[sunscreemer]

Half way through my 4 year PCP. Been told I can pay off my finance for £21k. Default price comparison websites etc which usually quote rock bottom suggest about £18,400 part-ex value for my car based on average mileage and base spec (i.e. a £32k new car)...

Now i'm not naive enough to think you get the full value of extras back etc. but my car almost £40k list, with what i thought were two very saleable extras - Pro Nav and the 8AT. Plus i'm 5k miles less than average / contract and car in top condition.

BMW told me they'd only give me £18k part-ex and i've just been to Audi who rang BMW for a part-ex value and BMW told them £17k!! This is an insult and also kind of tying me in now unless I effectively want to pay £3k to get out of my deal!!

Any advice or thoughts on this?

[TripleD]

Same position here mate, offered me 18k for my car on a px, yet they have a similar one without as much spec on forecourt for 24k.
Now yes they might have to discount etc and account for how long it might sit there, but still, slight insult considering the price of the one I was after!

Am thinking of buying out them pcp with a low rate loan, the payments would be the same, but the capital will go down quicker, then look to px in a years time.

[evan15281]

this may be inevitable consequence of heavy discounts on new cars in recent times

[NISFAN]

Sadly, at two years in you are pretty much at the worst point in the depreciation / pay back curve. You either ride it out as eventually the depreciation slows to below the payment value, or take the hit and start again. How badly do you want that new car?

[ukbeemerboy]

Originally Posted by sunscreemer

Half way through my 4 year PCP. Been told I can pay off my finance for £21k. Default price comparison websites etc which usually quote rock bottom suggest about £18,400 part-ex value for my car based on average mileage and base spec (i.e. a £32k new car)...

Now i'm not naive enough to think you get the full value of extras back etc. but my car almost £40k list, with what i thought were two very saleable extras - Pro Nav and the 8AT. Plus i'm 5k miles less than average / contract and car in top condition.

BMW told me they'd only give me £18k part-ex and i've just been to Audi who rang BMW for a part-ex value and BMW told them £17k!! This is an insult and also kind of tying me in now unless I effectively want to pay £3k to get out of my deal!!

Any advice or thoughts on this?

Go for a 3 or even 2 year PCP if you think your not going to last the distance of the term. That way the numbers should work better for you...

[sunscreemer]

Well in 12 months time i'll have paid a further £5k off so all i need to do is find out how quickly it's depreciating so i know when i'm likely to hit break even. Thing is I know for a fact my car is worth far more than £18k or £19k and so I should really be able to trade it in as pretty much neutral value. This has soured my view of BMW now.

[sunscreemer]

Originally Posted by NISFAN

Sadly, at two years in you are pretty much at the worst point in the depreciation / pay back curve. You either ride it out as eventually the depreciation slows to below the payment value, or take the hit and start again. How badly do you want that new car?

Not desperate for the new car but I know BMW will late me change and they say they're taking a hit but they're not really as they'll sell it for more than is remaining on the finance, however frustrates me that another dealer will just sell it on to BMW who will only offer them £17k which stops me from doing a deal and they'll still sell it for more than the £21k!!

[deebee]

webuyanycar not an option?

[NISFAN]

Originally Posted by sunscreemer

Not desperate for the new car but I know BMW will late me change and they say they're taking a hit but they're not really as they'll sell it for more than is remaining on the finance, however frustrates me that another dealer will just sell it on to BMW who will only offer them £17k which stops me from doing a deal and they'll still sell it for more than the £21k!!

Well it is a business, and they should be entitled to make some money...no?

[TripleD]

Originally Posted by ukbeemerboy

Go for a 3 or even 2 year PCP if you think your not going to last the distance of the term. That way the numbers should work better for you...

Yeah will be taking that option in future, it's just I have done a fair few miles in mine, and now i don't need a diesel and an economic 320 any more I'd like a change to something with more power.

The car is still excellent, it's just me being a pain!

[JustChris]

Originally Posted by B.M.W

webuyanycar not an option?

Offer will be even more derisory surely I used to run mine through every now and then for a laugh. Made dealer seem generous.

[Archer-s]

depreciation is what it is, always find its higher than I would like on cars, however the problem here is the trade value doesn't align with what the dealer will sell for, there has to be some profit in it for them, but not more than 2-3k, so if on the forecort for 24k, it sells for 23k worst case and that for me should be around 20k trade, not 17/18k, I am with you Sunscreemer something wrong with the valuation here, maybe stick it up on a private add for 22k, see if you get any bites?

