Golf R -v- Golf GTI

[WhiteJames]

Back on topic ... speaking of deals on new Golf GTI's and Golf R's ... apart from the run-out deals & excess of corporate VW stock ... looks like Volkswagen taking a hit on European market sales of about 7% for 2012 has resulted in some extra stock coming our way. Part of the reason why great deals can be had on new Golfs, with favourable financing to boot.

This is not doing resale values of current MK6 owners any good, but given another 6 months, once all MK6 Golf stock is sold, prices of second-hand MK6 Golfs should bounce up a bit imo. Best time to sell a MK6 Golf GTI or R would be about the time of release of the same MK7 model, as your only competitor in the price range would be the a new Polo GTI (or BRZ or FT86 if your that way inclined).

The MK7 Golf GTI will most likely offer for 45K what MK6 Golf GTI costs 50K in terms of a GTI with a few options. This may hurt second hand MK6 Golf values, but stock is likely to be scarce for up to the first 12 mths on the new MK7 Golf GTI and R helping push up prices of second hand MK6 Golfs.

Additionally ... Ray also had all the minor scuff marks in his Golf R32 wheels fixed ... all four wheels prior to selling on auction day ... with a good deal of money on detailing; but the R32 still failed to sell. Sign of the depressed market atm. 12 mths on the R32 will probably only be worth 21.5K instead of 31.5K.

AWD has its benefits - but higher front end centre of gravity to accomodate the extra driveline under the motor in the Golf R, the extra heft blunting the chasis alacrity, and the fact you can't get on the power early in an AWD at the apex of a corner are negatives for me. Weight is the nemises any sporty car.

Cheers.
WJ

[brimway]

Back on topic ... speaking of deals on new Golf GTI's and Golf R's ... apart from the run-out deals & excess of corporate VW stock ... looks like Volkswagen taking a hit on European market sales of about 7% for 2012 has resulted in some extra stock coming our way. Part of the reason why great deals can be had on new Golfs, with favourable financing to boot.

This is not doing resale values of current MK6 owners any good, but given another 6 months, once all MK6 Golf stock is sold, prices of second-hand MK6 Golfs should bounce up a bit imo. Best time to sell a MK6 Golf GTI or R would be about the time of release of the same MK7 model, as your only competitor in the price range would be the a new Polo GTI (or BRZ or FT86 if your that way inclined).

The MK7 Golf GTI will most likely offer for 45K what MK6 Golf GTI costs 50K in terms of a GTI with a few options. This may hurt second hand MK6 Golf values, but stock is likely to be scarce for up to the first 12 mths on the new MK7 Golf GTI and R helping push up prices of second hand MK6 Golfs.

Additionally ... Ray also had all the minor scuff marks in his Golf R32 wheels fixed ... all four wheels prior to selling on auction day ... with a good deal of money on detailing; but the R32 still failed to sell. Sign of the depressed market atm. 12 mths on the R32 will probably only be worth 21.5K instead of 31.5K.

AWD has its benefits - but higher front end centre of gravity to accomodate the extra driveline under the motor in the Golf R, the extra heft blunting the chasis alacrity, and the fact you can't get on the power early in an AWD at the apex of a corner are negatives for me. Weight is the nemises any sporty car.

Cheers.
WJ

Most European countries drive on the right hand side of the road, so I don't think a sales slump in Europe would result in extra availability in Australia.

Local competition is probably the main driving force behind discounting and finance deals.

[WhiteJames]

German car sales were down 2.9% in 2012, with demand falling to its lowest ebb for two years, according to new figures. New car registrations in Europe's biggest economy dropped 16.4% to 204,330 in the final month of the year, leading to a decline in full-year sales to 3.08 million, said the German motor transport authority (Automotive News Europe)

News watch January 2013: today's auto industry news | Automotive & Motoring News | Car Magazine Online

Australian had its best ever year in terms of volume of vehicle sales - about 1.1 million unit sold in 2012. Germany and most of Europe did not as you can see. It wouldn't take much to shift production from left hand drive to right hand drive on a factory floor. Going back to the start of the GFK and the Focus RS super hatch destined for Ireland was detoured for AUS, with all 300 units sold at a premium price within months of going on sale. Australia is still a resilient place to be, but yes, the market is getting more competitive and buyers are seeking greater value.

Cheers.
WJ

[Alister]

This is not doing resale values of current MK6 owners any good, but given another 6 months, once all MK6 Golf stock is sold, prices of second-hand MK6 Golfs should bounce up a bit imo.

One thing is for certain - there will be no 'bounce up' in prices. Used car prices for mainstream cars (of which the Golf is included) go one way and that is down.

Additionally ... Ray also had all the minor scuff marks in his Golf R32 wheels fixed ... all four wheels prior to selling on auction day ... with a good deal of money on detailing; but the R32 still failed to sell. Sign of the depressed market atm.

I agree that the market is a little on the soft side at the moment, but at the same time as a seller you need to be realistic and be prepared to take what the market will pay. $31.5k is probably pretty reasonable money for an R32 with that sort of mileage in today's market.