| Motoring Discussion > New Car Depreciation | Buying / Selling |
| Thread Author: Berisford | Replies: 20 |
|
New Wed 16 Jun 10 14:05
New Car Depreciation - Berisford
|
|
For as long as I can remember (40 years behind the wheel) new cars have always depreciated a significant amount the moment you drive 'em off the dealer’s forecourt. In fact the appearance of the car 'supermarket' 20 years ago was born on the back of greatly reduced prices for nearly new vehicles. Something seems to have changed in recent years, the bargain 'nearly new' vehicle does not seem to be as common as you might think. Yes there are headline grabbing deals and many deals appear to be good but they use some dubious sales tactics. Could I get away with advertising my own 6 year old Jazz as "ONLY £3500 SAVE £9000"? I'm currently looking to change and looking around there are some very poor deals. The wife was attracted to a 6000mile 9 month old GolfSE this last weekend, on sale at our local VW dealer. We had a test drive and I must say it was quite nice. However at £19000 and just £3600 for our Jazz I wasn't getting the cheque book out. Sunday evening I had a look around on the VW website, £19000 seems to be the going rate for such a vehicle, even the 'supermarkets' want the same. The new list price last month was about £21000, so 9 months old and only £2000 lower, no thanks. In my web search I found that the GolfSE has been dropped by VW and in comes a Match at the same price with loads more spec, the brokers are giving around 10%, so for just a few hundred more she can have a new vehicle. Dealer rang me with an 'improved' deal, £4200 for my Jazz, I put my findings to him and he agreed, I'd be better with a new one. He's going to look at matching the broker’s price. We'll see. It's not just used VW's that are fetching nearly new money, it seems to be all dealers, even my Kia agent wants new money for a used Ceed! |
|
New Wed 16 Jun 10 14:21
New Car Depreciation - movilogo
|
|
>> even my Kia agent wants new money for a used Ceed! Recently bought a used Kia Cee'd so I can understand what you mean :) The first two Kia dealers were not ready to reduce a single penny from screen price! Their attitude was just take it leave it. Some cars were even having quite high mileage compared to their tender age. Finally third Kia dealer gave 9% discount on screen price on a low mileage car which I bought at the end. Even though Kia Cee'd and Hyundai i30 are same cars, I don't know how used i30 prices are ~10% higher than similar specced (age/mileage etc.) Ceeds! Noting the fact that Hyundai has a shorter warranty. Hyundai now price their cars at par with Honda! |
|
New Wed 16 Jun 10 14:52
New Car Depreciation - oilburner
|
|
Bonkers, isn't it? How about this: Insignia 2.0 CDTI Elite, 6,500 miles and six months old. The Vauxhall dealer wants £23,000. It was nearly £26k new (list price), but then we all know nobody pays list on a Vauxhall, so chances are, you can get the same car *cheaper* brand new... I would love to know who's got £23k to spend on a second hand Vauxhall that'll be worth no more than £12k trade-in in 12 months time! |
|
New Wed 16 Jun 10 14:55
New Car Depreciation - Zero
|
|
what do you expect? you are buying them from dealers. A delaer can't sell new cars AND put nearly new second hand ones up at 30% less than the new ones. Who would buy new?
Last edited by: Zero on Wed 16 Jun 10 at 14:56
|
|
New Wed 16 Jun 10 15:14
New Car Depreciation - RattleandSmoke
|
| Its why I decided to buy brand new. I could have got an 08 plate Fiesta with 40k on the clock for the same price I bought my new Panda for. I paid £6500 brand new inc metalic paint. Yet I've seen FIAT dealers asking £6500 for the same car which is a year old. The RIP price for my Panda was £8000 but nobody in the right mind would pay that. |
|
New Wed 16 Jun 10 16:14
New Car Depreciation - Skoda
|
|
Brand new base spec Octavia Vrs = £16,500 from the dealers*. 59 plate base spec Octavia Vrs with 10k miles = £17,500+ on autotrader. * The only problem is the 9-16 week wait on them! Last edited by: Webmaster on Thu 24 Jun 10 at 10:29
|
|
New Wed 16 Jun 10 16:24
New Car Depreciation - Berisford
|
| To be fair regarding my original post the VW Golf is on a similar wait, however, the new 'Match' spec is far superior to the old SE. |
|
New Wed 16 Jun 10 16:44
New Car Depreciation - Videodoctor
|
|
When i went to my local Citroen dealer to look at a C5,i had no joy in trying to do a deal. Firstly the C5 had a list price if £21,000 but according to What Car magazine the target price was £19,000. After trying to haggle he brought the price down to £20,500.I said what about the other £1,500 and he said take it or leave it.Just to add insult to injury i ask for a trade in price on my car.The Glasses book price was £5500.He offered me £4800!!. So with a rubbish trade in and a high cost of their car i took my leave. I ended up buying a brand new Mondeo Titanium X pre-reg with only delivery miles on.The list price was £26,500 and i bought mine for £17,500.Now thats the kind of discount i like!. On top of that i got £6,000 trade in for my car and a full tank of fuel!. |
