COE Renewal Price | PQP Prediction for October 2019
Things tend to settle down as we go into and pass the middle of the COE quota quarter, which is where we are at now. Three bids of the current six bidding quarter from August to October (both months inclusive) have been done. There will be no changes to the quota from previous bid and we are still some way off from LTA announcing the next quarter’s COE quota.
This doldrums is where we are at now, with no strong impetus to move anywhere. And when it is this way, the COE bidding tends to drift lower.
So we are not expecting sudden surprises like the first bid of August did for Cat A and Cat C. No surprises – what does this mean for the coming month of October for those looking to do COE renewal? Will the PQP be up or down for the Category you are looking to renew?
Looking Back At August 2019 COE Bidding
Just to recap, the COE quota for Cat A and Cat C were drastically reduced by more than 25% each and this had caused the first COE bid for August to jump in these two Categories (as reported in our earlier article) and to be more or less maintained at a higher level since then, with Cat A holding onto the new prices more than Cat C.
We always think of Cat C as a proxy for our economy and SME businesses in general, and that the prices have, since August’s jump, gone downwards even with the tightened COE quota, that’s not a sign of booming local businesses that need transportation. In fact quite the opposite, though it could also be the effect of Early Turnover Scheme which was thought to have been ending and many dealers taking on the ETS offer by LTA to register new vehicles before it “ended”, leading to excess new vehicle inventory that is already registered now and less customers with the need to bid for Cat C when they want a new vehicle.
With the above as backdrop then, here is our
Prediction for the 2019 October COE Renewal Price
PQP Cat A Up, $30,547
Up by $1062, compared to the month of September 2019’s Cat A COE renewal price.
PQP Cat B Down, $37,502
Down by $439, compared to the month of Septemeber 2019’s Cat B COE renewal price.
PQP Cat C Up, $25,916
Up by $84, compared to the month of September 2019’s Cat C COE renewal price.
What Car Are You Renewing and Is Now The Time?
If our above prediction is accurate, and we often are, then those with Cat B vehicles will have the clearest indication to take a breath and relax till October is here and wait for later. But of course, don’t wait if your car is expiring in September – you have to get it done in Septemeber or face penalty charges from LTA.
Ridiculous as it sounds, we have customers calling us up to ask if they can renew in the month after the expiry because some misleading article (we have not seen it) or COE renewal loan adviser out there is saying you can renew up to one month after the expiry date. Sure you can (read this in a sarcastic tone)!! But to no advantage at all and pay the penalties for late COE renewal! Plus, you cannot drive your car while the COE is expired and road tax not paid.
What about owners with cars in Cat A and C? Then it depends on when your COE expires, for a large number of people having Cat A vehicles coming up for renewal in two or three month’s time, the current month (September) is going to be the best time to renew.
However, for Cat C, waiting for October and may still be the better choice and yet November is not looking good.
How do you tell? You need to take into consideration your expiry date into calculation. And also look backwards in order to predict the future direction.
What if you’re not sure? Or if you would like to take financing for your COE renewal, click the Whatsapp button to reach out and find out why your should sign up with our service to renew, which includes monitoring and advice on when best to do so. Not that we boast, but we are do have the most number of satisfied customers who have had us work for them and gone though COE renewal with us. Do find out why they all say if they know anyone else who needs this, they will tell this service provided by SG Cash N Cars.