PCP/trade-in

JR6

Hi all,

In 2018, I bought a new Skoda Octavia 1.0TSi petrol on PCP finance with 0% APR for 36 months. I paid the full 30% deposit which came in at approx. €6800 - mainly due to the fact I wanted to have low monthly repayments (€198/month), and I had just sold my previous car for around that amount. The final balloon payment is coming up in February and is €8800 (GMFV).

The plan at the time was to buy the car outright when the PCP term was up. We have been saving money weekly to have the final balloon payment covered by the end of the term. However, plans change and since then we have had another child so a family of 5 with three kids under 5 years old do not fit so well into an Octavia. I have tried many different car seats and I cannot get three child seats across the back seat. Have considered the multimac car seat thing but don't really want to fork out €2600 for it having already spent €1000 on car seats over the past few years!

Ideally, I would buy the Octavia outright in February, try to sell it privately and go to a car dealership and buy a 7-seater in a cash deal. Although it may be difficult to sell a 3 year old car privately for 16/17k. (Mileage is 50000 km)

Another other option is to trade in for something like a Kodiaq and enter a new PCP deal for 3 years and use the equity built up in the car towards the deposit for a new car. Am I right in saying if Skoda or whoever I go to, value the car at 16k then I have approx. 7k to go towards a deposit of a new car?

Third option would be to buy it outright, try to sell private and if that doesn't work out, trade it in for something bigger and take out a small loan or HP to pay for the upgrade.

The wife wants the fancy new 7-seater but it pains me to enter a huge new PCP contract when I feel we got a great deal the first time around with 0% finance and a good cash deal.

Any thoughts???

Buddy Bubs

JR6 wrote: »

Hi all,

In 2018, I bought a new Skoda Octavia 1.0TSi petrol on PCP finance with 0% APR for 36 months. I paid the full 30% deposit which came in at approx. €6800 - mainly due to the fact I wanted to have low monthly repayments (€198/month), and I had just sold my previous car for around that amount. The final balloon payment is coming up in February and is €8800 (GMFV).

The plan at the time was to buy the car outright when the PCP term was up. We have been saving money weekly to have the final balloon payment covered by the end of the term. However, plans change and since then we have had another child so a family of 5 with three kids under 5 years old do not fit so well into an Octavia. I have tried many different car seats and I cannot get three child seats across the back seat. Have considered the multimac car seat thing but don't really want to fork out €2600 for it having already spent €1000 on car seats over the past few years!

Ideally, I would buy the Octavia outright in February, try to sell it privately and go to a car dealership and buy a 7-seater in a cash deal. Although it may be difficult to sell a 3 year old car privately for 16/17k. (Mileage is 50000 km)

Another other option is to trade in for something like a Kodiaq and enter a new PCP deal for 3 years and use the equity built up in the car towards the deposit for a new car. Am I right in saying if Skoda or whoever I go to, value the car at 16k then I have approx. 7k to go towards a deposit of a new car?

Third option would be to buy it outright, try to sell private and if that doesn't work out, trade it in for something bigger and take out a small loan or HP to pay for the upgrade.

The wife wants the fancy new 7-seater but it pains me to enter a huge new PCP contract when I feel we got a great deal the first time around with 0% finance and a good cash deal.

Any thoughts???

Yes you are correct.
Your equity is the difference between what someone will offer you for it and your gmfv / balloon payment. In your example you'd have 7k equity. This is your deposit back more or less, meaning the octavia depreciated 200 euro a month which you have covered by your monthly payments.
You'd have 7k towards a kodiak or any car you like. Your payments will increase plenty though.

Blowheads

Britax Adventure Cosmos Black

Try these for size. Fits a few cars and I did get 3 across my Octavia a few years back

Google seatbelt extenders

Woodies -> heavy duty velcro

Might get you going

Lantus

Buddy Bubs wrote: »

Yes you are correct.
Your equity is the difference between what someone will offer you for it and your gmfv / balloon payment. In your example you'd have 7k equity. This is your deposit back more or less, meaning the octavia depreciated 200 euro a month which you have covered by your monthly payments.
You'd have 7k towards a kodiak or any car you like. Your payments will increase plenty though.

