Buying used cars privately can be dicey

Almost one in seven respondents to a Toyota Ireland survey said they'd had a bad experience when buying a used car from a private seller, writes Brian Byrne. That said, 80 per cent of Irish motorists who bought a used car were likelier to buy from a dealer.

Of those reporting bad experiences, 71 per cent said they had discovered mechanical issues shortly after purchase.

Most of those buying from dealerships said they had greater peace of mind by doing so.

More than four in ten drivers said they bought used because they couldn't afford to buy new.  

Special offers on Renault 'Selection' used cars

Renault is offering 2% APR along with two years warranty and roadside assistance on its Selection used cars through September, writes Brian Byrne.

The company will hold 'Selection' events on the weekend 27-29 September at participating dealerships.

The scheme provides a full certified vehicle history check with every used car, and each car is ready to go to its new home the same day.

Dealerships will exchange a vehicle purchased under the programme for one of a similar value (within 30 days or 1,000 kilometres from date of delivery) should an irreparable fault occur.

'Selection' used cars can also be searched for at renault.ie.

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Stg’s weakness turbocharges Irish demand for UK imports

Ireland’s car import boom is being accelerated by the Euro’s rise against the Pound, writes Trish Whelan. 

Irish car dealers and garages have upped their spending on vehicles imported from the UK by a fifth (20pc) during the first half of this year compared with the same time in 2017.

The analysis of 3,000 transactions made through foreign exchange specialist Fexco Corporate Payments, comes days after the Euro hit 89.5p against sterling - its highest level for almost eight months. The research also found the importing spree hasn’t been limited to Ireland’s motor trade.

Spending on UK imports by Irish car dealers, garages, and individual car buyers together rose by 14pc on last year and up 66pc on its pre-Brexit referendum level.

The data also shows a 49pc increase in the number of cross-border car purchases - made by both dealers and motorists - between the first half of 2016 and the first half of 2018.

The Fexco data mirrors official statistics compiled by the Society of the Irish Motor Industry. In the first six months of 2018, it registered 49,971 used cars imported from the UK, a 12pc rise on the same period in 2017, and a huge 64pc increase on the pre-referendum level seen in the first half of 2016.

The SIMI data also suggests Ireland is on track to import 100,000 used cars from the UK for the first time ever this year. It predicts that used car imports will rise by 15pc in 2018, with new car registrations falling 8.6pc on their 2017 levels.

David Lamb, head of dealing at Fexco, explains: “On a purchase as large as a car, exchange rates can be a dealmaker or a dealbreaker. Two years on from the UK’s vote to leave the EU, thousands of Irish car buyers - both individuals and garages - are still capitalising on the weak Pound.

“The UK has a much greater supply of used cars than Ireland, so all things being equal, a British used car should cost less than a similar model on this side of the Irish Sea.

“Historically the cost, and red tape, of importing a UK-registered car into Ireland put off all but professional dealers or the most committed individual motorists. But sterling’s continued weakness has shifted that calculus, and is nudging ever more Irish car buyers to look to the UK for their next car.

“In 2015 the Euro-Pound exchange rate averaged 72.6p, while in the first six months of 2018 it averaged 87.9p, before surging past 89.5p last week. But with the UK widely expected to raise interest rates in August, sterling could strengthen in coming weeks.”

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Renault sets up used car standard scheme

Renault Ireland has set up a used cars standard called Selection for Renault and Dacia secondhand cars, writes Brian Byrne.

Under the scheme, participating dealers will give a minimum two years warranty and two years' roadside assistance for models up to six years old.

There's also a guarantee that dealers will exchange a car which develops an irreparable fault for one of equal value, if returned within 30 days or 1,000km, under the programme.

A special financing rate from Renault Bank of 4.9pc APR on PCP or HP will be available under Selection for cars purchased up to 31 October.

Pictured is Brian Quinlan, Used Vehicle & Business Development Manager at Renault Ireland.

Check list for when buying a used car

One of the best ways you can protect yourself when buying a used car is to set a realistic budget for the car you want, writes Michael Rochford of Motorcheck.ie.

If you go out wanting a high-end motor for tiny money, you're already painting yourself into a corner and are more likely to come across something dodgy. A little time spent researching the realistic asking prices for the car you want will be time well spent, and will allow you to instantly recognise when a car is on sale for a too-low price.

