COE Renewal Price Cat A, B & C | August 2021 PQP Results
The COE bids went up, and we are actually thankful it is not by more. It is up across the board, all categories from Cat A to Cat E, though we don’t usually comment on the two wheeled category.
This was only to be expected, as the announcement for yet another cut in COE quota was made known on 14th of July.
For the upcoming quarter of August to October 2021, the reductions range from 3.14% in Cat A to 26.75% in Cat C. More details on this below.
But first, the bidding results below.
(Edit 11th Aug 2021: New prediction for the September 2021 COE Renewal Price is here)
COE Bidding Result 2nd Bid of July 2021, And How It Affects Aug PQP Below
Cat A $47,010
This is a price increase of $2,009 (+4.46%).
No doubt, car dealers are securing these COE for customers for whom they have in hand, to deliver before they expect the COE to go even further up from August onwards.
Dealers have to take less profit, but it is better to close the deal than to end up missing the boat and customer asking for refunds after 6 bids. Or however many bids they agreed upon.
Cat B $59,501
Prices for Cat B closed this bid up $3,401 (+6.06%).
The prices once again are zeroing in on the $60k mark where we expect things to be. Especially with the even smaller quota now announced.
We would not be surprised it exceeds $60k mark by some way, but we do not expect, save for some really bad news on the Covid front, for the prices to fall far below the current levels.
Cat C $39,523
This is an increase of $623 (+1.60%).
This is a the smallest increase of the three here, and surprisingly, this is the category that has the largest cut in the number of COEs for the upcoming quarter. Why could that be? We also wonder.
So What Is The COE Quota Going To Be For August to October 2021?
LTA released news on the COE quota and it will be yet another reduction in quota, similar to what we saw the last quarter, which was also a reduction across all categories of COE.
The difference is the reduction is now a smaller percentage, except for Open Cat E, which sees a larger cut of 23.79%.
The reduction is smaller does not mean we have more COE, it means it became less, and now is further reduced again in the coming quarter (see table below).
This is not good news for those looking for new cars, and is also not favourable to those who are looking to renew their upcoming COE.
Assuming demand stays constant, new car owners will likely be paying more in their COE bids or in the bids dealers place for them to secure what few COE there are.
This if it continues, and the COE prices remain high for a longer period, the COE renewal prices will also be pulled upwards. The PQP is calculated according to the latest 6 COE bid prices.
One or two higher bids can already start the COE renewal prices moving higher.
So Where Is COE Price Likely To Head
With the tightening situation on COE supply, the most likely scenario is a rise in COE prices.
Unless demand for cars takes reduces by the same amount, we are likely to see the bidding prices rise and pull the COE renewal prices along with it.
Though it does not seem too bad on the Cat A and Cat B with relatively small percentage decrease, we expect Open Cat E to open up its gap to Cat B. It usually stays within $2k of Cat B price, but may pull a little more away now.
Cat C for commercial vehicles also likely to rise.
But as one commercial dealer mentioned, “COE very few, customers also few”.
So it is a matter of low COE quota, low demand. But which is lower, that is the question.
Results for COE Renewal Price August 2021
The COE renewal PQP rates below are for next month, August 2021. To see the COE renewal rates for July 2021, click here.
Prices shown below are for 10-year COE renewal prices for August 2021.
You pay half the amount rounded up to the next dollar if there are any cents after divided by two, for 5 year renewals. However, should you consider a 5 year COE renewal?
And here’s a tip on how to save on renewal! Click here.
But let’s get to the prices for August 2021 renewal! And you can compare it with our COE renewal price prediction published earlier in July 2021 to see what we provide in advance for customers who have registered with us.
You will see from below, all three categories have moved by less than 0.8% compared to the previous month. Will it be similar as we move into September and October COE renewals?
Cat A $46,358
Down by $538 (-0.76%) compared to July 2021 PQP price.
Our prediction was close at $82 dollars higher than this actual result.
The result is a small consolation. This is the first decline in Cat A COE renewal price after eleven straight increases.
Is that good news? Not in our opinion. Why? If you are doing COE renewal, call us to find out.
We mentioned before that Cat A is the necessary car category, meaning anyone who needs a car needs to enter at this level, so it may be more susceptible to price increases in the face of quota reduction. We shall see.
Cat B $58,306
Up by $351 (+0.61%) compared to the renewal price of July 2021.
Our prediction was $417 dollars lower than this actual result.
Yes, and Cat B continues to rise, after rising a combined total of $10,639 in the past three months of COE PQP. Ouch.
If you are reading this in July 2021, you are likely worried at the rate of increase and how fast this has gone up.
If your COE renewal is coming up in September or October, the wisest thing you can do is to come register with us for PQP monitoring, a free included service with your COE renewal loan.
Contact us using the WhatsApp button of the contact form immediately!
Cat C $39,522
Down by $285 (-0.72%) compared to the PQP of July 2021.
Our prediction was $154 dollars lower than this actual result.
If you have vehicles in this category coming up for renewal in the coming month of August, you can safely wait till next month to do the renewal and save yourself some cash.
However, if the renewal is for September or later, would the trend be still downwards? Call us to find out and arrange for a COE renewal loan to be done at the correct time.
Contact us to get more info on how to make the renewal make sense for your commercial vehicle and when to renew.
COE Renewal With Savings For Many By SG Cash N Cars
If you are looking at COE renewal coming up, you will be glad to know we have helped hundreds and we will also help you also to secure an advantageous loan with the best terms and conditions avoiding the common pitfalls, and also to know when to renew if you register early with us for PQP monitoring as our customer.
That’s not all we help with – you also get to choose from all available banks and finance houses for your COE renewal loan, and we explain the benefits of each one to you if you’d like to know, before you pick the one that is most helpful in your situation.
Did you know? Sometimes a lower interest rate loan can cost more than a loan with slightly higher interest! But we will be here to assist, so don’t worry!
We sincerely hope that you pay a lower COE renewal price and get a loan with good terms and conditions, and to that, all our past customers can attest!
Click to WhatsApp if you have any queries or call 92782880 (during office hours). Or simply use the contact form on this page and we will call you back to assist.