Frog98

On the other hand, very few things that are disirable and sold in high volume become valuable in the future. Most things that become collectible in the future are rare and high quality. Aftermarket has nothing to do with future value. Ever watch "what's my car worth?" They do not want modified cars. It drops the value. Not saying though the RC-F will ever be valuable or collectible...it will depend a lot on how rare they are.

kdu

I used to drive a 350z which was a fairly non-exclusive car. I drove for 4 years and got rid of it for about half of what I paid for the car. That was 2010. I've looked at buying a used one again because I really loved that car and if I tried to buy my exact car again I would have to pay close to what I sold it for five years ago. At some point the market finds an equilibrium point on used car values. The RC F is fairly exclusive and if rated in a vacuum would be worth its MSRP. I genuinely believe that unless a year from now the 16s are being sold off at huge discounts the car will not continue to plummet like it has the first year.

7No

iTrader: (1)

If I won't have it for another 2-4 years, is it still stupid?

I think taking the expected depreciation of a vehicle into account when considering a purchase is a reasonable thing to do.

DrRick

youre talking 30 years down the road. im talking 5-10....

DrRick

i am soooo happy that...even though there wasnt an excess of 2015 M3/4's on the ground...BMW still decided to choke back on the allocations for MY2016. making them harder to get, now, should help the value for those of us that DID get them, this year. and yes...i DO care about resale value on a car that i only plan to keep for 3-4 yrs.

however...anyone that has thought about the RCF should be doing cartwheels about the slow sales. you can buy a 2015 at a cost that almost nullifies depreciation. someone said that there are over 200 still available across the country. there may never be a better time to get into one.

congrats for making the jump....

waxy

Words of wisdom for sure, buy it now and sleep at night knowing you battled depreciation for the next 2 years at least.

mjeds

actually keeping a vehicle for less than 3 years is kind of stupid IMO because most vehicles lose between 20% and 30% within the first year and up to 50% of their resale within the first 3 years. Between the 3rd and 5th year they slow, typically by the 5th year most cars are worth 40% of their purchase price.


the majority of vehicles depreciate at the same percentages, there are a few exceptions that can speed up the depreciation, such as fleet sales, or slow it down ,such as exclusive models/options.


But generally most vehicles lose 50% by the 3rd year, and take the biggest hit in the first year.


So IMO if you plan on only keeping the car for 1 year a lease would be the right choice as you won't take that big of a hit, but if you purchase you are going to lose your *** selling off that fast.


as I said, cars are depreciating assets from the moment you sign the papers, cars are an expense, not an investment or appreciating asset, to think otherwise makes no sense.

coolsaber

AM support has nothing to do with resale value. It surely never has an returns come time to trade at any point in a normal vehicles life besides making you happier on a chicane. When fairly new it actually hurts cause it hypothetically negates warranty.

The RC-F as of today does not have any features that make it a collectible. Maybe when production stops or some hidden talent yet to be discovered surfaces maybe. But as of now its depreciation story is quite bleak.

I remember a time back in 08 where the M3 faced a similar problem albeit due to the 08 crisis. BMW threw in tons of trunk money for there on the ground fleets nearly 7-15K in money to move their units. Those vehicles went down in value specifically but the later units due to production curtailing went up.

At the end of the day most conquest owners are probably leasing since its the smart thing to do when the sticker is above $60K so who gives. I guess the more concerned are those who outright own their cars and come time to trade will be hit with quite a depreciation hammer.

As I said earlier Most dealers are probably religiously subscribed to Mannheim Auction data to see what kind of prices the used auction blocks are laying down.

kdu

That is exactly what I'm doing

Frog98

First year depreciation is a big hit for most cars above 70K. We can't say what 2nd year depreciation will be for RC-F's. It hasn't happened yet. GX, LX, and LS lose quite a bit of value in the first year...they drop really slowly in the 2nd and 3rd year. I highly doubt you will be able to pick up a two or three year old RC F for cheap. If so, I might buy a spare I got mine at the end of November...so I got a good deal to start with. Like DrRick said...never been a better time to get into one...provided they turn out to be Lexus reliable.

7No

iTrader: (1)

Edmunds disagrees with your figures.

http://www.edmunds.com/car-buying/ho...fographic.html

and this is why I feel 30% is excessive, especially for a Lexus with Lexus reliability.

My IS F did not depreciate that quickly.

Leasing also depends on the expected mileage. I live in a rural area. A lease is not an option.

mjeds

it's pretty close, as I stated "most vehicles"


19% first year (largest hit)
31% second year (12% difference between 1st and 2nd year)
42% third year (11% difference between 2nd and 3rd year)


so by year 3 you have lost 42% of the MSRP, I said generally most vehicles lose 50% by 3rd year.. 8% is not a huge difference to me.. about $4,000 in the grand scheme.

at the bottom it states: During the first 5 years the car depreciates by 15%-25% each year.
at 5 years the car is worth 37% of what you paid for it.
--
also please note that what a dealer offers you in trade is not the same as the depreciated value of a vehicle.

Nada, which is a better judge than KBB puts a 2015 RCF with 10,000 miles at $63,7250 - $69,725 Retail and $58,550 - $61,950 for dealer trade for an excellent condition RCF

a average condition RCF $56,375
a rough condition RCF over mileage @ $53,775

so an RCF with an MSRP of ranging from $67,637 to $78,672 (according to Edmunds) has lost about 11% -15% in the first year.

you really want to see bad depreciation talk about Chrysler or GM.

I had a 2005 300C SRT8, limited first year production vehicle, MSRP of $43,000 in 2005. Tried to sell it in 2008 and the best offer I got for it was $18,000. When I finally sold it in 2010 after advertising it for 2 years I only got $11,000.


2012 Camaro wasn't mush better, $48,000 MSRP for the Convertible 2SS/RS and in 2015 best offer was $21,000 RETAIL. luckily that ended up being lemon lawed and I got everything back out of it.




sadly however, the deeper the discounts get for the new 2015s that are still on the lot, the worse the resell for early adopters is going to be. That is what happened with the Chrysler, in 2006 Chrysler was falling apart and selling everything at "employee pricing" the car I had purchased 6 months prior for $43,000 was going for mid $30s by June 2006, so the bottom fell out of the resell of my vehicle.


that's the crappy part of being an early adopter and buying early in the model year. you pay more, so you stand to lose more.

7No

iTrader: (1)

8% of 75K is not 4K

but like Lou said in another thread to another post, I'm through arguing about this.

DrRick

never said it helps resale value. i said it can help desirability. and it DOES in the case of the CTS-V, for example...

Ryanmcd

I got a 2.5 year old M5 that listed for 109k for 52k with 32k miles It could be worse.