How will COE increase affect resale price

[Nimm12]

things like these made me feel i need to apologise to my kids for having them born here.

 

papa is sorry, kids. like the rest of your peers, you probably have to slog for the rest of your life to stay afloat on this plastic island. forgive papa for not considering better alternatives when mama was pregnant with you.

 

 

dont blame yourself, just migrate elsewhere

Edited March 25, 2010 by Nimm12

[Alheych]

does anyone think this is just a supply shock and things will die down after the period of 'adjustment' is over, and the system is fully engaged in the new formula based on actual deregs?

[SporeHongkong]

hmmm..if we took a loan on a used car a year ago now can mark up selling price to cover our interest losses ah..haha

[Darryn]

yes, a 2.0L CRV selling for asking price 68k, price cut to 66k asking... now asking72k

 

Kewl - I happy happy like pig in mud!

 

Maybe now I not so far underwater

 

Anyway, just to be an arsewipe - I doubt I will buy another car, by the time my COE expire I will be ready to fly the coop...and buy a REAL car back home....

[Jeffang]

Highest COE ever for car was $110,500 in Nov 1994.

 

 

i think is $110k in 1994. correct me if i'm wrong.

 

[Chongster]

does anyone think this is just a supply shock and things will die down after the period of 'adjustment' is over, and the system is fully engaged in the new formula based on actual deregs?

 

 

if car prices are so high, there will be even fewer deregs as more people hang on to their cars = even tighter COE supplies = car price even higher = even few deregs = even tigher COE supplies = car price even higher = = = [crazy]

[Jp66]

if car prices are so high, there will be even fewer deregs as more people hang on to their cars = even tighter COE supplies = car price even higher = even few deregs = even tigher COE supplies = car price even higher = = = [crazy]

Then 2nd hand dealers will cry "Ah Gong, pls help us. We have no car to sell. We are so stupid and short sighted to ask u to cut COE during last year's crisis. Ah gong wan xui"

[Scoobydoo]

Used car dealers are definately the 2nd biggest winners, after Gov of course. AD, especially those sellling bread & buttur cars, must be sian half way now. AD like Hong Seh shouldn't be losing sleep though.

 

 

Why Hong Seh won't lose sleep?

 

Maserati and Spyker not that hot-selling anyway, even if COE doesn't affect this level of cars that much.

[Albeniz]

based on the 90s experience... toyota corona 1.6 @ $120k also got ppl buy...

so if COE still back to the $45k peak again... still gt demand one...

 

That depends on stock market performance too.

I remember when the stockmarket crashed badly in 1997/8, a lot of cars suddenly disappeared from my carpark.

 

[Axela72]

Yep, already in the papers front page today! Dealers will up their prices by $5k - $7k on their existing stock of cars. It's a sellers' market now, so those planning to sell can hold out for mo money from the buyer

 

The papers also reported that if you bought a Toyota Wish in '07 for $62k, you can sell it today for $62k...NO depreciation! Really meh??

 

If the owner can sell at 50k can already laugh until teeth drop liao. I believed only the 2nd hand car dealer is greedy enough to do that but they buy their 2nd hand '07 Wish at below 40k.

[Accord2LJDM]

Anyone interested to buy/rent a 2007 Honda accord? Rent looking at 1500/month.

[Ferraricalifornia]

you sell high you buy high...

 

same for properties too...

 

to some people, not worth the change,

 

to others having more than 2 cars at home, or don't see the need for their cars now,

 

they will choose to sell their cars now for profit lor...

 

haha...

[Manu27]

nice one..

[Hermes_1]

Hey bros & sis,

 

Sorry to dig up an old thread. I'm confused as now the Coe is so high, the AD are telling me the resale value of my new car will also be high in the future due to high parf and Coe. Is this true?

 

If that's the case, let's say in the next 4-5yrs, the Coe drops to rock bottom. Which 2nd hand dealer will be so dumb to buy my high Coe car and gives me at a higher price compare to market?

 

Pls advice. Thks!

[Galliano]

Hey bros & sis,

 

Sorry to dig up an old thread. I'm confused as now the Coe is so high, the AD are telling me the resale value of my new car will also be high in the future due to high parf and Coe. Is this true?

 

If that's the case, let's say in the next 4-5yrs, the Coe drops to rock bottom. Which 2nd hand dealer will be so dumb to buy my high Coe car and gives me at a higher price compare to market?

 

Pls advice. Thks!

 

Was in the same dilemma as you last month (before i eventually setled for a 6yr old E200).

 

1. During these period, buy a car only if you need it. Car prices (new/used) is high now due to the COE. And honestly speaking, nobody knows for sure if COE is gonna mantain or increase further. I doubt if it'll go back to the $20-30K zone for Cat A. Its a cycle. You just need to ride the wave at the right time.

 

2. COE is just a peice of paper. If you buy it high, means your depreciation drops more each year. It reduces slowly to $0 after 10 years. I believe it would be very hard to sell your car in 4-5yrs time IF the COE dips back to $20-30k zones.

 

3. What is valuable to a car is the OMV and this figure is dependant on when you buy the car. Buy cars with high OMV in order to reduce the depreciation. My 6yr old Merc has an OMV of $57k whereas a new Merc is $37k.

 

I hope I'm right to comment this way.

Edited August 18, 2011 by Galliano

[Proton_neutron]

Hey bros & sis,

 

Sorry to dig up an old thread. I'm confused as now the Coe is so high, the AD are telling me the resale value of my new car will also be high in the future due to high parf and Coe. Is this true?

 

If that's the case, let's say in the next 4-5yrs, the Coe drops to rock bottom. Which 2nd hand dealer will be so dumb to buy my high Coe car and gives me at a higher price compare to market?

 

Pls advice. Thks!

 

 

 

 

If you buy the car now, say COE for a 1.6L car at $45k,

 

and COE in 4-5yrs time drops to rock bottom, say $15-20k or even lower,

 

used car sales will take a toll, for people buying a car would rather go the brand new route.

 

High COE's only contribute to the higher deregister values. Whether or not the car will have the actual resale value in the future, really depends on the COE market then.

 

 

=)

 

 

Hope it answers your queries.

 

 

 

[Unfair]

Was in the same dilemma as you last month (before i eventually setled for a 6yr old E200).

 

1. During these period, buy a car only if you need it. Car prices (new/used) is high now due to the COE. And honestly speaking, nobody knows for sure if COE is gonna mantain or increase further. I doubt if it'll go back to the $20-30K zone for Cat A. Its a cycle. You just need to ride the wave at the right time.

 

2. COE is just a peice of paper. If you buy it high, means your depreciation drops more each year. It reduces slowly to $0 after 10 years. I believe it would be very hard to sell your car in 4-5yrs time IF the COE dips back to $20-30k zones.

 

3. What is valuable to a car is the OMV and this figure is dependant on when you buy the car. Buy cars with high OMV in order to reduce the depreciation. My 6yr old Merc has an OMV of $57k whereas a new Merc is $37k.

 

I hope I'm right to comment this way.

 

Higher OMV is good only if you are looking at 2 cars priced similar with differing OMV values.

 

[Galliano]

Higher OMV is good only if you are looking at 2 cars priced similar with differing OMV values.

 

Agree, but for a buyer who is does not mind a 2nd hand car, the original price of the car back then does not matter to him.