Help me buy a S3 Sportback - purchasing advice req'd

[RAPS3]

Ok guys - I've finally almost finished the work on my house so will be in the market for a new car very shortly.

I really want to get back into an Audi after defecting for a while in the Leon Cupra R and then downgrading (££ wise) to the MK4 Golf Gti to release some funds to finish the house.

(The Golf was rear ended and written off yesterday but thats another story)

I quite fancy an S3 Sportback. What I'd like some opinions / advice call it what you will, is on how to purchase / lease / PCP / PCH / Personal loan etc etc.

I've only ever bought my cars outright, (with the help of a personal loan) and have only bought new once (the Leon) which I bought through a broker (£16K) via a personal loan.
I therefore do not have any idea about the above methods of financing a vehicle, other than what I've read up on different forums. I'd therfore welcome your opinions on how to go about it.
How have you purchased? Examples of what it costs you would be nice, if not too personal.

I have also not been into the Audi dealer (yet) to discuss any terms and have only been playing around with the configurator on the Audi website.


For something to work with, I have a deposit say of £4K and could afford £400 - £500 pcm as a payment.

All advice is welcome in aiding me to be more active on the forum again.

 

[RacingTeatray]

I've been looking into buying an S3 Sportback and had a PCP quote from my local dealer.

Ignoring discounts for the moment, the price for what I wanted fully optioned was about £32k. With 10% deposit and 36 month term, the monthly instalments were quoted around £600. The guaranteed future value quoted was £12,250.

I saw my options being (and please bear in mind this is not financial advice, merely an illustration of my thought process when I was deciding what to do!)

1. PCP:

Pay over three years: approx £25k (inc. own cash payment of £3k, monthly payments and fees)
Possibly able to offset interest of circa £2-3k earnt on capital not invested in car (@ 5% p.a. interest considering interest-earning lump sum is reducing with each monthly payments)
Either no Asset at end or cough up additional £12.25k.

Total cost over three years: £22-23k

2. Cash:

Pay upfront £30k (own cash payment of £30k)
Asset worth £12.25k

Total cost over three years: £17.75k (so by my reckoning the car has to be worth less than £7-8k before maths works in favour of PCP).

3. Standard Loan of £20k:

Pay upfront £30k (own cash payment of £10k)
Interest charges on £20k borrowed over three years: approx £3k
Total paid: £33k
Possibly offset interest earnt of £1-1.5k
Asset worth £12.25k

Total cost over three years: £19.25k (so by my reckoning, the car has to be worth less than £8-9k before maths works in favour of PCP).

Ultimately, for me I decided it would be better to take out a personal loan to fund the difference between value of my old car and cost of new one, rather than go down the PCP route, because the interest charges look much lower. I'd be taking a chance that a 3yr old S3 SB with 30k on the clock would not be worth at least £12k to someone, but that's a risk I'd be prepared to take.

I haven't investigated HP.

 

[JamS3]

Paul

You need to speak to me, give me a bell.

 

[RAPS3]

To be honest J I was thinking of giving you a call.

I'll give you a ring sometime today (Sat).

Lets just say that my situation has changed (for the better) since we last spoke in Tesco's and I could now be in the market for a new one !!

Just playing devils advocate with myself as going from £0 to £32k is a big step, but looking at that garage with nothing in it is killing me

 

[SteveTDCi]

I've just been to my local dealer and they have a black S3 sportback pre-registered and it looks very nice, it almost made me want to keep my TDi