*Now found a car - many thanks to all who responded.*
2007/08 Z4 Coupe *CAR FOUND*
- Thread starter johndglynn
- Start date
Hey John,
An interesting topic - car valuations. I work in finance / banking and have previously been involved in pricing financial instruments (from foreign exchange to swaptions). In a liquid market where a large number of transactions are made this is fairly straight forward. With really illiquid assets this starts to become quite challenging (something like hedge funds or private equity). How do your pricing models work with some of the rarer cars that come up for sale? Say we pick something ultra rare like a Lada Riva (laugh as you may this is one of the rarest cars in the UK!) where the price discovery mechanism completely breaks down - do you just price in a large margin for error?
Good luck with the search!
G
An interesting topic - car valuations. I work in finance / banking and have previously been involved in pricing financial instruments (from foreign exchange to swaptions). In a liquid market where a large number of transactions are made this is fairly straight forward. With really illiquid assets this starts to become quite challenging (something like hedge funds or private equity). How do your pricing models work with some of the rarer cars that come up for sale? Say we pick something ultra rare like a Lada Riva (laugh as you may this is one of the rarest cars in the UK!) where the price discovery mechanism completely breaks down - do you just price in a large margin for error?
Good luck with the search!
G
We buy any car are for those desperate to get rid of their cars ,their valuations mean nothing in the real world,I laughed my nuts of a few tears back when they valued my car even a dealer beat the valuation by a considerable amount don’t think there are too many on here mate desperate to sell to those sort of people webuyanycar and others like it just cash in on people’s Ill fortune a lot of the time imo
WBAC offer a service that seems to work. They buy your car for well under market valuation, do what they need to do and sell it for a mark up. While you and I value our time differently (or are more clued up on understanding the value of something) its a model that seems to have worked for them. Many people would look at selling a car as a massive hassle or something they just don't have a clue about. WBAC seems to solve for this. They sell convenience.
Now here is the interesting part. Lets say they sell you convenience for a 20% premium (in other words they undervalue your car by 20%). If you think you can operate a business with smaller margins then you should do it. Surely there is a position in the market for someone that understands car valuations better, while offering convenience. A firm like this should not be able to operate in an economists ideal world where people are totally rational... but somehow it does.
Now here is the interesting part. Lets say they sell you convenience for a 20% premium (in other words they undervalue your car by 20%). If you think you can operate a business with smaller margins then you should do it. Surely there is a position in the market for someone that understands car valuations better, while offering convenience. A firm like this should not be able to operate in an economists ideal world where people are totally rational... but somehow it does.
Works for the minority and a lot of those are desperate people no matter wot anyone says and those that have a less desirable car to sell and I think that anyone that has someone like Phillip schofield in there ads who as far as I know knows not a lot about cars but knows how to babble on about rubbish on tv doesn’t say much but like you say it works for some ( the minority ) and we all have a choice but as pointed out would he sell any of his cars to webuyanycar.com,I’ll give you one guess and I bet you get it right
I just checked WBAC for a price for a 2008 Z4C with 100k miles and a full service history. They value it at £5400. Add your £1000 and you are willing to pay £6400.
That is £1400 less than I paid for mine with 15k less miles. To be fair I bought from a dealer so a private should be cheaper.
15000 more miles might decrease the price by £500 and a private sale might be another £500 cheaper. This leaves you £400 short in my calculations.
That is £1400 less than I paid for mine with 15k less miles. To be fair I bought from a dealer so a private should be cheaper.
15000 more miles might decrease the price by £500 and a private sale might be another £500 cheaper. This leaves you £400 short in my calculations.
