Second hand car bargains. Real or myth?

[pixi]

If there are bargains to be had, I cant find them! Maybe I'm being too picky, or choosing the wrong car but I'm not convinced there are many bargains out there at all.

I've been looking at prices for a couple year old A4 Avant S-line 2l diesel. Mr P is currently having the opportunity to drive a few different Octavia Vrs's at the moment and is telling me he is actually loving the mk2 (I was ready for this happening, as it is apparantly the norm!). Therefore, also being thrown in to the search is an Octavia vrs estate (petrol or diesel) of the same age.

They are both giving me prices that I would actually expect, rather than what I would consider to be a result of the fall in the 2nd hand car market. So, real or myth? I can't decide.

[loskie]

A lot of 2nd hand cars up to 4 yr old are being exported to Eire, auction prices have risen steadily over the last 3 months as a result of this. Honest john is a good source of auction info.

[Kandy]

I think there has been a notable upturn in the 2nd hand car market since pre-Christmas - hence short supply. High VED band stuff is still bad news - but probably not as bad as it was.

[cheezemonkhai]

IMHO the best deals are on new cars rather than used as people who used to buy a new car are now looking at a nearly new car. This is reducing supply of used cars on two fronts as they are no longer selling new cars and buying another every 3 years and are consuming newer "used" cars too.

I think used cars have actually gone up in price rather than down, or at the very least held their value since July time.

['daiking']

I've heard the comment about auctions reporting firmer prices since about October time from a couple of sources now. So if fewer new cars are selling as people retain their old car, there will be less stock on the second hand market helping to firm up prices. Like house prices you need a good flow of new blood to keep the market 'working'. You also want a desirable and reasonably sensible car - diesel compact exec. Not excessively hit by the car tax changes so not going to fall so much like big 4x4s and don't forget that petrol prices last year would have put a lot of big cars into the market as people downsized. Not such a pressure now with fuel below a pound so maybe why prices are not so low as last year. Add to that the change to the pre-2006 band G car tax. If you want a bargain I think you need to look at big and thirsty.

Last but not least restriction of supply. I personally expected a load of poverty spec BMWs/Audis to come off leases and flood the market and the drivers not be able to afford the increased price for the same car again. Well I don't think that has happened yet but even if it has, the lease companies maybe stockpiling cars to release onto the market slowly to maintain price. Trying to maintain the fantasy for as long as possible till they realise the game is up.

[sigur]

I have been on the lookout for a 1.9 Octavia Elegance estate.

Prices had been coming down and it seems cars are not shifting that quickly.

I will continue looking.

[TokyoPhil]

It seems to massively depend on the desirability of the car your looking for. The less desirable, high tax bracket models are where the bargains can be . . .

[Stuart_J]

S/hand market is stronger than many thinkl, a lot of national retailers are finding s/hand is where more money is at the moment & are now struggling to get good quality stock which is why auction prices are rising. Its the first sign that we have hit the bottom in the car market, production has been slashed so once the nearly new starts disapearing prices will IMO rise on more desireable models reosnably quickly, even some prestige models are selling well, Jag Xf is holding its own, decent RR Sports are getting harder to find s/hand which suprised me. We paid list for the Abarth, theres currently one in Autotrader at a premium & Ive heard of 2 others who have sold orders on

[Mr Grumpy]

There are big bargains to be had new or used. Postmanpat has just got a great deal on a new MX5, and we recently got a huge lump off a used Eos. Agreed they are both 'niche' cars, but they were just what we were looking for, and so suited us both entirely.

[MJallday]

IMHO the best deals are on new cars rather than used as people who used to buy a new car are now looking at a nearly new car. This is reducing supply of used cars on two fronts as they are no longer selling new cars and buying another every 3 years and are consuming newer "used" cars too.

I think used cars have actually gone up in price rather than down, or at the very least held their value since July time.

not sure ide 100% agree on that. you can pick up the same nissan 350z in our local dealer that was £30995 2 years ago for £24950 - same spec (GT Pack)

admittedly thats partly because the 370z is now out.

i did go into local Skoda dealer - they wouldnt shift on price of a new Octy VRS :(

[snownrock]

I think its relatively simple, people used to be ok with spending more and taking the depreciation hit on new cars, now people are willing to spend less so look for upto 2 year old cars. So theyre getting something still relatively new and not taking the depreciation hit. With more people buying used cars the prices stay relatively high due to demand, its a very simple way of looking at it i know.

And as someone who will be trading in his car in Oct 2010 i hope used prices stay high

[MJallday]

I think its relatively simple, people used to be ok with spending more and taking the depreciation hit on new cars, now people are willing to spend less so look for upto 2 year old cars. So theyre getting something still relatively new and not taking the depreciation hit. With more people buying used cars the prices stay relatively high due to demand, its a very simple way of looking at it i know.

And as someone who will be trading in his car in Oct 2010 i hope used prices stay high

now that i agree with. people are being more savvy and buying 6 month old cars now. ones that have already lost the big hit in depreciation. personally i hope they stay high mine is due for trade in march 2010 (blimey thats onyl 12 months away) - better get looking!

