Is now the worst time to buy a gas guzzler ?

[vdn]

In the market for a FF Range Rover. I'd already been thinking about the timing - regard resale down the line... and then the JLR announcement today made me think further.

I'm looking to make a cash purchase and so I'm aware / wary of potential resale values down the line.

Is now a time that sees ICE car prices staying relatively 'as is', because nothing is on the immediate horizon - but also a time that, that horizon will become a factor for buyers new and second hand, perhaps in a year or two?

In other words, I wonder if I should still buy the car we want, but await price falls as the reality of electric / hydrogen / etc sets in.

Buying an expensive gas guzzler now kind of sees the worst of both worlds: the values haven't yet started to tumble and I'll be stung down the line. Buying high and selling low is the ABC of 'don't do it' in other fields.

Anyone else changing their thinking on a car purchase due to the changes ahead?

[anonymous-user]

Just buy what you want, it'll depreciate like crazy anyway and if a couple of grand difference when you sell it matters that much then you're going to really love the odd £2k bill it throws up

[Nads02]

What's the budget of the RR If you don't mind me asking? The way I see it is the cheaper it is the less you lose, because cheap cars hardly depreciate. But just make sure it's a good and looked after example

[vdn]

Thanks chaps. Re' the RR: wanted the last of the 'analogue' interiors - the window of when they updated the media for a year or two before the interior went all digital. So budget is around 50k and looking for a late '17 or very early '18.

It's just been on my mind re' resale. I started to wonder if it'll be worth anything in a few years, or indeed the same car will be a chunk cheaper in a year or two; as the horizon to the new dawn of electric approaches. Then JLR made their announcement...

Live for now or for the future...

[custardtart86]

It's never the right time to buy anything.

Just buy what you want and get on with life. If you are genuinely worried about the value of these cars tanking then perhaps look at financing the car through a lease/PCP on a newer model so you know at the outset how much it would cost you.

Personally I'd roll the dice, life's too short.

[andyxxx]

The new model FFRR is likely to dent residuals more than any other thing.

Interestingly, my four year old RR owned from new is now valued 5K more than 12 months ago.

Nobody really knows how quickly things will change, especially due to C-19

[WhiskyDisco]

vdn said:

Thanks chaps. Re' the RR: wanted the last of the 'analogue' interiors - the window of when they updated the media for a year or two before the interior went all digital. So budget is around 50k and looking for a late '17 or very early '18.

It's just been on my mind re' resale. I started to wonder if it'll be worth anything in a few years, or indeed the same car will be a chunk cheaper in a year or two; as the horizon to the new dawn of electric approaches. Then JLR made their announcement...

Live for now or for the future...

From your opening post I thought you were going to buy a new one. Those £50k used examples were probably pushing £130k new. They have lost a chunk of value already, but the metal won't be immune from losing more. I would budget for it being worth £30k after a further 3 years, or £7k a year in depreciation. Not a lot really.

Edited by WhiskyDisco on Tuesday 16th February 13:51

[vdn]

WhiskyDisco said:

vdn said:

Thanks chaps. Re' the RR: wanted the last of the 'analogue' interiors - the window of when they updated the media for a year or two before the interior went all digital. So budget is around 50k and looking for a late '17 or very early '18.

It's just been on my mind re' resale. I started to wonder if it'll be worth anything in a few years, or indeed the same car will be a chunk cheaper in a year or two; as the horizon to the new dawn of electric approaches. Then JLR made their announcement...

Live for now or for the future...

From your opening post I thought you were going to buy a new one. Those £50k used examples were probably pushing £130k new. They have lost a chunk of value already, but the metal won't be immune from losing more. I would budget for it being worth £30k after a further 3 years, or £7k a year in depreciation. Not a lot really.

Edited by WhiskyDisco on Tuesday 16th February 13:51

Fair analysis!

[ZX10R NIN]

WhiskyDisco said:

From your opening post I thought you were going to buy a new one. Those £50k used examples were probably pushing £130k new. They have lost a chunk of value already, but the metal won't be immune from losing more. I would budget for it being worth £30k after a further 3 years, or £7k a year in depreciation. Not a lot really.

Edited by WhiskyDisco on Tuesday 16th February 13:51

+1 to the above.