Hi G, you look to historic data (so older sales), comparables or a mix of both. It all works out. The super rare stuff requires a bit more work, whether it's a Lada Riva or a Z8 or whatever. I like interesting valuation questions regardless of marque. Thanks for the reply!Gaijiniji said:
Exactly. Price like-for-like and it is a decent offer for an instant sale in a slow market.Sandman77 said:
WBAC is a good starting point in a conversation, as it is a real world trade price and a realistic baseline. Either I will find the right car at a price both parties are happy with or I won't. I am OK either way. No one need lose any sleep over it - it's just cars :wink:
blobslosak
Member
Sandman77 said:
There's a 97k 2006 z4c up on here for £6.5k and still hasn't sold... Probs will go for £6k ish? So he's spot on tbh.
I sold my MK3 focus RS to webuyanycar car for £500 less than the average private asking price on auto trader. I wasn't desperate, just made sense. The guy I dealt with had bought 3 that week..!
Gaijiniji said:
Do you fully understand how WBAC works ? They don't buy them , prep them , warranty them & then sell them .
They are simply a car brokerage where trade buyers ( garages) register & have access to database of current stock .
WBAC buy the cars , list them for a few hundred over what they paid then flirt them directly down the chain for them to be subsequently prepped & sold with added margin for profit .
Started initially by the now folded CarCraft in Rochdale , one of the original car supermarkets , smart idea really as they were in constant need of stock so advertised to buy cars but giving under market rates but ultimate ease to the seller .
The business WBAC was then bough by BCA which effectively gives them a endless stream of vehicles :wink:
As for the OP happy to purchase a decent forum car at WBAC valuation
glwt 
johndglynn said:
I’m sorry but £7,705 is not a realistic baseline for a ///M roadster with 50k on it. You only have to look at other valuation sites. Admiral insurance for example value the same car at just under £16k. Yes that’s a price to buy, but that valuation is over 120% higher and a dam sight closer to a real world value. Bare in mind they also won’t want to be inflating these prices as if my car is written off that is the value they’ll have to give me.
Of course, that is how the motor trade works. I've sold hundreds of cars at WBAC plus £1k over the years and would be happy to take a grand margin on a Z4 Coupe if that got it sold so I could get on to the next thing.Bluecat said:
I just needed to find someone else who understood the proposition and wanted a sale within hours rather than waiting weeks for their classified ad to reach a potential buyer. I didn't think it would be that difficult with nothing much selling and it wasn't.
Deposit now paid on a silver '07 Z4 Manual Coupe from its home of six years and pickup arranged for this weekend. It has 13 months MOT and is due an oil change, but we are both happy with the deal and a new car friend has been made. I look forward to sharing more after pickup and putting my first Z4C in the garage.
PS: yes it is Silver
I agree. Had I been looking for an M roadster then I would have done the same research I did on Si Coupes and come up with a different offer. For the car I wanted, WBAC was spot on versus recent trade deals, so an offer of 20% more than that to be paid in 24 hours is not a hard thing to sell to someone who is totally ready to move the car on.srhutch said:
johndglynn said:Deposit now paid on a silver '07 Z4 Manual Coupe from its home of six years and pickup arranged for this weekend. It has 13 months MOT and is due an oil change, but we are both happy with the deal and a new car friend has been made. I look forward to sharing more after pickup and putting my first Z4C in the garage.
PS: yes it is Silver
Hi and welcome to the forum, and Coupe ownership.
Thanks Mr T! I'm happy I found a good car with 95% the right spec and enough character marks to use it relatively guilt free. Looking forward to seeing what these things are all about and comparing to the other bits and pieces I ownMr Tidy said:Hi and welcome to the forum, and Coupe ownership.
mr wilks said:
What I said! Didn't know the history but a great idea. As a seller you are essentially forfeiting some of the sale price for convenience. As we know that's important these days. I'm not for a minute saying I would sell my car through them, just looking at the business model from an economists perspective.
OP welcome to the forum, congratulations on the new purchase and hope you enjoy it!
Thanks Jamie. I will share pics and it may also be heading for a magazine feature (I have a column in BMW Car magazine) so will be some pro pics later too. Maybe we should do a double feature: "buying at the bottom end" with your new Roadster alsojamie_z4 said:
