Critique my options (financing a car)
Discussion
I probably know the answer to this, but I’m seeking confirmation...
I am going to be buying a car this year, probably sooner rather than later.
Basically it will get me to work and back (will share duties with OHs), then it’ll be a weekend car and a car to drive to the other offices (100+ miles each way, but hopefully not *too* often).
What I cannot quite make my mind up on, is the following:-
1. Buy a cheap car outright for say max £4k, and accept it’ll be old and need jobs doing. Funnel money I would have spent financing into savings to pay for repairs. Thinking something like a Clio 172/182, EP3, Celica TS, MX5 Mk3 most likely.
2. Finance a car, say up to £8k. It would buy me something nicer, payments wont be more than about £140/mo assuming I can get the advertised rates (not guaranteed). Will likely have the same repair issues as #1 but will get me into something a tad nicer. Thinking possibly 130i, Z4C, S2000 etc.
3. My mate suggested PCPing an approved used car. Looks like something at the £12K mark would cost about £200ish a month. Would come with warranty, be newer, etc. Less chance of big bill, but still not impossible. Been looking at stuff like Fiesta ST, F56 MCS etc...
I know I sort of asked this earlier, but as a concept, financially, in the long run, number 1 is probably going to be most sensible all things considered? I’d be happy with the cheaper option say a 172 stick some buckets and nice alloys on it, decent stereo, job done. I’m not fussed on having a newer car, but equally, I don’t want to be on first name terms with a mechanic nor spending every weekend fixing instead of driving.
I am going to be buying a car this year, probably sooner rather than later.
Basically it will get me to work and back (will share duties with OHs), then it’ll be a weekend car and a car to drive to the other offices (100+ miles each way, but hopefully not *too* often).
What I cannot quite make my mind up on, is the following:-
1. Buy a cheap car outright for say max £4k, and accept it’ll be old and need jobs doing. Funnel money I would have spent financing into savings to pay for repairs. Thinking something like a Clio 172/182, EP3, Celica TS, MX5 Mk3 most likely.
2. Finance a car, say up to £8k. It would buy me something nicer, payments wont be more than about £140/mo assuming I can get the advertised rates (not guaranteed). Will likely have the same repair issues as #1 but will get me into something a tad nicer. Thinking possibly 130i, Z4C, S2000 etc.
3. My mate suggested PCPing an approved used car. Looks like something at the £12K mark would cost about £200ish a month. Would come with warranty, be newer, etc. Less chance of big bill, but still not impossible. Been looking at stuff like Fiesta ST, F56 MCS etc...
I know I sort of asked this earlier, but as a concept, financially, in the long run, number 1 is probably going to be most sensible all things considered? I’d be happy with the cheaper option say a 172 stick some buckets and nice alloys on it, decent stereo, job done. I’m not fussed on having a newer car, but equally, I don’t want to be on first name terms with a mechanic nor spending every weekend fixing instead of driving.
I think option 1 is the only 1 that makes sense.
No reason a £4k car won't be reliable. £4k would get you a nice MX5 mk3 (and a lot of other things) and I wouldn't expect any serious issues.
Sure you will get the odd niggle and there is always a chance or borkage but its pretty unlikely. choose something with cheap parts and would likely be the cheapest way to motor... plus depreciation would be less.
No reason a £4k car won't be reliable. £4k would get you a nice MX5 mk3 (and a lot of other things) and I wouldn't expect any serious issues.
Sure you will get the odd niggle and there is always a chance or borkage but its pretty unlikely. choose something with cheap parts and would likely be the cheapest way to motor... plus depreciation would be less.
Option 1 - But you can probably trim that to £3k for a perfectly serviceable example.
I bought a £2300 20 year old car in December 2018. Insurance and tax is about £400 annually all in. Average parts and servicing for the year has worked out at £150 PCM for the first year of ownership, but a lot of that are things that won't need doing again, wear and tear stuff and two mechanical issues.
So that brings my monthly running cost for the first year to about £180 a month, and I own the car outright.
