second hand car market all time low, as new car price low

last SG · 2005-11-01T01:49:39+00:00

Dude ... what I am giving you is only as an example Now ... dont look at the 10K diff or lesser , you'll make a huge rookie mistake there. Look at the Bol...

sghotimports SG

No worries .... email [email protected] if you need to talk to me in private.

Ok ... you are correct after 10 years , your COE is 0. Your PARF depending on the car still has a value of around S$7K - S$30K, but like I said depending on the car. Jap and Korean car most likely will be around S$7K - S$17K. Conti cars have much higher PARF values.

Body value ... you are at the mercy of the exporters. I have seen how my exporter works. Someone wants to buy a new car from me, but need to get rid of his current car .... exporter chops. He decides how much your body value is ... either you accept or you dont. If you dont, you cant get that new car from me. So lan lan ... have to accept lor.

Jap Body Value after 10 years is ZERO .... yes thats right ZERO
Conti Body Value after 10 years (depending on make) have about 2K-5K on it.

10 years driving the same car ?? Dude you dont own a car do you ??

Believe me .... you will never drive that car for 10 years. Only 1% of all car owners actually drive their car for 10 years. Most change after 5 years , some change after 3 years. Its called the ITCH Mr. Green

Everyone around you is changing to a new car ... you start itching. I myself have never driven any of my cars for more than 4 years. I know how to minimize my losses.

The diff is .... if you buy 2nd hand, you can likely change car within 3 yrs of ownership. New cars cannot .... must drive at least 5-7 years. In 5 - 7 years, many new models come out. ITCHY ITCHY ITCHY Shocked

Every single day I get someone walking into my showroom .... look see look see, and they drive in with a 3 yr old car. As soon as they tell me they took a 10 year loan on that car .... I'd advise them appropriately. They cant change cars until the 7th year of driving Embarassed

Most walk away .... too paiseh to turn back

sghotimports SG

Most definitely, but again depends on how you look at it. If its a need, then its not a waste of money cause it fill a need. If its a want, then probably lose money.

Just like I find buying the latest handphones, branded jeans and shirts a total waste of money too Very Happy

Handphones : As long as can call swee liao. Thats what phones are all about.
Branded goods : If your face looks like Kumar , no amount of branded goods is gonna change the way you look to someone like Brad Pitt Laughing

findingnewidea SG

sghotimport bro, you are awesome. you are one the few guys can really answer my question here.

looks like you are a car agent, never mind, you know the best the market mechanism. Surprised

let me try to describe my scenario to you.

i am thinking to buy a car. i don't really care about stylish. i want practical and affordable + minimum loss

i need the car for work. i will be driving the car heavily - maybe one day will be more than 60km (i guess you might know I want to take fuel consumption into consideration)

the next thing is performance or stuff versus value ratio. A cheap car with lousy everything means bad ratio too.

like what you said, i might be selling off my car in 5 years time. But, the problem is I might not buy another car, as I intend to leave Singapore. I know this will be a key point to the decision. Can you help me to analyse, if i don't buy another new car after 5 years, or if i want to buy another car after 5 years, or if i want to keep the car for 10 years - total 3 situation

basically, i want to know whether a brand new car is good for me, or a second hand car is good for me. If 2nd hand car is good, must buy old scheme car or new scheme car? let's take this is the first to answer before we move to the next relevant question.

thank you thank you.

sghotimports SG

Thanks ... just helping out. Yeah I am a new car agent. I try to help out as much as I can and know, just like how I assist my clients. For me, client rapport is very important, I dont wanna sell to a client if I got this feling that he is gonna end up in trouble from my purchase in years to come. Yeah believe it or not, I'd encourage him not to buy Laughing

i need the car for work. i will be driving the car heavily - maybe one day will be more than 60km (i guess you might know I want to take fuel consumption into consideration)

Practical and Affordable is key. If you are looking for that, then there are some things you must consider.

Toyota has the best FC , but it is also quite expensive to start with. Kia has bad FC, but it is cheap. With these 2 scenarios .... consider this.

You buy Toyota, you pay for the brand name upfront in cash. Yes ... a Toyota Altis is almost S$12K more expensive than say a Kia Cerato. With this diff .... even if the Toyota Altis FC is much better, you are already putting S$12K ahead of your purchase. What I can say is .... you are most definitely not gonna be spending more than S$12K on petrol by driving the Kia.

So consider this point above. I get loads of customers who say .... ohhh Toyota good cause FC good , car engine can last. I ask them .... is it worth paying S$12K more , and incurring interest on that 12K ?? They tiam tiam cannot answer liao. Car engine can last ... goodness me, sometimes we forget we only own the car for only about 4 years on average. If you gonna own the car for a lifetime, I say go for the Toyota, else consider other cheaper options.

like what you said, i might be selling off my car in 5 years time. But, the problem is I might not buy another car, as I intend to leave Singapore. I know this will be a key point to the decision. Can you help me to analyse, if i don't buy another new car after 5 years, or if i want to buy another car after 5 years, or if i want to keep the car for 10 years - total 3 situation

Bro ... there is no scenario to analayse here. If you intend to use the car for 5 yrs only. Get it on a 7 yr loan scheme, if can get 5 yr loan scheme lagi better. End of loan ... scrap car and get about S$15K - S$20K in cash. Then you can decide, if you wanna buy new car ... use tha cash received from your scrap car and put it as downpayment for the new car. If not gonna buy, keep the money.

