When to purchase a bike? anyone got business background HELP

[NasmoH]

Dear BCF,

I am new to the buying/selling process here in the UK, however I do imagine its a easy process, thats not my case.

I am wondering when is the right time to purchase a 2014 Yamaha MT-07 ABS model, which I believe is the perfect first bike for me, I personally loved it.

The First issue is, the 2016 model is out since september 2015, and Yamaha retails it at GBP 5,749 if I recall correctly. What really confuses me is all these distributors, re-sellers are all agreeing to sell it for 5,999. It doesn't make sense, not a country in the world I stepped in beside the UK where it is more expensive than the retail price when purchasing it from businesses. What am I doing wrong?

The second issue is, anyone with little business knowledge understands the meaning of depreciation of an asset, meaning it gets less valued over time in ownership. To make things simple, online calculators in the states have set the following:

Given a bike is in EXCELLENT condition, roughly below 10k miles the time of sale, a bike loses its value 20% the first calendar year past the bike model year, and 7-10% right after.

Therefor with the 2014 abs mt07 I want to buy, it retailed for 5,499 in september 2013, however in january 2016 it should be 20% for first year, and 10% for the year after (in excellent condition), we expect it to sell at 3,850, and a normal 10% markup puts it at the 4000-4200 range.

However in reality, 2014 abs models that are in excellent condition, with no modifications or additions, is selling at 4800-5300.

This doesnt make sense, only a fool would buy a 2014 abs model at 5k when a brand new 2016 model with the new colors is selling at 5750.

Anyone sees this, or what am I doing wrong?
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Nasmoh

[Ste]

incoming wall of teff!!

[M.C]

Buy one without ABS? These are cheap to begin if, I wouldn't expect them to depreciate with whatever the 'norm' is. Also make sure you're not just looking at dealer prices.

[NasmoH]

What do you mean a wall of teff?


also the ABS and no ABS model is only 300 GBP. I was just saying that dealers and businesses are selling older bikes more expensive than what Yamaha retails these bikes for the 2016 newest models.

It is simply not worth buying a used 2014 abs model from a private seller or dealer while the 2016 brand new models retails for only 400-500 pounds more.

A question arises, is the motorbike market dead in the UK? is it because there is no competition that prices for used/second bikes are not a true reflection of what it is?
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Nasmoh

[KnightsFall]

They will sell it for what they feel that they can get for it and RRP be damned. However, if you read the small print, I think you will find that £5,749 does not include registration and tax, which I believe is something like £55 + £79. Not sure if this is included in your figure of £5,999 but then local dealers do seem to be selling for around RRP plus extras anyway, so maybe shop around?

Thing is, the MT 07 is currently a very popular bike and anyone with a little business knowledge should also be familiar with the term "sellers' market". I'm guessing this will change as the market is flooded with the things though.

[Alpineandy]

I don't think there are enough bikes sold here to really predict depreciation.
Best option is to use something like this as a guide; https://www.wisebuyers.co.uk/motorcycles/bike-prices/
but do as much market research as possible.

The price difference is 'OTR = On The Road' price against pure machine price.

Have you got a full licence?
Somewhere to keep the bike overnight etc
Is this your 1st bike/big bike?
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The above comment isn't necessarily the truth and anyone that says it is, is only correct if it's the truth or they're bigger than me.

[M.C]

£4000 with less than 1000 miles https://www.ebay.co.uk/itm/2014-YAMAHA-MT-07-RED-/181912971914?hash=item2a5adbaa8a:g:0WIAAOSwhcJWLSpL No ABS (would be my pick).

https://www.gumtree.com/p/yamaha-motorbikes/motorbike/1141364482 £4400, 6k with ABS.

[NasmoH]

I am talking about the bike price only regardless of any paperwork like taxes, registration and insurance, as I consider these to be separate admin fees from what bikes sell for etc.

At this stage, I am considering a purchase from the german market, with a falling euro rate. The 2016 bike is selling for 4200 GBP, with a 20% duty, it willstill be way cheaper brand new from there than here!
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Nasmoh

[Rogerborg]

If you're comfortable buying in Europe and importing it, do so. It's the only way that we'll see an end to Rip Off Britain.
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Biking is 1/20th as dangerous as horse riding.
GONE: HN125-8, LF-250B, GPz 305, GPZ 500S, Burgman 400 // RIDING: F650GS (800 twin), Royal Enfield Bullet Electra 500 AVL, Ninja 250R because racebike

[NasmoH]

I didnt know of the prices here in the UK was like this due to a messed up bike economy, perhaps its only with the Yamaha model that I am after.