Bearing in mind i'm pretty OCD, and could have probably left some of the stuff i've had fixed, those running costs really don't feel too bad to me...the monthly figure should drop in the second year of ownership as i've just had the big 60k service done to take care of the big stuff.
I bought a £2300 20 year old car in December 2018. Insurance and tax is about £400 annually all in. Average parts and servicing for the year has worked out at £150 PCM for the first year of ownership, but a lot of that are things that won't need doing again, wear and tear stuff and two mechanical issues.
So that brings my monthly running cost for the first year to about £180 a month, and I own the car outright.
Bearing in mind i'm pretty OCD, and could have probably left some of the stuff i've had fixed, those running costs really don't feel too bad to me...the monthly figure should drop in the second year of ownership as i've just had the big 60k service done to take care of the big stuff.
I would prob go option 1 (MK3 mx5 would sound as appealing as other options anyway) but hard to answer without knowing how much disposable income you have. If you are rich buy something better if you enjoy cars. PCP on used cars is normally a poor deal as interest rates tend to be high, sometimes it even costs almost as much as leasing or PCPing a brand new car.
Agila b 6yr 6k said:
I'd do a bit of 1 and 2. Get 4k cash and personal loan for 2k (paid off in 12 months).
I would get something all rounder like golf gti.
The occasional 100+ miles would be hard work in an mx 5.
I'm driving my MX-5 to the Nurburg ring and back this summer. An occasional 100 miles is fine. I would get something all rounder like golf gti.
The occasional 100+ miles would be hard work in an mx 5.
https://www.pistonheads.com/classifieds/used-cars/...
This is about £300 to much I think, but you get the idea.
Ive had mine for 5 years, barring a Rad and rear box, everything else has just been servicing stuff.
Currently sitting on 139K and Ive no concerns over getting it to 200k tbh.....
Rust in the back end is about the only issue they suffer.
This is about £300 to much I think, but you get the idea.
Ive had mine for 5 years, barring a Rad and rear box, everything else has just been servicing stuff.
Currently sitting on 139K and Ive no concerns over getting it to 200k tbh.....
Rust in the back end is about the only issue they suffer.
On cars of more or less the same “class” (e.g. not comparing used Bentley with a new Fiesta!) the older car will generally have the lowest TCO as the largest cost factor is generally depreciation...
On the other hand you don’t realise the depreciation until you sell, whereas you might lay out more each year fixing an older car.
Sorry - not much help!
On the other hand you don’t realise the depreciation until you sell, whereas you might lay out more each year fixing an older car.
Sorry - not much help!
Well, what's the money worth to you? £200 a month of a PCP on something you like/want to have really isn't that harsh, and there's a lot to be said for a daily that just... works. No trouble, new, warranty etc.
Plus £200 per month is just pocket change to everyone on Pistonheads, naturally. We spend more than that on hush money for the au pair, never mind what we pay them for the duties the wife knows about.
For my part, I'd always say buying a £1k "interesting snotter" is the way to go, and I've had an attempt at all the approaches you mention in your opening post. Though I have a toolkit worth several times that, a few spare cars, and what I can unabashedly call a decent level of mechanical knowledge, in order to make this proposition a realistic one.
If you're a "why is my blue car making a funny noise?" level of mechanical understanding, don't buy a cheap shed without an "oh s
t" slush fund to fix it/buy another.
Plus £200 per month is just pocket change to everyone on Pistonheads, naturally. We spend more than that on hush money for the au pair, never mind what we pay them for the duties the wife knows about.
For my part, I'd always say buying a £1k "interesting snotter" is the way to go, and I've had an attempt at all the approaches you mention in your opening post. Though I have a toolkit worth several times that, a few spare cars, and what I can unabashedly call a decent level of mechanical knowledge, in order to make this proposition a realistic one.
If you're a "why is my blue car making a funny noise?" level of mechanical understanding, don't buy a cheap shed without an "oh s
t" slush fund to fix it/buy another.Agila b 6yr 6k said:
The occasional 100+ miles would be hard work in an mx 5.
