Quote:
Originally Posted by Unregistered
I doubt that will happen, realistically more like 40 to 50k range.
Government is looking to claw back some coes and a number of people I know are looking to replace their cars next year even at current Coe price. Demand is still going strong |
There are many factors that will crash
COE prices in 2015 & 2016:
1. 10 years ago, many in their 50s bought brand new cars, these folks are in their mid to late 60s now and retired. It is stupid for them to own cars when they are retired as they will need to spend $2k per month to own and maintain a car. This $2k per month is better utilized for them to spend for their retirement, savings or holidays.
2. TDSR - Most people who want to buy a property avoid taking loan for a car as it negatively affects their TDSR. They would rather buy an older car and lay in cash. So, not many younger people who are buying their first property would want to buy a new car as it means they would take a loan. This is especially so if they want to buy a condo.
3. Opening of DTL2 and then Thomson Line and many other lines after that. This makes traveling to work in the CBD much easier and faster. So demand for cars will plunge.
4. Most important of all, supply will increase by a huge amount with 100,000 cars deregistered next year.
So, with supply rising up high and demand crashing,
COE prices will crash in 2015 & 2016.
This makes everyone happy. Good news for all.