It's best to look at cars on a dry and sunny day so that you're more likely to get underneath and have a good poke around inside and out to check its condition. If you're buying from a private seller, arrange to meet at their house, during daylight hours. If they try to meet you in some pub car park or similar, or only agree to meet up after dark, put the phone down and move onto the next advert.

When you do meet, make sure all their paperwork matches. It's always nice to be given a big, thick sheaf of papers and receipts to inspect, but you really actually have to inspect it - make sure all the numbers and addresses match (with reasonable exceptions made for those who may have moved house while they owned the car ...) and ensure you aren't just being handed some random paperwork in the hope that you won't properly inspect it till afterwards.

While you're there, check the condition of the car carefully and see that it matches what would be reasonable wear and tear for the indicated mileage. While the NCT has finally agreed to start publishing the last 3 mileages of the cars it inspects on NCT Certificates, we won't start to see that for a while yet and in the meantime, approximately 1 in every 5 of the cars Motorcheck does a history check on have mileage discrepancies. If the number on the odometer is low, but the seats look knackered and the steering wheel is shinier than Mr Muscle's coffee table, be suspicious.

Ask to see the spare keys for the car and ensure that they fit and work properly. A lack of a spare set, or multiple keys on the key-ring for various doors as well as the ignition, could potentially be a sign that the car has been stolen. Ask questions.

Finally, checking the condition should also include a close inspection of the bodywork, looking in the boot, under carpers and around the rubber seals for overspray and badly repaired damage.

There are more than 50,000 write-offs on Irish roads every year and as any as 60 percent of these are repaired and put back on the road. So make sure you keep yourself both well-informed and safe whilst shopping for that bargain.

Hyper inflation in Used Car Market

Market analysis of 3 year old cars

Used car prices have risen by as much as 32 percent in four years, according to Motorcheck.ie.

Motorcheck has been carefully surveying used car prices across models from as far back as 2000, tracking their prices across a four year period from 2010 to this year. The results will make sobering reading for anyone hoping to find a bargain in the used car market.

A sample of the most popular makes and models were surveyed over the four-year period included the Audi A4, BMW 3-Series, Ford Mondeo, Opel Astra, Ford Focus, Hyundai Accent, Fiat Punto, Toyota Yaris and Nissan Micra. The research involved comparing the sale prices of more than 12,000 cars categorised into three groupings of 10 year old 5 year old and 3 year old vehicles.

The researches show that overall, the value of a three year old car at the end of 2013 has risen by as much as 18 percent since 2010 which represents, on average, a rise of €2,135 - a huge amount extra to fund for cash-strapped car buyers.

Market analysis of 5 year old cars

For a five year old car, the situation is similarly grim, with a massive 27 percent average rise.

These figures are shocking but perhaps not entirely surprising as once the new car market collapsed in the wake of the 2008 financial crash, used car values began to harden in the face of reduced stock from 2009 onwards. "We weren't buying very many new cars, there wasn't enough throughput of good used stock into dealer forecourts and the classified ad pages. That scarcity drove up used values," explains Michael Rochford, Managing Director of Motorcheck.ie.

He added that the 'firming up of used car values for models from 2009 onwards seems to be having a trickle-down effect to even older models, of which there's a relatively healthy market supply'.

Market analysis of 10 year old cars

According to Motorcheck.ie research it is car that were 10 years old at the end of 2013 that have seen the greatest percentage rise in value - 32 percent amounting to an average price increase across the eight models surveyed of €681.

Of those cars, it is the two old reliables, the Nissan Micra and the Toyota Yaris that saw the biggest gains in over value. In 2010, a 10 year old Micra would have set you back on average just over €1900 and a Yaris €2,600. Fast forward to 2013, and a 10 year old Micra is now costing just over €2,800 while the Yaris' price has climbed to €3,600. And these are often the cars that are bought by both young drivers starting out and older drivers trading down - precisely the sort of car buyers who can lease afford the increase in prices.

10 year old Audi A4 prices climbed from €3,286 to €3,934, the Fiat Punto's from €1,253 to €1,934 and the Ford Focus from €2,462 to €3,043. Similarly, the Mondeo increased in value from €1955 to €2,335, the Hyundai Accent from €1,579 to €2,088 and the Opel Astra from €2,117 to €2,568.

Michael Rochford says there is a range run these figures over and above the mere rise in prices for those shopping for a second hand car. "Whenever there is a scarcity of any consumer item, and whenever prices for that item start to rise, unscrupulous traders start to step in." Motorcheck, he says, has repeatedly highlighted the angers of buying a car that has previously been written off, or has had the mileage 'clocked' to improve its value further.

With rising second hand prices, a greater number of the less honest will be tempted into the market keen to make as big a profit as possible on their badly repaired or clocked cars. Added to which, given the continuing scarcity of 2009-2013 cars in the second hand market, it is to the UK market that many are turning to source cars. "That's fine as long as the seller and the sales process is above suspicion, but the mere fact of the British market being so much larger than ours raises the likelihood of there being problems with a given car."

There is good news on the horizon for second hand buyers though. The increase in new car sales this year (sales are up by around 26 percent) means that the situation in the second hand market should start to stabilise from the end of this year. While it will take some time for the market to readjust entirely, that should at least mean that those looking for a one year old car next year will have more choice, and slightly soft reprising, to deal with.

As ever, Motorcheck.ie's advice to those looking to buy second hand is to have the history of the vehicle carefully investigated by them.

Rise in used car imports

Used car imports continue to increase with almost 15,000 used cars being brought into the country in Q1, an increase of 23.2 percent on last year.

Commenting on the increase, Michael Rochford, MD of Motorcheck.ie says there is a very high demand for used cars at the moment and a shortage of indigenous supply of 3 to 5 year old cars, so Irish buyers continue to flock to the UK. "Whilst buyers can obtain good value and quality from the UK, we would encourage them to always perform an online car check before parting with their hard earned cash."

The top makes imported in Q1 were Ford, Volkswagen, Vauxhall, and Toyota. The top models imported were the Ford Focus followed by the VW Passat, VW Golf, and Audi A4.

Car clocking to become a crime

The Government is today set to propose an amendment to the Road Traffic Bill 2013 which will make car-clocking a criminal offence, writes Trish Whelan. If the amendments are accepted, they must pass through all stages in the Seanad, but it is expected that the amendments will be made law within a number of weeks.

A spokesperson for the Department of Transport, Tourism and Sport explains: "The law at present makes it illegal for a car dealer to sell a 'clocked' car but there is currently no law against tampering with an odometer, or 'clocking' in itself." It is thought that offenders, if found guilty, will face a fine of up to €5,000 or up to three months in jail.

A recent study of over 100,000 vehicles by car history check experts Motorcheck.ie showed that as many as 15 percent of vehicles offered for sale could be clocked. The incidence of this practice also seems to be slightly higher with UK imports.

Motorcheck.ie has campaigned for tougher legislation against car clocking for years. Their MD, Michael Rochford says: "Clocking not only misrepresents the true mileage of a vehicle but a clocked car can prove to be a serious threat to the safety of the driver and other road users as the proper functioning of safety features and warning lights on the vehicle are very often compromised in addition to the odometer when the on-board computer is interfered with."

Based on their research, it is thought that car clocking in Ireland could be costing car buyers up to €60m per year in inflated prices.

If a car is found to have been clocked, it will generally mean that 25 percent of the value of the vehicle will evaporate overnight." Motorcheck's Irish National Mileage Register now holds almost 9m readings for Irish vehicles and can access hundreds of millions of readings for UK vehicles.

Consumers warned about fake NCT certs

Motorcheck.ie has today issued a warning to used car buyers to be on the look-out for used cars being sold with a fake NCT certificate. The alert comes after 850 certificates were stolen during a raid on the NCT test centre in Drogheda.

Commenting on the theft, Motorcheck.ie co-founder Shane Teskey said "Unscrupulous sellers will use a fake NCT cert to try and mislead potential buyers into believing that a car being offered for sale conforms to the minimum safety standards set out by the Road Safety Authority when it may actually be completely unsafe and dangerous to take on the road."

Motorcheck.ie offers consumers a free update service on its website where consumers are able to verify the NCT certificate number against the official records available from Motorcheck. A fake cert will be highlighted as 'No Match' in which case buyers are advised to contact their local Garda office or Motorcheck.ie directly.

