£5000 AP for a car that retails at £31,000 doesn’t bode well for next quarters deals.
Especially when that £5k car is also an MG!
I have an MG albeit the ZS, they’re not that bad. However, I’ve always viewed the car as a £20k car at a time when the competition were above £30k. There are issues with ‘typically Chinese’ electronics, like an infotainment screen that takes a while to work out the power is on or decides to reset mid journey but overall it does what you’d expect from a 150 mile EV.
If I’m being asked to pay nearly the same AP as an Enyaq, I know which I’ll be taking, even if there’s options missing. That said for a grand more there’s the ID5 with 100 more miles and toys fitted.
I’ve been reading the trade papers regarding used BEV cars. There is a great reluctance for dealers to have many in their forecourt as they take a long time to move and the residual prices are all over the place, add to that Teslas two price cuts that have really hit the residuals for those who already bought at the higher prices. those who want BEVs are stuck between a rock and a hard place, the initial prices of BEVs on the scheme are higher than ICE cars then the residuals, the price Motability can sell the car at auction, are being held really low. The way the AP is worked out includes the estimated residual cost and if that’s lie, then the AP will be higher to cover the costs. Those that want to lease a BEV are between a rock and a hard place, high purchase costs and low residuals, it makes currently ICE cars a better financial bet. Add to all of this, the fact Germany has suddenly realised the ICE ban will have a huge effect in their manufacturing base, they have niw started to fight in the EU parliament against the total ban, do again, perhaps there is life in the ICE cars yet….
I’ve just had a look at selling prices and they’re rather interesting. My car was bought for a touch under £19k 2 years ago, up until mid 22 I was in profit according to WBAC valuations. Now they’re offering £13.5k. I’d fully expect to get nearer to the £16k Autotrader quoted but that’s still a massive drop in 8 months or so.
I don’t really get why they’re not selling, given that most BEVs have 7 year warranties on the high voltage systems and battery and that most ownership is for around 3 years, as a second or even 3rd owner of a 3-4 year old car you’ve got the next 3 years covered. Then, look at how the older BEVs are living beyond the warranty period, even the poorly managed LEAF batteries are still functional, even if their original 80 mile range is now nearer 50. A well managed Soul or Kona/Niro that started with a much better range will still be better, or at least as good as a brand new Stellantis offering with their sub 50kWh batteries. It’s interesting to see whether these dealers are selling the benefits of BEV driving or just trying to flip any vehicle they can and petrol cars are easier for them?
I'm Autistic, if I say something you find offensive, please let me know, I can guarantee it was unintentional.
I'll try to give my honest opinion but am always open to learning.
Mark