Yes but the dealers profit comes out of that as well so if the market value is 16k and your gmfv is 9k then you may get 3500 to 5500 roughly depending on mileage and condition. Giving the dealer 2 to 4k profit on the sale of your car.

You can go to any dealer with the octavia so if you need a different car that's no issue and dealers can offer an incentive to switch with a good trade in value.

Kodiaq is OK but 7 seater market is constrained and premium in terms of price.

The superb is a tiny bit wider. Still a very tight squeeze though. There are a few good threads on 7 seater if you search.

photosmart

Hi there


I think you are overestimating the value of your car -



Just checking carzone simlar car to yours - the cheapest is coming in at 16500. What that probably means is that dealer will only offer you around 15k at most to give them a margin on resale.


You could try to sell it privately but the best you would get is about €1000 less than dealer prices to allow for uncertainty / lack of warranty etc...
P

photosmart

I had similar decision to make a few years back and ended up selling my toyota avensis and getting a verso.


I would recommend you look for a seven seater - the jeep seven seaters are cost prohibitive (for me anyway) however there is reasonable value to be had
in the MPV sector, VW Touran etc



Another option is to try to buy in UK in new year as there is much better value there but there is a lot of uncertainty at the moment

Buddy Bubs

Lantus wrote: »

Yes but the dealers profit comes out of that as well so if the market value is 16k and your gmfv is 9k then you may get 3500 to 5500 roughly depending on mileage and condition. Giving the dealer 2 to 4k profit on the sale of your car.

You can go to any dealer with the octavia so if you need a different car that's no issue and dealers can offer an incentive to switch with a good trade in value.

Kodiaq is OK but 7 seater market is constrained and premium in terms of price.

The superb is a tiny bit wider. Still a very tight squeeze though. There are a few good threads on 7 seater if you search.

Yes, I was going on being offered 16k for the car, not market value. As another poster has stated the OP may be overestimating value of the octavia but I'm not up to speed on their values. They do hold up quite well compared to some others

Lantus

Buddy Bubs wrote: »

Yes, I was going on being offered 16k for the car, not market value. As another poster has stated the OP may be overestimating value of the octavia but I'm not up to speed on their values. They do hold up quite well compared to some others

Octavia has very strong residuals. Op needs to go and get quotes on trade in from 3 different places to get a feel for their options and focus on the new car they need to meet growing family needs. Think long term and total cost of ownership.

Schrodingercat

Answer that you have already discounted but

I was in the same position as you with a 3 year old car (Leon estate) I had paid off the balloon and it had under 40,000 kilometers. I had a couple of extras I liked (adaptive cruise control, android auto) . The trade in value I was offered was too low to make any sense. If I was to buy anything with the same extras it would cost 15k and would have more mileage, and I wouldn't be as sure of the history. I sat in some MPV 7 seaters and they felt miserable.

The value of the car isn't going to drop all that much in the next few years compared to the first 3 years, and then I can look at something where I don't need 3 full child seats and won't cost me a huge amount more than if I changed now. Went with the multimac and really happy with the choice. Kids can Jump in and out, its easy to buckle them in and will do until they are 12 (allegedly but if you get the 4 seat version I'd hope your kids aren't too big). It also holds its value so you will get a chunk of money back for it when you sell (1000+). I did the web chat with them first and they told me all the bits I needed. There are some on Adverts at the moment so second hand could be a runner. You need to get it fitted (they can ship direct to the fitters) and you get a cert for your insurer. It doesn't affect your premium.


We don't drive that much and we like the car we had so the figures made sense to keep it. If I was changing the peugeot 5008 is where I would have gone. A lot of the 7 seat suv's don't take 3 isofix seats, And the boot is awesome in the octavia, your SUV might not be as good.

