COE Prediction - February 2008 1st Bidding Exercise

The next bidding exercise is going to be an interesting one with many "bargain-hunters". The quota premium slumped by about 50% in both categories in 2007 and fell by about 20% in 2006 just around the Lunar New Year. However, the successful bidders will not be in time to collect their new rides to celebrate the festive holidays.

The expected inflation and high oil price in 2008 will continue to dampen the demand for new cars. I expect quota premium for Category A to fall more than Category B. So, do you think it is a good time to buy?

Here's wishing you a Happy and Prosperous Lunar New Year! Gong Xi Fa Cai!

Prediction on January 29:
Category A: $8,000-9,000
Category B: $10,000-11,000

Verdict on February 5:
Category A: $12,002
Category B: $13,209

COE Prediction - January 2nd Bidding Exercise

2008 started on a soft note with COE rising marginally although Lunar New Year is just around the corner. The stock market has also volatile in these few weeks and crude oil price hitting the US$100 mark. So all these news infer SLOW demand of COE and I believe that the quota premium will just stay at the current level.

Prediction on January 16:
Category A: $14,000-15,000
Category B: $15,000-16,000

Verdict on January 23:
Category A: $12,001
Category B: $13,289

Financial Cost of Ownership for Used Car

I had read a recent post in MyCarForum on "How to count breakeven for 2nd hand car?" and realized that I have neglected an important group of fellow motorists who prefer to purchase used cars. The tools that I have developed till date are focused on the cost of ownership for new cars over the 10-year COE duration and cash rebate scheme offered for new cars.

The last quarter of 2007 also recorded the highest increase in inflation rate and the cost of living is expected to go up in line with the raising price of crude oil. Thus, used car is becoming a more viable option for motorists with a tight budget and a necessity to have a car in their current jobs, especially for sales and field service type of work. It is not too difficult for me to quickly modify the Cost of Ownership tool to work for a used car. Thus, two versions are available on the Cost of Ownership page:
(1) Financial Cost of Ownership for New Car
(2) Financial Cost of Ownership for Used Car

I am also working on a third version on the Operating Cost of Ownership - a project that is delayed due to my heavy travel schedule over this few months; I had targeted to launch it for the New Year.

Please try the version for Used Car and I would appreciate any feedback or bug report. Thanks.