Dealer offer for Audi A1
Discussion
Apologies if this is in the wrong place...
I'm helping my partner get out of her awful PCP deal with Audi. In October 2023 she got an Audi A1 for £317 per month, which to me (having never had a brand new car) seems like the worst deal in history.
VW finance have given a settlement figure of a few quid over £19k. The Audi dealer she got it from is offering her £11.5k for it. With age, spec and mileage taken into account, the cheapest on the well known car selling website is £18.5k, with most being over £20k. Motorway is estimating £19,250, carWow is estimating £19,350 and even WBAC is offering £19,100.
Is the dealer trying to take advantage of a woman who knows nothing about cars, or is that just normal for main dealers to offer so far below market value?
I'm helping my partner get out of her awful PCP deal with Audi. In October 2023 she got an Audi A1 for £317 per month, which to me (having never had a brand new car) seems like the worst deal in history.
VW finance have given a settlement figure of a few quid over £19k. The Audi dealer she got it from is offering her £11.5k for it. With age, spec and mileage taken into account, the cheapest on the well known car selling website is £18.5k, with most being over £20k. Motorway is estimating £19,250, carWow is estimating £19,350 and even WBAC is offering £19,100.
Is the dealer trying to take advantage of a woman who knows nothing about cars, or is that just normal for main dealers to offer so far below market value?
Edited by Tiglon on Wednesday 26th February 15:53
I suspect they aren't specifically trying to get one over on her, but are just bidding low either because they usually get away with it because: 1) they think you are desperate 2) many punters won't have compared prices and/or 3) because they don't want another A1 in stock
(Assuming the bid is just to take the car off you, rather than a part-ex for a new car).
(Assuming the bid is just to take the car off you, rather than a part-ex for a new car).
Tiglon said:
Apologies if this is in the wrong place...
I'm helping my partner get out of her awful PCP deal with Audi. In October 2023 she got an Audi A1 for £317 per month, which to me (having never had a brand new car) seems like the worst deal in history.
VW finance have given a settlement figure of a few quid over £19k. The Audi dealer she got it from is offering her £11.5k for it. With age, spec and mileage taken into account, the cheapest on the well known car selling website is £18.5k, with most being over £20k. Motorway is estimating £19,250, carWow is estimating £19,350 and even WBAC is offering £19,100.
Is the dealer trying to take advantage of a woman who knows nothing about cars, or is that just normal for main dealers to offer so far below market value?
That doesn't sound like a dreadful deal depending on how much she put down. Considering October 2023 was near the peak of the crazy prices and the supply chain issues were only just starting to ease up. As for the lowball offer they probably just dont want it, which could be for a few reasons. They could have loads of A1's they are struggling to sell, know an offer from Audi on cars in this segment is due to drop soon, the car could have damage or be in poor condition etc I'm helping my partner get out of her awful PCP deal with Audi. In October 2023 she got an Audi A1 for £317 per month, which to me (having never had a brand new car) seems like the worst deal in history.
VW finance have given a settlement figure of a few quid over £19k. The Audi dealer she got it from is offering her £11.5k for it. With age, spec and mileage taken into account, the cheapest on the well known car selling website is £18.5k, with most being over £20k. Motorway is estimating £19,250, carWow is estimating £19,350 and even WBAC is offering £19,100.
Is the dealer trying to take advantage of a woman who knows nothing about cars, or is that just normal for main dealers to offer so far below market value?
Edited by Tiglon on Wednesday 26th February 15:53
Simply put this is how main dealers operate. They are never going to give you anywhere near retail price for most cars. There are occasions when they might, but its few and far between.
On top of the trade in cost they need to add warranty and then factor in prep.
IME they often dont look too closely at condition, they just assume it will need something.
I remember getting a PX price on a 12 month old 3k mile Macan from my OPC and they were about £10k under WBAC.
Told them and they just said thats their best price.
I just shrugged and went to WBAC.
The car was literally as new, garaged, detailed and ready to sell.
On top of the trade in cost they need to add warranty and then factor in prep.
IME they often dont look too closely at condition, they just assume it will need something.
I remember getting a PX price on a 12 month old 3k mile Macan from my OPC and they were about £10k under WBAC.
Told them and they just said thats their best price.
I just shrugged and went to WBAC.
The car was literally as new, garaged, detailed and ready to sell.
Truckosaurus said:
I suspect they aren't specifically trying to get one over on her, but are just bidding low either because they usually get away with it because: 1) they think you are desperate 2) many punters won't have compared prices and/or 3) because they don't want another A1 in stock
(Assuming the bid is just to take the car off you, rather than a part-ex for a new car).
Thanks for the reply, that makes sense and yes it is just to take the car, not part exchange.(Assuming the bid is just to take the car off you, rather than a part-ex for a new car).
I've now had a look and to be fair they do have 9 A1's already in stock, so maybe that's the reason. Doesn't really feel right though that they can offer so low to people who trust them and who will lose out massively.
gotoPzero said:
Simply put this is how main dealers operate. They are never going to give you anywhere near retail price for most cars. There are occasions when they might, but its few and far between.
On top of the trade in cost they need to add warranty and then factor in prep.