[Down on the Farm]

Hi vdn,

I have a similar dilemma but I'm looking at an expensive (for me) performance car and looking at buying new or nearly new.

With all the talk of EVs and the 2030 ban on new ICE cars it has left me unsure of whether to proceed so I started a thread in GG

ICE car ban clouds on the horizon. Are you out?

Well worth a read and there are a lot of persuasive arguments for and against. Some very knowledgeable folk on that thread.

Be warned though I'm not sure it's made the decision any easier!

[vdn]

Down on the Farm said:

Hi vdn,

I have a similar dilemma but I'm looking at an expensive (for me) performance car and looking at buying new or nearly new.

With all the talk of EVs and the 2030 ban on new ICE cars it has left me unsure of whether to proceed so I started a thread in GG

ICE car ban clouds on the horizon. Are you out?

Well worth a read and there are a lot of persuasive arguments for and against. Some very knowledgeable folk on that thread.

Be warned though I'm not sure it's made the decision any easier!

Thanks for that! Just had a read through. Yes you get my sentiment ... that it's not about holding on for an EV: more that, getting the car we want now might possibly be the worse time, price wise... as it's likely to drop off over the coming months / years, steeply. Not so bad on something relatively cheap but 50k is a lot. However, as someone said above, the biggest drop has already occurred. Buying new is where it might be more daft.

But I suppose, what do you do? I thought of getting a cheaper family bus, so the sting won't be as bad come the time to trade, but we want a FFRR so I'm biting the bullet.

[Down on the Farm]

vdn said:

Thanks for that! Just had a read through. Yes you get my sentiment ... that it's not about holding on for an EV: more that, getting the car we want now might possibly be the worse time, price wise... as it's likely to drop off over the coming months / years, steeply. Not so bad on something relatively cheap but 50k is a lot. However, as someone said above, the biggest drop has already occurred. Buying new is where it might be more daft.

But I suppose, what do you do? I thought of getting a cheaper family bus, so the sting won't be as bad come the time to trade, but we want a FFRR so I'm biting the bullet.

Yes, so what do you do?

Someone on the other thread suggested rather than go for a new or nearly new that it would be more sensible to buy in further down the depreciation curve to lessen the potential hit. So I think I will be going down that route myself providing I can find what I want, right spec and condition at the right price and low number of owners. Could be difficult finding the right car though.

Sounds like a good way forward to me. Sounds like you've made that decision already so best of luck in your search. Cheers.

[anonymous-user]

A fatty basically depreciates about 1.2k a month for the first five years, but it's not linear.

Buy one, they are lovely.

But, don't buy one yet. Wait until you can afford a post facelift (I.e. 18.5 onwards). Even better a p400e, then no gas will be guzzled. Or much less at least.

Also, don't think the new one will affect the residuals too much as a) it will look 95% the same and b) it gets people interested in them again (also, c the first tranche will be full of reliability issues and everyone will pine for a "well built l405" )

[vdn]

01WE01 said:

A fatty basically depreciates about 1.2k a month for the first five years, but it's not linear.

Buy one, they are lovely.

But, don't buy one yet. Wait until you can afford a post facelift (I.e. 18.5 onwards). Even better a p400e, then no gas will be guzzled. Or much less at least.

Also, don't think the new one will affect the residuals too much as a) it will look 95% the same and b) it gets people interested in them again (also, c the first tranche will be full of reliability issues and everyone will pine for a "well built l405" )

All great points!

Regard the MY: the problem with the 18.5 facelift is the all digital dash and interface. I can't live with it: I've tried ! It's why I specifically want the very last of the 'analogue' interiors. The 17 and early 18 got the wider screen / updated media but kept the physical controls and buttons. It's deffo the one I'd like but was worried about them taking a plunge in value. But your points on new models sparking interest in the matured previous gen are spot on. Thanks for the shove.

[anonymous-user]

Fair enough - I agree that the all digital displays can be a pain e.g. when wanting to turn off stop start or change the airflow.

I was forever taking my gloves off last week as, ironically, the heated steering wheel button doesnt work with them on. And I refused to use my nose.

There are some other benefits to the post facelift, namely upgraded seats and all round laminate, but I don't think they are material to force you the other way if the digital stuff is a deal breaker.

Either way you'll enjoy it!