I just done with a phone call with a german dealer listing on a huge market place (I dont know if I am allowed to post the link), and I will be securing a second hand 2014 Mt07 ABS model, with 7,000 miles, in excellent condition, free windscreen, all for 3668 GBP, and since its a second hand, there is no duty or VAT to pay (VAT paid in germany).

I will be saving close to 1200 GBP, minus 155 GBP for the paper work including DVLA 70 quid conformity? and maybe change the headlight to a one that is round (like scrambler) for UK.
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Nasmoh

[Itchy]

[Rogerborg]

Go for it. And please do tell any UK dealers that you happen to talk to what you did and why. We really do get mugged here.
____________________
Biking is 1/20th as dangerous as horse riding.
GONE: HN125-8, LF-250B, GPz 305, GPZ 500S, Burgman 400 // RIDING: F650GS (800 twin), Royal Enfield Bullet Electra 500 AVL, Ninja 250R because racebike

[MCN]

[NasmoH]

I already agreed now with the buyer for the price, 1600 pounds in savings price wise. I have arranged for a logistics shipper to bring it to my home here. With 200 GBP for the paperwork and 150 gbp for the shipping, brings it down to 1250 gbp savings which I still think is worth it, even if I have to spend another 250 pounds adjusting it to UK standards.

Oh and the speedos on MT-07 are computer based, so the LCD screen can function in all MP/H KMPH you name it


Anyone here in BCF I can talk to who purchased their bike from an EU country recently? Willing to pay for their time if they agree I can call them. Please PM me if your interested.

Thank you BCF, you are the best.
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Nasmoh

[Ste]

Would expect that an import will depreciate faster than a UK model.

Insurance for an import is the same price?

[M.C]

So you're at about 4k (shipped/registered)? Considering the bike I linked to was 4.4k, and that was asking price, so it might have sold for less (might still be for sale?).

Hope it goes well but personally I wouldn't pay that much for a bike without seeing it, and the overall savings would have to be bigger.

[NasmoH]

Hello MC. That bike you linked is awsome. However I didnt get it because it wasnt an ABS model and it was in Red (my fav color are black and grey)

abs model, with extra lever and strut mods, and 10k more mileage, is going for roughly 3200 gbp in Munich, however like you said add the following costs:

1- UK paperwork (mot etc..) - 200 gbp
2- train ticket to munich - 60 gbp
3- ownership xfer etc.. in germany roughly 60 gbp
4- one night stay at a hotel 25 gbp
5- daily spending there 50gbp
5- Shipping to UK 150gbp
6- another 250 gbp thrown just in case i need to pay for something

This puts me at almost 3.8-4k gbp. Which is still 1k cheaper than the 4800 price going for a abs 2014 model with reasonable mileage here in the UK.

Keep in mind no duty or vat to be paid for secondhand motorbikes, as VAT was paid in Germany.
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Nasmoh

[M.C]

The second bike I linked to:

[talkToTheHat]

Factor into that going to see a bike and it turning out to be a shitter or the bike already being gone bu the time you get there. I had about 10 on my list to see around Bradford and found a handful of shitters and a few "we sold that yesterday's". The best prospects turned out to have a either a few things to fix or most dissapointingly felt fine until test ride when hints of something is proper not right inside and it will be expensive soon

For least risk of a bike dissapearing on you, the depths of winter are probably the best time to buy. I'm not sure about test rides in the snow. Finding a seller in need of cash now rather than more cash in spring is the ticket.

How to they negotiate prices on second hand vehicles in Germany? Haggling in a foreign language is one thing, but are expections different? How much room for expected negotiations is built into the price?

Once a model reaches 3 years old, those bought on cheap monthly finance for a big payment after 3 years hit the market.
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Bandit. does. everything.

[yen_powell]

[NasmoH]

The language barrier sucks, Thankfully I have included a translator into this and paying him 25 eur per hour while I am going around in Munich hunting for my bike. I have contacted 3 private sellers and 4 dealers, and so far they want me to come over, so booked my ticket tonight and leaving in 4 days.

Shame on you Yamaha, shame on you, a 2016 ABS MT-07 brand new in Germany goes for 4600 quids, while our Yamaha in the UK is selling the same model for 5749, they pay the 1% less VAT than we do, yet they save 20% over all, both are EU members and lovers.

Really sad Yamaha is taking advantage of people here.
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Nasmoh

[Sload]

[Val]

[M.C]

[iooi]