[sunscreemer]

Originally Posted by mssond

depreciation is what it is, always find its higher than I would like on cars, however the problem here is the trade value doesn't align with what the dealer will sell for, there has to be some profit in it for them, but not more than 2-3k, so if on the forecort for 24k, it sells for 23k worst case and that for me should be around 20k trade, not 17/18k, I am with you Sunscreemer something wrong with the valuation here, maybe stick it up on a private add for 22k, see if you get any bites?

Exactly, i don't begrudge them profit, but their part-ex is lower than the part ex value SHOULD be for my car - giving me what the finance would cost (i.e. neutrality on my car gives them probably a couple of £k profit.

[Ian335xd]

Try another dealer my local dealer offered me £25,800 for mine travelled 50 miles to a another dealer and offered me £29,000 and also gave me another £2400 off the car I was buying.!

Going to test drive the M5 and if all okay I will sign on the dotted line tomorrow.

[robwils]

Found pretty much the same, bmw seem to lose a lot in first year or two, then hopefully it slows down a bit. Would love to change mine after two years of ownership but it seems an awful lot on top of my current car at the moment. Still thinking about it though .

I've also just been looking at what I could buy for the money I would have to add to mine to buy a weekend toy or hobby car.

[HighlandPete]

Originally Posted by sunscreemer

Exactly, i don't begrudge them profit, but their part-ex is lower than the part ex value SHOULD be for my car - giving me what the finance would cost (i.e. neutrality on my car gives them probably a couple of £k profit.

There is the option to buy it out for the settlement and sell it on privately, if you really do feel there is value and profit in it for yourself.

HighlandPete

[rich100]

Is it worth floating your preferred spec and current car past Riaz or TRL ? Recall from a previous thread that you prefer to deal locally but if locally they are ever so slightly how shall we say....taking the piss then might be worth casting the net wider?

I guess if Riaz / TRL come back with similar figures then at least we know I suppose the market view on f30 2nd hand value.

I did run mine through a valuation site on the internet, it's low mileage but not as highly specced as yours but it also seems to have been similarly hammered .

I also kind of fancy a 4 GC but at the moment I'm thinking I'm going to pay off the finance early and then run this one for a while and get some more use from it.

[sunscreemer]

Originally Posted by HighlandPete

There is the option to buy it out for the settlement and sell it on privately, if you really do feel there is value and profit in it for yourself.

HighlandPete

Oh for £21k spare cash to do that!

[sunscreemer]

Originally Posted by rich100

Is it worth floating your preferred spec and current car past Riaz or TRL ? Recall from a previous thread that you prefer to deal locally but if locally they are ever so slightly how shall we say....taking the piss then might be worth casting the net wider?

I guess if Riaz / TRL come back with similar figures then at least we know I suppose these jet view on f30 2nd value.

I did run mine through a valuation site on the internet it's low mileage but not as highly specced as yours but it also seems to have been similarly hammered .

I also kind of fancy a 4 GC but at the moment I'm thinking I'm going to pay off the finance early and then run this one for a while and get some more use from it.

I was open minded towards an Audi S3 or a 330d Touring but instances such as this put me off BMW - the double insult of a below market part-ex and then informing Audi of an even lower figure! I think i'll either hear back from Audi they've managed to get a better offer or pre-sale on mine or i may now wait until the LCI to see what the 330d Touring looks like and make my mind up then to see in 6 months whether i'm closer to break even finance wise.

[rich100]

Originally Posted by sunscreemer

I was open minded towards an Audi S3 or a 330d Touring but instances such as this put me off BMW - the double insult of a below market part-ex and then informing Audi of an even lower figure! I think i'll either hear back from Audi they've managed to get a better offer or pre-sale on mine or i may now wait until the LCI to see what the 330d Touring looks like and make my mind up then to see in 6 months whether i'm closer to break even finance wise.

It's this kind of thing that tilts me back towards buying a car that's maybe a couple of years old.

Whichever way you cut it you probably lose money one way or another. Irritating but a fact of life I guess.

Be interested in how you get on mate and as to whether other dealers or marques for that matter are able to do you a better deal.

[UK_]

Originally Posted by sunscreemer

Oh for £21k spare cash to do that!

Sorry but isn't that the point of a finance agreement? You know the costs and what the final payment is. Give it back or pay it off. You can't expect BMW to put you into profit if you want to escape early and can't afford the balloon payment (or whatever they call it). You are at their mercy.

[73henny]

Originally Posted by UK_

Sorry but isn't that the point of a finance agreement? You know the costs at the start so you can't rely on it to make you money. If you can't afford the balloon payment (or whatever they call it) then you are at their mercy.

+1

If you're convinced the car is worth more than the £21k you can sell the car privately and have the buyer pay the finance off.