IME they often dont look too closely at condition, they just assume it will need something.
I remember getting a PX price on a 12 month old 3k mile Macan from my OPC and they were about £10k under WBAC.
Told them and they just said thats their best price.
I just shrugged and went to WBAC.
The car was literally as new, garaged, detailed and ready to sell.
I understand they aren't going to give full retail price, but almost 50%/£8k below is a lot. And given the motorway/carwow/WBAC valuations, there must be a lot of dealers willing to offer a lot more and in fact very close to retail value - that's what made it feel like there was something about the specific situation that made them think they could take advantage, but it equally could be they have too many A1s already.On top of the trade in cost they need to add warranty and then factor in prep.
IME they often dont look too closely at condition, they just assume it will need something.
I remember getting a PX price on a 12 month old 3k mile Macan from my OPC and they were about £10k under WBAC.
Told them and they just said thats their best price.
I just shrugged and went to WBAC.
The car was literally as new, garaged, detailed and ready to sell.
Edited by Tiglon on Wednesday 26th February 16:16
Crudeoink said:
That doesn't sound like a dreadful deal depending on how much she put down. Considering October 2023 was near the peak of the crazy prices and the supply chain issues were only just starting to ease up. As for the lowball offer they probably just dont want it, which could be for a few reasons. They could have loads of A1's they are struggling to sell, know an offer from Audi on cars in this segment is due to drop soon, the car could have damage or be in poor condition etc
The quote was blind, they haven't looked at condition. To put my "awful deal" assessment into perspective, I've never had a new car, and my first thoughts when choosing which car to buy for £300 per month would be along the lines of "I can probably get a C63 for that with a personal loan", but I know that's comparing apples and oranges. I've just sold a Z4 35is which after nearly 4 years cost me £135 per month in depreciation, and was a LOT more car than the A1. £300 per month to drive a fridge on wheels doesn't appeal to me, but we're all different! I don't really understand why people get so upset about electric cars, when 99% of new ICE cars these days are have zero personality anyway, but that's a whole other conversation...
Edited by Tiglon on Wednesday 26th February 16:16
Tiglon said:
gotoPzero said:
Simply put this is how main dealers operate. They are never going to give you anywhere near retail price for most cars. There are occasions when they might, but its few and far between.
On top of the trade in cost they need to add warranty and then factor in prep.
IME they often dont look too closely at condition, they just assume it will need something.
I remember getting a PX price on a 12 month old 3k mile Macan from my OPC and they were about £10k under WBAC.
Told them and they just said thats their best price.
I just shrugged and went to WBAC.
The car was literally as new, garaged, detailed and ready to sell.
I understand they aren't going to give full retail price, but almost 50%/£8k below is a lot. And given the motorway/carwow/WBAC valuations, there must be a lot of dealers willing to offer a lot more and in fact very close to retail value - that's what made it feel like there was something about the specific situation that made them think they could take advantage, but it equally could be they have too many A1s already.On top of the trade in cost they need to add warranty and then factor in prep.
IME they often dont look too closely at condition, they just assume it will need something.
I remember getting a PX price on a 12 month old 3k mile Macan from my OPC and they were about £10k under WBAC.
Told them and they just said thats their best price.
I just shrugged and went to WBAC.
The car was literally as new, garaged, detailed and ready to sell.
Edited by Tiglon on Wednesday 26th February 16:16
They have massive overheads and like I say need to factor prep and warranty. Plus the cost of holding it in stock for months.
If they are talking it in, they need to know they are above water no matter what happens. Thus the low ball offer.
Just go with WBAC or Motorway. You will get an instant deal from WBAC, motorway takes longer might get you a few £££ more.
Crudeoink said:
That doesn't sound like a dreadful deal depending on how much she put down.
Agreed, and in any event whatever deposit she paid is gone and isn't coming back so doesn't matter now. Spending £300 p.m. on an A1 isn't what I'd do either but so what; unless the OP's partner specifically asked for help to get out of the deal then I'd leave well alone. gotoPzero said:
Its not that particular dealer is what I am trying to say, take it to any main dealer and you will get similar.
They have massive overheads and like I say need to factor prep and warranty. Plus the cost of holding it in stock for months.
If they are talking it in, they need to know they are above water no matter what happens. Thus the low ball offer.
Just go with WBAC or Motorway. You will get an instant deal from WBAC, motorway takes longer might get you a few £££ more.
But that's the point, motorway and carwow are also just dealers offering money, and WBAC are selling to dealers too, and they're all offering a lot more. So it is just this dealer. If those 3 had all come back with a similar price then I wouldn't have thought anything of it.They have massive overheads and like I say need to factor prep and warranty. Plus the cost of holding it in stock for months.
If they are talking it in, they need to know they are above water no matter what happens. Thus the low ball offer.
Just go with WBAC or Motorway. You will get an instant deal from WBAC, motorway takes longer might get you a few £££ more.
said:
Why don’t you just take the WBAC offer?
With the finance settled you’ll walk away without owing anything based on tge numbers you have provided.
Yep, that's the plan. I'm just curious...With the finance settled you’ll walk away without owing anything based on tge numbers you have provided.
