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Hi Jack, we want to buy a brand new or nearly new European car (~$100K). we found a company called corporate cars at Wairau road which prices are very competitive. They can provide 30%-50% cheaper prices than continental cars. They told us they imported cars from UK. I just wonder how they can offer so cheap cars? Do you know the company's reputation? All mileages are reliable?

If we want to buy a SUV, do you have any recommendation for these models (ML350,X5,Q7 and Porsche caynne)?

Thanks

David

While the cars are competitively priced they are often differently spec'd when compared to the New Zealand new models. You should do a specification comparison to check whether you are comparing apples with apples to determine how much money you are actually saving.

Some features will not work in NZ as they have been configured for the UK market and cannot normally be changed – items like satellite navigation or even a speedometer displaying miles.
The new car warranty period will be shorter than the NZ new models as in most cases the local importers cover the last year of warranty.

The NZ importer may not be willing to give any goodwill assistance thereafter either and you are unlikely to be supplied with a courtesy car when your vehicle is in for repairs/servicing as NZ new buyers will get preference.

The company in question is widely known for importing near new vehicles (low mileage) and has been around for some time.

All the vehicles you have mentioned are good choices but the BMW X5 has a good reputation and is a good consideration. It comes down to personal preference.

Hi Donavan,
Thank you very much for your reply. The company promised to change GPS setting and dashboard for NZ standard. So from my understanding, the quality and mileage of their cars should have no issue, but specifications are maybe different.
BTW, I did test drive for Lexus RX 450h, it's a nice car, it seemed the 3.5L engine is not as powerful as European cars. But I heard the ongoing maintenance cost will be much cheaper. Do you have any comment?

Thanks

The Lexus RX450h is a hybrid SUV. It is fitted with a petrol/electric motor bolted to a CVT transmission.

A diesel powered SUV will be a better option for it provides better torque and if you plan on towing the CVT transmission isn't popular either - confirm with Lexus if the hybrid vehicle is capable of towing in the first instance.

In the long run you might end up paying more for maintenance with the RX450h as the hybrid technology is expensive to repair if something happens to go wrong. Also, big SUVs sell better in diesel than petrol or hybrid models in the new and used car market.

The Lexus dealer told me European cars have more mechanic issues, such as gearbox after 3 years. Is it true?

From the feedback we recieve from used car owners/buyers it's vehicles fitted with CVT transmissions that have a poor reputation for reliability - you will find the Japanese manufacturers are using them a lot more than any European brand. Most European product use dual-clutch transmissions and conventional autos.

Car manufacturers are telling us that the CVT transmissions on newer product have improved but it's too early to be certain and only time will tell.

Volkswagen had a recall on certain DSG transmissions recently – the dealer might be referring to this but VW took ownership of the problem and put it right.

Went to BMW dealer last weekend, the current X5 model has been 7 years old, BMW is doing promotion and wants to sell it all. So I can get ~15% discount for X5. But the interior did not look like a luxury car. The new X5 model will be available in Nov, and its said there will be lots of improvement. Do you think if it’s worthwhile to wait for the new model, or just buy the current model as a bargain? Do you know any details of new X5?

Thanks

I can understand your comment about the interior but dynamically it's a good SUV. The X5 seems to hold its value reasonably well and the discounts you have been offered won't be repeated again. The new model will arrive to the end of the year (around November) and will be a completely new car with more luxury features but it will have a premium price too.

If you budget allows then the new model is worth waiting for otherwise the good deal you are being offered is worth a decent consideration.

But the final decision is yours to make - if your heart is set on the Lexus RX450h (for instance) then you should consider it.