[Stuart_J]

not sure ide 100% agree on that. you can pick up the same nissan 350z in our local dealer that was £30995 2 years ago for £24950 - same spec (GT Pack)

admittedly thats partly because the 370z is now out.

i did go into local Skoda dealer - they wouldnt shift on price of a new Octy VRS :(

350Z's were dumped on the market by Nissan, should be around £19500, cheapest Ive heard of is £18200. I think though they are all gone. same reason R32's dropped in price, VW gave dealers 25% off

[Stuart_J]

There are big bargains to be had new or used. Postmanpat has just got a great deal on a new MX5, and we recently got a huge lump off a used Eos. Agreed they are both 'niche' cars, but they were just what we were looking for, and so suited us both entirely.

Again MX5's were priced to Go, Perrys had them at 13K a few weeks ago buty again that offer has ended

['daiking']

S/hand market is stronger than many thinkl, a lot of national retailers are finding s/hand is where more money is at the moment & are now struggling to get good quality stock which is why auction prices are rising. Its the first sign that we have hit the bottom in the car market, production has been slashed so once the nearly new starts disapearing prices will IMO rise on more desireable models reosnably quickly, even some prestige models are selling well, Jag Xf is holding its own, decent RR Sports are getting harder to find s/hand which suprised me. We paid list for the Abarth, theres currently one in Autotrader at a premium & Ive heard of 2 others who have sold orders on

Can't disagree with that but I would add the caveat, at the moment

This is merely the end of the beginning, not the beginning of the end.

[expostmanpat]

Again MX5's were priced to Go, Perrys had them at 13K a few weeks ago buty again that offer has ended

When I was looking round most dealers had the same 3.5kish off list, Perrys where advertised cheaper than any other dealer and the 12,995 was the 1.8, BUT Perrys weren't including road tax etc in the advertised price:thumbdwn: which looking at their site they have now added. The deal is for non factory order cars only, In the end I managed to undercut them by a fair margin anyway

Whilst looking round I was in a Vauxhall garage and asked how much they would knock opff the screen price of a 58 plate for cash and was told nothing, The sales manager claimed he had been selling every second hand car he could get his hands on for the last 3 months. Normally I would take this as BS but never got a follow up phone call or anything.

EDIT: vRS octy mk11 should be had for a bargain price though judging by what I was offered and what I sold for (Petrol only, Deisal are holding their own according to various dealers)

[Captain Sisko]

Second hand car bargains = real

I got lucky and bagged a Favorit for less than what most people pay for Netbooks.

Depends on what you're looking for though...

[Stuart_J]

Can't disagree with that but I would add the caveat, at the moment

This is merely the end of the beginning, not the beginning of the end.

Im a little more confident. It will all move a bit more when the fleets come back into the market, Ive been told that many are hanging onto cars as values are poor, as values are recovering I can see them offloading & grabbing many of the new & pre reg bargains around, that will possibly knock s/hand prices back a bit but who knows. I certainly think we are at or slightly past the bottom, certain cars like Astons & Bentlys I think are still doomed due to oversupply.

Manufacturers have sensibly addressed the supply problem, money is cheap & banks are starting to lend again it all bodes well for those selling what people need, not neccesarily for things people want but dont need,

[Stuart_J]

When I was looking round most dealers had the same 3.5kish off list, Perrys where advertised cheaper than any other dealer and the 12,995 was the 1.8, BUT Perrys weren't including road tax etc in the advertised price:thumbdwn: which looking at their site they have now added. The deal is for non factory order cars only, In the end I managed to undercut them by a fair margin anyway

Well done

['daiking']

Im a little more confident. It will all move a bit more when the fleets come back into the market, Ive been told that many are hanging onto cars as values are poor, as values are recovering I can see them offloading & grabbing many of the new & pre reg bargains around, that will possibly knock s/hand prices back a bit but who knows. I certainly think we are at or slightly past the bottom, certain cars like Astons & Bentlys I think are still doomed due to oversupply.

Manufacturers have sensibly addressed the supply problem, money is cheap & banks are starting to lend again it all bodes well for those selling what people need, not neccesarily for things people want but dont need,

Wages cannot go up and car prices fall indefinitely. In fact I believe that the opposite will happen. I'm not impressed by the tinkering currently going which is not really fixing any problems, just prolonging the agony of unsustainable prices and warped markets. I'm still waiting for the fundamentals to correct.

[Octygone]

Try giving James a ring at Allams ands see if he can offer some better prices

[Stuart_J]

Wages cannot go up and car prices fall indefinitely. In fact I believe that the opposite will happen. I'm not impressed by the tinkering currently going which is not really fixing any problems, just prolonging the agony of unsustainable prices and warped markets. I'm still waiting for the fundamentals to correct.

We have an election coming so they need to fudge over the problems. Personally I think they have already done too much to stimulate the economy, its only failed beacuse banks wont lend but as they begin to buyers will be faced with cheap prices & cheap money, I wonder where that could lead. I think the wise man will be the one who resists temptation, buys wisely only what he needs, Oh & fixes his mortgage later this year

[expostmanpat]

Oh & fixes his mortgage later this year

Fully expecting rampant inflation in the not too distant future

[Stuart_J]

Fully expecting rampant inflation in the not too distant future

Certainly Interest rates will start going back up as soon as the market can sustain it

Still no more boom & bust "Ho Ho"

[cheezemonkhai]

Indeed, think now might be a good time to buy a house, before hyper-inflation jumps on in there.