If you end up wanting to keep the car for 10 years .... no worries as you have finished instalment payments after 5 years. You can drive instalment-free for the next 5 years of the car's life. However, be prepared to start changing parts due to wear and tear. Most wear and tear items start asking to be replaced into the 6th year of the car's life or 120 000 km.

basically, i want to know whether a brand new car is good for me, or a second hand car is good for me. If 2nd hand car is good, must buy old scheme car or new scheme car?

This is tough to answer. Do you want to owe the banks so much interest ? If not, go 2nd hand. If you dont mind and got backup funds sitting in some Swiss bank, then go new. Your funds earn interest. You can offset this interest you gain from your deposits with the new car interest.

This is what I am doing now .... and believe it or not, my last new car was in 1990 Very Happy The rest all 2nd hand Surprised

sunnyMAN SG

Alright I've paid for 4 yrs of my installment which equates to $31 248..my loan plus interests amt to $54 600 (thereabout)

I dun quite understand wad u mean if I've paid up the loan of more than the present paper value ($37k) than I'm fine..can u explain again??

SO presently for my case, if I wanna change car,,how much do I have to top up? And can the previous loan balance be brought forward to my new car's loan??

meaning..

New car price - watever I get in return from my old one - downpayment for new car + balance of previous loan(in this case abt $20k) = the amt I have to loan

bcoz from a layman's view..

a new car = $62k
my rebate = $37k
downpayment = $5k
amt i have to pay = $20k
old car's outstanding loan = $20k

new loan = $20k + $20k = $40k
which is the amt of money im current loaning..meaning I still pay the same installement but for a new car??

I believe the above is not completely true coz im still unsure abt the rebate part and whether i can carry forward my loan..pls show my some light brother

thanks man

sghotimports SG

I believe the above is not completely true coz im still unsure abt the rebate part and whether i can carry forward my loan..pls show my some light brother

Absolutely no way ... legally, your new car and old car is not related. Legally , there is no methods to bring over the balance of your old car loan to your new car.

Alright I've paid for 4 yrs of my installment which equates to $31 248..my loan plus interests amt to $54 600 (thereabout)

I dun quite understand wad u mean if I've paid up the loan of more than the present paper value ($37k) than I'm fine..can u explain again??

SO presently for my case, if I wanna change car,,how much do I have to top up? And can the previous loan balance be brought forward to my new car's loan??

So you are paying about S$651 monthly, am I correct ?

Your car's paper value = S$37K
You owe bank = S$54600 - S$31248 = S$23 352

You are on the clear = if you sell your car ... the bank must pay you around S$37000 - S$23352 = S$13648

You will get a chq for this amt (more or less cause I dont know if you are bonded by Rule 7 Cool . You can use this money anyway you want.

sunnyMAN SG

thanks alot bro..

short and sweet

sweetie05 SG

Correct me if i am wrong... but the outstanding loan if u redeem it now is not S$54600 -- which includes interest for 7 yrs. So theoretically, since u r paying down the loan 3 yrs earlier, u shld get back more than the S$13,648... rough calculations would be about $5-6k more.

net net, the depreciation over the last 4 yrs is still a lot, considering the amt of downpayment u had laid out in the beginning....

Originally posted by sghotimports:

[b]I believe the above is not completely true coz im still unsure abt the rebate part and whether i can carry forward my loan..pls show my some light brother

Absolutely no way ... legally, your new car and old car is not related. Legally , there is no methods to bring over the balance of your old car loan to your new car.

Alright I've paid for 4 yrs of my installment which equates to $31 248..my loan plus interests amt to $54 600 (thereabout)

I dun quite understand wad u mean if I've paid up the loan of more than the present paper value ($37k) than I'm fine..can u explain again??

SO presently for my case, if I wanna change car,,how much do I have to top up? And can the previous loan balance be brought forward to my new car's loan??

So you are paying about S$651 monthly, am I correct ?

Your car's paper value = S$37K
You owe bank = S$54600 - S$31248 = S$23 352

You are on the clear = if you sell your car ... the bank must pay you around S$37000 - S$23352 = S$13648

You will get a chq for this amt (more or less cause I dont know if you are bonded by Rule 7 Cool . You can use this money anyway you want.[/b]

sunnyMAN SG

sweetie05 can u explain??

i dun get wad u trying to say leh??

sghotimports SG

Effectively you are correct .... but Rule 78 draws at least 1 yr in instalments that you have to pay to the bank in penalty for early redemption. If there are penalties involved, this amount will be much higher.

I prefer to give the min sum .... if you get more, you happier. If I give you an estimate that is more .... and than you realise you get lesser, you sure not happy Very Happy

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