Replacement Car Turmoil. Help!

Replacement Car Turmoil. Help!

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Discussion

dr_gn

Original Poster:

16,353 posts

189 months

Monday 15th July
quotequote all
All, for the first time in 12 years I need to buy a car. I’ve asked on here about various options, but the fact is I seem to be facing an almost impossible to fathom dilemma.

Background: In 37 years of driving, I’ve only ever had used cars. Plus, since my newest car was a 2002 E46 BMW bought in 2012, I’ve always been confident enough to maintain them myself.

These days, even a 10 year old car would be more electronically complex than I could hope to fix if anything major failed (even my E46 is being replaced due to an in-diagnosable intermittent throttle fault).

So my choices are really:

1) Buy a 10 year old car for c.£6k/60k miles and hope for reliability.

2) Buy a 5 year old car for c.£12k/30k miles and really, really hope for reliability.

3) Buy a brand new car on some kind of finance deal, enjoy the worry-free guaranteed motoring for a few years, pay a price for it and be done with it. I have never had any experience of financing anything - in the past if I couldn’t pay outright I went without.

4) Buy new/nearly new outright, and weep as a large proportion of my savings disappears.

I really am stuck as to what to do. Budget for the finance option would be about £10k lump sum, and ideally less that £300/month. Car would be Corolla/Golf sized as a minimum. I had to rent a car (Corolla Hybrid) last weekend and it was great, but frighteningly complex should anything go wrong without a solid warranty. Journeys are a 10 mile commute (mostly motorway) and a few 200+ mile trips/holidays with two teenage kids.

Priority: peace of mind. This increases in proportion to money spent.

So…what to do? Any advice considered. Thanks!




SIMON67

306 posts

263 months

Monday 15th July
quotequote all
Similar dilemma for me. Corolla would have the balance of a solid 10 year warranty despite complexity. That's worth a lot in my book and it's a decent drive in 2.0 form. Think that's where I'm heading

Boringvolvodriver

9,774 posts

48 months

Monday 15th July
quotequote all
Whichever way you look at it, there is a risk and money to be spent. A car will always cost you money and it boils down to either spending a little now but risking having to spend money on repairs later on or spending more now and not paying in the future.

Another issue is how long you intend to keep the car for.

£300 pm on a personal loan will give you about £12500 over 4 years so with your £10000 you would have £22500 to spend.

That should get you a fairly new car with warranty left on it and the ability to extend that as well.

I found a new Skoda Scala for £20,000 which should be big enough for you or a one year old Octavia for similar money.

Seat Leons also similar prices.

That’s what I would do fwiw.



Boringvolvodriver

9,774 posts

48 months

Monday 15th July
quotequote all
SIMON67 said:
Similar dilemma for me. Corolla would have the balance of a solid 10 year warranty despite complexity. That's worth a lot in my book and it's a decent drive in 2.0 form. Think that's where I'm heading
Is the warranty on the basis that you have it serviced with Toyota though?

That said it still isn’t a bad call

Edited by Boringvolvodriver on Monday 15th July 23:29

markirl

326 posts

142 months

Monday 15th July
quotequote all
Why not consider something like an e91 325i with the n52 engine? Yes it won't be as new as a Corolla or similar but it's a newer version of what you have.

Alternatively, Lexus still maintain their fantastic reliability record so also worth a look.

bearman68

4,745 posts

137 months

Monday 15th July
quotequote all
Toyota and Lexus are still miles ahead of anyone else in reliability.
Even the hybrids with all their complexity still have enviable reputations for reliability.

What car reliability by brand results 2024. (For cars up to 5 years).

