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New Car Sales Leap Again As Recovery Accelerates

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http://www.independent.co.uk/news/business/news/new-car-sales-leap-again-as-recovery-accelerates-8689142.html

New car sales rose by 13.4 per cent in June in the latest sign that the recovery is gathering pace.

The Society of Motor Manufacturers and Traders said new sales increased to 214,957 in the month, up from 189,514 in June last year.

The largest contribution came from private car sales, up 21.3 per cent, while company car sales jumped by 6.1 per cent.

This was the 16th successive month in which total car sales have risen. In the first half of 2013 there have been 1,163,623 new car sales, up on the 1,057,680 shifted by this stage last year.

Is this a real increase in sales or are a lot of lend lease finance sales coming to an end and people are simply renewing the lease with a new car?

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You can get a SEAT Mii for £79/month with free insurance (plus a two grand deposit).

In real terms I don't think it has been cheaper to run a car.

I have lived in London for over 20 years and until this year had got by on public transport, bike and Zipcar. After carefully going through the numbers I bought my first car this year. Things like £1.40 for a bus ride in London and getting gouged on intercity rail if you have the temerity to buy a ticket on the day of travel means - sadly and unbelievably -it now makes economic sense for me to run a car.

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The majority of new car deals are PCP which is a form of leasing where you get the choice of not owning the car at the end.

These days it's probably cheaper to PCP/Lease a car than buy a new one or a relatively new used car.

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No surprise that in shopping centres you can see lease deals being advertised to the public. I saw a Clio being advertised recently.

Like mortgages thesedays, it's all about the monthly payment and not the overall costs.

It's blatantly cheaper to buy a car outright if you'll be sure to need it for several years, but that's not an option for many, so pay monthly it is.

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No surprise that in shopping centres you can see lease deals being advertised to the public. I saw a Clio being advertised recently.

Like mortgages thesedays, it's all about the monthly payment and not the overall costs.

It's blatantly cheaper to buy a car outright if you'll be sure to need it for several years, but that's not an option for many, so pay monthly it is.

And in many instances, mobile phones, broadband, satellite TV etc, the monthly headline figure is discounted by 50% for the first few months. You need to read the small print to find out the true cost.

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No surprise that in shopping centres you can see lease deals being advertised to the public. I saw a Clio being advertised recently.

Like mortgages thesedays, it's all about the monthly payment and not the overall costs.

It's blatantly cheaper to buy a car outright if you'll be sure to need it for several years, but that's not an option for many, so pay monthly it is.

I believe it's the same in Poland, from what an accountant told me. Neighbour in a Polish city has just acquired a 40K luxury car, only 1 in the family has a f/t job (wife, an estate agent)

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No surprise that in shopping centres you can see lease deals being advertised to the public. I saw a Clio being advertised recently.

Like mortgages thesedays, it's all about the monthly payment and not the overall costs.

It's blatantly cheaper to buy a car outright if you'll be sure to need it for several years, but that's not an option for many, so pay monthly it is.

That's because price of the car, the low paid can only afford to buy now on pay monthly and with the loan ensuring they can never own it outright. Although if we are going to have a corrective bust not owning any assets may be beneficial. My mate has decided to go down this route and just plans to lease a car indefinitely in this manner.

It's clear that no matter what the majority of people won't be allowed to own anything, property ownership will be for the elites only.

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I see plenty of really decent and serviceable "bangers" by the roadside for sale for £500-600.

This is it, do people take a £150/month lease deal as they can't afford a £600 banger plus insurance etc? It wouldn't surprise me. People will spend thousands to avoid a £100 VED bill too.

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That's because price of the car, the low paid can only afford to buy now on pay monthly and with the loan ensuring they can never own it outright. Although if we are going to have a corrective bust not owning any assets may be beneficial. My mate has decided to go down this route and just plans to lease a car indefinitely in this manner.

It's clear that no matter what the majority of people won't be allowed to own anything, property ownership will be for the elites only.

And what happens to all these cars at the end of the lease?

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No surprise that in shopping centres you can see lease deals being advertised to the public. I saw a Clio being advertised recently.

Like mortgages thesedays, it's all about the monthly payment and not the overall costs.

It's blatantly cheaper to buy a car outright if you'll be sure to need it for several years, but that's not an option for many, so pay monthly it is.

Buying has always been cheaper than the never, never. Pick a time when dealers really want to register new cars, negotiate a good deal, keep it for a few years and replace it with a new one when it starts to need money spending on it or you get bored with it.

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The majority of new car deals are PCP which is a form of leasing where you get the choice of not owning the car at the end.

These days it's probably cheaper to PCP/Lease a car than buy a new one or a relatively new used car.

....a car can be worth virtually nothing money wise value, but it is worth packets in what it can do for you....

It is the cost of running it in taxes, insurance, parking and fuel that takes the biggest hit.....could buy a car each year for what it costs to run per annum. ;)

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Buying has always been cheaper than the never, never. Pick a time when dealers really want to register new cars, negotiate a good deal, keep it for a few years and replace it with a new one when it starts to need money spending on it or you get bored with it.

For those considering a lease deal, that is an excellent alternative strategy.

From 6:05, Quentin spells it out back in '97:

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Guest eight

It's clear that no matter what the majority of people won't be allowed to own anything, property ownership will be for the elites only.

Hence more rigorous MOT testing, and things like electric cars needing battery replacements that only the manufacturer can carry out. There is definitely a war against personal property going on.

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I have a new car on order. Cash deal, no finance. The discounts available now are much, much better than last time I bought new, even for premium cars. A short step down the scale, a Volvo salesman offered me 30% off list before I even told him what I was interested in

Sales might be up, but willingness to strike a deal has improved massively. I suspect volume is being redirected to the UK as a result of European demand being so poor and Chinese sales starting to soften a bit.

