Budget cars.

[johnblack]

Mmmh, I am not aware of BEVs being in a terrible state? And service costs on an EV is supposed to be a lot lower than ice cars (supposed to be, but dealers will be stealers). Teslas are virtually zero service cost though.

And the insurance on my EV is lower than my ice daily.

For one large fleet company I know, they are on average losing 7k per BEV at end of contract, compared to profit of 5k on ICE. This is on 3/4 year old cars. This will be very similar across the industry as they all use similar CAP data and then adjust for their own requirements. This will drop over the next couple of years as the RV setting reacted to market conditions. Manufacturers are having to throw huge money at BEVs to prop up the market, the demand is just not there, other than for fleet buyers, the general public hasn't bought in to it. In a total reverse of the situation two or three years ago supply is far higher than demand.

 

[Bonefish Blues]

For one large fleet company I know, they are on average losing 7k per BEV at end of contract, compared to profit of 5k on ICE. This is on 3/4 year old cars. This will be very similar across the industry as they all use similar CAP data and then adjust for their own requirements. This will drop over the next couple of years as the RV setting reacted to market conditions. Manufacturers are having to throw huge money at BEVs to prop up the market, the demand is just not there, other than for fleet buyers, the general public hasn't bought in to it. In a total reverse of the situation two or three years ago supply is far higher than demand.

It's a high-risk market for sure, and if consumers ever really get their heads around the fact that they can sell their cars at a profit at the end of term rather than just chop 'em in (assuming +ve equity exists) then the whole market is feckity-fecked.

 

[johnblack]

It's a high-risk market for sure, and if consumers ever really get their heads around the fact that they can sell their cars at a profit at the end of term rather than just chop 'em in (assuming +ve equity exists) then the whole market is feckity-fecked.

The amount of VT's and returns at end of contract are really low, all time lows. Retailers have had to offer very attractive prices to prise customers out of their current cars, (nearly all will already have a bottom price in mind from we buy any car) or they'll just extend contracts or refinance. Customers twigged during the last few years of supply issues because it was really cheap to extend whilst they were waiting for a new car to be built.

 

[Drago]

For one large fleet company I know, they are on average losing 7k per BEV at end of contract, compared to profit of 5k on ICE. This is on 3/4 year old cars. This will be very similar across the industry as they all use similar CAP data and then adjust for their own requirements. This will drop over the next couple of years as the RV setting reacted to market conditions. Manufacturers are having to throw huge money at BEVs to prop up the market, the demand is just not there, other than for fleet buyers, the general public hasn't bought in to it. In a total reverse of the situation two or three years ago supply is far higher than demand.

That's why I tend to actually buy my cars outright and then keep them until archaeologists start taking an interest - I don't get bent over and have my pants pulled down by market forces every time a transistor manufacturer in Turkenistan stubs his toe and dies of sepsis.

 

[Jody]

That's why I tend to actually buy my cars outright and then keep them until archaeologists start taking an interest

Same here.

Kids have started prompting me to get a new car recently. Think I've had this for 7-8 years now and I really like it but it's starting to get a little tired

The used market is so high at the minute though

 

[All uphill]

Same here.

Kids have started prompting me to get a new car recently. Think I've had this for 7-8 years now and I really like it but it's starting to get a little tired

The used market is so high at the minute though

When I owned a car I thought of 7-8 years as nearly new 😅

The occasional £500 to correct any little rattles, scrapes or misty lights was so much cheaper than changing. Our last two volvos each passed 200k and 16 years reliably.

If your kids want you to have a new car I'm sure they'd be happy to give you one for your next birthday.

 

[Jody]

When I owned a car I thought of 7-8 years as nearly new 😅

The occasional £500 to correct any little rattles, scrapes or misty lights was so much cheaper than changing. Our last two volvos each passed 200k and 16 years reliably.

If your kids want you to have a new car I'm sure they'd be happy to give you one for your next birthday.

She's just about 20 years old now. Sills aren't too happy otherwise I'd keep going.

I swapped my old car and £200 for this one. Safe to say it's been the best £200 i've ever spent. 60,000 miles and fairly trouble free

 

[cyberknight]

For one large fleet company I know, they are on average losing 7k per BEV at end of contract, compared to profit of 5k on ICE. This is on 3/4 year old cars. This will be very similar across the industry as they all use similar CAP data and then adjust for their own requirements. This will drop over the next couple of years as the RV setting reacted to market conditions. Manufacturers are having to throw huge money at BEVs to prop up the market, the demand is just not there, other than for fleet buyers, the general public hasn't bought in to it. In a total reverse of the situation two or three years ago supply is far higher than demand.

according to work BEV to private buyers is around 14 %

 

[johnblack]

according to work BEV to private buyers is around 14 %

Yep it's terrible , it's the same with all new technologies, you have to take the people with you, forcing technology on people by arbitrary deadlines and legislation never works, as the technology improves, people will naturally migrate toward it. The same has been seen with Air source and solar.

 

[johnblack]

That's why I tend to actually buy my cars outright and then keep them until archaeologists start taking an interest - I don't get bent over and have my pants pulled down by market forces every time a transistor manufacturer in Turkenistan stubs his toe and dies of sepsis.

Asset finance is a minefield but it's why PCP's can be so good. Used car prices fall, you can walk away without owing a thing, used car prices rise, you get a nice bit of equity. Never had one myself, but, never say never.

 

[Drago]

But if you're going to walk away it's better to lease. Not only is it often less expensive, you're not spending money on tyres and servicing for a car you dont even own.

 

[Profpointy]

That's why I tend to actually buy my cars outright and then keep them until archaeologists start taking an interest - I don't get bent over and have my pants pulled down by market forces every time a transistor manufacturer in Turkenistan stubs his toe and dies of sepsis.

Whilst I do appreciate a nice car - rewarding to drive, decent performance etc, once I have one I have no desire to get rid of it as I find the whole rigmarole of buying a car a pain in the arse, quite apart for preferring to keep the money in my own pocket. I've had my current car for some 12 years and have done 150,000 miles in it on top of the previous three owners' 70,000.
I have the same enthusiasm for replacing it as I have for replacing the washing machine when it wears out

 

[cyberknight]

when we need to replace our car i can get a brand new corrolla from work on a 1 year lease via salary sacrifice for around £140 including VED and servicing
Unfortunately mrs ck cant reach the pedals in this car as she stopped growing any taller at 11 years old after chemo

 

[gbb]

I keep seeing you tubers (uk based) now turning in videos at auction where prices are falling, rather than getting stupid money, dealers are only ( Generally speaking) prepared to pay base prices. A price correction forthcoming on the industry ?

December is historically a poor month but equally, the coming months always pick up considerably apparently so you'd think they'd be buying in to get ready ?

 

[gbb]

Just my opinion but...
Having worked with East Europeans for the last decade and more, who love German cars, Maciej, my former colleague had a 1.9 Golf with over 250k on it iirc and yes. The engines are generally very good...but its not just about the engine.
He'd spent a lot of money on that car keeping it on the road, injectors, fuel pump, suspension, brakes, etc etc etc and the final straw was when the head gasket started to go. He thought he'd had his moneys worth...but you don't get there, or stay there for free...unless you're very very lucky.
Ironically, you see more and more Polish colleagues going for Japanese cars now.