How the hell do people afford cars these days?

[Deep Thought]

Pistonheader101 said:

motoring is far too expensive now. I'll be selling up and sharing a car with my spouse.

We now share one main car, though i've the Z4 coupe as my weekend toy. Pre COVID we did 15K in one car and 9K in the second car, now the main car is doing perhaps 6K in total as we both work from home.

[Tomanybikes]

nickfrog said:

Tomanybikes said:

Looking at the stats if you look at ALL people at 65 then it’s around 100k but still more than was quoted on the other thread.
But still makes for a depressing retirement for many people who certainly will struggle to “afford a new car” as the thread title asks.

Indeed, not a fair world. Different people have different outcomes in retirement and therefore make different decisions as to how they afford cars, whether new or not (I don't think the title or the topic is specifically about new).

As ever, it depends. There isn't one solution that fits everyone's particular circumstances.

Edited by nickfrog on Monday 23 May 14:00

You are looking at the outcome instead of the causation.

[nickfrog]

Tomanybikes said:

You are looking at the outcome instead of the causation.

Not necessarily. Not in all cases. It depends. No need to conflate, it's a bit more complex. A bit like the simplistic data you supplied which me and others had to delve into for a more balanced view rather than a sweeping statement that may or may not apply to someone.

[Tomanybikes]

nickfrog said:

Tomanybikes said:

You are looking at the outcome instead of the causation.

Not necessarily. Not in all cases. It depends. No need to conflate, it's a bit more complex. A bit like the simplistic data you supplied which me and others had to delve into for a more balanced view rather than a sweeping statement that may or may not apply to someone.

missing the point as usual.

[nickfrog]

Tomanybikes said:

nickfrog said:

Tomanybikes said:

You are looking at the outcome instead of the causation.

Not necessarily. Not in all cases. It depends. No need to conflate, it's a bit more complex. A bit like the simplistic data you supplied which me and others had to delve into for a more balanced view rather than a sweeping statement that may or may not apply to someone.

missing the point as usual.

Not at all. But as usual you play the man, not the ball. Would you kindly stop or tell me what point I have ever missed. Thank you.

I have rationnaly and respectfully explained my position based on direct experience which clearly demonstrates that there are different ways to approach things and that the fact that I might be in a minority doesn't remotely change that.

[Tomanybikes]

nickfrog said:

Not at all. But as usual you play the man, not the ball. Would you kindly stop or tell me what point I have ever missed. Thank you.

I have rationnaly and respectfully explained my position based on direct experience which clearly demonstrates that there are different ways to approach things and that the fact that I might be in a minority doesn't remotely change that.

We will have to agree to disagree.

[nickfrog]

Tomanybikes said:

We will have to agree to disagree.

I am quite happy to as I am a big fan of the plurality of opinions when they're expressed respectfully and without resorting to unnecessary ad hominem.

[Tomanybikes]

nickfrog said:

Tomanybikes said:

We will have to agree to disagree.

I am quite happy to as I am a big fan of the plurality of opinions when they're expressed respectfully and without resorting to unnecessary ad hominem.

That’s very ignoble of you.

[Frimley111R]

£70k for a Skoda, £55K for a 1.6 KIA SUV! .... https://www.pistonheads.com/gassing/topic.asp?h=0&...

[Shnozz]

Frimley111R said:

70k for a Skoda, 55K for a 1.6 KIA SUV! .... https://www.pistonheads.com/gassing/topic.asp?h=0&...

Depressing reading but I guess it really emphasises that no one is paying hard earned cash for most new cars. I would cry at the prospect of saving £70k to put myself in a Skoda. I don't know what finance/PCP/lease costs would be but I simply can't imagine anyone parting with that much cash for that little car.

If this is the way things are going I won't be replacing mine any time soon. Second hand prices are also daft IMO. Inflation might mean we never see them revert to levels of 3 - 5 years ago and if that is the case, then I am out.

[roger.mellie]

Shnozz said:

Frimley111R said:

70k for a Skoda, 55K for a 1.6 KIA SUV! .... https://www.pistonheads.com/gassing/topic.asp?h=0&...

Depressing reading but I guess it really emphasises that no one is paying hard earned cash for most new cars. I would cry at the prospect of saving 70k to put myself in a Skoda. I don't know what finance/PCP/lease costs would be but I simply can't imagine anyone parting with that much cash for that little car.

If this is the way things are going I won't be replacing mine any time soon. Second hand prices are also daft IMO. Inflation might mean we never see them revert to levels of 3 - 5 years ago and if that is the case, then I am out.

