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Old 18th June 2012, 19:20   #31
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

We sold our Vento for a little over 6.5 lakhs, although I wasn't too happy with the price I am glad the timing was right before the fuel price hike. In today's scenario it would have been a nightmare to sell.

Can we see any effects in sports car resales at all? I doubt it would affect that segment much. Would love to see resale prices of M3, cayman, 6ers etc go down.

Btw, what is the current price of 97 octane in Mumbai?
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Old 18th June 2012, 19:24   #32
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

Tell me about it man.
I had to sell i10 AT before moving to US last month. Had finalised the deal with someone for 3.75. Once the petrol price hike happened, the buyer went back on his offer and revised it to 3.5! Sheesh.
Closed the deal with another very nice gentleman finally.

EDIT: Btw, i think something similar is going on in US too, but with the bigger cars and SUVs that have V6/8. And I am in the market

Last edited by amitoj : 18th June 2012 at 19:26.
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Old 18th June 2012, 19:28   #33
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

Quote:
Originally Posted by GTO View Post

That's because of inventories piling up at the manufacturer & dealer ends. Maruti is sitting on nearly 100,000 unsold cars, Tata over 40,000 etc. No one is buying in today's market.

Very True. I went for TD of LIVA Diesel @ Cochin. I casually inquired about Toyota Innova Diesel which used to quote 6+ months waiting period. SA told me they can arrange it within a week if interested.
But I really don't understand, how a product which clocking 6K + Sales and having 6+ months waiting period , now can be had within a week. May be due the rumor of price hike in diesel cars.
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Old 18th June 2012, 19:43   #34
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I relate to this although front the other side of the fence. It'll now take a lot for me to upgrade from my civic because it's such a beautiful car, I wouldn't see the value in selling it for a low price. Ergo, I'll probably just hang on to it for at least 6-8 years before I think of selling it regardless of FE concerns. With time i will probably relegate it to being a lesser used vehicle in the garage with similar or higher end diesel offerings options doing the heavier running.
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Old 18th June 2012, 20:17   #35
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Quote:
Originally Posted by Sahil
.

Can we see any effects in sports car resales at all? I doubt it would affect that segment much. Would love to see resale prices of M3, cayman, 6ers etc go down.

Btw, what is the current price of 97 octane in Mumbai?
I wish sports car resales got affected but since they are at a higher level on the list of desire i doubt the ones you are looking for are going to be any cheaper. A 370z or a z4 looks tempting to me but where is such an offer. We can only expect the tanking to occur in the sedans and SUV segment i guess.

Quote:
Originally Posted by amitoj
Tell me about it man.
I had to sell i10 AT before moving to US last month. Had finalised the deal with someone for 3.75. Once the petrol price hike happened, the buyer went back on his offer and revised it to 3.5!
My good friend was ready to give 4 lakhs for your i10 AT for his sister. He was infact after my figo when i suggested your car with AT looked a better deal IMO.
Wasnt yours mentioned in the classifieds? Deep ocean blue one? We dilly dallied for 3 days looking at new cars and used ones. I almost pm'ed you when she decided nano looks cuter than i10 and went in for a top end nano first hand at almost the same price. Yours looked a sweet deal for an AT.

Like i said earlier at these prices its heaven for us petrolheads.
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Old 18th June 2012, 20:25   #36
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

I tried to to sell my 2006 Indica Xeta and the the price offered the dealership was 60k + 20 k exchange bonus . Turned it down at that time as I felt it was too low a price . Now after the hike am not sure if I chose correctly .
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Old 18th June 2012, 20:53   #37
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Man o Man!!

I had given up on the idea of selling my well maintained Civic (2007,40k , MT), owing to the poor resale values, despite my dad's insistance on replacing the nearly 5 year old car with a diesel. But. A BMW 325i @ 10-12 lakhs has given me a whole new idea to replace my civic with a beemer.

Any indicators to some one selling a well maintained one in Delhi/NCR or in Punjab would be very very welcome.
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Old 18th June 2012, 21:48   #38
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

Yep Petrol price rise => Drop in price of used Petrol cars + also simultaneously rise in price of used Diesel cars.

Rise in Diesel Car Taxes (on new cars) => Drop in sales of new Diesel Car + also further rise in price of used Diesel Cars

So my calculations state that used Diesel Cars should rise in resale value even higher while used and new petrol car prices should drop.

Some are talking about existing Diesel Cars being taxed, but I just don't see how they would do it if lifetime tax, octroi, excise and customs duty are all already paid. Yep some new regulation can be brought in but that does not seem likely.

