Never ending predicament - so many options Lease/Buy/EV
Discussion
Predicament - I am going round and round in circles and hoping someone who has been in the game for a while can give me some advice.
I picked up one of the great Listers Scirocco GT 2.0 Leases back in 2018, ending March 2020 (big deposit contribution, £203 a month but have since paid for extra miles so paying circa £260 for last few months).
I have a new job where I am travelling 50 miles a day and fuel is roughly £160 a month and then insurance around 40. Therefore I am spending around £460 per month on this car.
I have absolutely loved the car and as my first lease, loved the fact I know what costs are going to be each month, tax is sorted, roadside assistance provided etc, however, £460 is still £460 and wanting to buy my first home in the next year, if I can half that monthly cost, my savings would increase greatly.
I have automatically been drawn to a new lease (interested in A class', Leon Cupra's, A3's and some of the small SUV's but no real unbelievable deals like there used to be.
The next option would be buying a 3/4 year old car with a bank loan for around the 15-20k mark. In this instance I am probably going to be spending the same each month.
Finally I come to Electric Vehicles, be that either leasing, buying or otherwise (heard a bit about Evezy). Around 10k+ per year means a fair few quid on fuel (granted not as much as many people, but I could do with an MPG better than 35 (current approx).
Any tips or guidance of what I should consider would be greatly appreciated and helpful. There is only so much info online so personal advice is much more helpful. There of course isn't a correct answer but things to look out for would be appreciated. Thanks in advance
I picked up one of the great Listers Scirocco GT 2.0 Leases back in 2018, ending March 2020 (big deposit contribution, £203 a month but have since paid for extra miles so paying circa £260 for last few months).
I have a new job where I am travelling 50 miles a day and fuel is roughly £160 a month and then insurance around 40. Therefore I am spending around £460 per month on this car.
I have absolutely loved the car and as my first lease, loved the fact I know what costs are going to be each month, tax is sorted, roadside assistance provided etc, however, £460 is still £460 and wanting to buy my first home in the next year, if I can half that monthly cost, my savings would increase greatly.
I have automatically been drawn to a new lease (interested in A class', Leon Cupra's, A3's and some of the small SUV's but no real unbelievable deals like there used to be.
The next option would be buying a 3/4 year old car with a bank loan for around the 15-20k mark. In this instance I am probably going to be spending the same each month.
Finally I come to Electric Vehicles, be that either leasing, buying or otherwise (heard a bit about Evezy). Around 10k+ per year means a fair few quid on fuel (granted not as much as many people, but I could do with an MPG better than 35 (current approx).
Any tips or guidance of what I should consider would be greatly appreciated and helpful. There is only so much info online so personal advice is much more helpful. There of course isn't a correct answer but things to look out for would be appreciated. Thanks in advance
I think it really depends on how much/how realistic you are about buying a house. I know it's the boring non-PH answer but I would (and did) do everything possible to avoid debt prior to a mortgage arrangement.
Car finance, in whatever form, is likely to be the biggest detractor for first time buyers. It will hinder your ability to save and your affordability.
Have you considered a MK5 Golf GTI? More reliable engine, similar performance and good ones available for ~5k, meaning a very cheap loan or cash.
Car finance, in whatever form, is likely to be the biggest detractor for first time buyers. It will hinder your ability to save and your affordability.
Have you considered a MK5 Golf GTI? More reliable engine, similar performance and good ones available for ~5k, meaning a very cheap loan or cash.
Lukas239 said:
I think it really depends on how much/how realistic you are about buying a house. I know it's the boring non-PH answer but I would (and did) do everything possible to avoid debt prior to a mortgage arrangement.
Car finance, in whatever form, is likely to be the biggest detractor for first time buyers. It will hinder your ability to save and your affordability.
Have you considered a MK5 Golf GTI? More reliable engine, similar performance and good ones available for ~5k, meaning a very cheap loan or cash.