|
New Wed 16 Jun 10 17:24
New Car Depreciation - Redviper
|
|
>> When i went to my local Citroen dealer to look at a C5,i had no >> joy in trying to do a deal. >>I said what about the other £1,500 and he said take it or leave it. What is it with Dealers of French Cars?, I wandered round my Local Renault dealer (Now gone) once, looking at brand new Laguna's and all the salesmen cound do was watch me out of their (now gone) glass palace. Even when i found one that was open i had a look inside, not interested. they where still watching when i left the premises Do they not want to sell me the car, as they know ill be back in a few months with something not working? Walked into my Local Vauxhall Dealer (not a glass palace, and still here) to have a look at the Insignia and some Vectra's was treated very well, I was approached on entry and Asked if I needed any help just to give them a shout. Last edited by: Redviper on Wed 16 Jun 10 at 17:25
|
|
New Wed 16 Jun 10 20:20
New Car Depreciation - idle_chatterer
|
|
Whilst a useful upgrade I'm not sure the Match is THAT much better - a few toys like reverse park and a multifunction steering wheel but far uglier alloys IMHO and you'll find most SEs have these options on them anyhow. The SE spec is (was) good with cruise, auto-wipers/lights and a decent stereo. The Match's list price is also much higher - around £1300 more than our SE last December.... I do have to declare a bias - SWMBO has a 6 month old SE, I'd contend that a far greater factor is engine choice, the 122 TSi in our car was (and I think still is to some extent) in very short supply with ludicrous wait times for factory orders (5 months when we ordered IIRC). We have tended to buy new cars of late for precisely the reasons you cite, however I suspect that the bargain supermarket deals tended to be sourced from de-fleeted rental cars, the rental companies are keeping their cars longer these days and the manufacturers are less keen on the fleet supply which depressed their residuals and deterred private buyers, put simply the source of heavily discounted 6 month old 14K miles cars has dried up. Last edited by: idle_chatterer on Wed 16 Jun 10 at 20:21
|
|
New Wed 16 Jun 10 22:57
New Car Depreciation - Berisford
|
|
Trust me IC, the 'Match' is far better than the SE DSG we looked at, plastic steering wheel, base colour, only extras it has are mats and flaps! As for price, looking at what I see on Parkers, it seems the SE had a £1000 hike in Jan this year (vat and bit beside I should think), so that makes the deal even worse as they are trying to sell it at just £1k off its original list! That aside, as I said in my original post, it was a nice motor, but knowing what I know now the Match is a better deal for us, Highline computer, Multifunction wheel, 510 stereo, 6 disc changer, DAB tuner, parking sensors front and rear and convenience pack all for just a few hundred more than the used motor, plus a '60' plate plus 3 years service for £250. Now if the used motor was £17500............ |
|
New Thu 17 Jun 10 14:14
New Car Depreciation - idle_chatterer
|
|
>> Trust me IC, the 'Match' is far better than the SE DSG we looked at, >> plastic steering wheel, base colour, only extras it has are mats and flaps! >> Ours had metallic paint, reverse park, upgraded steering wheel/computer and the RC310 stereo (with MP3 / iPOD integration but no DAB), autoglym paint/upholstery protection and 3 years servicing for rather less than £17,500 brand new in Dec '09! Although ours is manual. What engine are you looking at ? The match is a useful upgrade I agree but many second hand SEs will have the core options, however I'd certainly buy new (SE or Match) at the paltry discount you're being offered for a second hand one too. |
|
New Wed 16 Jun 10 19:40
New Car Depreciation - mikeyb
|
|
>> Its why I decided to buy brand new. I could have got an 08 plate >> Fiesta with 40k on the clock for the same price I bought my new Panda >> for. I paid £6500 brand new inc metalic paint. Yet I've seen FIAT dealers asking >> £6500 for the same car which is a year old. The RIP price for my >> Panda was £8000 but nobody in the right mind would pay that. >> Not rally a fair comparison though - I would have thought that the KA was a closer match to the Panda - Ex demo KA's start at 6K. Still to expensive IMO. Panda still cheaper though |
|
New Wed 16 Jun 10 19:52
New Car Depreciation - mikeyb
|
|
