[NFS]

I've been looking at the current value of my car and it's pretty shocking how it's reduced over the last 6 months.

According to glasses guide it should only lose £2k or so between 2.5 and 3.5 years old.

Theoretically, if values recover, I might find it's actually worth more this time next year than it is now.

Given that all prices are reduced. Is it better to change cars now, or wait another year?

Discuss.

[willhollin]

Yes change now, the world is doomed. Enjoy it while you can,

BUY THE 550i.

[Steve A]

Originally Posted by willhollin

Yes change now, the world is doomed. Enjoy it while you can,

BUY THE 550i.

Buy an M6 or M5 if you need 4 doors.

cant get more bang for your buck.


they are so cheap at the moment they cant keep going down forever and on the M6, there arnet that many about.

You'll regret if you dont.

Or be Mr sensible socks and keep hanging on for all time........

[Oli]

cough, RS4, cough - you won't regret it I havent!

[Carrera RSR]

Prices will only recover if demand outstrips supply. My view is that prices will bottom out sometime (no crystal ball) and then stay flat for some months as the economy recovers, not increase. Therefore your cars value will take a big hit during 2008 and bottom out in 2009. Then next to no monthly hits for some months as 'confidence' returns to the car market. When you think the prices can't bottom out any further thats the time to change to something tasty. Your car and the purchase cars values are then irrelevant, only the price to change. As to when the opportune moment is, only you can decide with that M5, M6, RS4 in front of you. My view is enjoy a new car now. 'Just do it!!'

[miopyk]

Well I'm nearly 2 years into a 3 year PCP on my e93 and I reckon that the car is worth now what the quoted value is at the end of the contract.

I'm not too bothered though, I still love driving the car and I've already decided that when the time comes I'll either hand the keys back and walk away or make BMW Finance an offer substantially below what is on the contract and if accepted, keep it for a few more years.

I understand that BMW Finance has already wiped millions of the values of the cars on it's books so my guess is they'll be open to making a deal.

Ultimately if you're thinking of doing a deal now and it stacks up for you then go for it, enjoy life while you can because you never know what's around the corner.

Miopyk

[dxb335d]

Originally Posted by miopyk

Well I'm nearly 2 years into a 3 year PCP on my e93 and I reckon that the car is worth now what the quoted value is at the end of the contract.

I'm not too bothered though, I still love driving the car and I've already decided that when the time comes I'll either hand the keys back and walk away or make BMW Finance an offer substantially below what is on the contract and if accepted, keep it for a few more years.

I understand that BMW Finance has already wiped millions of the values of the cars on it's books so my guess is they'll be open to making a deal.

Ultimately if you're thinking of doing a deal now and it stacks up for you then go for it, enjoy life while you can because you never know what's around the corner.

Miopyk

Makes sense what you say mate for sure, but will they accept a low offer or will they just go through the motions and lose out with selling them all on at auction.

[miopyk]

Originally Posted by dxb335d

Makes sense what you say mate for sure, but will they accept a low offer or will they just go through the motions and lose out with selling them all on at auction.

Well I've heard they're open to offers if it means getting some cash in without the hassle of auctions etc. Either way I've got nothing to lose, if they don't do a deal I'll give them the keys back and screw them for a discount on a new one or maybe a new CLK.

Miopyk

[beemerbird]

Tbh, I can't actually remember how you finance your car.

I'm no expert by any means, but being a natural born cynic, I reckon the new car market will eventually recover and new car prices will go back up to someting like...........but, I find it hard to believe that second hand prices will increase pro rata 'in line' with new car prices as it used to be. Perhaps when trading in, the old game of dealer saying x to change will be increased markedly when challenged by the more astute buyer, bringing the price to change to a more or less differential to what it would have been pre-credit crunch.

Ultimately though, I'd defo. change now before yours reaches an age where dealers are at a point of thinking do I keep this 330i on the forecourt and offer extended warranty or do I 'pass on' to a small local second hand car dealer.

[NFS]

Originally Posted by beemerbird

Ultimately though, I'd defo. change now before yours reaches an age where dealers are at a point of thinking do I keep this 330i on the forecourt and offer extended warranty or do I 'pass on' to a small local second hand car dealer.

If I sell my car for £11k in Mar 09 it will have cost me £25k over 30 months - ie £833 a month.

If I sell in Mar 10 for £8k it will have cost me £28k over 42 months - i.e. £666 a month.

In other words, the next 12 months would cost me just £250 a month.

But then ... the cost to change will be higher then if the market has recovered.

Bollocks.

[gIzzE]

I reckon the market has sorted itself out, not saying prices are going up but they haven't dropped much in the last 6 months.

I have tried to buy 4 cars over the last couple of days and they have all sold by the time I have come back to the dealer.

A 545i touring and 2 535d tourings, and then when looking at another 535d touring today I tried a Merc E500 out as well, and decided that I prefer that for a family estate, called two dealers with E500 estates and both have sold them this week.

My local BMW dealer sold 26 cars last month on the used side, and the dealers with desirable cars are not taking offers as they now they will sell.

Just look at the M3, you could get a 57 M3 for £35k last summer, and now they are still around the £35k mark, those that bought them 6 months ago will probably have them for 18 months and still get £29k back for it, that is cheap motoring considering the climate I reckon.


Also the LIBOR rate is now down and there are some really good deals about. Just been offerd 4.5% APR which is the cheapest I have ever borrowed at for a car before.
Although I see most dealers are still trying it on at 12%.
So it may be better to get out of your current car and take a hit purely because the next deal could be cheaper.

