buying a new (161) suv

ficoun

Hi all.

I am considering buying a new car - I have never done it before - I have always bought second hand cars that required no finance and then driven them until they were worth next to nothing and had to fork out a couple of grand for another 'new' second hand car

I am now considering entering the world of buying a brand new car (SUV /crossover) with a view to upgrading it every three years while their is still enough equity in the car to trade it in for another brand new one.

Economically speaking:

Is it better to buy a brand new ie 161 reg suv for 32000

OR

a nearly new (152) suv for 27500 (same spec) with 9k kms on the clock

Both will get full scrappage (4000) on my car and both are available on PCP finance.

The monthly repayments will obviously be less on the nearly new one over 36 months
however when I go to trade up in 3 years time will it be worth a lot less?

I've been very confused listening to sales guys over the past week

Also PCP finance just seems to have a lot of positive points - but there has got to be a catch...
Can anyone explain it to me please?

Thanks a mill

nuls

colm_mcm

If you're prepared to finance a 1 year old car for 3 years, then why not do a new car for 4 years, or is it PCP finance?
They should both in theory be worth the same only you'd have the new one for an extra year.

ficoun

They would both be financed by PCP over 36 months

so is the slightly older one a better deal or does it all work out the same 36 months later when I go to trade in?

mickdw

ficoun wrote: »

Hi all.

I am considering buying a new car - I have never done it before - I have always bought second hand cars that required no finance and then driven them until they were worth next to nothing and had to fork out a couple of grand for another 'new' second hand car

I am now considering entering the world of buying a brand new car (SUV /crossover) with a view to upgrading it every three years while their is still enough equity in the car to trade it in for another brand new one.

Economically speaking:

Is it better to buy a brand new ie 161 reg suv for 32000

OR

a nearly new (152) suv for 27500 (same spec) with 9k kms on the clock

Both will get full scrappage (4000) on my car and both are available on PCP finance.

The monthly repayments will obviously be less on the nearly new one over 36 months
however when I go to trade up in 3 years time will it be worth a lot less?

I've been very confused listening to sales guys over the past week

Also PCP finance just seems to have a lot of positive points - but there has got to be a catch...
Can anyone explain it to me please?

Thanks a mill

nuls

In my opinion, the key to looking at a pcp deal is to do this -

Work out to best of your ability what the car will be worth at year 3. This will be a figure greater than the gfv. The Difference in these figures is your deposit on next car. If that deposit is looking similar to what you are putting down as a deposit this time, the deal will probably work for you. It will mean that you will be able to swap the car at year 3 keeping similar repayment and not needing to come up with a cash deposit.
So for example if you are going in now and paying 4000 deposit by way of cash, trade in or scrappage, the car will need to be with 4000 more than gfv when you go to trade it in again in 3 years in order for you to get next car with similar repayment monthly and not having to find a cash deposit.
In relation to new or slightly used, probably not a massive difference on pcp. What would your saving be?

ficoun

Thanks for the replies

The repayments on the 161 would be 389/month
Im not sure what they would be on the 152 yet as the sales guy has to get back to me with figures
But the total cost of the car is 4500 less than the new one.

They are not the same vehicle by the way - they are very similar though with almost identical specs.
The 152 is a kia sportage the 161 is a hyundai tuscon

Any opinions on these vehicles?

colm_mcm

Is the sportage the old model?

ficoun

Its the latest model available right now - I think the new model isn't available until end of Jan/start of Feb. Its a demo 152 platinum

colm_mcm

To be fair, even if it was 161 reg, it'd want to be cheaper than the Tucson given that it's the end of the 2010 shape. Obviously will suffer come trade-in time.

In that sector the Qashqai always did well on resale and they're doing scrappage on them too.

ficoun

I see, thanks for the advice.

I really dont know anything about cars and as I said its my first time even looking at new or nearly new cars!

So this being the end of of a model would considerably reduce the value of it down the line?


hhhmm maybe the tuscon is the way to go so...

colm_mcm

On stuff like this it usually makes a difference alright, but you're usually making a nice saving when you buy. In your case it's not as clear-cut because you have a year-change thrown into the mix.

simdan

I just had a 152 rental sportage. It was a 1.7 diesel, was nice and comfortable to drive, but felt underpowered. The car looked very nice with nice kit including leather, reverse cam, air con, sat nav, but after a few days I realised that the quality was lacking. For a 3 month old car it hadn't worn well, with a few flimsy plastic pieces like one of the air vent thingys broken before I even started. The trim is very plasticy and overall as I said above, looked nice, but felt cheap and like it was not built to last. Also every 2nd car I saw over the week of driving it was a sportage!

I'd recommend looking at all options thoroughly and test for yourself. Although 32k is a lot of money, it doesn't go as far as it should when looking for a new car in Ireland.

My mate has an ix35, he loves it, although I found it is nearly the same feel as the sportage with a surprising similar layout. Maybe look at a qashqai or a 2nd hand cx5.

Good luck!

ficoun

Yes well the saving I guess is good enough
the sportage would cost 32000 new and is being sold for 27450 (has around 9k kms on it tho)

colm_mcm

The new model sportage will be priced similarly to the Tucson though. It's the same as buying a 152 Hyundai ix35 if you get me.
Unless this is a higher spec model than usual?

mickdw

I'd certainly steer clear of the used sportage for resale value alone due to new model.
The new tucson will still be sought after in 3 years. The current sportage still be old hat.
The figures right now might not show this but the tucson will likely leave you with healthy equity after 3 years. The old model sportage might just make gfv.

Drummerboy08

There may be a lower APR available on the new car also which will affect figures.

ficoun

Thanks again for all your replies.

The specs are exactly the same so no the 152 sportage is not higher spec.
Its the Tuscon premiun vs the sportage platinum

I think after reading these posts I am leaning more towards the new Tuscon (and I can pick the colour!!)
I just drove a new Opel Mokka SRi - which is also nice. Its a bit smaller tho. Maybe not as flimsy as you found the Kia to be simdan?

bazz26

The Mokka is from the class below and more a rival to the Nissan Juke. The Tucson and Sportage would be rivals to the Qashqai.

Foreign Sports

Mazda cx5 would be another option along with the new qashqai obviously. Have you driven any other suv's?

simdan

Foreign Sports wrote:

Mazda cx5 would be another option along with the new qashqai obviously. Have you driven any other suv's?

These have already been recommended. There's not a whole lot of choice within a 30k budget in the SUV category in Ireland.

Foreign Sports

Yep, and recommended for a reason!

The qashqai would probably be the safest bet out of those 4 with the cx5 the most carlike to drive.

There's also the kuga which has some good deals on the titanium model at the moment. The tiguan could be another choice however it is due to be replaced shortly.

simdan

ficoun wrote:

I think after reading these posts I am leaning more towards the new Tuscon (and I can pick the colour!!) I just drove a new Opel Mokka SRi - which is also nice. Its a bit smaller tho. Maybe not as flimsy as you found the Kia to be simdan?

Yeah, Hyundai have really come a long way over the past 15 years. Opels are not bad, but they are not backed by the reliability and warranty of the Tucson.

I'd say work out the finances and which one you can afford, but the Hyundai sounds like a good option and allows you to make the changes you want, plus you'll be driving it from new.

colm_mcm

I would drive a Qashqai as well, just for comparison, they're not as mumsy as the old model.