Yes, I am thinking it would be sensible to reduce/eliminate any finance or debt before starting the mortgage process. I don't want having 400+ outgoings p/m hindering the amount I could borrow. Realistically I am not going to buy for another year/18 months, but this is still going to be within any lease I would take out (24/36 month term). Car finance, in whatever form, is likely to be the biggest detractor for first time buyers. It will hinder your ability to save and your affordability.
Have you considered a MK5 Golf GTI? More reliable engine, similar performance and good ones available for ~5k, meaning a very cheap loan or cash.
I have not considered any specific used models, but good reliability, performance and total cost are major points. I would probably be drawn towards a golf of this era!
ThMo0118 said:
wanting to buy my first home in the next year... been drawn to a new lease (interested in A class', Leon Cupra's, A3's.....bank loan for around the 15-20k mark
I got divorced - to get the house I wanted in the area I wanted I had to strip everything back. Lexus went and was replaced with a £600 volvo. Did a house share with a colleague for 6 months. £Grand in bank each month job done. Also, a £15k car loan comes straight off your ability to borrow. All depend on priorities and how serious you are. Ive still got the house while the volvo memories are long gone!
cheeky_chops said:
I got divorced - to get the house I wanted in the area I wanted I had to strip everything back. Lexus went and was replaced with a £600 volvo. Did a house share with a colleague for 6 months. £Grand in bank each month job done. Also, a £15k car loan comes straight off your ability to borrow.
All depend on priorities and how serious you are. Ive still got the house while the volvo memories are long gone!
At 25, I think there are priorities and as disappointing as it is, a nice car is probably not one of those at the moment as I am serious about saving and would hate for a lease to affect my potential borrowing amount. Time to find a suitable replacement!!All depend on priorities and how serious you are. Ive still got the house while the volvo memories are long gone!
I can only echo the above, as boring as it may seem.
Buy a car for a couple of grand and save the £x amount a month that you have been spending on the Scirocco, this will help with your house deposit and you won't have a finance or loan agreement against you which may hinder the amount you can borrow for a mortgage.
I did this myself a number of years ago, it is actually quite refreshing driving something that isn't worth much but in reality does everything that the previous car(s) have done! I now also don't see the point in spending £20k+ on a car so it has benefited me in the long run too.
Volvo S60 D5 manual if your mileage and journey profile favour a diesel or the 2.0t if not....both can be had for peanuts nowadays.
Cheers,
Chris
Buy a car for a couple of grand and save the £x amount a month that you have been spending on the Scirocco, this will help with your house deposit and you won't have a finance or loan agreement against you which may hinder the amount you can borrow for a mortgage.
I did this myself a number of years ago, it is actually quite refreshing driving something that isn't worth much but in reality does everything that the previous car(s) have done! I now also don't see the point in spending £20k+ on a car so it has benefited me in the long run too.
Volvo S60 D5 manual if your mileage and journey profile favour a diesel or the 2.0t if not....both can be had for peanuts nowadays.
Cheers,
Chris
I think this is a common issue for many people with the attraction of shinny lease deals, which as a monthly amount seem cheap and are totally affordable while living at home or with other financial advantageous living arrangements.
I am at a different stage as I bought my first house 7 months ago, have an okish car owned outright and started looking at upgrading my car. I cannot make any of these lease deals stack up, even the cheapest Cupra deals would be costing me £500/month all in (Lease, insurance, Fuel, Maintenance).
I earn a good graduate wage, went way under what the bank offered me to borrow on a mortgage and still don't have that level of disposal income. So I am left waiting until my okish car breaks or I get paid more. While the ever looming prospect of the expense of kids comes closer by the day, pushing the prospect of a new car back further.
I am at a different stage as I bought my first house 7 months ago, have an okish car owned outright and started looking at upgrading my car. I cannot make any of these lease deals stack up, even the cheapest Cupra deals would be costing me £500/month all in (Lease, insurance, Fuel, Maintenance).