Rank Brand Score
1 Lexus 98.3%
2 Toyota 97.4%
3 Mini 97.2%
4 Suzuki 96.9%
5 Mitsubishi 96.2%
6 Honda 95.9%
7 Hyundai 94.3%
8 Kia 93.8%
9 Volvo 93.7%
10 Tesla 93.6%
11 Dacia 93.1%
12 BMW 93.0%
13 Mazda 92.8%
14 Citroen 92.3%
15 Fiat 92.0%
16 Skoda 91.4%
17 Ford 91.4%
18 Seat 90.9%
19 Nissan 90.7%
20 Porsche 90.7%
21 Peugeot 90.5%
22 Volkswagen 90.2%
23 Renault 90.0%
24 Mercedes 89.8%
25 MG 89.2%
26 Audi 89.1%
27 Subaru 89.0%
28 Land Rover 87.6%
29 Jaguar 87.4%
30 Vauxhall 86.9%
31 Alfa Romeo 85.6%
32 Cupra 82.4%

dr_gn

Original Poster:

16,353 posts

189 months

Tuesday 16th July
quotequote all
SIMON67 said:
Similar dilemma for me. Corolla would have the balance of a solid 10 year warranty despite complexity. That's worth a lot in my book and it's a decent drive in 2.0 form. Think that's where I'm heading
The one I hired was 1798cc hybrid. Didn’t look bad in dark blue either, considering.

Plenty quick enough, and got about 55/60 mpg.

No doubt it would do the job. Could have done with more rear legroom though.

Edited by dr_gn on Tuesday 16th July 00:24

ChrisH72

2,307 posts

57 months

Tuesday 16th July
quotequote all
I think I'd buy a car with your £10k cash and save that 300 per month in case you have issues.

Modern cars are generally reliable although quite expensive if you're unlucky enough to have problems.

First job is to pick the kind of car you'd like.

If you want a warm hatch around Corolla size then something like this Kia might work.

http://www.autotrader.co.uk/car-details/2024061307...

Cheap enough, decent looks snd drive. Should be reliable.

Edited by ChrisH72 on Tuesday 16th July 07:32

Coldplaya

2,127 posts

193 months

Tuesday 16th July
quotequote all
I’d honestly just lease a brand new car for sub £300 a month. Plenty of options recently like astra, astra estate, nissan qashqai to name a few.

https://www.leaseloco.com/car-leasing/vauxhall/ast...

https://www.leaseloco.com/car-leasing/nissan/qashq...



Edited by Coldplaya on Tuesday 16th July 07:38

ChrisH72

2,307 posts

57 months

Tuesday 16th July
quotequote all
On the face of it the lease deals look attractive for brand new cars.

But if you put 1200 down and pay 200 a month for 2 years thats £6k spent and you have to hand the car back. 5k miles a year might not do for you either. Now, consider the 12 years you've had the Beemer and it's £36k!

raspy

1,719 posts

99 months

Tuesday 16th July
quotequote all
Buy a 10 year old Toyota or Honda.

Coldplaya

2,127 posts

193 months

Tuesday 16th July
quotequote all
ChrisH72 said:
On the face of it the lease deals look attractive for brand new cars.

But if you put 1200 down and pay 200 a month for 2 years thats £6k spent and you have to hand the car back. 5k miles a year might not do for you either. Now, consider the 12 years you've had the Beemer and it's £36k!
Absolutely agree and that’s what i’ve done for years. However at £300 a month or less it’s not as clear cut in my opinion especially as cars get more complex. One big bill on a used car could be a years worth of lease payments at £250 a month these days. Obviously you could buy warranties and the like. Just dont think its as clear cut as the headline figures.

I ran a 2013 honda civic from 2019 to 2024 trouble free and just got a 2018 civic I’ll likely do the same with, so its usually the route I go but the re appearance of cheap leases is making me think…
A lot of it depends how much you initially spend tbh. A 2018/19 civic at £11/12k will lose £2k a year depreciation for a few more years. A £6k 2014 civic clearly wont do that, but may cost more to run…

Depends how much the OP is going to value warrantied trouble free motoring Vs something a bit older but has a few more risks, potentially.