I've been involved in company discussions around offering an electric car scheme. I'm generally of the view that the used car market needs fed by bulk buyers like fleets and rental companies. I've even bought an ex motability car once and ignored the piss stains on the passenger seat (I'm joking about the piss stains). Very few pay 70K for a Skoda, you can be damn sure our CFO would blow a blood vessel at the mere concept of paying list. But headline prices and headline price inflation is an issue. I'd love to see some regulation that makes the sticker price the price you pay. I don't blame the car salespeople, generally I've got on well with any I've had to deal with, but I hate the game (cliche yes, but I don't hate the player).

[amstrange1]

Think it was posted in another thread that the OEMs are forcing dealers to market their demonstrator models. Dealers don't want to sell them (as they can't back-fill them quickly enough), hence you see the nonsense with them listed for sale at ridiculous uplifts over list price.

[Pablo16v]

amstrange1 said:

Think it was posted in another thread that the OEMs are forcing dealers to market their demonstrator models. Dealers don't want to sell them (as they can't back-fill them quickly enough), hence you see the nonsense with them listed for sale at ridiculous uplifts over list price.

Indeed. Skoda and Hyuandai are struggling to deliver Enyaqs and Santa Fe's ordered last year never mind cars ordered in '22 so I'm not surprised they are asking silly money for stock vehicles. If someone is daft enough to pay the asking price they are at least quids in.

[Theoldguard]

Ofgem now predicting average energy bills of £2800 from October, some will be paying less some will be paying alot more.

I think it's safe to say that come October majority are going to be paying hell of lot more for their energy this winter than they did last winter.

Unlikely to see many Mr average signing up to some overpriced PCP deal for the next 2-3 years in this high inflation environment.

Nice new shiny car on the drive but too frightened to put the heating on or take it out for a spin at £1.70 a litre.

[Shnozz]

Theoldguard said:

Ofgem now predicting average energy bills of 2800 from October, some will be paying less some will be paying alot more.

I think it's safe to say that come October majority are going to be paying hell of lot more for their energy this winter than they did last winter.

Unlikely to see many Mr average signing up to some overpriced PCP deal for the next 2-3 years in this high inflation environment.

Nice new shiny car on the drive but too frightened to put the heating on or take it out for a spin at 1.70 a litre.

Every time I predict a fall in asset prices, the world seems to conjure up some mental trick and they accelerate even further. Surely, this next year has to see car prices drop?!

[PTF]

£1900 now. £2800 october. So you can roughly say a 50% increase

I'm paying £240/m already on variable. Fixing it is coming in at £320. The announcement today suggests £360 in oct, so i may now look at fixing but it's prob too late.

[Pixelpeep 135]

for the usual "i like a shiny new car every 2-3 years" crew (and yes... i am a part of that crew) i predict:

Keeping their existing car a bit longer
extending lease deals if possible
waiting out the storm

in turn this hopefully will:

fix the supply vs demand issue
let the chip shortages catch up
stop the greedy dealers ramping up prices
make it a buyers market once again.

time scale? - 18-24 months.

[Deep Thought]

Pixelpeep 135 said:

for the usual "i like a shiny new car every 2-3 years" crew (and yes... i am a part of that crew) i predict:

Keeping their existing car a bit longer
extending lease deals if possible
waiting out the storm

Agreed. Also buying out their current car at the end of the term. Final payments on PCP deals are low relative to current values so makes a lot of sense compared to handing it back. Loads of cheap loans still around also.

Pixelpeep 135 said:

in turn this hopefully will:

fix the supply vs demand issue
let the chip shortages catch up
stop the greedy dealers ramping up prices
make it a buyers market once again.

time scale? - 18-24 months.

It'll keep used car prices high though, as there will continue to be dramatically less good quality used cars coming on to the market, so that will continue to have a knock on effect down the line.

[Theoldguard]

Pixelpeep 135 said:

for the usual "i like a shiny new car every 2-3 years" crew (and yes... i am a part of that crew) i predict:

Keeping their existing car a bit longer
extending lease deals if possible
waiting out the storm

in turn this hopefully will:

fix the supply vs demand issue
let the chip shortages catch up
stop the greedy dealers ramping up prices
make it a buyers market once again.

time scale? - 18-24 months.

I think many will struggle to extend their current leases on favourable rates, not sure how PCP works in terms of extensions.
Buying will be an option as likely the price will be alot lower than current second hand values, this may lead to a supply of used hitting the market as some just get out of PCP, make a bit on their vehicle and drop down from 2 to 1 car or give up the cars altogether and wait for things to settle in general.

There are plenty who live just on the edge, so rising prices on energy, fuel, food and revised PCP deals with higher monthlies will just not stack up.

[jimPH]

Email from energy company, monthly now £350!

Crikey, it's summer!