Depreciation and Resale Value?
09-03-18, 09:46 AM
#16
You all know leasing is the MOST EXPENSIVE way to finance a vehicle, right? Leasing is just another way to finace with closer to an effective 10%-15% interest rate. Run the figures and you will see. There is a reason that car companies push leasing so enthusiastically. They make more money off of the lease than the actual profit on the vehicle. Kinda like credit cards . . . . . . .
I guess it is a way for people that can't really afford the vehicle to feel like they can . . . . . . .
I guess it is a way for people that can't really afford the vehicle to feel like they can . . . . . . .
09-06-18, 06:13 AM
#17
Driver School Candidate
You all know leasing is the MOST EXPENSIVE way to finance a vehicle, right? Leasing is just another way to finace with closer to an effective 10%-15% interest rate. Run the figures and you will see. There is a reason that car companies push leasing so enthusiastically. They make more money off of the lease than the actual profit on the vehicle. Kinda like credit cards . . . . . . .
I guess it is a way for people that can't really afford the vehicle to feel like they can . . . . . . .
I guess it is a way for people that can't really afford the vehicle to feel like they can . . . . . . .
09-06-18, 12:53 PM
#18
The steep depreciation probably means there is a current low demand for the LC due to various factors.
Check out the Mercedes S-class sedan. The S class has a 5 year depreciation of 63.5%, according to US News Nov 2016 article.
So depreciation is our friend. Wait a few years, and grab a LC for $50k
Lexus models age well, and the LC is well ahead of its time in terms of its design.
Check out the Mercedes S-class sedan. The S class has a 5 year depreciation of 63.5%, according to US News Nov 2016 article.
So depreciation is our friend. Wait a few years, and grab a LC for $50k
Lexus models age well, and the LC is well ahead of its time in terms of its design.
09-07-18, 01:06 PM
#19
Driver School Candidate
The steep depreciation probably means there is a current low demand for the LC due to various factors.
Check out the Mercedes S-class sedan. The S class has a 5 year depreciation of 63.5%, according to US News Nov 2016 article.
So depreciation is our friend. Wait a few years, and grab a LC for $50k Lexus models age well, and the LC is well ahead of its time in terms of its design.
Check out the Mercedes S-class sedan. The S class has a 5 year depreciation of 63.5%, according to US News Nov 2016 article.
So depreciation is our friend. Wait a few years, and grab a LC for $50k
Lexus models age well, and the LC is well ahead of its time in terms of its design.I agree that low demand for the LC right now is not a good thing, but if the trend continues then the LC will not drop so quickly in value. There isn't a surplus of LC's at Lexus dealerships, and more people will be looking for a used one in 3 years. However, scarce pickings are going to result in lots of people searching for the same vehicle, and they'll be willing to pay more to obtain it over the next guy...
Where did I get this info, you ask? I shook my magic 8 ball..
09-07-18, 01:25 PM
#20
Instructor
Guys
I have an SC430 and after 16 years ,still luv the car.
snd the beast is solid with 46K on it.
In 4-5 years, if an LC dropped to 50K with say 20K
I would jump on one
I have an SC430 and after 16 years ,still luv the car.
snd the beast is solid with 46K on it.
In 4-5 years, if an LC dropped to 50K with say 20K
I would jump on one
09-07-18, 02:07 PM
#21
The resale prices on LC's seem to be dropping. Numerous low mileage preowned specimens are being offered for under $80K, some CPO.
Last edited by ECL; 09-07-18 at 02:22 PM.
09-08-18, 04:14 AM
#22
You all know leasing is the MOST EXPENSIVE way to finance a vehicle, right? Leasing is just another way to finace with closer to an effective 10%-15% interest rate. Run the figures and you will see. There is a reason that car companies push leasing so enthusiastically. They make more money off of the lease than the actual profit on the vehicle. Kinda like credit cards . . . . . . .
I guess it is a way for people that can't really afford the vehicle to feel like they can . . . . . . .
I guess it is a way for people that can't really afford the vehicle to feel like they can . . . . . . .
Leasing is is appropriate for people that like new cars often. It also eliminates accident and damage depreciation. It also creates a stop loss for excessive depreciation while preserving your ability to capitalize on low depreciate. For example: I leased my IS F the first year in 2008. At the end the buy out was 33k. I bought it off lease, drive it 6 months then sold it for 44k.
09-09-18, 02:34 PM
#23
Lexus Fanatic
You all know leasing is the MOST EXPENSIVE way to finance a vehicle, right? Leasing is just another way to finace with closer to an effective 10%-15% interest rate. Run the figures and you will see. There is a reason that car companies push leasing so enthusiastically. They make more money off of the lease than the actual profit on the vehicle. Kinda like credit cards . . . . . . .
I guess it is a way for people that can't really afford the vehicle to feel like they can . . . . . . .
I guess it is a way for people that can't really afford the vehicle to feel like they can . . . . . . .
09-23-18, 09:41 AM
#24
Prices on preowned LC 500’s continue to drop, possibly reflecting the imminent release of the 2019 model. There are nine low mileage preowned LC 500‘s priced under $80,000, with the lowest priced one offered for $77,750. If you prefer the CPO version, one is offered for $78,949, another for $79,900. All seem to have clean Carfax, no damage history or unusual service history. One of these days, they may be down to my price range.
09-24-18, 10:57 AM
#25
Prices on preowned LC 500’s continue to drop, possibly reflecting the imminent release of the 2019 model. There are nine low mileage preowned LC 500‘s priced under $80,000, with the lowest priced one offered for $77,750. If you prefer the CPO version, one is offered for $78,949, another for $79,900. All seem to have clean Carfax, no damage history or unusual service history. One of these days, they may be down to my price range.
09-26-18, 09:17 PM
#27
Pole Position
I'm waiting..............
Prices on preowned LC 500’s continue to drop, possibly reflecting the imminent release of the 2019 model. There are nine low mileage preowned LC 500‘s priced under $80,000, with the lowest priced one offered for $77,750. If you prefer the CPO version, one is offered for $78,949, another for $79,900. All seem to have clean Carfax, no damage history or unusual service history. One of these days, they may be down to my price range.
10-25-18, 06:24 PM
#28
According to Cargurus.com, there are now 13 preowned LC500’s offered for sale for less than $80,000, two priced under $75,000. Admittedly, the one under $74,000 has an accident history, but clearly, the pricing is headed downward.
10-25-18, 06:27 PM
#29
Driver School Candidate
Thread Starter
I actually just sold mine to the Lexus dealer I bought it from for $72k, they have it listed for $79k now. It has about 9400 miles on it and the MSRP was $102k
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shirosan (10-31-18)
10-25-18, 07:14 PM
#30
Pole Position
Mine was $114K out the door with tax, title and license. Fully loaded Performance package with blacked out grill and gloss black 21" wheels.