Edited by Coldplaya on Tuesday 16th July 08:03

Belle427

9,515 posts

238 months

Tuesday 16th July
quotequote all
Only you can crunch the numbers and make that decision.
It is a nice feeling having a new car you don't have to worry about but not all used cars are unreliable.
As suggested maybe look toward used Toyotas or Kias etc that have remainder of warranty left probably makes the most sense.
We went into a pcp deal as the numbers worked for us, problem is we are sort of stuck in the system now so you do need to think long and hard about it.

dr_gn

Original Poster:

16,353 posts

189 months

Tuesday 16th July
quotequote all
Thanks all.

Perhaps a 2-3 year old car with some warranty left might be OK.

Can you extend the warranty further by having some kind of main dealer service package on a used car from a dealer?

Also, what finance deals are available on the above option - presumably similar to new, but I guess depreciation and overall cost "significantly less" - or just "less"?

Thanks for all the comments.

Boringvolvodriver

9,774 posts

48 months

Tuesday 16th July
quotequote all
dr_gn said:
Thanks all.

Perhaps a 2-3 year old car with some warranty left might be OK.

Can you extend the warranty further by having some kind of main dealer service package on a used car from a dealer?

Also, what finance deals are available on the above option - presumably similar to new, but I guess depreciation and overall cost "significantly less" - or just "less"?

Thanks for all the comments.
I think it will depend on the manufacturer re the extended warranty. IIRC then Toyota and Lexus offer it.

I know when I have bought an approved used car in the past, there have been offers which included 2 years warranty, AA cover and 2 years servicing if you took their finance package. Always worth asking.

In terms of APRs on used, they tend not to be as good as what is offered on new cars - I have seen 8.9% recently although depending on your credit rating you may get a better deal with a personal loan from a bank or someone like Tesco etc.

If you intend to keep the car for a long period of time, then I would be inclined to avoid a PCP and go for a personal loan over as long a term as possible combined with using some savings.

Something like this perhaps

https://www.autotrader.co.uk/car-details/202403288...




dr_gn

Original Poster:

16,353 posts

189 months

Tuesday 16th July
quotequote all
I really appreciate all the comments and advice, Thanks.

Based on the fact that I got on ok with the Corolla hire car last weekend, and also that they have a good reputation for reliability and re-sale, I had a chat with the local Toyota dealer.

He said that I could get a 2 year old approved or ex-demo vehicle with low mileage for - around - £17k. I would avoid a chunk of new-car depreciation.

It would have 1 year warranty left, which could be extended year by year for another 7 years by paying around £30 per month for a service/MOT package, which progressively extends the warranty. The battery is guaranteed for 15 years.

The leg room issue for the hatchback might be solved by going for the touring body. I’d assumed this was just an extended boot, but apparently the rear legroom is also much better.

The 2 litre version has a sub-8 second 0-60 time, and maybe up to 60 mpg (around 2x the old BMW).

Comprehensive insurance for me is double that of the BMW, but road tax about 1/3 of the cost.

We didn’t get too far into HP or PCP, but my thinking is to just pay cash and be done with it. I have saved and muddled along with old cars for a long time, and I thought it may finally be time to have some peace of mind. It is by far the most money I’ll have spent though, and it’s all pretty alien to me. If the worst came to the worst I could in theory sell it without much problem I think.

Then again, a day out at Goodwood or RIAT (3-6 hour trips for us) is a lot of money for a family of four, and worrying about not getting there and back does spoil things a bit these days. This time last year we went to Unst, Shetland for a week (a long way, and we were in some very remote places). Doing that trip in the BMW is now unthinkable.

Any thoughts on the car, or the buying outright? Am I being naiive about Toyota reliability or their warranty (not read the small print). Is PCP / HP a sensible option if I can at a push buy outright?

ZX10R NIN

28,095 posts

130 months

Tuesday 16th July
quotequote all
dr_gn said:
All, for the first time in 12 years I need to buy a car. I’ve asked on here about various options, but the fact is I seem to be facing an almost impossible to fathom dilemma.

