WBAC Values

[chanjy]

Location    Pop        Cars sold Q1 2019    Cars sold/head
EU         445000000   3,332,515          0.007488798
UK         67000000    701,036            0.010463224

Based on a random Q1 2019 (ie. pre-Covid) figure I calculated it's 40% more new cars per person being sold in the UK

No wonder cars depreciate faster

 

[HangTime]

I think you need to compare with G20 or individual nations rather than EU overall as their stats are probably dragged down a bit by poorer nations.
I also think taking a quarter in isolation might potentially skew the stats depending on region e.g. if you look at Q1 then that includes March which always has a huge spike in registrations in the UK. Q2 2019 was lower than Q1 2019 for example.

 

[Greebo]

What's the reason for it though? Do people in other countries just not buy as many new cars?

Ive no idea. I know when my inlaws lived in greece for 20 years they always passed comment on what they had bought a local car for they could have bought something 5 years newer for the same money in the UK.

But on the other hand when they came to sell the one they owned for a different car, they barely lost any money.

 

[HangTime]

Don't have any stats for comparison between nations but I wonder if the UK has a bigger leasing market that releases a lot of 2-3 year old cars to the used market, driving down prices.

 

[GhostWKD]

Don't have any stats for comparison between nations but I wonder if the UK has a bigger leasing market that releases a lot of 2-3 year old cars to the used market, driving down prices.

I don't know if other countries have the equivalent also, but I used to work for Motability Operations - I can't remember the exact number but somewhere around 10-15% of all new cars in the UK are bought by Motability each year. The majority of those then end up in the used market at the end of their (usually) 3 year term.

Throw the natural churn of a very large lease market in the mix and you're probably looking at an incredibly large chunk of cars that come up for resale at/before the 3 year mark.

 

[Greebo]

Don't have any stats for comparison between nations but I wonder if the UK has a bigger leasing market that releases a lot of 2-3 year old cars to the used market, driving down prices.

I am sure its lots of factors, that included.

Also factors:

Date number plates so people always want newer cars to show off
PCP - makes car buying new cars cheap and affordable.
Cars over 3 years need MOTs and higher running costs compared with new with warranties and sometimes services all included
Expensive insurance and veh tax and fuel duty means its expensive to run any car whether its a £2000 car or a £20k car.
RHD - smaller market for selling your used car to
Dealer discounts on new cars - before covid it was easy to get up to 20% off a new car, sometimes a lot more. I bought a brand new £65k list price VW touareg for £38k. Where does that put second hand values at for a one year old one? Less than £38k obviously.

so lots of factors.

 

[[TW]Fox]

PCP - makes car buying new cars cheap and affordable.
Cars over 3 years need MOTs and higher running costs compared with new with warranties and sometimes services all included
Expensive insurance and veh tax and fuel duty means its expensive to run any car whether its a £2000 car or a £20k car.

This stuff applies as much if not more so to most of Europe - they all have the finance packages as well and the equivalent of VED in some European countries makes ours look like a bargain. In the US particularly new vehicle leasing is absolutely huge...

I think our pre 2020 used cars price felt about right - it's the higher prices abroad I don't get. Why would I want to pay £30k for a 2 year old 330i when I can order a new one for £35k?

Where does that put second hand values at for a one year old one? Less than £38k obviously.

Weirdly it often didn't - we spent 9 months trying to buy a year old Mini Cooper for less than the discounted price on offer for a new one. They all cost more. No thanks, ordered the new one. There used to be a sort of parallel universe for year old cars of some types where the prices asked for them made no real sense given the new prices on offer. It's like people buying 1 year old cars never even looked at a new one so had no idea.

 

[ZeeWrath]

Nothing makes sense at the moment. My wife has a new kodiaq bought for £27k last month. Cazoo/motorway/autotrader offering £29-30k

 

[HangTime]

That's just lack of supply - they will pay £29k for a Kodiaq because the lead time to get a new one is so long. I was tracking them on DTD for a while (looked good value) but they have disappeared from there completely now.

 

[SixTwoSix]

Offered me £5.9k for mine, versus £8k'ish equivalents are going for on AT/Ebay.

Not just new cars getting silly valuations. WBAC offered £5.9k in May for my 59 plate Mazda 3 MPS (good condition, FSH, 46k miles), checked with cazoo, just shy of £9k now.

 

[MarkeR]

Wild!!
Did a check on my 16 plate Focus ST diesel, up £500 from what I paid for it two years ago...

 

[Diagro]

Not just new cars getting silly valuations. WBAC offered £5.9k in May for my 59 plate Mazda 3 MPS (good condition, FSH, 46k miles), checked with cazoo, just shy of £9k now.

They offering 4k for mine... lol

 

[Rroff]

My uncle looking at replacing or buying outright his car - was quoted 6K at the start of the year to settle, now they want 10K - the vehicles he has been looking at for the same age and mileage have gone up by around 12K.

Getting a bit silly on the stuff I've been looking at as well - around 10K increase from earlier in the year bleh.

 

[Diagro]

My uncle looking at replacing or buying outright his car - was quoted 6K at the start of the year to settle, now they want 10K - the vehicles he has been looking at for the same age and mileage have gone up by around 12K.

Getting a bit silly on the stuff I've been looking at as well - around 10K increase from earlier in the year bleh.

What?

They want more to settle?

I'd tell them to sod off.

 

[Rroff]

What?

They want more to settle?

I'd tell them to sod off.

I'm not sure the exact details as it was mentioned by my mum but even with several months more miles on it they wanted more money now vs earlier in the year.

Problem is the kind of stuff they need is all increased a lot in price as well - so telling them to do one doesn't necessarily accomplish much.

 

[MissChief]

I'm not sure the exact details as it was mentioned by my mum but even with several months more miles on it they wanted more money now vs earlier in the year.

Problem is the kind of stuff they need is all increased a lot in price as well - so telling them to do one doesn't necessarily accomplish much.

What sort of agreement is it? Surely if it's HP then the cost to clear should be fixed and not variable for example?

 

[Rroff]

What sort of agreement is it? Surely if it's HP then the cost to clear should be fixed and not variable for example?

I don't know details. It is a vehicle used for driving instruction - I'm not sure if they are looking at purchasing it from that to put to just regular use.

 

[Ahleckz]

Sounds like a Contract Hire agreement, this doesn’t have a right to purchase but the funder may allow it.

 

[On Holiday]

Thanks!

Got it booked in on Sunday for cazoo, they're over a grand more than WBAC.

Managed to buy what I was looking for under market value, and sell mine for the same as I bought (if this goes through) minus a few quid. Overall, fairly happy to do a swap and some cash my way.

How was your Cazoo experience?
I've just booked them in to collect a car at £2000 more than I just bought it for a couple of weeks ago, so interested to know how much (if at all) they try to knock you down by upon physical arrival la-WBAC style.