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I have a new car on order. Cash deal, no finance. The discounts available now are much, much better than last time I bought new, even for premium cars. A short step down the scale, a Volvo salesman offered me 30% off list before I even told him what I was interested in

Sales might be up, but willingness to strike a deal has improved massively. I suspect volume is being redirected to the UK as a result of European demand being so poor and Chinese sales starting to soften a bit.

I wonder how straightforward it is to produce RHD cars for UK from a European production line which usually makes LHD? Ultimately the UK's capacity to absob new cars is limited, how long can this continue for? I suppose a person who leases might change their car more often, meaning more churn. But the used ones have to go somewhere, and perhaps "Secure Tenant" is seeing the inevitable effects of this- a glut of second hand cars at very low prices.

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I have a new car on order. Cash deal, no finance. The discounts available now are much, much better than last time I bought new, even for premium cars. A short step down the scale, a Volvo salesman offered me 30% off list before I even told him what I was interested in

Sales might be up, but willingness to strike a deal has improved massively. I suspect volume is being redirected to the UK as a result of European demand being so poor and Chinese sales starting to soften a bit.

Volvo trying to shift old metal for updated models to come in. Never something for nothing.

Would love a new car but housing is sucking in all my spare income

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Volvo trying to shift old metal for updated models to come in. Never something for nothing.

Would love a new car but housing is sucking in all my spare income

Often it is the older models that are more reliable,well made, energy efficient and you get more extras for your money....older housing the same. ;)

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No surprise that in shopping centres you can see lease deals being advertised to the public. I saw a Clio being advertised recently.

Like mortgages thesedays, it's all about the monthly payment and not the overall costs.

It's blatantly cheaper to buy a car outright if you'll be sure to need it for several years, but that's not an option for many, so pay monthly it is.

Not so sure about being cheaper to buy cars, the PCP/hire/fiannce side seem to be so intertwined with the car market that I suspect that the bulk pruchasers are snaffling all the discounts available - a bit like TV going for the lowest common denominator. THe result is that there are crap deals for outright purchase of new cars and stupidly low finance deals. No doubt there is some fianncial chicanery going on as well with the finance. A year or so ago I remarked on even the top marques, think it was merc with a particularly odd radio advert - NOTHING about the cars themelves only selling point being the tasty finance deal. The whole industry is setting itself up for another whipping during the next credit event. They never learn but I suppose within any one executives peak earnings period riding a wave of loose finanance is the way to make sure you do alright. Which is what has happened in the banking system. Grab what you can ans stuf the consequences.

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You can get a SEAT Mii for £79/month with free insurance (plus a two grand deposit).

In real terms I don't think it has been cheaper to run a car.

I have lived in London for over 20 years and until this year had got by on public transport, bike and Zipcar. After carefully going through the numbers I bought my first car this year. Things like £1.40 for a bus ride in London and getting gouged on intercity rail if you have the temerity to buy a ticket on the day of travel means - sadly and unbelievably -it now makes economic sense for me to run a car.

I think its easy to live without a car if youve never had one. Everyone i know who has given up the car (myself included) has capitulated and bought a banger after a couple of months though.

Hopefully with all these sales there will be tonnes of dirt cheap secondhand models in 3-5 years.

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I work in the motor sector and can confirm sales are well and truly booming at the moment, especially luxury cars. The reasons for this I believe are:

- There are lots of foreigners who have bought a property in London who are looking to buy a car to go with it. Often these people are extremely dubious, however they pay cash and aren't fussy. Many are corrupt foreign oligarchs, banksters, royalty and fraudsters from all over the globe.

- There are also a lot of 20 and 30 somethings still living at home, who are buying new and used cars. Most buy on lease deals. These people have probably given up saving for property and just think "what the hell I'll buy a new car"

- As people have said the cost of new cars on lease is so cheap that it is almost cheaper than buying a banger and running it into the ground. Although a lot of bangers are still quite reliable, often tyres, batteries and exhausts will need replacing which can give you a hefty bill. Also a lot of bangers now are early 2000 cars, which is when electrics really started to kick off. So electronic faults can be rife and can cost a fortune to fix.

- A lot of buy to let slumlords have never been better and can afford to splash out on the latest beemer.

- Also the UK population is still growing by at least 250,000 people per annum, so sales will go up even if the percentage of population purchasing a car stays the same.

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A year or so ago I remarked on even the top marques, think it was merc with a particularly odd radio advert - NOTHING about the cars themelves only selling point being the tasty finance deal. The whole industry is setting itself up for another whipping during the next credit event. They never learn but I suppose within any one executives peak earnings period riding a wave of loose finanance is the way to make sure you do alright. Which is what has happened in the banking system. Grab what you can ans stuf the consequences.

The headline monthly payment is all that matters, it's what people focus on nothing else matters it could offer £199 per month 29% APR and people would think it was a bargain as it's only £199 a month.

I bet most people driving marque names now are doing so via these cheap credit deals with the majority being unable to actually afford to "purchase" and with no plan about how to make the last payment apart from via swapping it for another one. It certainly appears to be train crash waiting to happen, especially if the value of 2nd hand cars plummet.

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- There are lots of foreigners who have bought a property in London who are looking to buy a car to go with it. Often these people are extremely dubious, however they pay cash and aren't fussy. Many are corrupt foreign oligarchs, banksters, royalty and fraudsters from all over the globe.

Nice to see we are attracting the very best the globe has to offer!

Edited by interestrateripoff

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  • 244 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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