The Honda Owners Club

by **Barry** on Sat Oct 11, 2008 10:17 am

Recent events in the financial world, the previously perceived value of companies has suddenly suffered a dramatic fall. The value of our property and houses is also falling. Large 4x4's and other large capacity cars are falling in value daily.

Leisure groups are having financial problems. Holiday companies are reducing their activities, airlines are reducing their flights.

People are worried about their savings and pensions.

So, what about the value of your leisure orientated bike? If you bought by way of a loan, is it now in negative equity?

Can we expect to see more bike shops closing as sales of new bikes slow down? Can we expect used bike dealers having sales as they de-stock in the face of their stock falling in value and with difficulty in borrowing money to finance their stock?

Would anyone thinking of selling their bike be advised to sell it now and take what they can get for it. On the other hand would anyone thinking of buying a bike, be advised to wait a couple of months?

by **Chimp Boy** on Sat Oct 11, 2008 10:39 am

Some good points there Barry. The secondhand value of newer, more expensive bikes may well take a hit and of course if financed may well be worth less now than the finance owing on them. I'm not sure of which companies are selling bikes on no or very low deposit terms though as they would be the deals that were susceptable. Fortunately for me I have always paid cash for my purchases, although I once bought a bike on my credit card and payed for it at the end of the month. Again fortunately, as my bikes are pretty much all classics with the newest being 19 years old the values are pretty much static if anything slightly appreceating. Personally I'm not losing any sleep at the moment although on paper I've lost a fair bit of money! These things tend to run in cycles and hopefully they will recover, but as with most things timing is critical.

Regards

Chimpy