What do you think of this new car deal?

tomstickland

A friend has been offered a new Astra 1.4 16v sport hatch.
He's staff at a dealership, so he's had a load of offers stacked up.

Purchase price £10K (list is £17K)
£1K deposit
3 years of £190 per month (36 payments)
Annual interest around 5%.

So borrowing £9K.
Total paid over the 3 years is just under £7K.
Interest adds just over £1K.

End up owing £3K and car should be worth at least £5K.

I've had a quick look via google and the best new price I could find was £11K.
Resale values - 1 year old cars are selling for around £9K. After 3 years worth about £6K.

Seems like a good deal to me.

10JH

Seems like a very good deal.

These guys are offering it at a fair bit more -

http://www.new-car-discount.com/cardetail/45814/

Strider590

You lost me at "borrowing" money..... But then I never spend money I don't have

TiTheRev

tomstickland wrote: »

A friend has been offered a new Astra 1.4 16v sport hatch.
He's staff at a dealership, so he's had a load of offers stacked up.

Purchase price £10K (list is £17K)
£1K deposit
3 years of £190 per month (36 payments)
Annual interest around 5%.

So borrowing £9K.
Total paid over the 3 years is just under £7K.
Interest adds just over £1K.

End up owing £3K and car should be worth at least £5K.

I've had a quick look via google and the best new price I could find was £11K.
Resale values - 1 year old cars are selling for around £9K. After 3 years worth about £6K.

Seems like a good deal to me.

Been offered this very same deal at work...looks good, except it's a Vauxhall.

tomstickland

Strider590 wrote: »

You lost me at "borrowing" money..... But then I never spend money I don't have

It's an interesting point. I pay cash up front for cars.
However, the monthly figure looked decently low, the purchase price was close to the 1 year old resale prices, and we factored in MOT and maintenance costs.