I have been through this game a few times. Way too much to put into a simple post.
Whats the goal.
Minimum outlay for a time
Minimum outlay for a nice car
Maximising the fun from a given outlay
Observations.
1. The dealer makes money from selling the PCP and so is keen you take the product.
2. If you are flexible on the car you can make big savings.
3. Calculate the total cost of the car over the term no matter what mechanism is used.
4. Look at any termination clauses for penalties.
5. What is the APR regardless of the term or model used.
6. Buy when the car is hot so selling will have best retained value. e.g. Velar is hot now so resale should be good.
7. Buy cheap and sell retail.
I have used a few different products.
Personal Contract Hire. 3x23 (3 up front and 23 following payments) at which point the car is collected and I have nothing. Mercedes were offering a stunning deal and so supporting the price. I ended up with a car I could not have afforded on a traditional deal.
I used an Audi PCP. I ordered the car through CARWOW and got the best discount. I did not enjoy the car and so at the end of year 1 sold the car to a dealer. I got a good price as it was still popular and few were on the secondhand market. Total outlay for 1 year of superestate was £9k.
I look on it as making the most of my companies car allowance and so do not look to build up equity.
I do recommend the carwow site to find deals, you can still get PCP etc through them. Look who is pushing tin and so supporting the price. Mercedes are pushing a lot of cars as they try and beat Audi and BMW in the premium sector. Minis keep value, Nissan price support heavily.
Just calculate your downpayment+total monthly+closing payment for the real total cost. Most of the PCP programs are designed to allow you to upgrade mid term so have decent termination clauses. Personal Hire is more fixed term so has worse termination clauses.
http://www.nicheleasing.co.uk/ these guys are well connected with MB and know what the best supported lease models are at any moment. They do MB finance so offer both PCH and PCP.
Ensure you are getting prices that include VAT as the contract hire is often less VAT.
PCP needs the car to retain value so buy a hot car and don't be scared to step out prior to the end of the contract if the figure work. PCHire means you don't car and so an end of range model with heavy subsidy can be attractive.
MB are about to replace the CLS. Diesel is suddenly so last year. MB are supporting resellers to move excess stock
http://www.nicheleasing.co.uk/Mercedes/CLS_Coupe/Mercedes_CLS_Coupe_220d_AMG_Line.html DM me if there is anything specific I can help a fellow furry slippered member.
