Pricing?
- Thread starter pvr
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Mr Whippy said:Final payment doesn't give you much faith in their expectations of residuals does it
4 years ago I bought a Z4M pre-reg deliv miles for £40K from Sytner - 3 years finance gave balloon on PCP as £25K. I only kept that car 6 months, but if I had kept it 3 years, it would have been worth nowhere NEAR £25K - more like £18-20K a year ago if you were lucky..... BMW were not alone is bigging up balloons back then, and BMW and others got stung as a result. So NOW, balloons are pitched very pessimistically at 70-80% likely future residual value. Plus dealers prefer you to have a bit of equity in your car at the end to comprise a deposit for a replacement.
M
Mr Whippy said:Final payment doesn't give you much faith in their expectations of residuals does it
Don't think that £17K figure is the guaranteed future value! Think that's the amount you have left to pay off if you want to keep the car after 4 years!!
My guess would be that the GFV would be between the £25-30K mark. That would at least get your deposit back on a new car once the £17K had been paid off.
This to me is a way better option.
http://www.bmw.co.uk/bmwuk/auc/car_details/0,,1260_159980112__,00.html?currentCh=WBALM72050E163816
Essentially a brand new Zed with 2600 miles. Ex BMW registered car May 09. Pure white interior, Sat Nav, etc. for <£35K bit of haggling would get that down.
Give or take £30k less than pvr's posted example
Original list was £46k, so lost £11,000 in 10 months
Sat in it yesterday and loved it, but not for me .....yet
http://www.bmw.co.uk/bmwuk/auc/car_details/0,,1260_159980112__,00.html?currentCh=WBALM72050E163816
Essentially a brand new Zed with 2600 miles. Ex BMW registered car May 09. Pure white interior, Sat Nav, etc. for <£35K bit of haggling would get that down.
Give or take £30k less than pvr's posted example
Original list was £46k, so lost £11,000 in 10 months
Sat in it yesterday and loved it, but not for me .....yet
Breaker - yours is beautiful and one of those 'right' combinations. Was it brand new?
I believe VAT qualifying means that businesses can reclaim the VAT, but it's already in the screen price.
I believe VAT qualifying means that businesses can reclaim the VAT, but it's already in the screen price.
No mine was the same as that car, an Ex BMW car. 
It originally had a ticket price of £38,000 on it.
They must have had a few done with the same/similar spec. On the sat nav screen in the BMW online section is gives you the cars main dealer and that is set on my car as BMW UK. I rang the number once on the screen to see who it was ond a woman from BMW UK answered and said I had the wrong number as that was the main BMW UK headquarters! :wink:
Stopped buying brand new a few years ago as I saw the light and realised I was just chucking money away seeing the deals on offer for ex-works cars!! :wink: My last Z4 Coupe was an ex-BMW UK car also.
It originally had a ticket price of £38,000 on it.They must have had a few done with the same/similar spec. On the sat nav screen in the BMW online section is gives you the cars main dealer and that is set on my car as BMW UK. I rang the number once on the screen to see who it was ond a woman from BMW UK answered and said I had the wrong number as that was the main BMW UK headquarters! :wink:
Stopped buying brand new a few years ago as I saw the light and realised I was just chucking money away seeing the deals on offer for ex-works cars!! :wink: My last Z4 Coupe was an ex-BMW UK car also.
Speaking to the dealer he was open in showing me the original sale price, but we know that's all nonsense anyway as they simply add up the list of everything, tax, VAT, delivery, etc. and get an OTR figure. What he did explain was that BMW had registered a vast fleet of them and release though private auctions to the delaerships to bid on. This is one they 'won'.
Talk about some cars not shifting though he has a red coupe that they are totally unable to sell. Tells me it's been there months. Wrong colour and no i interest from anyone in it. Stopped even listing it on the site, just hope it catches an eye in the showroom :thumbsdown:
Talk about some cars not shifting though he has a red coupe that they are totally unable to sell. Tells me it's been there months. Wrong colour and no i interest from anyone in it. Stopped even listing it on the site, just hope it catches an eye in the showroom :thumbsdown:
MMM said:
This. BMW quotes very low residuals these days as they don't want to get burned again. You can get much more competitive (and still realistic) figures elsewhere.
Breaker said:
The balloon figure is usually equal too or less than the GFV (guaranteed future value). They don't want to end up with you owing them more than they think it will be worth. So my assumption would be BMW think it will be worth about £17k-£20k I would say. I really can't see a 4 year old Z4 being worth £25,000 - £30,000; that's a nice illustration of how crazy sixty grand for one is...that will be M3 money based on current used values....
Take the car at base price, multiply that by 50%
Take the options value, multiply that by 10%
Add 'em together and I think you have it's 4 year value
But I thought the whole point of those personal finance deals was to make back enough to put a deposit down on a new model once your present car was paid off? :?
I was stung by one of those deals once. Never again. Straight finance, bank loan or cash if I have a good year! :wink:
I was stung by one of those deals once. Never again. Straight finance, bank loan or cash if I have a good year! :wink:
Not really. Finance is to spread the cost of the car over the period you own it....there are no rules on where you will be at the end of course. If the figures were realistic, yeah you should get some cash out at the other end. If you paid a tiny deposit, not enough per month, set the balloon too high and the car depreciates far worse then expected then no, you will get nothing back and probably still owe quite a lot. You lose money on a car every day no matter what and that depreciation has to be paid for. If you paid cash, you get less back....if you pay finance, you get less back. If you use BMW finance and pay 13.5% APR without negotiating as shown by that example, you pay ten grand in interest and get totally raped
That blue one looks bloody lovely, is basically new and at £35k, the numbers look much better. Who would pay £13k more for the white one?
Even before negotiating a fairer finance deal, it doesn't make sense to me.
That blue one looks bloody lovely, is basically new and at £35k, the numbers look much better. Who would pay £13k more for the white one?
Even before negotiating a fairer finance deal, it doesn't make sense to me.
Does depend on the deposit, although on those personal finance deals how much you can put down is capped!
Last 2 cars I've bought cash. Just had to have a small loan for this one. I didn't want to wait as the price was good.
True on the loan interest rate! The dealer has a couple of rates they can offer. Just depends how long you or they wait into the negotiating as to when they produce them! :wink:
Last 2 cars I've bought cash. Just had to have a small loan for this one. I didn't want to wait as the price was good.
True on the loan interest rate! The dealer has a couple of rates they can offer. Just depends how long you or they wait into the negotiating as to when they produce them! :wink: