages and factory shutdowns are driving up used prices of certain cars.
Interestingly Lexus RC F haven’t gone up, as I was cross shopping those and looking again they’re still the same price with more cars on the market. I think it’s all about the cars which had a little more volume but now have none, rather than really low or really high volume cars.
The shortages and factory shutdowns are driving up used prices of certain cars.
Interestingly Lexus RC F haven’t gone up, as I was cross shopping those and looking again they’re still the same price with more cars on the market. I think it’s all about the cars which had a little more volume but now have none, rather than really low or really high volume cars.
My car seems to be bucking the trend!
I’ve been tracking the WBAC price of my 2017 Mitsubishi Shogun SG5 which seems to have dropped £1500 in two weeks. But the few SG5s that are currently on the market seemed to have moved up significantly in price.
Perhaps too niche a car for WBAC.
I’ve been tracking the WBAC price of my 2017 Mitsubishi Shogun SG5 which seems to have dropped £1500 in two weeks. But the few SG5s that are currently on the market seemed to have moved up significantly in price.
Perhaps too niche a car for WBAC.
Two interesting things have happened today.
1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
Joey Deacon said:
Two interesting things have happened today.
1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
Is this why gap are now closing U.K. stores as they don’t want to/or can’t contribute more?1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
Yes the taps are now slowly turning off and rightly so
Joey Deacon said:
Two interesting things have happened today.
1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
Do we know its people on furlough driving car prices up?1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
Theres a lot of people out there still gainfully employed, who have reduced outgoings, who havent spent money on holidays, etc and pent up demand because we've had a lockdown pretty much this past 15 months.
I'm almost certain that being on furlough would make it problematic to get car finance (as is being in one of those industries most affected) so i cant see that the demand is significant from that group of affected people.
We're also seeing a skills / people shortage in many fields as businesses open up again, and where people have went for temp / short term jobs in one area and are now moving back to their skillset area.
Arguably it could further bolster prices - "I've to go back to work now, need to sort myself out with a car again".
I bought a 2018 Audi 8V S3 at the easing of first restrictions in April for £26,995. WBAC and others are now offering trade-in values within a whisker of that.
I just can't see how someone would want to pay another £3k (?) on top of this retail. Perhaps some further supply constraints on new cars are in the offing, or significant manufacturer price rises? Or maybe this is the peak.
Brand new 8Y model S3s were available at £36k recently via brokers - I know because I was tempted!
I just can't see how someone would want to pay another £3k (?) on top of this retail. Perhaps some further supply constraints on new cars are in the offing, or significant manufacturer price rises? Or maybe this is the peak.
Brand new 8Y model S3s were available at £36k recently via brokers - I know because I was tempted!
Deep Thought said:
Do we know its people on furlough driving car prices up?
Theres a lot of people out there still gainfully employed, who have reduced outgoings, who havent spent money on holidays, etc and pent up demand because we've had a lockdown pretty much this past 15 months.
I'm almost certain that being on furlough would make it problematic to get car finance (as is being in one of those industries most affected) so i cant see that the demand is significant from that group of affected people.
We're also seeing a skills / people shortage in many fields as businesses open up again, and where people have went for temp / short term jobs in one area and are now moving back to their skillset area.
Arguably it could further bolster prices - "I've to go back to work now, need to sort myself out with a car again".
We sell 80+ used cars a month usually sporty, luxury prestige stuff. Loads of finance business. Not much in the way of selling to Furloughed people at all. Hardly had anyone who is furloughed by a car. Theres a lot of people out there still gainfully employed, who have reduced outgoings, who havent spent money on holidays, etc and pent up demand because we've had a lockdown pretty much this past 15 months.
I'm almost certain that being on furlough would make it problematic to get car finance (as is being in one of those industries most affected) so i cant see that the demand is significant from that group of affected people.
We're also seeing a skills / people shortage in many fields as businesses open up again, and where people have went for temp / short term jobs in one area and are now moving back to their skillset area.
Arguably it could further bolster prices - "I've to go back to work now, need to sort myself out with a car again".
A lot of people are just business as normal and working as normal during these times.
Joey Deacon said:
Two interesting things have happened today.