My VW dealer often have a stock of "under the counter" cars. Popped in and told them that I was looking at a nearly new one they had, and when they realised I was serious they told me that they had a bulk supply of various VW's - all brand new. List of approx 200 cars came out with the details (all unregistered) - many were either odd spec or had various options fitted. The prices were less than some of the 12 month old stuff on the forecourt........ Dont know if its true but they told me that as they were part of a large group who also leased cars they were offered these bulk deals from VW a couple of times a year on cancelled orders (hence the odd specs and options) and excess stock on a take the whole list kind of deal. Didn't take one in the end as all the Sharans they had were sport models and I was after an SE. Managed to do a good deal on the pre reg one they had, but I got the impression that they were not advertising the "special" cars due to the pricing, and were offering them out to people where they thought a quick deal could be done. |
|
New Wed 16 Jun 10 20:33
New Car Depreciation - idle_chatterer
|
|
VW dealers also order into stock, when we wanted a Golf VI 122 TSi SE last Dec we were able to get one in 2 weeks with a reasonable discount as long as we took a pretty much standard car. The dealer had access to a number of cars in the most popular colours with the most common options (reverse park, upgraded steering wheel etc). They also had a bartering system going between dealerships for the (then scarce) 122 TSi - swapping 'their' car for another car with the same engine in the assurance that it would sell..... For the OP, I have nothing by praise for the 122 TSi, we shied away from the diesels as this is our second car and very low mileage (1700 miles in 6 months) and we didn't want a DPF. I drive a 245PS 330d and still find the 122 TSi a pleasantly sprightly drive. Last edited by: idle_chatterer on Wed 16 Jun 10 at 20:34
|
|
New Thu 17 Jun 10 11:03
New Car Depreciation - Bill Payer
|
|
>> My VW dealer often have a stock of "under the counter" cars. I've no idea if this is THE list, but there's a list of VW-UK stock cars here: www.volkswagennow.co.uk/ |
|
New Wed 16 Jun 10 20:38
New Car Depreciation - idle_chatterer
|
|
>> I would love to know who's got £23k to spend on a second hand Vauxhall >> that'll be worth no more than £12k trade-in in 12 months time! That's why I never buy Vauxhalls, that and the misery their products have caused me in the past..... |
|
New Thu 17 Jun 10 07:11
New Car Depreciation - L'escargot
|
|
>> That's why I never buy Vauxhalls, .............. the misery their products have caused me >> in the past..... >> I'm not a Vauxhall fan but ........... Cars are only as good as the calibre of the employees for the era during which the cars are/were designed and manufactured. Employees are changing all the time. You have to judge a manufacturer on what their products are like for the relevant era. Last edited by: L'escargot on Thu 17 Jun 10 at 07:13
|
|
New Thu 17 Jun 10 07:56
New Car Depreciation - Fenlander
|
|
>>>When i went to my local Citroen dealer to look at a C5,i had no joy in trying to do a deal. I remember that Videodoctor... even more daft (as I remember it) because you were looking at a cancelled order they were lumbered with. Thinking about the OP's question I'm glad to see Citroen are keeping up the tradition with heavy first year depreciation on larger cars. I could buy a 12mth old C5 HDi Tourer like mine with 15k recorded for virtually £10k off list... over 40% down in the first year.... bargain. Talking about brand new budget cars vs nearly new we came across this 6mths ago with the C3 we bought as a second car. For what we paid to get a 3yr old 20k mls diesel C3 we could have bought a brand new budget car on scrappage. Still far happier with the engine/spec of what we bought over and above the minimum spec/engine size of the cheapest cars available. |
|
New Thu 17 Jun 10 08:36
New Car Depreciation - BiggerBadderDave
|
|
"You have to judge a manufacturer on what their products are like for the relevant era." No thanks, not until Vauxhall compensate us for the ten years my dad aged in the two years he owned an Omega. "O me gad, something else has fallen off" I'd be an idiot to give them any of my money after watching him struggle with that unfit-for-purpose piece-of-crap joke-mobile. There are far too many other manufacturers to be giving monkeys a second chance. |
|
New Thu 17 Jun 10 09:01
New Car Depreciation - Redviper
|
|
ten years my dad aged in >> the two years he owned an Omega. "O me gad, something else has fallen off" >> I must have aged 10 years owning two Renaults - never again Ive had 4 Vauxhalls and each one of them I have a lot more faith in them than I would ever have had in the Renaults. Of course i would love something uber releiable like a Lexus/BMW etc, etc however I do not want to pay out for huge service costs and when something does go wrong paying silly money to fix it. Therefore the Vauxhall does its job releiably, and perfectly |
Forum Version 3.0 - By Khoosys
Car4play Forum