JR6

Thanks all for the responses. Gives me a lot to think about.

I am planning on going to Skoda, Kia and VW dealerships in the morning to see what kind of money they will offer for the car well aware that I might not be happy with the offers.

For models similar to mine on Carzone, they are going for approx. 18k so I think 16k is ok for selling private if I could do this but I think it is very unlikely I will be able to sell this way.

I wasn't convinced on the Multimac but you make is sound good @Schrodingercat. I will assess my situation after going to the dealers tomorrow and if it isn't feasible to trade in I may go this route. Would I have to get a second-hand one professionally fitted for insurance purposes?

The Octavia is a good car and I am happy with it. If the three child seast fitted across the back I would keep, so perhaps I already have my answer.

I will let ye know what the dealers offer tomorrow.

Thanks folks.

Lantus

Multimac looks the business! Much cheaper than trading in a car. I'd go with that any day. Keep the octavia. I have one and live it... That boot x x x.

Schrodingercat

You would definitely need to get the 4 person one fitted. You need the cert for insurance because you are increasing the capacity of the car. I'm not 100% on the 3 person one. I rang the insurance company to tell them and they asked for installation cert, but if you said nothing about installing it and and you had a claim you could be ok because it could be treated as a regular car seat. You would need to check with your insurance. I would be only guessing.

The multimac just gives comfort when loading all the kids in. The buckles are all easy to reach, rather than having to contort yourself to get the middle seat done, or digging in behind seats to use the car seatbelt on a booster. Only downside is you can't carry any adults in the back. Its not the sort of thing you can take in and out easily.

Mobility Ireland in Ashbourne did mine.It cost about 180 euro. They are the approved fitter over here.

I was asked for 18k + my own car for a Peugeot 5008 one year younger, and I was happier in my car than anything cheaper. It might only drop another 5k in the next 3 years, so the figures added up. I'm not that into changing cars though.

As far as I remember The Seat 7 seater (Tarraco) doesn't take 3 iso fix seats, and the Skoda one is similar I think. The only volkswagen that will is the Touran. The only SUV I found that would is the 5008. Try and stick your car seats in the car in the showroom before you commit.

Lantus

Why would he need the 4 person one when there are just 3 kids?!?

Schrodingercat

Future Proofing


Or flexibility to carry a friend.

JR6

Schrodingercat wrote: »

Future Proofing


Or flexibility to carry a friend.

Nope nope nope! That's enough kids for me! Going to see Dr. Snip very soon!
I have pretty much decided on the 3-seater Multimac.
I went to Skoda and VW this morning and they both valued my Octavia @ 16.5k which I was happy with. However, after seeing the figures and the cost breakdown of buying a new Kodiaq/Tarraco over the three years on PCP I will get the Multimac and keep the car I am happy with. The 0% finance is gone now too so that's up to 2.9%.

Thanks for all your replies and helping me come to a decision!

Casati

JR6 wrote: »

Nope nope nope! That's enough kids for me! Going to see Dr. Snip very soon!
I have pretty much decided on the 3-seater Multimac.
I went to Skoda and VW this morning and they both valued my Octavia @ 16.5k which I was happy with. However, after seeing the figures and the cost breakdown of buying a new Kodiaq/Tarraco over the three years on PCP I will get the Multimac and keep the car I am happy with. The 0% finance is gone now too so that's up to 2.9%.

Thanks for all your replies and helping me come to a decision!

I’d be trying to squeeze in the three seats anyway possible rather than a multimac- aside from the massive cost I’d question the safety and comfort aspect and what happens when the eldest gets too big for it? As it sits proud of the seats it will likely reduce legroom hence more feet kicking / pushing the drivers seat.

Are you sure you can’t accomodate the three with smaller seats? I had two seats and one booster in the go and got them to fit in a Leon, you need to shop around for seats that don’t take up too much room and alternative forward and rear facing etc.Volvo do a narrow high back booster if the eldest is old enough