Quote:
Originally Posted by Kiwi
When you buy high performance cars what would anyone expect but huge depreciation. Just look at an M4 with 45% depreciation on a 2014 traveled 10,000 ks and their are a few for sale at these prices. If you have to complain about depreciation you cannot afford these types of cars. This is not new to BMW it's been like this always and all other car manufacture are the same.
What's funny to me is people will loan money to buy a car which is depreciating.
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At the end of a 5-year loan, is a BMW worthless? No, which is why it is perfectly fine to loan money on a "depreciating asset". I do think it a bit foolish to not put enough down to always be right-side-up on the loan though. But even without, you will typically only be underwater for the first year or so if the loan length is reasonable.
The more highly optioned the car, the bigger the depreciation hit. With very rare exceptions like the 1M, the base model with few options is the one that will sell down the road for the biggest percentage of what it cost new. I have no complaints about the amount of depreciation of my e91, but it gets a bump by being unicorn spec. I have no doubt my M235i will not retain it's value nearly as well, but at least I bought it quite well. The suckers who paid MSRP or above for the first cars are going to get screwed.