Background: In 37 years of driving, I’ve only ever had used cars. Plus, since my newest car was a 2002 E46 BMW bought in 2012, I’ve always been confident enough to maintain them myself.

These days, even a 10 year old car would be more electronically complex than I could hope to fix if anything major failed (even my E46 is being replaced due to an in-diagnosable intermittent throttle fault).

So my choices are really:

1) Buy a 10 year old car for c.£6k/60k miles and hope for reliability.

2) Buy a 5 year old car for c.£12k/30k miles and really, really hope for reliability.

3) Buy a brand new car on some kind of finance deal, enjoy the worry-free guaranteed motoring for a few years, pay a price for it and be done with it. I have never had any experience of financing anything - in the past if I couldn’t pay outright I went without.

4) Buy new/nearly new outright, and weep as a large proportion of my savings disappears.

I really am stuck as to what to do. Budget for the finance option would be about £10k lump sum, and ideally less that £300/month. Car would be Corolla/Golf sized as a minimum. I had to rent a car (Corolla Hybrid) last weekend and it was great, but frighteningly complex should anything go wrong without a solid warranty. Journeys are a 10 mile commute (mostly motorway) and a few 200+ mile trips/holidays with two teenage kids.

Priority: peace of mind. This increases in proportion to money spent.

So…what to do? Any advice considered. Thanks!
There are lots of cars you can buy, if you want some peace of mind I'd suggest putting some money aside each month it normally works out cheaper than buying a warranty.

I'd suggest a budget of 10k which will land you some very reliable options.

1,6T Insignia:

https://www.autotrader.co.uk/car-details/202406281...

Mazda6, from a main dealer so you'll get a good warranty with it & you should be able to extend it, the cars are reliable & quite simple tech wise:

https://www.autotrader.co.uk/car-details/202407011...

https://www.autotrader.co.uk/car-details/202405290...

1.5T Mondeo Titanium, main dealer:

https://www.autotrader.co.uk/car-details/202404048...

Megane GT Nav:

https://www.autotrader.co.uk/car-details/202404168...

https://www.autotrader.co.uk/car-details/202401135...

Toyota Avensis:

https://www.autotrader.co.uk/car-details/202404098...

https://www.autotrader.co.uk/car-details/202407051...

ChrisH72

2,307 posts

57 months

Tuesday 16th July
quotequote all
Tesco loan is 6.1% on 7500 quid or more. You could use your 10k and borrow 7500 on a personal loan. At 300 a month you'll have paid it back in just over 2 years.

Corolla looks good to me and if serviced through Toyota would keep up the warranty. I didn't think you needed a service plan though, just have it serviced at the dealership and pay as you go.

Alternatively something like a Kia gives you a 7 year warranty. The proceed is a nice looking car I think and could be had for 17500 at a couple of years old.

I've just bought a fairly new mx5. It was expensive (to me) and only has a year of warranty with the dealership I bought from. I'm not all that worried about reliability though and would prefer to take my chances rather than pay for extended warranty. Hope I don't regret it.

Snow and Rocks

2,243 posts

32 months

Tuesday 16th July
quotequote all
Don't be afraid of a hybrid Toyota - very cleverly engineered to eliminate most of the common maintenance/failure points of a traditional ICE. There's no clutch, no gears, no turbo, no starter motor, no alternator, no timing belt, no belts at all in fact, no dual mass flywheel, no DPF - it's incredibly well engineered.

Even ignoring the 10 year warranty, they are incredibly durable and easy to maintain. No need for a service package either, just an annual service.

3454.5

137 posts

94 months

Tuesday 16th July
quotequote all
OP, have you fully investigated the intermittent throttle fault on your current BM? By which I mean lots of searching on forums because I've usually found faults aren't unique to me and someone else will have an answer.
You don't want to spend savings, which is wise, so, as you can "spanner", try to solve your problem.
If you can't solve that problem, for your short commute buy £k3/4 of something simple and rent for your longer journeys.