COE Crashed

[En0203]

for some it is worthwhile

 

even if it's worthwhile, after u changed u must max out the new one until almost scrap, otherwise i think still confirm lose

[Erikkson]

even if it's worthwhile, after u changed u must max out the new one until almost scrap, otherwise i think still confirm lose

 

is it possible the COE will drop faster than the car depreciation? If yes then we can trade in our cars and get new ones w/o losing too much, esp those new cars less than 6 mths old

Edited October 6, 2005 by Erikkson

[Acemundo]

ok simple

 

I assumed ur car there is still available unit in the first hand market and that the authorised dealer give a 1 for 1 drop in selling price to correspond with the drop in COE

 

so selling price u paid for is 54.5k right?

 

now COE drop = 15.7k - 11.9k = 3.8K mah

 

so their selling price will also drop to 54.5k - 3.8k = 50.7k

 

so the depn of such first hand car = (50.7k - 10.1k)/10 = 4.06k annum per annum

 

so your car, being 2nd hand, probably can sell for 3.8k depn per annum loh

[Acemundo]

that's a valid pt!

 

eventually for any benefit to be worth its while, there must be sufficient time invested

[Acemundo]

bro,

 

depn is not a figure that is independent. it is derived from a mixture of coe, omv and market condition.

 

it is impossible for the coe to drop faster than the car depn

[Felipe]

COE prices is dropping free fall like no body buiness.

 

Yo,bor.Need some advise here.

 

I had paid my 1 K deposite for a new car few wks back.I am beginning to freak out now as most experts said COE is going to be real low as 7 or 8 K.

 

As i am getting a OPC,the lower COE will be an advantage for me.Really feel like walking out of the current deal now.

 

Should i forgo my 1K deposite and sit out a few more months to see how things go.Anyway i can recover my 1 K?

 

Headache..... :-[

 

My SE sms me that he had got the COE for me on today's bidding.Can i still back out on the deal?

 

Any golden advices?

 

u should be able to walk out of the deal. just forfeit yr 1k. its pretty much standard affair here. nobody is going to hire lawyers to pursue such matters.

 

COE is all risk. while the projection is set to be low, no one can guarantee. maybe tm all sporeans go nuts and think 11k is enuf. watever it is, my suggestion is if u dun have a rush, then maybe can forfeit the deal. find out 1st wats the penalty and see if its worth losing tat sum of money. my guess its still just the sum u paid upfront.

[Erikkson]

so the depn of such first hand car = (50.7k - 10.1k)/10 = 4.06k annum per annum

 

so your car, being 2nd hand, probably can sell for 3.8k depn per annum loh

 

bro i noticed u factored out the $10.1k PARF rebate from the 50.7k

 

so if I sell my car, should I get back my parf rebate as well as the remaining car value that is not depreciated? I.e $3.8k*(9 years 9 months) + $10.1k Parf Rebate? And what about the COE rebate?

Edited October 6, 2005 by Erikkson

[Acemundo]

COE no rebate mah...ur selling price is calculated based on the scrap value at year 10. at year 10, COE rebate is 0. that is why i factored out the parf rebate which is still existing at year 10.

[Erikkson]

COE no rebate mah...ur selling price is calculated based on the scrap value at year 10. at year 10, COE rebate is 0. that is why i factored out the parf rebate which is still existing at year 10.

 

hmm ok thanks...will try to figure out the sums later

[Civic155]

ur book depn is (54500-10161)/10 = $4.4k per annum.

 

COE have fell by 3.8k since ur COE price.

 

assuming the first hand car of same model as you will now depreciate at (54500-3800-10161)/10 = $4k per annum.

 

so meaning if u resell ur car in the resale market, it will likely fetch 3.8k per annum only

 

then since you have 117months left in your car, it will be valued at = 10.2K + 3.8K/12 * 117

= 47k

 

minus away the agent margin, of say 5k, he will only take in from you at = 47k-5k

= 42K

 

so your loss at the minmum would have been = 54.5k - 42k - 1k (book depn)

= 11.5k

 

I don't think so. You car can only fetch around $25K (Parf and COE rebate) + $10K (Body) which is $35K. You can check with C&C or other company as well....

[Acemundo]

brother,

 

i nvr say his loss is only such.

 

there's 2 way to determine the resale price of a car.

 

if market drops too much, it will be paper value + few thousand (the method you illustrating)

if market drops slightly, it will still be priced based on discounted depreciation (above method i illustrated)

[Beachboys]

anyone saw Subaru's latest price list ?!? $80k for a WRX !!!

[Civic155]

Bro,

 

I am saying you are incorrect but painting a more realistic picture to him. As the second hand dealer will normal buy at paper value + body, as dealer will have a hard time selling second hand cars as new cars price keep on dropping....

 

Cheer

[Acemundo]

the pill is too bitter to swallow liao leh

[Cpchin]

sunny 1.6M, website price S$47k

 

just called them to find out for OPC car ..... S$29,802.50 !!!

 

S$47k - S$17k

 

full contra S$17k with COE + car price ?

Edited October 6, 2005 by Cpchin

[Vit4wd]

Kia Picanto OPC lagi cheap - $19K

[Acemundo]

yeah full contra.

 

with this, actually LTA is reimbursing us to buy OPC cars

 

cos COE 11.9K, opc rebate 17k ---- LTA pay us 5k to buy opc......great deal!

[Robin]

anyone saw Subaru's latest price list ?!? $80k for a WRX !!!

 

wah liew