Just what i thought... stuffed..... oh well....i'm lovin it....
18th Dec 2008 10:39 am
bigcarpchaser
Member Since: 13 Oct 2007
Location: Camberley
Posts: 2270
If things don't improve in the next couple of years, does this mean that LR will be shafted when paying out the GFV on vehicles?
For example, they gave me a pretty good GFV when I bought my car in Sept 07 which would meant they'd be paying about 5k more than the car was worth, so rather than refinancing the balloon, it would make more sense to wait til they stuck the car on the forecourt then buy at back?
Does that make sense?Welcome "Lola"
18th Dec 2008 12:02 pm
NeilD
Member Since: 01 Dec 2008
Location: Sunny Surrey
Posts: 4845
Not strickly LR as they are backed by finance companies. When I was looking for new, 3 different companies had 3 different 3rd year valuations, differences of about £6,000!!!!!!!. The monthly rate was only £35 different as well!!!.....so Blackhorse could be getting some low (er) share prices!!
18th Dec 2008 12:07 pm
cheddarwards
Member Since: 07 Aug 2006
Location: Somerset
Posts: 169
In theory all finance & contract hire companies are sitting on a time bomb of agreed GFV's & residual values, which were set during a different era of financial outlook. These will come home to roost over the next couple of years & will put further pressure on the banks & finance houses as they realise huge losses on their assets (which they are classed as until you exercise your option to purchase)
I would expect to see finance companies seriously tighten up on return conditions on vehicles handed back under GFV obligations. The flip side of that is that there could be some serious end f lease bargains to be had.
For example it looks ridiculous now that RRS had 3 years 45k RV's set at 60% of new price, but at the time we thought that was perfectly achievable. At the moment CAP monitor is marking down RV's by approx 6% a month on premium marques, surely that has got to stop at some point or we will get to a point when cars are worth nothing (we are almost there now).
As has already been said i will be keeping my car for the long haul & the price to change has got just too big, this is what will kill the car industry in the short term - not the availability of credit.
Off to slit my wrists now
18th Dec 2008 12:15 pm
NeilD
Member Since: 01 Dec 2008
Location: Sunny Surrey
Posts: 4845
Well Said Chedder.
A luxury car (over £20,000 worth) has to be considered a 6 to 8 year investment (?) now as the 2nd prices are going through the floor.
Only a fool or exetremly wealthy person can now change a car after a few years if its fully paid off.
Neil
18th Dec 2008 12:19 pm
rsk21
Member Since: 29 Jan 2007
Location: Northants
Posts: 162
Well mine is up in feb 2010 with a minimum GFV of £14,750
It's non CCA regulated so no voluntary termination.
Went to have a chat at Stratstone on Monday and was offered £13k - that's about £5k less than is outstanding at present.
It's on a 45K mile agreement and has done 38K so I aniticpate being approx 10k over at handback time = £1k plus VAT in charges.
So plan is now to hold on to it until Feb 2010 and hand it back in tip top condition letting LR Finance pick up the pieces. I'll look for them to cover the £1k in return for a new deal or failing that I'll pay and start over. I have a feeling deals will still most certainly be able to be don - was offered £8k of an unregistered 08.5 HSE.
RSKFFRR Vogue SE - Waitomo
D4 XXV - Causeway
D4 HSE 255 - Sumatra
D4 HSE 245 - Stornoway
D3 S - Java
18th Dec 2008 5:06 pm
CFB
Member Since: 02 Dec 2005
Location: Bradford, West Yorkshire
Posts: 6100
How times have changed in the last 3 years, I have now owned 6 different D3's in that time and have barely lost a penny swapping them. I bought at very keen prices and p/ex'ed within 3-4 months, usually getting back the same or in some cases more against a newer car.
That really isn't the case now, my HSE sold privately and I lost a fair chunk and the current S model I'm running is probably worth £5k less than I paid for it 2 months back. Strangely it is my favourite of all the ones I have owned despite it being a manual and lowish spec, just seems better to drive somehow. I will have to keep it for a fair while which will be a new experience for me 2020 BMW X1 18d XDrive X-Line Auto
18th Dec 2008 5:24 pm
ronp
Member Since: 29 Nov 2006
Location: North Yorkshire
Posts: 15263
CFB wrote:
the current S model I'm running ...... despite it being a manual and lowish spec,
I'm confused
Thought it was an SE???
If so, that's not lowly spec
Mines SE and I reckon it's got decent spec?
CFB wrote:
I will have to keep it for a fair while which will be a new experience for me
Yeah sure Andy ...... always on the road less travelled 🚧
18th Dec 2008 5:32 pm
CFB
Member Since: 02 Dec 2005
Location: Bradford, West Yorkshire
Posts: 6100
ronp wrote:
CFB wrote:
the current S model I'm running ...... despite it being a manual and lowish spec,
I'm confused
Thought it was an SE???
If so, that's not lowly spec
Mines SE and I reckon it's got decent spec?
It's an odd spec Ron, it's badged as an SE and has Xenon's, front and rear PDC, Logic 7 audio, PTI but no sat nav or leather. Was sold to me as an S 2020 BMW X1 18d XDrive X-Line Auto
18th Dec 2008 5:37 pm
digilox
Member Since: 13 Sep 2008
Location: Edinburgh
Posts: 128
My GS is on a 2 year lease @ less than £300 a month thru Lombard. I'm just glad I didn't buy one !.
The downside is I can't get rid of my previous vehicle (55 reg. Kia Sorento, 41000, good nick, FSH etc.£6999) I have had it in Autotrader for over a week with only one phone call ... and then he cancelled at the last minute.
It's really got another year to run on finance but having paid over half etc etc I can just VT it back to the bank as there's about £6000 due on it, so I'm not really loosing anything on it, however ........ at the moment the Banks "Collections" dept. can't give me a date for pick 'cos they are so busy .....Quote "We are getting thousands of cars being handed back to us" unquote !!!!Something that doesn't drink diesel and doesn't cost a bloody fortune everytime it needs serviced / fixed. But hey ....I got a deal from the leasing company on my D3 that you guys can only dream about !
18th Dec 2008 5:48 pm
digilox
Member Since: 13 Sep 2008
Location: Edinburgh
Posts: 128
Update ... British Car Auctions picking up the Kia on 06 Jan and going straight to auction in Glasgow. Somebody will probably get her for about £4.5k !Something that doesn't drink diesel and doesn't cost a bloody fortune everytime it needs serviced / fixed. But hey ....I got a deal from the leasing company on my D3 that you guys can only dream about !
I want a FFRR Vogue SE S/C. I wonder what deal I'd get if I chopped mine in for a nearly new RR? I expect £18k (although thought when I bought mine after 12months I'd get nearer £28k), but I know I'll be sorely disappointed with the deal..............
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