COE Prices Largely Higher in Second Tender Exercise in March
Potential car buyers with bigger families now have more to worry about as prices rise faster for bigger cars than smaller ones.
Overall, Certificate of Entitlement (COE) prices were largely higher in the second tender exercise of March due to limited supply.
Premiums for smaller cars which are below 1,600cc or 130bhp (Cat A) rose 1.3% to $26,659.
Big Cars in Demand
Premiums for larger cars which are above 1,600cc or 130bhp (Cat B) rose 6.6% to $39,401.
For the “Open” Category (Cat E), which is also typically used for bigger cars, premiums rose 9.0% to $41,000.
This is likely due to increased bidding in the category as potential buyers of bigger cars try for Cat E COEs - 730 bids were received this tender exercise, 6% higher than the last.
Higher COEs to Come
The Quota for COEs this exercise was 4,386, 14% lower than the Nov-Jan period.
COEs for cars (Cat A, B and E) have already risen by 24% since its December low.
However, with the limited availability of quotas expected to continue until April, Steer expects further rises in COE prices and encourages potential car owners to make their purchase soon.
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