Why do PI register new cars and sell as used?

[Shimada]

I see a lot of new cars with no mileage selling as used car with 1 owner as it is registered.

 

Why do car dealers do that? They would lose money doing that as it's considered a 1 owner car although there's no mileage on it?

 

Is it because they have COE expiring that they have to register with a car?

 

What other possible reasons?

[t0y0ta]

Are you refering to posts in sgcarmart under "Used Cars" which show brand new PI cars like Vezel or Harrier?

 

My belief is that they are definitely not used cars, but just stock (or even new cars they have already sold) that they create a phantom listing for.

 

Reason is so that people searching for used cars will also browse these "used" cars and maybe get attracted to them. Or get brandname exposure for their PI brands.

[Mercury1]

Don't think so leh, vin car has a Pi m4 which been advertised for damn long Liao, I got inquire last time I believe it still available.

 

I believe if the car is imported new and intended for road use (not like Tommy'a Enzo) it has to be registered once lta clears it.

 

Are you refering to posts in sgcarmart under "Used Cars" which show brand new PI cars like Vezel or Harrier?

 

My belief is that they are definitely not used cars, but just stock (or even new cars they have already sold) that they create a phantom listing for.

 

Reason is so that people searching for used cars will also browse these "used" cars and maybe get attracted to them. Or get brandname exposure for their PI brands.

[Stepspro]

I see a lot of new cars with no mileage selling as used car with 1 owner as it is registered.

 

Why do car dealers do that? They would lose money doing that as it's considered a 1 owner car although there's no mileage on it?

 

Is it because they have COE expiring that they have to register with a car?

 

What other possible reasons?

Perhaps it is a value add service to those who cannot wait for the bidding cycle.

Like suger daddy bring "daughter" see car...

she likes one, and drive off from show room immediately...

 

price is not a problem.

[Ahseng]

New car more regulations?

 

Used car can do more tricks?

[Watwheels]

Maybe used car loan lower interest rates? LoL...

[Mkl22]

i don't think they are registered. just an ad in the used car section but are actually brand new units unregistered. the reg dates are just as arbitrary date that is recent.

[Super7]

Don't think so leh, vin car has a Pi m4 which been advertised for damn long Liao, I got inquire last time I believe it still available.

 

I believe if the car is imported new and intended for road use (not like Tommy'a Enzo) it has to be registered once lta clears it.

 

 

Such "used cars" (technically used, but actually as good as brand new ones) maybe are subject to lower 'base value' for the purpose of import duties etc?

 

Eg tax an imported brand new M5, sgp tax man will use new car value to compute ARF etc etc, whereas for such an "used" M5, tax man can only use its depreciated value to work out ARF (ie like what we always say, the moment a new car leaves the showroom, even just for a day, it value goes down by quite a lot). I am not very sure, but this is what comes to mind.

[Darryn]

Don't think so leh, vin car has a Pi m4 which been advertised for damn long Liao, I got inquire last time I believe it still available.

 

I believe if the car is imported new and intended for road use (not like Tommy'a Enzo) it has to be registered once lta clears it.

 

This sort of car, there is no way I'd be buying from a PI.

 

I'd rather have the full support and access to the network that a dealer offers -

 

Not to mention the community events and everything else.

[Opel17]

 

Such "used cars" (technically used, but actually as good as brand new ones) maybe are subject to lower 'base value' for the purpose of import duties etc?

 

Eg tax an imported brand new M5, sgp tax man will use new car value to compute ARF etc etc, whereas for such an "used" M5, tax man can only use its depreciated value to work out ARF (ie like what we always say, the moment a new car leaves the showroom, even just for a day, it value goes down by quite a lot). I am not very sure, but this is what comes to mind.

iirc, used cars are not allowed to be imported into Singapore. It would be difficult to ascertain the actual age of those overseas used cars.

[Tommisan]

iirc, used cars are not allowed to be imported into Singapore. It would be difficult to ascertain the actual age of those overseas used cars.

 

You can import used cars into Singapore that are less than 3 years of age.

 

http://www.onemotoring.com.sg/publish/onemotoring/en/lta_information_guidelines/buy_a_new_vehicle/self_importation_.html

[Wt_know]

PI do import like new used car

what is like new used car?