There is some talk of charging taxes and certifying cars with Star Ratings based on fuel effencicy of the vehicles - that should make for a mad rush for improved fuel effeciency.
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Old 18th June 2012, 22:22   #39
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

I am seeing it as a good opportunity to buy a hot petrol car. May be good a BMW 740iL in 2-3 lakhs
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Old 18th June 2012, 22:51   #40
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

I too agree. In fact, I am saddened by this effect.

I am caught in between selling off my petrol car and replacing it with Diesel.
The downpayment for my new vehicle has to be financed by my Estilo's sale. But Estilo is fetching peanuts (it was already less being a flop model). And its impossible for me to afford travel daily in Petrol car ( I travel 23kms one way).

Now that's getting caught between rock and a hard place.
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Old 18th June 2012, 23:09   #41
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

Quote:
Originally Posted by GTO View Post
Prices of used petrol cars - across ALL SEGMENTS - have tanked. Another contributing factor is the massive discounting on new petrol cars from manufacturers & dealers.

It's an absolute buyer's market out there. Thus, if your running isn't much and / or you prefer petrol, there's never been a better time to go out shopping.
Unfortunately, the same may not be all that true here in Goa, as the used car prices do not seem to have fallen drastically.

Many people planning to sell cars here in Goa continue to quote prices similar to those before the recent petrol price hike.

This could be due to the fact that petrol prices in Goa are cheapest in the country and the price difference between petrol and diesel is about Rs 15 per litre. So, petrol cars (new and old) still command some demand, especially after the drop in petrol rates here in Goa.

In fact, I was on the lookout sometime in early June for a used petrol car for my wife in addition to our i10 and we thought we would have got a good deal on a used petrol car. On the contrary, we struggled to find a well-maintained Spark (wife loves it) or a Santro (I like it) for about Rs 2 lakh. We checked up various classifieds in the local newspapers, but to no avail.

Quote:
Originally Posted by selfdrive View Post
Makes me wonder how car sales would be affected when (if?) mass transit infrastructure is built in our cities.

I think the manufacturers in the Indian auto industry also need to face the fact that while their slice of cake is now reduced due to competition, the size of the overall cake itself may stagnate and even reduce on an ongoing basis due to fuel and other factors.
If and when public transportation improves, I reckon that some of these affected car manufacturers would then go back to the government to demand subsidies/tax benefits/incentives, none of which will be passed on to the customer.

Quote:
Originally Posted by StarrySky View Post
Is this a Mumbai-only phenomenon? I mean, this crash in prices. Although it's quite possible that petrol cars have lost a few 1000s in resale value due to the recent hikes, I don't think the drop in value is very steep here in Cochin.
Quote:
Originally Posted by S_U_N View Post
Somehow I am not seeing any such things on the TBHP classifieds or on carware.

If you couple this with the good exchange offers from Maruti (around 20K off), then the difference between a new Alto and an old one is hardly 1 lac.
Precisely. Team-bhp was my starting point for used petrol cars. Not that there were cars close to my home town (Goa) to choose from, but I got an idea on the used petrol car prices and they were no different from the pre-petrol price hike.

Quote:
Originally Posted by lurker View Post
Since our media isn't usually in the habit of revealing the complete truth...
No offence taken, but I happen to be from the media fraternity and I would certainly be interested to know from you (may be, as a PM, since we would be straying off topic) just which occupation in India is in the habit of revealing (or dealing with) the complete truth.

Last edited by misquitas : 18th June 2012 at 23:11.
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Old 18th June 2012, 23:21   #42
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