I earn a good graduate wage, went way under what the bank offered me to borrow on a mortgage and still don't have that level of disposal income. So I am left waiting until my okish car breaks or I get paid more. While the ever looming prospect of the expense of kids comes closer by the day, pushing the prospect of a new car back further.
ThMo0118 said:
Predicament - I am going round and round in circles and hoping someone who has been in the game for a while can give me some advice.
I picked up one of the great Listers Scirocco GT 2.0 Leases back in 2018, ending March 2020 (big deposit contribution, £203 a month but have since paid for extra miles so paying circa £260 for last few months).
I have a new job where I am travelling 50 miles a day and fuel is roughly £160 a month and then insurance around 40. Therefore I am spending around £460 per month on this car.
I have absolutely loved the car and as my first lease, loved the fact I know what costs are going to be each month, tax is sorted, roadside assistance provided etc, however, £460 is still £460 and wanting to buy my first home in the next year, if I can half that monthly cost, my savings would increase greatly.
I have automatically been drawn to a new lease (interested in A class', Leon Cupra's, A3's and some of the small SUV's but no real unbelievable deals like there used to be.
The next option would be buying a 3/4 year old car with a bank loan for around the 15-20k mark. In this instance I am probably going to be spending the same each month.
Finally I come to Electric Vehicles, be that either leasing, buying or otherwise (heard a bit about Evezy). Around 10k+ per year means a fair few quid on fuel (granted not as much as many people, but I could do with an MPG better than 35 (current approx).
Any tips or guidance of what I should consider would be greatly appreciated and helpful. There is only so much info online so personal advice is much more helpful. There of course isn't a correct answer but things to look out for would be appreciated. Thanks in advance
I would suggest you consider a number of things, all a bit on the boring side perhaps. Work out your budget for the property purchase, how much it will cost to buy, the mortgage needed and the deposit you will need. Don’t forget solicitor costs etc. A large number of mortgage providers have calculators to give you a guide to how much you can borrow. If you have any credit look to pay these off and have a rainy day fund (3-6 months expenses ) I picked up one of the great Listers Scirocco GT 2.0 Leases back in 2018, ending March 2020 (big deposit contribution, £203 a month but have since paid for extra miles so paying circa £260 for last few months).
I have a new job where I am travelling 50 miles a day and fuel is roughly £160 a month and then insurance around 40. Therefore I am spending around £460 per month on this car.
I have absolutely loved the car and as my first lease, loved the fact I know what costs are going to be each month, tax is sorted, roadside assistance provided etc, however, £460 is still £460 and wanting to buy my first home in the next year, if I can half that monthly cost, my savings would increase greatly.
I have automatically been drawn to a new lease (interested in A class', Leon Cupra's, A3's and some of the small SUV's but no real unbelievable deals like there used to be.
The next option would be buying a 3/4 year old car with a bank loan for around the 15-20k mark. In this instance I am probably going to be spending the same each month.
Finally I come to Electric Vehicles, be that either leasing, buying or otherwise (heard a bit about Evezy). Around 10k+ per year means a fair few quid on fuel (granted not as much as many people, but I could do with an MPG better than 35 (current approx).
Any tips or guidance of what I should consider would be greatly appreciated and helpful. There is only so much info online so personal advice is much more helpful. There of course isn't a correct answer but things to look out for would be appreciated. Thanks in advance
Once you have established this you will know how much you could spend on a car and along with how important a car is to you. I bought a house with a friend years ago and ran a shed, it was a big mistake. Every month it let me down £150 here £200 there ( this was in the 90’s) plus working time lost/late for work etc. In the end I p/x it for a small new car, which I should have done in the first place.
A cheap lease might fit the bill 18 to 24 months term which will be nearly finished by the time you require a mortgage. Some lenders don’t include payments with less than 6 months to go. If you put these payments into the mortgage calculators it will confirm amounts you can borrow and you can see the effect it has by doing this.