Do 300 miles in a tired Series Land Rover and get back to me.There is no right or wrong answer to this
Decide how much you want to spend, either as a capital or repayment sum and look at what that will buy you.
If you are happy with a £4000 car then there's no point spending more. If you would rather have something (even) nicer then decide your budget and go from there.
Decide how much you want to spend, either as a capital or repayment sum and look at what that will buy you.
If you are happy with a £4000 car then there's no point spending more. If you would rather have something (even) nicer then decide your budget and go from there.
A £4k 130i will make a sensible choice, give yourself a few weeks to find a good one in your budget (should be easy enough get a standard one with full history, don't worry about the mileage buy on condition).
https://www.pistonheads.com/classifieds/used-cars/...
As an example I bought my wife a 130 for daily use, its quite old (2006) but has a good history, 2 yrs later, never let her/us down once, always starts, fun to drive with a nice 265 bhp 6, but is also quiet and relaxing for commuting. These dont show signs of rust yet, no cambelt to worry about, the 6 cylinder 3.0 are good for 200k miles if looked after, depreciation is only minimal, chose from 3 door or 5 door, manual or auto (both good to drive).
Having owned a fair share of french hot hatches over the years I'd recommend having a look into 130i's, a small hatch with a big heart!
https://www.pistonheads.com/classifieds/used-cars/...
As an example I bought my wife a 130 for daily use, its quite old (2006) but has a good history, 2 yrs later, never let her/us down once, always starts, fun to drive with a nice 265 bhp 6, but is also quiet and relaxing for commuting. These dont show signs of rust yet, no cambelt to worry about, the 6 cylinder 3.0 are good for 200k miles if looked after, depreciation is only minimal, chose from 3 door or 5 door, manual or auto (both good to drive).
Having owned a fair share of french hot hatches over the years I'd recommend having a look into 130i's, a small hatch with a big heart!
Edited by rallycross on Tuesday 14th January 23:33
You've already had decent commentary for and against the various options, so I'm going to add something different.
Knowing your history of buying cars, I'm virtually cringing at the Idea you buying stuff!
So here's my advice: be fussy AF. Take your time finding the right car. You've done without a car for a while, iirc, so spending a bit more time finding the right one isn't going to be a hardship.
Knowing your history of buying cars, I'm virtually cringing at the Idea you buying stuff!
So here's my advice: be fussy AF. Take your time finding the right car. You've done without a car for a while, iirc, so spending a bit more time finding the right one isn't going to be a hardship.
I would go for Option 1. Loads of choice for that kind of money.
325i coupe
https://www.autotrader.co.uk/classified/advert/201...
182
https://www.autotrader.co.uk/classified/advert/201...
MINI Cooper S
https://www.autotrader.co.uk/classified/advert/201...
Z4 3.0i
https://www.autotrader.co.uk/classified/advert/201...
MX-5
https://www.autotrader.co.uk/classified/advert/201...
Brera
https://www.autotrader.co.uk/classified/advert/201...
Audi TT
https://www.autotrader.co.uk/classified/advert/201...
325i coupe
https://www.autotrader.co.uk/classified/advert/201...
182
https://www.autotrader.co.uk/classified/advert/201...
MINI Cooper S
https://www.autotrader.co.uk/classified/advert/201...
Z4 3.0i
https://www.autotrader.co.uk/classified/advert/201...
MX-5
https://www.autotrader.co.uk/classified/advert/201...
Brera
https://www.autotrader.co.uk/classified/advert/201...
Audi TT
https://www.autotrader.co.uk/classified/advert/201...
I'd say go with option 1. Plenty of interesting options as the posters above mentioned.
MX5 NC, Cooper S or Clio 182 are good options for your budget and use you mentioned. You should be able to find good examples for the budget.
Enjoy driving the car and not having to worry about finance payments.
MX5 NC, Cooper S or Clio 182 are good options for your budget and use you mentioned. You should be able to find good examples for the budget.
Enjoy driving the car and not having to worry about finance payments.