Thanks Rushabh for the facts and figures.
The fate of Mercs , BMW's, Skodas RS (Laura Fabia too) and many other cars are well described in the opening post.
The second hand market scenario after reading all the bear hits may just be a joke for the fuel thirsty cars !
I think sighting a Sonata in the second hand market will be a big joke. Petrol thirsty !
Also all the Hondas are compulsorily petrol driven. Accords and CRV's may be the Bollywood film makers favourite for accident and fire scenes..
Same fate for the the Corsa, Corsa Sail, and the older Hyundai Accent ?
What about the Indica Xeta ?
The Fiat Palio 1.6 is the team leader in the B segment.Its appetite for fuel is known.However, it has its diehard fans.
The older petrol Chevrolets were the least wanted in the second hand market. I am not sure where these cars will go.
And the Ford Ikon and Fiesta petrol?The Ikon called a Josh Machine, was available for Rs 1 L or slightly more if a showroom example, but now all the Josh is over. An old petrol Escort in he second hand car market will again be a joke!
Sometime ago my cousin who dealt with used cars sold an Opel Astra (petrol) for Rs 2.5 L.The driver side ORVM was broken and the owner wanted a new one. The spares are not available in just any shop. He went to the General Motors ASC and was told that it costs Rs 4.5 K. I think he replaced it. But in this scenario today will anyone spend anything like that on the car unless he or she is very particular about what he or she owns.
The greatest fact is that the value of vintages and classics (both 2 and 4 wheelers) will only appreciate come what may? Nearly all of these are petrol driven, but the price has no effect on the oldies..
In fact, the prices of old vintage and classic bikes and scooters are meteorically rising.This is not because of their fuel economy but for the fact that these need less space to park and less efforts to maintain. Speculators are hence eyeing old 2 wheelers all the more.
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Old 18th June 2012, 23:23   #43
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

Quote:
Originally Posted by Sahil View Post
We sold our Vento for a little over 6.5 lakhs,
Quote:
Originally Posted by amitoj View Post
I had to sell i10 AT before moving to US last month.
Which version and year model? I am in the market for an AT and am trying to get a feel.

Found a 2006 Civic AT, and the seller quoted 5.25L negotiable. I make an offer of max 4.2L. He refused, but is holding on to his vehicle to get his price. Though he has lowered his expectation to 5L negotiable. The guy is good and the car is well maintained with a few goodies thrown in, so if anyone is interested, this may be a nice buy.I think he will sell for 4.5L

Am now considering looking for a i10AT and converting to CNG. Surprisingly, none of the i10 are being sold by individual's on carwale, all are going through dealers.
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Old 19th June 2012, 00:28   #44
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

Quote:
Originally Posted by Parthasarathig View Post
My good friend was ready to give 4 lakhs for your i10 AT for his sister. He was infact after my figo when i suggested your car with AT looked a better deal IMO.
Wasnt yours mentioned in the classifieds? Deep ocean blue one? We dilly dallied for 3 days looking at new cars and used ones. I almost pm'ed you when she decided nano looks cuter than i10 and went in for a top end nano first hand at almost the same price. Yours looked a sweet deal for an AT.
Yes, that was the one. I had to revise the expected price downwards after the petrol hike :(


Quote:
Originally Posted by kmadhok View Post
Which version and year model? I am in the market for an AT and am trying to get a feel.

Am now considering looking for a i10AT and converting to CNG. Surprisingly, none of the i10 are being sold by individual's on carwale, all are going through dealers.
Mine was a 2010 Sportz model, with 13K on the odo. Had to settle for 3.65 finally. It had some cosmetic damages that i did not get time to repair and that brought the price further down.

Anyway, i think 3.65 was a fair price given the circumstances.
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Old 19th June 2012, 03:09   #45
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Default Re: An upside to the petrol price hike : Used car residuals CRASH

Quote:
Originally Posted by xingamazon View Post
...And its impossible for me to afford travel daily in Petrol car ( I travel 23kms one way)...
Quote:
Originally Posted by misquitas View Post
Unfortunately, the same may not be all that true here in Goa, as the used car prices do not seem to have fallen drastically.

Many people planning to sell cars here in Goa continue to quote prices similar to those before the recent petrol price hike.

This could be due to the fact that petrol prices in Goa are cheapest in the country and the price difference between petrol and diesel is about Rs 15 per litre. So, petrol cars (new and old) still command some demand, especially after the drop in petrol rates here in Goa.
Exactly!! Like xingamazon, my daily travel also adds up to 45 km, and it really does not make sense in a petrol car. However, I travel with my colleagues, and we car pool. Hence, considering an FE of 15 kmpl that I get from my Alto, this amounts to about 3 litres of petrol or 180/- per day. Since we share the expenses among 3 or 4 people, this turns out to be economical in a big way, and is the only reason why I am still able to hold on to the petrol as my daily mode of transport. Fuel price apart, there is absolutely no other reason to sell the car, as she is in perfect shape.

Being in Goa, I am not sure whether it is a boon or a bane for us to be having reduced petrol prices. On one side, it lowers our running costs as compared to those in other states. However, as misquitas has said, it means that we do not see the reduction in the price of used petrols in the market. However, this also means we can enjoy a slightly better resale if we are selling our own cars. I had been on the lookout for a C segment sedan for a lucrative price, and am sadly disappointed.
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