Keep M2 or downgrade...?

[infernouk]

Hey all,

I got a M2 back in December, 2018 model for £32k, has around 40k miles on it now. Ive just done a big euro trip in it (3k miles), and i think perhaps the rest of my ownership wont ever match driving the alps and europe, and so keeping it is kind of a waste of time for its daily duties? (isnt daily driven as i work in London). With the economy exploding (mortgage rate) and it costing me circa £500 a month with payment, fuel and annual bills...does it make logical sense to sell it and get something like a 2018 Fiesta ST3?

My end goal is to purchase an Alpine A110 or Cayman S (undecided), but that cant be my only car, so i need to split the m2 down the middle and have a shopping car, and a fun car in the long term. But it will take me a couple years to gather the cash for that goal i believe.

I suppose the only nuance is that I got a cheap (at the time) loan for the M2, and if i paid that back, ill likely not be able to secure that interest rate again with how bad things are getting. So im also considering holding onto it until interest rates drop (which would also be a good time to sell as market is a bit dry of buyers currently due to rates)

[iphonedyou]

I can only say that M2 -> Fiesta would almost certainly grate. Tread carefully!

Also right to consider interest rates. If you can't get that rate now then you're paying less than you otherwise would nowadays. Definitely a factor worth considering.

[infernouk]

iphonedyou said:

I can only say that M2 -> Fiesta would almost certainly grate. Tread carefully!

Also right to consider interest rates. If you can't get that rate now then you're paying less than you otherwise would nowadays. Definitely a factor worth considering.

Yeah ive come from a Abarth and only had the M2 for 6 months, i know it wont be as nice, but im not sure its a deal breaker when i dont commute by car. But yeah with the interest rates, im probably locking my self out of cheap money if i hand it back to the bank now...

[Lincsls1]

Why not sell the M2 and buy a really 'normal' car outright. Live with that for a while until you can afford your end goal - which would be sooner...
But, if you did decide to go for an ST, I honestly doubt you'd miss the M2 too much. They are great little hot hatches that you can exploit more of its power, more of the time.

Edited by Lincsls1 on Saturday 1st July 19:25

[infernouk]

Lincsls1 said:

Why not sell the M2 and buy a really 'normal' car outright. Live with that for a while until you can afford your end goal - which would be sooner...
But, if you did decide to go for an ST, I honestly doubt you'd miss the M2 too much. They are great little hot hatches that you can exploit more of its power, more of the time.

Edited by Lincsls1 on Saturday 1st July 19:25

yeah fair, but with interest rates as they are, i think i could be out of the fast lane for a few years if i cant leverage cheap borrowing (assuming i pay back this loan and dont just keep it in cash and do as you say saving the difference!) I thought in case this economic situation doesnt stabilise atleast i have something fun in the mean time!

[village24]

I'd go as far to say that the M2 will be better than the alpine or Cayman S.

If you had said GT4 I'd of understood but I feel like you'll regret the end goal after having something which is better already imo

[Belle427]

Probably better to just bite the bullet and sell if your not using it.
Fantastic cars but as said can they be enjoyed to their potential on our roads?
I do love the look of them and would probably buy one but they do scare me a little!

[Pando99]

Just get rid if it....its just a car to get about a city.
I just got rid of my RS4 that i had from new for 9 years and now have a tiguan R line.
Big change but it was time for a change.

[raspy]

infernouk said:

yeah fair, but with interest rates as they are, i think i could be out of the fast lane for a few years if i cant leverage cheap borrowing (assuming i pay back this loan and dont just keep it in cash and do as you say saving the difference!) I thought in case this economic situation doesnt stabilise atleast i have something fun in the mean time!

I'm afraid the economic situation won't stablise anytime soon. Life is going to get a lot tougher over the next few years.

The question is what are you prepared to give up in order to get what you want? e.g. sell the M2, given you don't use it daily, pay back the loan, and save/invest towards your long term dream car

[Mark83]

I sold my M4 last year as I wasn't using it as intended, baby on the way and loss of track day cover. Didn't want to but it was the right decision and I got a decent price for it.

If the loan repayments are comfortable, sell the M2, park the cash in a savings account, that likely be earning more interest now than the interest rate when you took out the loan, and you can avoid taking out a future loan at the current rates?

[Ankh87]

If it were me, I'd sell the M2 and pay off the loan. Look at leasing a new car instead (if you need a car at all). That way the money you're not paying out each month can be saved or put to better use and with the lease you don't need to worry about selling a 2018 Fiesta in say 3 years time.

Edited by Ankh87 on Monday 3rd July 16:30