If you have the cash buying something outright could work, assuming it does eat into your property deposit.
06andiano said:
I think this is a common issue for many people with the attraction of shinny lease deals, which as a monthly amount seem cheap and are totally affordable while living at home or with other financial advantageous living arrangements.
I am at a different stage as I bought my first house 7 months ago, have an okish car owned outright and started looking at upgrading my car. I cannot make any of these lease deals stack up, even the cheapest Cupra deals would be costing me £500/month all in (Lease, insurance, Fuel, Maintenance).
I earn a good graduate wage, went way under what the bank offered me to borrow on a mortgage and still don't have that level of disposal income. So I am left waiting until my okish car breaks or I get paid more. While the ever looming prospect of the expense of kids comes closer by the day, pushing the prospect of a new car back further.
In the exact same boat but probably a year or two behind!! It certainly worked whilst living with parents but even on a decent graduate wage, I am struggling to make a new lease work, so think I have to be sensible now whilst I move on to the next stage of life!!I am at a different stage as I bought my first house 7 months ago, have an okish car owned outright and started looking at upgrading my car. I cannot make any of these lease deals stack up, even the cheapest Cupra deals would be costing me £500/month all in (Lease, insurance, Fuel, Maintenance).
I earn a good graduate wage, went way under what the bank offered me to borrow on a mortgage and still don't have that level of disposal income. So I am left waiting until my okish car breaks or I get paid more. While the ever looming prospect of the expense of kids comes closer by the day, pushing the prospect of a new car back further.
ThMo0118 said:
In the exact same boat but probably a year or two behind!! It certainly worked whilst living with parents but even on a decent graduate wage, I am struggling to make a new lease work, so think I have to be sensible now whilst I move on to the next stage of life!!
I think the prospect of regularly getting brand new cars just has to wait for those of us with bigger financial goals ie house ownership etc. The cars are nice but its money pit although I am envious of people who are able to jump on with those type of monthly outlays with reckless abandon I took a cheap PCP on a Fabia when I was saving for my house and had it for a year after I bought it till I got the A4, personally it never made much of a dent in my affordability but my mortgage is tiny compared to most (perks of living in the north east!)
I chose that route as I was sick of my older used cars breaking on me (I had an i30 on HP at the time) and worked out that I could get the Fabia and have a brand new car with the reliability for work but still could comfortably afford the house. I understand that won't work for everyone I'm just going from personal experience.
I chose that route as I was sick of my older used cars breaking on me (I had an i30 on HP at the time) and worked out that I could get the Fabia and have a brand new car with the reliability for work but still could comfortably afford the house. I understand that won't work for everyone I'm just going from personal experience.
I'd say halve your budget again 7.5-10k, which will get you very good car with less than 60k FSH etc for that budget.
Scirocco GT
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Astra GTC VXR
https://www.autotrader.co.uk/classified/advert/201...
Megane RS265
https://www.autotrader.co.uk/classified/advert/201...
Focus ST-3
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Warm hatch wise then there are some good options:
308 GT
https://www.autotrader.co.uk/classified/advert/201...
Kia Pro Ceed GT Tech
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Giulietta QV Line
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Astra GTC 200 Limited Edition
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Focus Titanium X 180
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
This way you still have a good car & you can save towards your new home.
Scirocco GT
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Astra GTC VXR
https://www.autotrader.co.uk/classified/advert/201...
Megane RS265
https://www.autotrader.co.uk/classified/advert/201...
Focus ST-3
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Warm hatch wise then there are some good options:
308 GT
https://www.autotrader.co.uk/classified/advert/201...
Kia Pro Ceed GT Tech
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Giulietta QV Line
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Astra GTC 200 Limited Edition
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
Focus Titanium X 180
https://www.autotrader.co.uk/classified/advert/201...
https://www.autotrader.co.uk/classified/advert/201...
This way you still have a good car & you can save towards your new home.
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