COE Bidding 1st - Mar 2013

[Darryn]

if you manage to get a $1/- COE, you may only get a few thousand less for the car sale price (including COE), it happened many years ago, someone with a $50/- COE can not buy a car because AD would not lower much of the sale price. dont believe, ask any AD for the car price without COE, see if they will confirm you with a price. COE is being use to hide the profit. COE bidding price are manipulated by groups of AD's.

 

Go talk to a PI.

 

 

[Leepee]

 

Last time just one leading Japanese AD can easily sell 2,000++ per month.

Now same AD, may only sell 300++ per month due to the reduced COE quota.

Times has changed. And perhaps some AD has mellowed in their thinkings since.

 

Else PI is not a bad idea too. Many have bought PI mercs, BMW, Porsches, etc.

 

 

 

 

if you manage to get a $1/- COE, you may only get a few thousand less for the car sale price (including COE), it happened many years ago, someone with a $50/- COE can not buy a car because AD would not lower much of the sale price. dont believe, ask any AD for the car price without COE, see if they will confirm you with a price. COE is being use to hide the profit. COE bidding price are manipulated by groups of AD's.

 

[Bensonscu]

Since they have already tightened the financing part. Next step, they should make all COE bidding to be done by direct buyers only, i.e. no dealers allowed (maybe only for open CAT).

 

the govt will not agreed. it is like pay what you bid above the successful bid price.(in this case AD will not dare to put very high bid price to PAU tiok COE, but then if COE price low, govt loss revenue leh)

 

to allow bidding by direct buyer only, govt must make AD open the car price without COE, then the COE can not be transfer at all for the 10 years.

govt loss revenue bcos direct buyer will all bid $1/- lah, AD can not make more profit by using COE to hide the margin. so fat hope lah.

Edited March 4, 2013 by Bensonscu

[Chowyunfat]

Predictions of Mar 13 Cat A COE from some car dealers I met recently :

Toyota - 70-80k (say they sold twice the amount after Feb 20 and nearly 50 bookings for Toyota Altis over weekend )

VW- 70-80k (some backlog to clear, Jetta still hot demand)

BMW - 60-70k (their demand for 3 Series 1.6 went up and company will bid very high)

Hyundai -60-70k ( huge backlog to clear)

Honda - 60-70k ( sales still good and even better after price adjustment)

Mazda - 50-60k (say most loan application wont be approve)

Nissan - 50-60k (bad sales after 21 Feb)

So almost a certainty COE for 13 Mar bidding will be above 60k.

[Leepee]

Hyundai registered 68 cars in Jan.

Nissan registered 25.

Mazda 35.

Honda 11.

 

Predictions of Mar 13 Cat A COE from some car dealers I met recently :

Toyota - 70-80k (say they sold twice the amount after Feb 20 and nearly 50 bookings for Toyota Altis over weekend )

So normal altis is 25cars...now sold twice the amt to 50cars? Wow I m impressed.

 

VW- 70-80k (some backlog to clear, Jetta still hot demand)

Jetta???....I hope you are in Singapore?

 

BMW - 60-70k (their demand for 3 Series 1.6 went up and company will bid very high)

Maybe rich people are not affected.But surely those buying 316 are mostly youngish and financial boderline cases. Very high is like 70k only...still lower than VW 80k benchmark..

 

Hyundai -60-70k ( huge backlog to clear)

only registered 68 cars in Jan...How huge is the backlog? 100 cars?

 

Honda - 60-70k ( sales still good and even better after price adjustment)

Honda sales was bad since 2012. Selling from normal 11per month to 20 per month?

 

Mazda - 50-60k (say most loan application wont be approve)

Why only Mazda most loan won't approve? If it happen to Mazda, then likely other AD also face same situation.

 

Nissan - 50-60k (bad sales after 21 Feb)

Sales was bad since 2012

 

So almost a certainty COE for 13 Mar bidding will be above 60k.

Edited March 4, 2013 by Leepee

[Lionflyer]

I don't think it will go low this round. Still need to clear the pipeline from the previous round as well as new orders prior to the announcement of the guidelines.

 

[Chucky2007]

if you manage to get a $1/- COE, you may only get a few thousand less for the car sale price (including COE), it happened many years ago, someone with a $50/- COE can not buy a car because AD would not lower much of the sale price. dont believe, ask any AD for the car price without COE, see if they will confirm you with a price. COE is being use to hide the profit. COE bidding price are manipulated by groups of AD's.

This is true. However can always approach parallel importer. To them, it's just basic cost plus profit

[Airconlin]

if you manage to get a $1/- COE, you may only get a few thousand less for the car sale price (including COE), it happened many years ago, someone with a $50/- COE can not buy a car because AD would not lower much of the sale price. dont believe, ask any AD for the car price without COE, see if they will confirm you with a price. COE is being use to hide the profit. COE bidding price are manipulated by groups of AD's.