 

like demo car, showroom car, or overseas AD close shop and they bid the car cheaply.

then they will sell as "like new" but used car

 

see several posting of used car with < 100-200km mileage

 

they could even buy a new car overseas cheaply may be got lobang to buy cheap ...

registered it overseas for 1 week/month and then import in as used car?

Edited January 14, 2015 by Wt_know

[Civic2000]

Let say one is able to buy cheap overseas, but there is a surcharge of $10K payable for each imported used car registered in Singapore. On top of that, the car will have to undergo an emission and fuel economy test at the Vicom. The tests again incurred another charges.

 

 

Prior to the registration with LTA, the OMV of the used car has to be assessed/determined by Singapore Customs for the purpose of payments of import duty, GST to Customs and ARF to LTA at the time of registration. The importer can produce an invoice from the overseas seller to Customs for assessment of OMV, but the invoiced value stated therein may not be accepted for payment of taxes if the Customs is of the view that the invoice value is too low to be accepted. The OMV will then be determined by Customs, and the importer pays the import duty, GST and ARF based on the OMV determined by Customs. Thus, one does not know the amounts of taxes to be paid before the value of the car is assessed by Customs.

 

OMV – Open Market Value. (comprises Cost of the car, Insurance & Freight charges).

[Darryn]

There is also a rumour that many of these "new" used cars (less than three years old) are accident damaged vehicles bought at salvage and then repaired...

 

I didn't do a detailed search, but here are two examples for reference on something that might make its way here cheaper than expected...

 

Audi

 

Fiesta Turbo

 

This one worse

 

While the UK has a comprehensive, publicly accessible database of accident cars, who here is going to check whether the chassis number of their "new" car has been involved in an accident?

 

Besides which - that would only cover the UK - and wouldn't pick up cars from NZ, Oz, Japan etc

 

Take a look at the fiesta - would you be wanting to buy it as a "new" car without knowing it was involved in an accident? Is the amount you're going to be saving going to be worth it?

 

Take care when you buy folks!

 

Edited January 14, 2015 by Darryn

[Wt_know]

if the deal is too good to be true, it probably is ...

 

cheap must be cheap for a reason

 

if the reason is acceptable to you ... then it's ok

[Mercury1]

Actually a simpler explanation might be the car was indented by someone who pulled out at the last minute. PI pocket the deposit and register the car under their company name until a potential buyer comes along.

 

Generally customs will have a set price for the base car already (it would have gone thru their homogeneous review previously) and then they would tax accordingly. Singapore Tax quite hard to xiam one.

 

 

 

Such "used cars" (technically used, but actually as good as brand new ones) maybe are subject to lower 'base value' for the purpose of import duties etc?

 

Eg tax an imported brand new M5, sgp tax man will use new car value to compute ARF etc etc, whereas for such an "used" M5, tax man can only use its depreciated value to work out ARF (ie like what we always say, the moment a new car leaves the showroom, even just for a day, it value goes down by quite a lot). I am not very sure, but this is what comes to mind.

 

I wouldn't disagree with that, but there those who don't mind buying PI and use for 1 or 2 years and just sell it. Cost savings can be substantial and they will chance that nothing will go wrong within the timeframe.

 

Munich dangles the 5 year svc package as a juicy carrot to dissuade those from going to PI.

 

This sort of car, there is no way I'd be buying from a PI.

 

I'd rather have the full support and access to the network that a dealer offers -

 

Not to mention the community events and everything else.

 

[Shadowdad]

Well, if also find AD car register under used car as management car. One reason is they have to bid up the COE to maintain the price. So if some COE bid too low within the allocated number for the month, they buy up the rest and register the car. They then sell 5-10k discount as management car. In this way, they can maintain the selling price of new car to have fat margin.

[Fett]

i don't think they are registered. just an ad in the used car section but are actually brand new units unregistered. the reg dates are just as arbitrary date that is recent.

 

Not really, cos sgCarmart requires a number plate to be able to post a used car, so these are definitely registered cars, been seeing this trend since few years back, im not realy sure why they do this.

 

Maybe its a more complicated reason than that