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How will COE increase affect resale price


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If the new car price remains the same, 120k car, would u choose one with a low coe 47k or 56K?

 

The answer is a no brainer bec the question is not whether you should pay 120k for 47k coe or 130k for a 56k coe

 

Whether a higher coe gives you any perceived advantages will depend on your individual circumstances

 

You may not plan to scrap this, but when you try to sell the car at 5 years or say 8-9 years time, a higher coe will give you a "little" bargaining power, even though in reality a 9k coe difference confers limited advantage. Maybe 1-2k more when you sell to dealer at 8-9 years.

 

If say a 120k come with 50k coe and a 125k car comes with 80k coe, then the "advantage" will be greater. 

 

In your case,  you should be happy you got the 56k coe instead of 47k coe bec those who booked at 56k coe after u will probably pay more for their new car [:)]   

 

 

 

 

Hi all,

 

I booked a car when the coe price was ard $47000. Recently I took delivery of the car and as the COE price increased, the dealer had to pay for a $56000 COE for me.

 

I felt that I had gained in terms of paper value of $9000 but my friend said that there is no "gain" on my part. He said that in future when I sell my car, dealers/buyers will only look at depreciation based on parf value and offer accordingly and will not take COE into consideration.

 

For eg, when i want to sell my car with $56000 COE versus a same model car with $47000 COE, assuming car age is only one month difference, i wont be able to sell it for a higher price because naturally, people/dealers will take in whichever car is selling cheaper so i cannot use the higher COE to my advantage. So my gain is actually just "psychological".

 

We dun talk about scrapping it because for the first few years, no one will scrap their cars when they can definitely fetch a higher price in the resale market.

 

Any thoughts?

 

 

 

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Buyers will prefer to buy used car with higher coe. And when u selling it, u can sell parf + remaining coe + $$.

 

Example

Altis 07 july

$7000 parf + $1000coe = selling at $21000

(Usually this car dep more than $10k pa)

 

Suay suay, after 1 month kana accident need to scrap, u only can back the parf $7000 n remaining Coe price which is less than $100

 

But if ur Coe is $56k, then will be $7000 + $4000+++

 

Which will be big diff.

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Hi all,

I booked a car when the coe price was ard $47000. Recently I took delivery of the car and as the COE price increased, the dealer had to pay for a $56000 COE for me.

I felt that I had gained in terms of paper value of $9000 but my friend said that there is no "gain" on my part. He said that in future when I sell my car, dealers/buyers will only look at depreciation based on parf value and offer accordingly and will not take COE into consideration.

For eg, when i want to sell my car with $56000 COE versus a same model car with $47000 COE, assuming car age is only one month difference, i wont be able to sell it for a higher price because naturally, people/dealers will take in whichever car is selling cheaper so i cannot use the higher COE to my advantage. So my gain is actually just "psychological".

We dun talk about scrapping it because for the first few years, no one will scrap their cars when they can definitely fetch a higher price in the resale market.

Any thoughts?

 

Best is to enjoy your car. You bought it using your hard-earned money and if you keep on harping about the psychological gains or loss uou will grt stressed over it. Thousands of Singaporean would love to own a car but couldnt....Bought it and so might as well enjoy the ride!
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If the new car price remains the same, 120k car, would u choose one with a low coe 47k or 56K?

 

The answer is a no brainer bec the question is not whether you should pay 120k for 47k coe or 130k for a 56k coe

 

Whether a higher coe gives you any perceived advantages will depend on your individual circumstances

 

You may not plan to scrap this, but when you try to sell the car at 5 years or say 8-9 years time, a higher coe will give you a "little" bargaining power, even though in reality a 9k coe difference confers limited advantage. Maybe 1-2k more when you sell to dealer at 8-9 years.

 

If say a 120k come with 50k coe and a 125k car comes with 80k coe, then the "advantage" will be greater. 

 

In your case,  you should be happy you got the 56k coe instead of 47k coe bec those who booked at 56k coe after u will probably pay more for their new car [:)]   

 

For me of cos i felt happier cos paying the same price for the car, logically anyone will want to get the higher COE vs the lower COE but then i felt what my friend said also makes sense so just post this for discussion.

Buyers will prefer to buy used car with higher coe. And when u selling it, u can sell parf + remaining coe + $$.