1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
House prices moved up to more than take away the stamp duty holiday benefit and no one on furlough earning 80% of their salary is in the market driving up used car prices.1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
What you're actually saying is a 20% wage reduction increases demand for high ticket consumer goods and people buying a new house in an inflated market also have the spare money to inflate the used car market at the same time?
Wills2 said:
Joey Deacon said:
Two interesting things have happened today.
1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
House prices moved up to more than take away the stamp duty holiday benefit and no one on furlough earning 80% of their salary is in the market driving up used car prices.1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
What you're actually saying is a 20% wage reduction increases demand for high ticket consumer goods and people buying a new house in an inflated market also have the spare money to inflate the used car market at the same time?
I’ve put me and the family back in lease cars. Some good deals to be found if you work hard and don’t mind what you drive. I’m not getting involved in this market, it just makes little sense to me. Reminds me too much of pre 2007.
More and more talk of geo diversifying workforce’s to cheaper countries / business leaders know they can work from anywhere with the right people now.
Debt recovery from the govt starting to get back to normal, as is debt recovery overall. HMRC paying 3.4m people’s salaries. Or were. Plenty of spare cash floating about, but it doesn’t make much for that to flip. It might start with unsecured car loans, personal debt still seems to be acceptable at high levels. Who knows. Certainly not me!
More and more talk of geo diversifying workforce’s to cheaper countries / business leaders know they can work from anywhere with the right people now.
Debt recovery from the govt starting to get back to normal, as is debt recovery overall. HMRC paying 3.4m people’s salaries. Or were. Plenty of spare cash floating about, but it doesn’t make much for that to flip. It might start with unsecured car loans, personal debt still seems to be acceptable at high levels. Who knows. Certainly not me!
'02 M coupe (z3m)
78k miles
WBAC
24/05/21: 25,000
02/06/21: 27,375
02/07/21: 30,165
After the first enquiry, I have done nothing so the offer improvements are from them.
Obviously not really a car that you sell to WBAC, I suspect it's value is about 35k in a more traditional selling marketplace. I didn't think WBAC would offer that much money for something a bit oddball. Its almost tempting for no agro!
78k miles
WBAC
24/05/21: 25,000
02/06/21: 27,375
02/07/21: 30,165
After the first enquiry, I have done nothing so the offer improvements are from them.
Obviously not really a car that you sell to WBAC, I suspect it's value is about 35k in a more traditional selling marketplace. I didn't think WBAC would offer that much money for something a bit oddball. Its almost tempting for no agro!
nickfrog said:
Crazy, isn't it. We bought a mint Clio RS200 on 36k miles for £6,600 a few weeks ago and I accepted that we probably paid a bit too much but now I am not even sure...
I think you did really well there. I’m looking for a really good RS200 with Cup pack and anything with around 50-60,000 miles appears to be £8k and upwards. Would love to hear more about yours.Anonymous-poster said:
Wills2 said:
Joey Deacon said:
Two interesting things have happened today.
1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
House prices moved up to more than take away the stamp duty holiday benefit and no one on furlough earning 80% of their salary is in the market driving up used car prices.1)The stamp duty threshold has been reduced from £500K to £250K. This means on a £500K house the stamp duty payable is now £12,500.
2)The first step to the Furlough scheme winding down happened to day. Now, instead of the government paying the 80%, they will pay 70% with the employer making up the remaining 10%. This will increase to 20% next month.
I wonder if this is the start of the money taps being slowly turned off and will have a knock on effect to car prices?
What you're actually saying is a 20% wage reduction increases demand for high ticket consumer goods and people buying a new house in an inflated market also have the spare money to inflate the used car market at the same time?
sutts said:
nickfrog said:
Crazy, isn't it. We bought a mint Clio RS200 on 36k miles for £6,600 a few weeks ago and I accepted that we probably paid a bit too much but now I am not even sure...
I think you did really well there. I’m looking for a really good RS200 with Cup pack and anything with around 50-60,000 miles appears to be £8k and upwards. Would love to hear more about yours.We thought we preferred a Cup, particularly as it's a Dad+son project (he did pay half) and we will track it but in retrospect I am glad we went for non Cup. It handles beautifully as it is and is just firm enough for the road.
It will need work though despite being mint cosmetically. Rad support shows rust as expected and the wheels need refurbing.
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