The COE for February 15 has been released on the 04-02-15, it may be a bit late to blog about it but nonetheless lets just review on the latest prices. As I have mentioned in my earlier post on the increase of quota from Feb – Apr 2015, the prices for January and February 2015 are as followed:
Feb 15 Jan15
Cat A $62,002 $65,001
Cat B $70, 890 $76,889
Cat C $52,101 $55,011
Cat D $5,504 $4,403
Cat E $71,921 $75,200
The increase in supply definitely help pushed down the prices by a bit, with Cat B vehicles dropping the most at approximately $6k, with the exception of an increment for Cat D (Motor Cycle). Is this good enough? As the increase in quota is over a 3 month period, we should be able to guess how much more it will drop/increase come the 2nd bidding for February. In simple economics term (based on the Demand and Supply Curve), as prices drop, demand will increase such that probably more people will look into buying/changing cars in the next bidding exercise, so that might start to push the price higher again.
As I mentioned previously, buying a car nowadays is like speculating in share prices. Using the basic financial strategy of ‘Buy Low Sell High’ it’s pretty much about guessing when is the right time to enter. As we know CAT B has once soared to the high $90k, this price right now definitely much less expensive.
In my opinion, if prices for CAT A can drop to $50k and CATB $60k, i think it is consider a good price to enter. Some friends I have talked to are sceptical where they don’t believe it will drop to that $50k range, which they say ‘at most drop few k only’
Let’s just hope for the best
Data from One Motoring