Quote:
Originally Posted by atlas
So the RS3 actually cost $105k, not $76.5k...
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not sure why this is so hard to understand for some...
It depends on which way you're looking at it. From which party's point of view.
For buyer, yes car cost 105k.
For BMW finance, they still get 49k (payout figure) for what was owing for the M135i.
For Audi, they're getting $76.5k for the car
For Audi finance, they charge customer interest on 105k to pay off the 49k owing to Bmw finance, and balance for whatever they get for selling the trade in to wholesale.
Obviously that changeover figure of 105k was a lot higher before negotiations. From memory it was 108k for car + 49k payout - $25k trade in = 132k changeover.
At the end of the day it depends of the person's circumstances:
1) you can buy the car (no previous car)
2) you can sell car privately (pay off what's owing to finance out of your own pocket)
3) you can trade the car in and put the negative equity (if there is one) onto the new car.
For this particular person, the best offer he got in the private market in 3-4 months was $30k, therefore he had to put $19k cash at that point in time to Bmw finance to payout the balance of the loan on the M135i. Car price was $81.5k plus $19k = $100.5k vs $105.5k
So $4k difference but he didn't have to put $19k upfront, he can put the negative equity onto the next loan.
If he wasn't so stupid having such a large residual or had a different car with less/no negative equity, he'd be financing a lot less than $105.5k
So how much was the audi rs3? It's not $105.5k.. it's not $76.5k either. It depends on how much you value the car you're selling/trading, it depends on if you have 19k lying around, there are so many factors.
Car itself can be had for $81.5k, but you have to pay a price for trading (aka laziness) so I would say he paid $86.5k plus interests on a much bigger amount.
**mind you at the time he was looking at M2... Bmw offered slightly higher trade at 28k,M2 was $104k, Bmw Australia support of $5k for finance... so $104k+$21k owing for car -$5k support... car would've been $120k changeover... is the M2 $120k? Obviously not. He chose rs3 at 15k cheaper