Turn7 said:
https://www.pistonheads.com/classifieds/used-cars/...
This is about £300 to much I think, but you get the idea.
The Celica will be on my list if I do the cheap car route, albeit the 190 version This is about £300 to much I think, but you get the idea.
InitialDave said:
Well, what's the money worth to you? £200 a month of a PCP on something you like/want to have really isn't that harsh, and there's a lot to be said for a daily that just... works. No trouble, new, warranty etc.
Plus £200 per month is just pocket change to everyone on Pistonheads, naturally. We spend more than that on hush money for the au pair, never mind what we pay them for the duties the wife knows about.
For my part, I'd always say buying a £1k "interesting snotter" is the way to go, and I've had an attempt at all the approaches you mention in your opening post. Though I have a toolkit worth several times that, a few spare cars, and what I can unabashedly call a decent level of mechanical knowledge, in order to make this proposition a realistic one.
If you're a "why is my blue car making a funny noise?" level of mechanical understanding, don't buy a cheap shed without an "oh st" slush fund to fix it/buy another.
I'm not what you would call mechanically minded, I could probably at a push manage to do an oil change / service but lack the tools to do so.Plus £200 per month is just pocket change to everyone on Pistonheads, naturally. We spend more than that on hush money for the au pair, never mind what we pay them for the duties the wife knows about.
For my part, I'd always say buying a £1k "interesting snotter" is the way to go, and I've had an attempt at all the approaches you mention in your opening post. Though I have a toolkit worth several times that, a few spare cars, and what I can unabashedly call a decent level of mechanical knowledge, in order to make this proposition a realistic one.
If you're a "why is my blue car making a funny noise?" level of mechanical understanding, don't buy a cheap shed without an "oh s
t" slush fund to fix it/buy another.With a cheap car my intention would be to put any spare cash away for repairs etc.
rallycross said:
A £4k 130i will make a sensible choice, give yourself a few weeks to find a good one in your budget (should be easy enough get a standard one with full history, don't worry about the mileage buy on condition).
Having owned a fair share of french hot hatches over the years I'd recommend having a look into 130i's, a small hatch with a big heart!
Yes the 130i does keep coming onto my radar. I had a Z4C, liked it, but the 130i probably a cheaper and more practical proposition. In fact I did read an article from a guy online where he had tried his best to replace his, including with an E46 M3, and actually on balance preferred the 130i and I think his intention in the end was to keep it and add uprated suspension and LSD for improved handling.Having owned a fair share of french hot hatches over the years I'd recommend having a look into 130i's, a small hatch with a big heart!
It is an interesting car for sure, and the prices are very reasonable. Surely a nicer place to be than a Clio anyway. And there doesn't seem to be too many foibles with these. Indeed, my Z4C was not unreliable until it lunched its (automatic) gearbox. I'd also consider looking at the 325ti Compact.
TheJimi said:
You've already had decent commentary for and against the various options, so I'm going to add something different.
Knowing your history of buying cars, I'm virtually cringing at the Idea you buying stuff!
So here's my advice: be fussy AF. Take your time finding the right car. You've done without a car for a while, iirc, so spending a bit more time finding the right one isn't going to be a hardship.
I'll say one thing TheJimi - you have a good memory! Yes I have been appallingly bad at buying cars in the past, but I think as you say its because I rushed into it. I'm not in a rush this time, so I will definitely heed your advice on being super fussy! Even to the point where I might not be hell bent on a particular make / model of car as long as a good one of any model shows up. I need to not fKnowing your history of buying cars, I'm virtually cringing at the Idea you buying stuff!
So here's my advice: be fussy AF. Take your time finding the right car. You've done without a car for a while, iirc, so spending a bit more time finding the right one isn't going to be a hardship.
k it up this time!Anyway, thanks to everyone who replied. My feeling is go with option 1 and maybe a cross of option 1 and 2 (spend a LITTLE bit more and pay it off ASAP). I can always rely on this place to give solid advice, which is handy when you're as fickle as me.
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