Reply To: Brace yourself. Further changes to extensions

#312081
MFillingham
Participant

    @Abercol there’s no point comparing anything to residuals from 2022.  There was a huge chip shortage still impacting availability of new cars so used cars were inflating over the first year and barely depreciating over 3 years.  I remember looking at the price of the ZS EV I bought as post Covid transportation was allowed.  It then increased by £5,000 in the next year and was still worth what I paid for it until a year before I changed it.  Between Feb 23 and Feb 24 it lost nearly £10,000 back to about where it would have been in more normal times.  They have over corrected slightly since then to a point of depreciation being more than an equivalent ICE by around 10%.

    If you’re currently planning on losing around 50% over 3 years, there’s got to be a decrease in the rate of loss after that.  However, until confidence rises in used EVs, the depreciation will remain worse.

    All that said, Motability’s analysts will be able to put a fairly accurate figure on the future values given a good year of data.  They’ll not be making surprise losses on that this year.

    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