The website has published details on how this can be done on its website at www.motorcheck.ie/blog/how-spot-fake-nct-certificate/

Don't give cash when buying used cars

Buyers of used cars in the UK in private deals, whether Irish of British buyers, are warned never to pay for a vehicle using cash, even a portion of it, as this can be a gift for fraudsters keen to 'disappear' after a dodgy deal.

Research from the team behind the AA Car Data Check in the UK reveals that 20 percent of used car buyers would pay three quarters of the value of a car in cash to secure a potential dream purchase. What's more, 14 percent said they would actually pay the total asking price in cash.

Bringing cash with you to collect a vehicle leaves you open to several threats, the most obvious being that carrying a large amount of money is always dangerous as the seller could simply take the money with no intention of handing over the car.

Paying cash for a car means the seller can disappear without a trace. And there is no 'Proof of Purchase' when you pay for a car in cash, meaning you have no comeback with the seller should something go wrong.

So if that bargain turns out to be officially recorded as stolen, an insurance write-off or on outstanding finance, the seller will be long gone and so will your money.

They advise car buyers of payment options available to them - banker's drafts are still generally accepted, or the most common way of transferring money today - simply transferring funds via online banking.

The lesson is to always get a vehicle history check before you buy and never pay in cash. Here in Ireland, there are a few companies who will do this vehicle check for you - AA Ireland offer sound advice on buying a used car, and Motorcheck.ie will check a vehicle's history for you as will cartell.ie

Over 880,000 used cars sold in 2012

Some 889,441 used cars were sold in Ireland last year according to the first ever 'Carzone Motoring Report', compiled by Carzone.ie.

The survey of over 1,300 car buyers showed that the average age of a car in Ireland is eight years old.

The report also showed that German manufacturers BMW, Volkswagen and Audi were the most popular, most searched for models on Carzone.ie in 2012, with diesel models the most popular choice. Used car searches also peak on the last Monday of every month.

The report also showed that motorists spend €3,745 running their car per year.

More petrol used cars being sold in UK

Buyers in Britain are becoming increasingly interested in buying petrol cars which are making a strong come back in the used car market as buyers realise they do not cover enough miles to justify the extra purchase price for diesel cars.

Petrol cars such as the Peugeot 107 and 308 and Toyota Aygo and Yaris are now being preferred there to diesel models, particularly in urban areas. Smaller cars from Ford, Kia, Mazda, Toyota and Suzuki are also in high demand.

Five door models are in particular demand as consumers look to run a petrol as their main family car. Currently a typical 3-4 year old used petrol 5-door model costs £4,500, around £1,000 less than the equivalent diesel.

In Britain, diesel is more expensive than petrol.

'Private' buyers outstrip dealers in used cars

Almost three in four used cars sold in January were private transactions, according to an analysis by car history company Motorcheck.ie, writes Brian Byrne.

The analysis showed that there were over 40,000 used cars sold in January, indicating a much more robust performance than the new car registrations of 17,293, down 18.8 percent on January 2012.

The top ten selling used cars involved in private sales were in the age bracket 1999-2002, of which the top three were Volkswagen Golf, Opel Astra and Toyota Corolla. The top ten selling used cars brought from a dealer during the month were aged 2005-2012. The top three models were Ford's Focus, VW's Golf and Nissan's Qashqai. These figures indicate that the private trade is predominantly in very low-value old cars.

Motorcheck.ie's Shane Teskey says a shortage of good used cars on the Irish market will mean a likely rise in used imports from Britain. His company sees a significant numper of insurance 'writeoffs' entering the Irish market, and warns that a full car history check is advisable on all such imports.

"This can cost as little as €20," he notes. "The investment offers invaluable peace of mind."

Leinster 'dirtiest' for C02

Figures from cartell.ie on the average C02 emissions per county for used cars throw up some interesting statistics, writes Trish Whelan. The results, based on the national parc of private used cars, show that Dublin gets considerably more C02 emissions on average than any other county in Ireland, significantly over the national average of almost 134g/km. This would be not unexpected as the city would have a much higher density of cars than most other cities and towns.

At the other end of the scale, Leitrim is the 'cleanest' county for private vehicle use.

Leinster is the 'dirtiest' province and Connaught the 'cleanest' province.

Cork, the second largest city in Ireland, is listed in 15th position on the list of 29 registration areas, despite the fact it has the second highest number of vehicles per county.

