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Why do used car prices vary so much?

Why do similar cars, spec and mileage from dealers vary in price, sometimes by a few grand?

Niall Dalton (Moycullen)

Jul 2016 Filed under: used car values

Expert answer

Hi Niall,

Because each dealer’s business is different. Most, if not all, used cars on a dealer’s forecourt will have come in as a trade-in, so the price that the dealer needs to ask (in order to cover their costs and turn a profit) will be different. The amount that they offered the previous owner for that trade-in will be based not just on the intrinsic value of the car itself, but on a number of other factors, especially how many of that make and model the dealer might already have in stock and has to sell before that one moves on. Plus, each dealer has differing overheads such as ground rent, investments in showrooms, staffing levels etc. Beyond that, some dealers offer comprehensive and proper warranties on their used stock, the cost of which has to be factored into the price of each car.

Which is not to excuse dealers from random pricing. One of the great limitations of the Irish used car market is that, unlike the UK where we have access to thinhs such as the CAP Guide and Glass’ to give solid indications for second hand trade values, in Ireland it’s a much more suck-it-and-see, sure-it’ll-be-grand approach.


Compare BMW and Mercedes diesel engines.

What is the power output of the BMW X3 1,997cc engine? How do you think it compares with the Mercedes-Benz 2,054cc unit?

Denis O Riordan (Dub)

Jul 2016 Filed under: diesel

Expert answer

Hi Denis,

It depends which model you mean. The X3 18d has 150hp, while the X3 20d (using the same basic engine) has 190hp. It’s a grand engine (and seems to have gotten over its tendency to throw the timing chain) and really nice to drive, but a touch noisy at times. The same goes for the Merc alternative, which comes in 140hp, 170hp and 204hp forms. Good and frugal, but noisy. Right now, Audi has the best engine in the class, with its updated 150hp and 190hp 2.0-litre TDI unit, with Volvo’s D4 190hp in a very close second.


Thoughts on the Land Rover Discovery?

What is your view of the Land Rover Discovery?

Nick Strong (Glin)

Jul 2016 Filed under: choosing used car

Expert answer

Hi Nick,

A genuinely remarkable vehicle. Seats for seven (and seven fully grown adults at that) and with the sort of on-road refinement and comfort you'd need a Mercedes-Benz E-Class to better. Yet it can get into and out of remote, rocky, boggy, muddy, snowy places in a manner that occasionally boggles the mind. Yes it's big, heavy and thirsty and it rolls a lot in corners, but it's a truly great car. Reliability is the only Achilles'  heel. It's much better now than it used to be, but older models still suffer from gearbox, electrical  and suspension issues. 


Do dealers deliver cars usually?

I want to buy a car from a dealer in Dublin and I live in County Laois. Is it the responsibility of the car dealer to bring the car to my house or how does it work? My issue is that I can't drive on motorway from Dublin to County Laois.

Olly Sisi (County Laois)

Jul 2016 Filed under: miscellaneous

Expert answer

Hi Olly,

It depends on what kind of deal you can strike with the dealer in question. A good dealer will arrange for the car to be delivered to your door, but it's not a common arrangement and will therefore probably incur an additional cost. Most people just go to the dealer to collect their new car. 


I got a bank loan easier than a PCP deal...

Hi,

I was trying to apply for PCP finance in February with Volkswagen Bank and got declined. I then applied for a car loan off AIB and got accept for €6k more! Do you think this would give me a footing to apply for PCP next year with Volkswagen?

They seem very strict!

Kevin

Kevin Hunt (Dublin)

Jul 2016 Filed under: finance

Expert answer

Hi Kevin,

The acceptance by AIB might well give you a little more leverage with Volkswagen next time around, not least because it will be another tick on your credit rating. Oddly, it’s usually the other way around – high street banks tend to be harder to get a loan from than car company banks, but acceptance criteria vary hugely across the different financial institutions so you never know until someone puts the details into the computer and someone says yes or no.

Having said all that, you might actually be better off with the bank loan than with the PCP. Although the monthly repayments might be higher, you do have the advantage of owning the car outright from day one, and not having to worry about condition and upkeep.


SEAT Toledo, Skoda Rapid or Renault Fluence?

Trading up from a 2006 Nissan Note to 131-132 Skoda Rapid, SEAT Toledo or Renault Fluence: open to suggestions on which is best choice.

Seamus Neville (Waterford)

Jul 2016 Filed under: choosing used car

Expert answer

Hi Seamus,

The Skoda and SEAT are basically the same car with different badges. Neither are especially sophisticated, but they're roomy and pleasant to drive and very affordable. Personally I prefer the hatchback versions,  but that's just me. Both are preferable to the Fluence, which has never been a very satisfying car and which is about to be replaced by a new saloon version of the Renault Megane.

Relevant reviews:

SEAT Toledo review

Skoda Rapid review

Renault Fluence review


Should I buy this Audi A7?

Hi,

I am buying an Audi A7 3.0 TDI 245 quattro S tronic version (2011) with 71k miles on the clock. The seller told me that he replaced the complete transmission last year in December from Audi South Dublin and has showed me the invoice as well. I know that Audi parts comes with a two-year warranty so this new transmission will have its warranty valid until 2017.

My question is, shall I go ahead and buy this car? I am wondering if the old transmission would have done any damage to other parts of the car such as turbocharger or engine, torque converter etc. What other things should I look for before finalising this deal?

Looking forward to your reply.

PS: I drove this car last weekend and it is absolutely fine without any issue in gear change etc.

Thanks and regards

Raj

Rajat Parihar (Dublin)

Jul 2016 Filed under: choosing used car

Expert answer

Hi Raj,

Generally, I wouldn't think that a gearbox issue would damage an engine - it's usually the other way around, and if there were a gearbox issue, the engine management system should pick up on it and adjust things accordingly.

But... Audi gearboxes are usually pretty robust so the fact that this one has failed could be an indication that the car has been abused or not cared for properly. Fair enough, it could be a genuine 'just one of those things' failures, but it might be worth getting the car inspected by an independent engineer such as the AA to allay any fears. 


How much to tax a V10-engined Audi R8?

What is the cost of road tax on a 2010 5.2-litre V10 Audi R8?

Liam O'Flaherty (Wexford)

Jul 2016 Filed under: taxation

Expert answer

Hi Liam,

It's in the top rate for tax so that means €2,350 I'm afraid. 


Will we be charged VAT on UK car import?

Hi,

We are a VAT-registered business in Dublin, If we buy a VAT-qualifying car in the UK that is over six months old and over 6,000km, will we be charged VAT in Ireland?

Declan Coghlan (Dublin)

Jul 2016 Filed under: importing

Expert answer

Hi Declan,

For a private buyer, once an imported vehicle is older than six months or has more than 6,000km on the odometer then it's no longer liable for Irish VAT. However, it is a little different for a business and Revenue is closely watching such things to ensure that VAT is properly accounted for. We'd advise you seek professional advice from your accountant.


Can I run my Kia cee'd on bio-diesel?

Hi,

Can I run my 2012 Kia cee'd 1.6 CRDi on bio-diesel?

Carl Odlin (Castleblayney)

Jul 2016 Filed under: diesel

Expert answer

Hi Carl,

Yes, theoretically you can run any diesel car on bio-diesel, but you need to be careful with where you're sourcing your fuel from - low quality bio-diesel can clog your injectors up. 

It's also worth bearing in mind that the environmental benefits of bio-diesel are somewhat unproven. There's quite a debate going on at the moment about whether the theoretically lower CO2 emissions outweigh the use of land for growing bio-fuel crops.