[dazzapb]

I'm in a similar dilemma, warranty runs out May 10, car (perhaps foolishly has been paid for now as I financed with savings) so I don't have a MFGV. I've already taken a 15k hit i reckon as car is worth 25k ish. Wonder what the cost of change to the m3 would be?

Does anyone know if BMW warranty can be extended? is it worth it, and can it be transferred?

[NFS]

Originally Posted by dazzapb

I'm in a similar dilemma, warranty runs out May 10, car (perhaps foolishly has been paid for now as I financed with savings) so I don't have a MFGV. I've already taken a 15k hit i reckon as car is worth 25k ish. Wonder what the cost of change to the m3 would be?

Does anyone know if BMW warranty can be extended? is it worth it, and can it be transferred?

BMW warranty can be extended as an 'insured warranty':

http://www.bmw-warranty.co.uk/Pages/Home.aspx

They have three levels of cover - but only the basic one is available for 100,000 mile plus vehicles.

Some people on here have also used warranty direct

I took the risk on the final balloon payment myself. I though I was being clever because it reduced the cost of the deal, but I didn't factor in a big fall in values.

Arse.

[gIzzE]

Originally Posted by NFS

I took the risk on the final balloon payment myself. I though I was being clever because it reduced the cost of the deal, but I didn't factor in a big fall in values.

Arse.

When you are taking the risk yourself you have to keep an eye on the market and dump the car when you see prices falling.

Plus I think you probably paid a little too much for your car.

[rogerxp]

A Honda dealer I spoke to two days ago said that'd sold 41 cars so far this month. These car are massively discounted (I was offered £7k off a brand new top-spec CRV) but flying off the shelves. It's their biggest ever January sales-wise and have another week to go. Seems they are getting through the backlog of cars with reductions but soon they'll be looking to make actual profit again so bargains wont be around forever.

[NFS]

Originally Posted by gIzzE

When you are taking the risk yourself you have to keep an eye on the market and dump the car when you see prices falling.

Plus I think you probably paid a little too much for your car.

The numbers look expensive because I financed the whole thing with a £1k deposit.

I got 7% APR but over the term that still adds up to a fair chunk of interest.

Sadly as well I bought in 06 and the serious broker discounting didn't kick off until 07.

[Hotcoupe]

Had the wife's mini MOT'd the other day, and had a good chance to chat to my Sales Guy.

Apparently the price of used cars has plateaued out, with signs of an upturn, caused in part by a shortage of good used stock across the country (within dealers).
This certainly seemed to be the case at the dealership, as their stock was seriously depleted.
Discounts on newer cars were becoming harder to negotiate, and with the forthcoming shut down of the factory in Germany,it would only get worse.

His quarter sales to date were - 5 new, 6 used, his sales were the most amongst his colleagues to date.

Maybe good on one hand, and not so good on the other!

[NFS]

Originally Posted by Hotcoupe

Had the wife's mini MOT'd the other day, and had a good chance to chat to my Sales Guy.

Apparently the price of used cars has plateaued out, with signs of an upturn, caused in part by a shortage of good used stock across the country (within dealers).
This certainly seemed to be the case at the dealership, as their stock was seriously depleted.
Discounts on newer cars were becoming harder to negotiate, and with the forthcoming shut down of the factory in Germany,it would only get worse.

His quarter sales to date were - 5 new, 6 used, his sales were the most amongst his colleagues to date.

Maybe good on one hand, and not so good on the other!

Same thing is happening in the property market.

Question is, are we seeing a 'dead cat bounce' or has the market bottomed?

http://en.wikipedia.org/wiki/Dead_cat_bounce

I suspect that we have a little way to go yet.

[Steve A]

Originally Posted by NFS

Same thing is happening in the property market.

Question is, are we seeing a 'dead cat bounce' or has the market bottomed?

http://en.wikipedia.org/wiki/Dead_cat_bounce

I suspect that we have a little way to go yet.

fingers crossed with the interest rates as they are at the moment people will be more inclined to buy houses. Apparently there has been twice the number of maortgage applications in January than any month in the previos 12.

On cars they cant keep going down at the rate they have been as 'supply and demand will take over.

The less new car sales there are the less choice people have in the used market and quality cars should become wanted agian and that means an increase somewhere along the line......i hope

[RagingKileak]

Wow look at M5 and M6 prices!!! Fancy me some of that!!!

No idea we were legitimately knocking on £30k - and thats Pistonheads so its bound to be more expensive than reality!!

Also, the Vauxhall VXR8 is looking insanely cheap at mid £20k's

Matt

[NFS]

Originally Posted by Steve A

fingers crossed with the interest rates as they are at the moment people will be more inclined to buy houses. Apparently there has been twice the number of maortgage applications in January than any month in the previos 12.

On cars they cant keep going down at the rate they have been as 'supply and demand will take over.

The less new car sales there are the less choice people have in the used market and quality cars should become wanted agian and that means an increase somewhere along the line......i hope

The vehicle manufacturers have been restricting production since the markets crashed.

Similarly the housebuilders all came to an absolute stop.

That's going to start to affect supply and demand.

Liquidity in the financial markets isn't back yet. I don't see that coming before the banks publish their annual reports etc and there true financial position becomes known.

Early summer could be interesting though. Fingers crossed.

[beemerbird]

As a possible 'light at the end of the tunnel' scenario, we have seen a marked increase in a particular type of application being lodged. Basically, plans of proposed developments are lodged, 'for approval' by us before the completed transfers of individual house plots are lodged for registration. This means that the building company are in the process of or are about to start a phase of development. Added to this, the increase of a particular type of official search, all points to a possible 'confidence' by some building companies that it is financially viable to build and sell these new properties.