salty
Prominent Member
Love that reg.It has an interesting reg number “MG 13 AMP.
Love that reg.It has an interesting reg number “MG 13 AMP.
I bought my MG4 in September (new, pre-registered “23”)
It has only done 3,000 miles and I only collected it 5 months ago.
The depreciation is a bit of a shock, but I can kinda understand that.
I am in negative equity and so need to get a fair price for it. It is a 51KWH SE SR.
It has an interesting reg number “MG 13 AMP.
Would I be able to get close to £19k for it do you think?
This is not a for sale advert because I can’t yet sell it until I have got the £5k difference in what I owe for it.
Thanks
Steve B
Purely financial reasons, the car is not the problem.Why do you want to sell it?
Fortunately I don’t have a contributory pension scheme as I’m close to retirement. But good to know.You do need to be very careful with salary sacrifice if you have a contributory pension scheme. I contribute 8.7% but if I used salary sacrifice at a £300 monthly payment, that would reduce my contribution by £313 a yr, close to £1k on a 3yr lease, over a 35yr working life that is £12k loss of contributions in today’s money. That will reduce your pension when you retire, depending on the type of pension it could be significant in the long term if you manage to stay alive! It certainly doesn’t work for me on an index linked pension, It’s basically having the car cheaper now but paying for it in later life when of course you will want as much money as possible.
By way of an update, I have just been made redundant but may be employed by another company and they are trying to novate the lease to the other company. So this is a downside to salary sacrifice that I did not consider.I had previously leased a Mercedes before so was inclined to lease as buying new almost involves significant depreciation so I did not look at the option of purchasing cash or PCP. With salary sacrifice I am effectively paying just over £300 pcm (including all maintenance and parts) for £15k miles pa. So the trophy is costing me £3.6k per year which I think is way less than the depreciation if I bought it. Over 3 years it may even out a bit more but if you can get salary sacrifice leasing rather than buying it is a no brainer.
People buy new cars for various reasons other than financial considerations and i understand that but financially, if you can do it, leasing by salary sacrifice is far better.
I recently bought a MG5 trophy long range, 4 months old and thought I had a good deal with £11k off the new price but when I entered the registration on 'we buy any car' it valued it at £15.6k, less than half price!I bought my MG4 LR 18 months ago for £28.5k with £7k down, so £21.5k credit to pay + about £3.8k interest over 36 months (7%), £15k guaranteed at the end. Asked for a settlement fee the other day, 18 months in, and that was £19.5k. Can't find an offer over £20k anywhere for the car, so essentially it looks like I've lost my £7k in 18 months and am now worried I'll only just about break even in another 18 months when it comes time to walk away. I have gap insurance but I'll lose 100% of the equity I have in the car - that strikes me as enormous deprecation, unless I'm missing something, not good at all.
I have a PHIV TROPHY bought in August 2023 for £33.750 plus all the body and wheel protection. Have done 3300 miles and is still in showroom condition. Just been offered by a dealer in part ex £20,500 ! Disgusting depreciation.I bought my MG4 LR 18 months ago for £28.5k with £7k down, so £21.5k credit to pay + about £3.8k interest over 36 months (7%), £15k guaranteed at the end. Asked for a settlement fee the other day, 18 months in, and that was £19.5k. Can't find an offer over £20k anywhere for the car, so essentially it looks like I've lost my £7k in 18 months and am now worried I'll only just about break even in another 18 months when it comes time to walk away. I have gap insurance but I'll lose 100% of the equity I have in the car - that strikes me as enormous deprecation, unless I'm missing something, not good at all.
Don't worry about it, can't do owt about it, just enjoy ya motor.I have a PHIV TROPHY bought in August 2023 for £33.750 plus all the body and wheel protection. Have done 3300 miles and is still in showroom condition. Just been offered by a dealer in part ex £20,500 ! Disgusting depreciation.
It will lose the VAT the moment you drive it away which is £6750. Body and wheel protection add no value just extra cost. Extra cost colours add nothing and adding options to factory cars add next to nothing.I have a PHIV TROPHY bought in August 2023 for £33.750 plus all the body and wheel protection. Have done 3300 miles and is still in showroom condition. Just been offered by a dealer in part ex £20,500 ! Disgusting depreciation.
I can say that it is quite normal for EVs, not that normal for ICE. What you're essentially facing is ~30% depreciation over 1,5 year. I did a bit of analysis and I can say that kind of depreciation on ICE would happen after ~3 years, at least for most of vehicles that I looked into: Car Depreciation Myths: the Future of EVs Value - EVhicle. The analysis is not perfect and covers only popular cars on the market, but it gives a rough overview of were we are now.I bought my MG4 LR 18 months ago for £28.5k with £7k down, so £21.5k credit to pay + about £3.8k interest over 36 months (7%), £15k guaranteed at the end. Asked for a settlement fee the other day, 18 months in, and that was £19.5k. Can't find an offer over £20k anywhere for the car, so essentially it looks like I've lost my £7k in 18 months and am now worried I'll only just about break even in another 18 months when it comes time to walk away. I have gap insurance but I'll lose 100% of the equity I have in the car - that strikes me as enormous deprecation, unless I'm missing something, not good at all.
I've just looked on WBAC for a valuation on our September 23 MG5 Trophy with 2200 miles on it. We paid £32,500 and they offered £14,480, I'm so glad we went the PCP route with a guaranteed value of £17,000 at 4 years old.I have a PHIV TROPHY bought in August 2023 for £33.750 plus all the body and wheel protection. Have done 3300 miles and is still in showroom condition. Just been offered by a dealer in part ex £20,500 ! Disgusting depreciation.
I've just looked on WBAC for a valuation on our September 23 MG5 Trophy with 2200 miles on it. We paid £32,500 and they offered £14,480, I'm so glad we went the PCP route with a guaranteed value of £17,000 at 4 years old.
Exactly, no point in doing anything else at the moment. In my view, its down to the media with the tripe they protray - batteries dead at 8 years and cost £20k plus to replace, hours added to a journey to recharge etc, cost of electricity at rapids and so on.Yes, I'm in the same situation so will be keeping the car till the end of the PCP term at this rate !! I guess we'll have to make sure mileage is within the PCP agreed limit, all servicing is done on time and the car is kept in good condition
Even if there is sizeable depreciation, in 7-10 years new EV prices will probably be a lot lower anyway. There will also be a big industry in upgrading batteries, motors, ECUs etc for existing EVs that are a few years old, it will be different landscape to the ICE world we see today. Batteries in particular will be much cheaper even in 5 years time