Buying car at end of PCH - discount?

gagging_order

Hi all. It's been a while since I've been on here. I've tried Google for an answer to this but wasn't getting anywhere so I thought I'd ask the MSE forum experts. 

My PCH car lease ends next month. It's a VW group car and they let you offer to buy the car via BCA (British Car Auctions), who act on their behalf for collections and reselling via auction. 

I've received a quote to purchase the vehicle but it's a fair bit more than I'd be willing to pay, however they've said they'll be open to an offer "in the region of" the price they've offered me. I'm trying to work out what a reasonable discount is, given I'll be saving them the hassle of collecting it and putting it through an auction. The price they've quoted me is similar to the estimate I got for purchasing it from a dealer (I. E. After auction and margin applied), so there must be some wriggle room. 

The price they've quoted is £22k. Any advice on what sort of realistic counter offer to make? Has anybody managed to get a decent discount buying a VW group car from BCA?

I am also considering a formal 12 month extension on the car lease so there will be a tipping point at which is not worth me buying it, probably around the £20k mark but I've not done the full maths. 

Any tips most welcome! 

born_again

Have a look at autotrader/WBAC and see what is being asked for cars like yours.
Or just throw a figure at them and work from there.

Grumpy_chap

As @born_again said, but also

gagging_order said:

there will be a tipping point at which is not worth me buying it, probably around the £20k mark but I've not done the full maths. 

You do need to do the maths!  Maybe you'll choose a Dacia?

You might also consider, if you do not retain your current VW group car (either extend the lease or buy it), what alternative car will you buy?  Presumably the same type of car for the same type of age but without the knowledge of how the vehicle has been treated. 
What will that cost you to buy? 
What extra are you willing to pay for the peace-of-mind of having the known vehicle history?
That sets your maximum.  Then make an offer somewhere between WBAC and your maximum and negotiate from there.

facade

Remember, WBAC are going to send the car to BCA, so they confidently expect it to make a profit at BCA, after all the transport & auction fees.

Generally, when making an offer for something, you can get a 5% discount fairly easily, so £21K would be about right. If you can make more than 1 offer, start at the £20k you are prepared to pay.

gagging_order

Thanks for the comments so far. This is all helpful. 

neilmcl

You could always try and get the car at auction yourself.

The_Rainmaker

Some vehicles are pre sold so you may struggle.

gagging_order

The_Rainmaker said:

Some vehicles are pre sold so you may struggle.

Yeah I'd heard about this but I'm guessing they wouldn't gave given me a quote if that was the case. I'm sure even BCA wouldn't sell the same car twice 😂

The_Rainmaker

I tried to buy a car at lease expiry a number of years ago.  Was told the price which was about 20% higher than market value and was just told they are all sold at the start of the contract, there was no discussion just take it or leave it.  

neilmcl

The_Rainmaker said:

I tried to buy a car at lease expiry a number of years ago.  Was told the price which was about 20% higher than market value and was just told they are all sold at the start of the contract, there was no discussion just take it or leave it.  

VWFS have regular sale events at various BCA sites selling ex-finance stock.

marlot

facade said:

Remember, WBAC are going to send the car to BCA, ...

We buy any car are even owned by BCA.  It's a clever way of them getting extra stock.