Interestingly (to me, at least) the Audi online part exchange valuation tool suggests 17.8 - 18.6 depending on condition. Of course part exchange is different to just selling, but I'm surprised that would make such a big difference.
You say you're trying to get your partner out of a pcp then you easily do that...go with Motorway....carwow or WBAC.
That will settle the PCP end of story.
As has been pointed out there could be various reasons for the low offer from the Audi....which is the last place I'd go .... unless I was part exchanging.
I think they are full of used cars and obviously are not interested.
Have you consider a private sale?
That will settle the PCP end of story.
As has been pointed out there could be various reasons for the low offer from the Audi....which is the last place I'd go .... unless I was part exchanging.
I think they are full of used cars and obviously are not interested.
Have you consider a private sale?
Tiglon said:
Yep, that's the plan. I'm just curious...
Interestingly (to me, at least) the Audi online part exchange valuation tool suggests 17.8 - 18.6 depending on condition. Of course part exchange is different to just selling, but I'm surprised that would make such a big difference.
They’re trying to make more money. Interestingly (to me, at least) the Audi online part exchange valuation tool suggests 17.8 - 18.6 depending on condition. Of course part exchange is different to just selling, but I'm surprised that would make such a big difference.
Don’t think too hard about it.
Like any transaction that involves any significant amount of money. Get 3 (ish) quotes and base your decision on the results.
Main dealers have a ready supply of similarly aged cars at a relatively low price as they come off the rental fleets. The rental / lease companies won have paid anywhere near retail price for those cars so can afford to sell them much cheaper secondhand than the OP. They will most likely suspect that this is a distress sale (either thinking the OP can no longer afford the payments or the car has a fault so they want rid). If they think you're desperate to sell, they will always offer lower.
If a car buying service is willing to pay much higher and you want rid of the car, then just sell to them. In either case, you're probably going to lose more money by selling the car than just letting the PCP run its term so it's worth doing the maths. Running any car is going to cost probably £150 a month, even a shed once repairs and maintenance are taken into account. That needs to be factored in unless the car simply isn't needed any more.
If a car buying service is willing to pay much higher and you want rid of the car, then just sell to them. In either case, you're probably going to lose more money by selling the car than just letting the PCP run its term so it's worth doing the maths. Running any car is going to cost probably £150 a month, even a shed once repairs and maintenance are taken into account. That needs to be factored in unless the car simply isn't needed any more.
Sometimes they just don’t want the stock and it will be going to auction, they’ll have VAT on the difference and a mark up plus the reps commission, all adds up.
15 years ago the used car buyer would have a network of independents they could lay these cars off to and guarantee their margin, but the big dealer groups just send everything they aren’t retailing straight to auction these days.
15 years ago the used car buyer would have a network of independents they could lay these cars off to and guarantee their margin, but the big dealer groups just send everything they aren’t retailing straight to auction these days.
Tiglon said:
gotoPzero said:
Its not that particular dealer is what I am trying to say, take it to any main dealer and you will get similar.
They have massive overheads and like I say need to factor prep and warranty. Plus the cost of holding it in stock for months.
If they are talking it in, they need to know they are above water no matter what happens. Thus the low ball offer.
Just go with WBAC or Motorway. You will get an instant deal from WBAC, motorway takes longer might get you a few £££ more.
But that's the point, motorway and carwow are also just dealers offering money, and WBAC are selling to dealers too, and they're all offering a lot more. So it is just this dealer. If those 3 had all come back with a similar price then I wouldn't have thought anything of it.They have massive overheads and like I say need to factor prep and warranty. Plus the cost of holding it in stock for months.
If they are talking it in, they need to know they are above water no matter what happens. Thus the low ball offer.
Just go with WBAC or Motorway. You will get an instant deal from WBAC, motorway takes longer might get you a few £££ more.
Concentrate on specific types of cars, family, sub 10k, sub 20k, sports, etc. Fast turn over. They bring a car in and it will be gone within a couple of weeks. Warranty will be AA jobbie or self warranty.
Vs the main dealer with 80 people, huge premises. Manufacturer overheads / warranty etc etc.
Audi main dealer has £15k A3 for sale used next to a £200k R8. Stock turn over might be fairly slow.
That's the difference.
Appreciate all the replies, although I wasn't asking for advice on what to do - it's pretty obvious that I should sell to the highest bidder, not the lowest.
As I said, just curious, and some replies have offered potential explanations.
Yes, my partner has asked for my help with it, I'm not going to sell her car without permission... and yes, I'm aware how much cars cost to run and there are plenty of ways to run a car for a lot less than £300 per month and plenty of ways to get a better car than an Audi A1 for £300 per month. We're looking at options and I was just surprised that this one particular dealer offered so much less than everyone else.
As I said, just curious, and some replies have offered potential explanations.
Yes, my partner has asked for my help with it, I'm not going to sell her car without permission... and yes, I'm aware how much cars cost to run and there are plenty of ways to run a car for a lot less than £300 per month and plenty of ways to get a better car than an Audi A1 for £300 per month. We're looking at options and I was just surprised that this one particular dealer offered so much less than everyone else.
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