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I am thinking about buying a R8 V10 Manual, ultra rare here in Australia only 30 were sold.

Am I mad for considering selling my RS4 and will I regret the move to an R8?

We have a practical car (SQ5) and the RS4 has always been the weekend car. I absolutely love it but I have a massive soft spot for a V10 and the gated manual really appeals.

Has anyone done this car switch in either direction, would love to know your thoughts?

In my opinion, the B7 RS4 (Avant) is the almost perfect 1-car garage. It is fast, it is fun, it is practical, it is capable in all conditions, and it is fairly dependable as well. As soon as you start looking into owning more than 1 car, everything changes.

As I said, if I'm having 1 car it is the B7 RS4 Avant. If I'm having 2 cars the first is something fast and fun (R8 or Cayman GT4 come to mind), and the second is something practical and capable off road (diesel Land Cruiser). If you don't have a need for a practical car in addition to the SQ5 then I vote absolutely go for the R8. I'd say it might be worth hanging onto the RS4 for a little while after getting the R8 in case you don't get along with the new car for whatever reason. That'd be what I'd do, in order to avoid potential regret in selling the RS4 — make sure you love the R8 first. If the R8 is so rare in Australia then it shouldn't be a problem selling if you change your mind. Sounds like you'll definitely regret not buying the R8 though.

Really good advice, thank you!

Ive had both although my r8 was the 4.2 v8 manual, I moved to the rs4 for practicality reasons, there is no comparison as far as handling is concerned the r8 is a different planet.

I had a B7 RS4 (then a B8 and am moving on to a B9 any day now). I also am lucky enough to own a manual V10 R8, which I absolutely love. Well, it's fair to say that I have loved all of them, but in different ways.
The B7 and R8 are worlds apart in almost every way. However, as a usable supercar, the R8 is exemplary IMO. It will blow you away with the way it handles, feels immediately like you've driven it for ages - it holds very few surprises i.e. it won't bite unless really provoked/you're crazy. Same Audi build quality and familiar controls, rides bumps, doesn't scrape the front splitter easily, etc... And the gated manual, plus the engine note above 3/4k revs... It's just epic!
So, if you're thinking about something really fun and don't need the practicality (as you have one of those), then I think the R8 is a fine choice. Looks to me like values are holding or rising (especially in the US, but steady here in the UK). Due to the rarity in Australia, as long as you buy a straight one, then you ought to be fine. Bear in mind they're cheap to run if nothing goes wrong!
Best of luck.

I think js47 nailed it.
If you can swing the cost, keep both for a short amount of time.

Slightly off topic, but highly recommend opting for the coupe, not convertible.
Other than the performance benefits, the full-length CF side blades and exposed engine is hard to give up for a collapsible bit of cloth.

Thanks for all the feedback.

I am looking for a coupe as I prefer the look and love the CF side blades and exposed engine bay as mentioned.

I sold my B7 Avant in 2019 and bought a R8 V8 manual later that year. The R8 was a long time dream car and it was absolutely amazing.

BUT of all the cars I’ve ever sold, it was the RS4 that I missed the most. It’s just a perfect all rounder (and I have three kids).

I would say definitely do it, the R8 is an event, but as said above think about keeping the RS4 if you can. It’s hard to find a replacement if you love the one you had. I know.

Yeah thanks for the feedback, definitely think I am going to hold on to it and see how I go with both for a while.

The R8 is much superior, only thing is the 2 seats in the R8.