Off the lot automatic depreciation

[dishdude]

Originally Posted By: exranger06

LOL, tons of people are driving a MB or BMW to give the impression that they're rich, while struggling to pay their bills. Apparently it works; after all, they had you fooled.


LOL! They struggle every month to make the lease payment on that 320i or CLA so they can give that impression.

 

[Mykl]

Originally Posted By: CKN

Go look and drive a new Suburban and report back.

I have no doubt that the new Suburbans are extremely nice vehicles.

I guess this is the point where the conversation shifts over into semantics. So the question is... what is the definition of "luxury" when it comes to modern cars? Some would argue that a luxury vehicle must be rare, or exclusive, or bespoke. Others would argue that it must simply be nicer than average, well built, comfortable, measurably extraordinary.

That said, I personally don't think of the Suburban as luxury simply because it leans towards being somewhat mundane and common.

 

[HangFire]

Originally Posted By: HerrStig
I remember when the swells bragged they were at the "head of the list" to buy a new Honda because they "knew sumbody". Buy for LIST price, BTW. Looks like Kia is the "gotta have it" now.

List? You don't remember $4,500 "Value Added Surcharge"? I do. I would have told the dealer to (anatomically unlikely act), but the 'swells' (friends of mine) just wrote a check. I just stood in awe, realizing how far the US car companies had fallen.
Originally Posted By: Spazdog
It varies a bit by manufacturer.

My wife's current car and previous cars were bargains because those particular models suffer serious depreciation.

Our PT Cruiser stickered at nearly $25,000. We got it with 4,000 miles for $15,000.

What year was that? Chrysler was practically giving away PT's towards the end. I remember advertising $9,999 (after all incentives) for a new one, and throw one in free if you buy a Pacifica.

http://usnews.rankingsandreviews.com/car...Cruiser-for-1-/

OK that was just one dealer and they were off-lease 10K mile PT's, but still. That vehicle was worth very little new or used towards the end of production.
Originally Posted By: Spazdog

Our 200 stickered at nearly $29,000 We got it with 2,200 miles for $18,000.


I don't doubt you, but I wonder how many new 200's sold anywhere near 29K. I suspect Chrysler prices things to look competitive with other marques, and then has to discount and rebate down closer to true market value to make a sale.
Originally Posted By: Spazdog

The big surprise was Kia.
Kia is all the sudden-out of nowhere holding its value.


Wow, you're not kidding. And it's interesting you bring up Chrysler and Kia in the same post. Locally two Chrysler dealers got canned in the bankruptcy dealer shake-out. One went Honda. The other went Kia. Suddenly my town was filled with Kia's. I'm not joking, within a year every other new car was a Kia. It was amazing.

While there's no doubt about the microeconomic effect locally, I wonder how much Kia benefited from the Chrysler and GM bankruptcies. It may have been a redo of a decade of really slow, smog emissions bound, retrofit carb and throttle body 70's-80's American vehicles. After two decades of that stuff Americans were willing to pay full list price for a new Honda- or more (see above).

 

[SwampSurvivor]

Since Nissan started leasing aggressively, there's ALWAYS loads of new-ish Nissans. I never see them older, though. Strange.

 

[CKN]

Use car prices are at record highs. The trucks and SUVs have high resales values-

"Gains for used pickups are a turnaround from about five years ago, when the construction downturn amid the recession and sky-high gas prices teamed to reduce their prices."

http://www.usatoday.com/story/money/cars/2015/01/08/used-cars-more/21331001/

 

[Spazdog]

Originally Posted By: HangFire

What year was that? Chrysler was practically giving away PT's towards the end. I remember advertising $9,999 (after all incentives) for a new one, and throw one in free if you buy a Pacifica.

http://usnews.rankingsandreviews.com/car...Cruiser-for-1-/

OK that was just one dealer and they were off-lease 10K mile PT's, but still. That vehicle was worth very little new or used towards the end of production.



Ours was a 2005 that we got in 2005 with all of 4000 miles on it. And it was a PT-GT Turbo.

 

[javacontour]

Apparently, even you didn't think it was worth $18k. If you did, why did you let it go for $2500 less to the dealership?

A vehicle is worth what someone will pay cash money to buy. If you don't get buyers at $18k, then it's not worth that.

Originally Posted By: WobblyElvis
My father in-law bought a new Jeep for $28,500 drive away price. He put 8,000 miles on it and then died. It was 13 months old and I had the original bill of sale and his death certificate. Do you think anyone would bite at $18,000? Not a single offer. Had to take it to a dealer and accept $15,500. That is terrible depreciation.

 

[dwcopple]

Originally Posted By: Mykl
Luxury cars.... it's pretty sickening how fast those drop. It makes me wonder why people buy into them.
Because to people that can easily afford that class of car, image is everything. Imagine pulling into the country club, ready to hit 18 with the boys and tell them it is used with 12K on it as opposed to "yeah, it's new". These posers put a lot of value in "new" cars.