 

Good point. That's why in last year I have suggested government to charge a 3% administration fee (Min S$100) on COE bidding by car dealers. It will encourage many internet savvy buyers to bid COE by themself.

 

Current COE system only benifit the big dealers. Also government should charge additional 5% every month if the COE is not used to register cars in the 6 months grace period.

 

改进拥车证机制

 

近期拥车证价格暴涨，引起很多中产阶层的不满。这种不满对刚刚结束的后港补选可能有影响。其实如果将拥车证的费用视作对奢侈品的课税，那么其政治影响就完全不一样了。

 

　　作为一项税收，政府应该专款专用，只用于公路扩建与公共交通补贴。公交补贴应该补贴在明处。比如以过去十年的拥车证平均价为基数，如果今年的拥车证价格超过均价，则额外增加的收入将用于补贴公交，明年前三个月所有地铁的车资应给予相应的折扣百分比。拥车证价格越高，公交价格越低，两者直接关联。这样既鼓励人们乘坐公交，也保证补贴主要是给中低收入阶层，缓解拥车证价格高涨的政治成本。

 

　　另外，在拥车证的投标方式上，当前的机制有利于大车商，他们每个月都有稳定的订单，把握了市场行情。拥车证的注册有效期长达六个月，大车商可以低吸高抛，操纵市场。而那些小车商对市场行情了解要慢半拍，也没有雄厚资本炒作拥车证，最终要被挤出市场。因为无论车价多高，汽车总销量是刚性不变的。结果是拥车证价格越高，大车商的利润越丰厚，受害的是众多中小车商与广大消费者。

 

　　个人以为，要解决这个问题，其中的一个办法是对车商投标的拥车证，一律加收3%的管理费，以鼓励消费者自行上网投标；另一个办法是规定凡是标得拥车证超过一个月未用于注册车辆的，逐月加收5%的管理费用。

 

联合早报 Tue, 05 Jun 2012

Edited March 4, 2013 by Airconlin

[Deckbuild]

Bidding today?

[Yeshe]

Bidding today?

 

nope, starting next week

[Deckbuild]

nope, starting next week

 

3 weeks wait, guess it won't drop that much....

[Roh96]

3 weeks wait, guess it won't drop that much....

 

I would think so too, maybe drop 10K at most.

[Chowyunfat]

13 March result : Quota only 330, number of bids at least 700. COE for Cat A should be above 70k as more than 330 cars (VW 100+, Toyota 100+, BMW 30+, Hyundai 50+, Audi & Honda 30+, Nissan & Mazda 30+) are sold with above 70k COE rebate.

[Airconlin]

 

 

Stop dealers from bundling COE price with vehicle cost

 

http://www.straitstimes.com/premium/forum-...e-cost-20130202

 

IN THE past few years, I have noticed a significant increase in the number of cars on the road and a rise in traffic congestion. Hence, the tightening of the certificate of entitlement (COE) quota is a correct move.

 

High COE prices are not due to the limited supply. Instead, they are a result of aggressive bidding by car dealers to secure the COE and put their makes on the road. The COE cost is then passed on to consumers.

 

Such car dealers are unwilling to deal with buyers who have their own COE, possibly because they will make more profit by bundling the COE price, import duties and vehicle cost together.

 

Since COEs are not aimed at generating excessive revenue for dealers, there should be legislation to stop dealers from bundling the COE and car price together.

 

Bidding should also be limited to individuals, using platforms like their Internet banking portals. This should help bring COE prices down to reasonable levels.

 

Tan Hwee Siang

[Erykool]

Totally agree.

[Airconlin]

Check this age districution of car population.

http://www.lta.gov.sg/content/dam/ltaweb/c...Cars_by_age.pdf

By end of 2012, most cars on road their ages are 4-8 years, so from 2014 onward, we will see a lot of cars had to be de-registered, and COE will definitely drop a lot.

Edited March 6, 2013 by Airconlin

[Leepee]

Borrowed $10,000 from wife for COE bidding.

Told her I will try for a $100 COE, till we get it within these few months.

 

Will monitor on Wednesday 2pm onwards. And see whether to bid this round or not.

Not expecting this round to drop much, since there are still many 100% loans backlogs

Edited March 11, 2013 by Leepee

[Lotr]

I am also thinking of bidding own coe.

 

 

However, my worry is that if there is a freak result of coe dropping from 78k to 10k, the selling price of the car will not drop by the same 68k, instead maybe abt 40 to 50k, then individual buyers will lose out while the sellers will continue to enjoy large margins.

 

 

Any thoughts to this?