 

Example

Altis 07 july

$7000 parf + $1000coe = selling at $21000

(Usually this car dep more than $10k pa)

 

Suay suay, after 1 month kana accident need to scrap, u only can back the parf $7000 n remaining Coe price which is less than $100

 

But if ur Coe is $56k, then will be $7000 + $4000+++

 

Which will be big diff.

Yes, in this scenario above, it will definitely make sense to get the higher COE car.

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Best is to enjoy your car. You bought it using your hard-earned money and if you keep on harping about the psychological gains or loss uou will grt stressed over it. Thousands of Singaporean would love to own a car but couldnt....Bought it and so might as well enjoy the ride!

Not harping or getting stressed la. Just for discussion purposes and also to get others's thoughts and opinions.

Think so much for what. Juz enjoy it.

 

If cannot Tahan depreciation or whatever, juz B.M.W

If dun think, brain will deteriorate. Like i said, its a discussion to gain more insight.. Life is all about learning right.

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Not harping or getting stressed la. Just for discussion purposes and also to get others's thoughts and opinions.

 

If dun think, brain will deteriorate. Like i said, its a discussion to gain more insight.. Life is all about learning right.

Unless an insider share trade secret, otherwise talk is cheap.

 

Brain should be used for more intellual stuff.

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Not harping or getting stressed la. Just for discussion purposes and also to get others's thoughts and opinions.

 

If dun think, brain will deteriorate. Like i said, its a discussion to gain more insight.. Life is all about learning right.

well if you think about it.... buy low coe and your monthly payment will be lower but so will the resale value, buy at high coe your monthly will be more unless you put more downpayment and the resale value will be more. So there pros and cons in buying at either price. If those pay full cash kings mcfers join in this discussion....you will get another opinion...
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(edited)

The advantage only kick in if current COE is higher than your COE! Look at sgcarmart , I have seen those COE $75k and above cars selling for the longest time and still selling! Why? Cause seller refuse to adjust sell price to current level, buyer will be a fool to buy when new cars are cheaper or same.

 

Give you a classic example. Go search Used car in sgcarmart. Look for LEXUS ES250! You will see a Aug 2015 white colour one asking for $215k for the longest time! ES and RX are Lexus most sellable cars but why this advertisement been on going for a long time?

 

You can get a brand new ES250 lux trim lvl at about 200k thereabt at current COE lvl who the hell wants a one year old car and not facelift model? FYI 2016 is a new model. And his COE only $60k tsk tsk

Edited by D3badge
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Turbocharged
(edited)

TS: Better keep quiet since already got good deal (even though from your perspective). RELAX....

 

Bros here got car @$38k Coe all keeping quiet...

Edited by BenTong
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Turbocharged
(edited)

Dealer still earned ard 13k gross despite the rise in COE. Btw, it is from PI.

PI usual margin around $10k..so he already priced in the expected COE increase. In a way u lucky Coz if not u would have paid more for it.. Point is .. Enjoy your ride and relax..

Edited by BenTong
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Hi all,

 

I booked a car when the coe price was ard $47000. Recently I took delivery of the car and as the COE price increased, the dealer had to pay for a $56000 COE for me.

 

I felt that I had gained in terms of paper value of $9000 but my friend said that there is no "gain" on my part. He said that in future when I sell my car, dealers/buyers will only look at depreciation based on parf value and offer accordingly and will not take COE into consideration.

 

For eg, when i want to sell my car with $56000 COE versus a same model car with $47000 COE, assuming car age is only one month difference, i wont be able to sell it for a higher price because naturally, people/dealers will take in whichever car is selling cheaper so i cannot use the higher COE to my advantage. So my gain is actually just "psychological".

 

We dun talk about scrapping it because for the first few years, no one will scrap their cars when they can definitely fetch a higher price in the resale market.

 

Any thoughts?

 

 

 

Instead of getting the $9k in "paper value", I rather COE dropped by $9k to $38k ($47 - 9) ...

 

This way, the AD will refund me $9k in cash....  [:p]

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Turbocharged
(edited)

Instead of getting the $9k in "paper value", I rather COE dropped by $9k to $38k ($47 - 9) ...

 

This way, the AD will refund me $9k in cash.... [:p]

Haiya.. Why you let cat out of the bag? You very cruel leh... Edited by BenTong
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TS: Better keep quiet since already got good deal (even though from your perspective). RELAX....

 

Bros here got car @$38k Coe all keeping quiet...

cb...my coe was 12k....shite i better keep quite!
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