John Byrne of cartell.ie says he believes this means that more Cork people are aware of buying eco friendly cars and this could be a contributing factor in Cork being so far down the list of dirtiest to cleanest registration areas.

When asked how the calculations were made, he said their sources were the Department of Transport which provided the complete list of C02 emissions by vehicle, as well as their own IT systems which can tell how many used cars there are in each county. This allowed them calculate the average C02 emissions by county.

Nationally, the average C02 per vehicle - of used cars - is 133.9g/km which is the old Band B (now B2).

cartell.ie explains that 4x4 vehicles obviously bring up the levels of C02 'quite significantly' and there are more of these types of vehicles in Dublin and in Meath. He also put it down to lower emissions in fleets since the introduction of the new tax system in 2008 as newer cars are likely to be more C02 efficient.

John Byrne told us that the average age of the fleet in each county will be a follow up survey, likely to come within the next few weeks.

Shown above is the cartell.ie graph of counties from dirtiest to cleanest.

Check used car's history

The latest statistics from car history experts Motorcheck.ie show that consumers now have a one in five chance of buying a used car that has been clocked or is still under finance.

Motorcheck.ie Co-Founder Shane Teskey says their latest report is the largest survey of its kind ever carried out on the used car market and serves as a timely reminder of the pitfalls associated with buying a used car.

The analysis examined the history of 20,000 individual vehicles registered in the state and uncovered some startling facts.

* Of the individual vehicles where a previous mileage reading was available (more than half of the total number), 23.4 percent returned an odometer discrepancy.

* 24 percent that were under seven years old returned a positive result for finance.

* 6.5 percent of the cars surveyed were shown to have been used as a Taxi at one point in their history.

The number of used cars sold in Ireland throughout 2012 was in excess of 550,000 as compared with 80,000 new cars.

Over 10m cars on UK roads have 'hidden history'

People who buy cars in the UK for import into Ireland should be careful that they have access to the car's full history as a recent survey in Britain shows that over 10.4 million cars on the UK's roads have a 'hidden history'.

The survey is by HPI, vehicle information experts. They say this claim follows news from the Society of Motor Manufacturers and Traders claim there has been a 9 percent increase in cars in the UK to 31,362,716. With 1 in 3 cars hitting HPI's 'at risk' registers, the SMMT figures suggest that the nearly-new and secondhand car market is a minefield for buyers.

Outstanding finance remains a very real threat when buying a used car as many don't realise that the debt stays with the vehicle. This could mean there may be up to 7.8 million cars that are still on finance on UK roads.

Over 6.2 million cars on the UK's roads could have had a plate change. It could be innocently done, but fraudsters can use a change of plates to hide the identify of a stolen car or an insurance write-off. HPI also say that 5 in 100 cars checked by them have a mileage discrepancy. Dodgy sellers use clocking as an easy way to increase the price of their vehicle.

Four in every 100 cars that HPI check have been declared an insurance write-off. They say buyers need to beware of shiny paintwork hiding a dangerous level of damage or inadequate repairs, making the car unfit to be on the road.

If you are looking at buying a vehicle in the UK to import back here, it makes sense to have it checked out before you part with your money to avoid buying a nightmare on wheels.

In Ireland, Cartell.ie and Motorcheck.ie provide such services for secondhand cars brought in here or sold here.

Claim that 1 in 25 vehicles clocked in N Ireland

Irish car buyers looking for a good deal up North should be aware of a new survey which suggests that one in 25 vehicles in Northern Ireland, checked with HPI, show a mileage discrepancy.

HPI's National Mileage Register contains over 130 million mileage records, giving buyers of cars in the North extra assurance that a vehicle checked by them has not been clocked or previously recorded as stolen, or written-off by an insurance company, or is subject to outstanding finance.

Whilst 'adjusting the mileage' is not, in itself, illegal, selling the vehicle on without declaring the mileage adjustment IS breaking the law. HPI claim that 'increasing numbers of unscrupulous sellers are tampering with the mileage of a vehicle as an easy way to increase the price tag'.

On average, winding back the mileage on a N.I. vehicle can add between £100 and £400 to the value of a vehicle for every 1,000 miles taken off. Clocked vehicles may also represent a safety concern as vehicles with incorrect mileages may have missed important services, increasing the risk of them being unreliable and potentially un-roadworthy.

HPI have given tips on spotting car clocking: