[buumer]

Had this car since 2014 and started to think of going Golf R route for family/practicality reasons until something really fun comes along. The bimmer has 25k miles on it right now. Went to check carmax and was pretty surprised by the appraisal(34% drop from msrp), and then checked with the vw dealer who beat the carmax but still came to a 28.5% drop from msrp.

Obviously first year will get the biggest depreciation run and the car has 5k more miles on it than expected, but a 34% drop in value seems almost rediculous(no accidents or damage to speak of).

Anyone here inquire about their vehicle value?

[Cyberdemon]

This is about the ballpark for depreciation.

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

You'll be able to get a better value in a private sale, but cars depreciate fast. Especially expensive German ones which aren't known for their stellar long term reliability. Just be glad you didn't buy something like an S class which averages close to 30% depreciation in it's first year.

[buumer]

Actually what I quoted from carmax is even worse than an s class. I obviously realize the depreciation occurs, but I'm wondering if anyone else tried to value their car outside the online estimators.

KBB showed a 23% hit(which is what i was expecting). That is also on trade in vs retail sales, so realisticly it's around a 20% hit in the private market. I'm just surprised by the lowball carmax and the dealer to some extent as well.

[bimmerfile]

Originally Posted by buumer

Had this car since 2014 and started to think of going Golf R route for family/practicality reasons until something really fun comes along. The bimmer has 25k miles on it right now. Went to check carmax and was pretty surprised by the appraisal(34% drop from msrp), and then checked with the vw dealer who beat the carmax but still came to a 28.5% drop from msrp.

Obviously first year will get the biggest depreciation run and the car has 5k more miles on it than expected, but a 34% drop in value seems almost rediculous(no accidents or damage to speak of).

Anyone here inquire about their vehicle value?

Dunno why that surprising. There's been quite a few posts on the forum that guys are negotiating up to 10% off MSRP on new 2ers. So the depreciation should be calculated from the lowest selling price, not MSRP
As well, the dealer needs to sell your used 2 year old 2er at a bit of a profit, so no way are they going to give you full current market value for your used vehicle particularly when you have 25K miles on the clock.

[Transfer]

25k seems like a good amount of miles for a one year old car but I suppose it depends on when you started ownership.

[BoomWasabi]

Originally Posted by bimmerfile

Dunno why that surprising. There's been quite a few posts on the forum that guys are negotiating up to 10% off MSRP on new 2ers. So the depreciation should be calculated from the lowest selling price, not MSRP

Depreciation has nothing to do with your negotiated price. At the time of sale/trade-in no one will know how much you actually paid for it. And I would guess early in 2014 people payed close to MSRP for then new 2 Series.

BTW, a year ago I bought a new car for my son. Got a really good deal ~28% off of MSRP. All calculators (Edmunds, KBB, cargurus) still show that it worth more than I paid if I do private sale.

[bimmerfile]

Originally Posted by BoomWasabi

Depreciation has nothing to do with your negotiated price. At the time of sale/trade-in no one will know how much you actually paid for it. And I would guess early in 2014 people payed close to MSRP for then new 2 Series.

BTW, a year ago I bought a new car for my son. Got a really good deal ~28% off of MSRP. All calculators (Edmunds, KBB, cargurus) still show that it worth more than I paid if I do private sale.

Interesting. I was not aware there was any car company where its dealerships could sell its new vehicles at 28% off MSRP and still make a profit over net dealer cost??
Which car company is that????

[BoomWasabi]

Originally Posted by bimmerfile

Interesting. I was not aware there was any car company where its dealerships could sell its new vehicles at 28% off MSRP and still make a profit over net dealer cost??
Which car company is that????

Ford. They have a lot of rebates. ;-)

[angelbones]

Originally Posted by BoomWasabi

Ford. They have a lot of rebates. ;-)

I wonder if they'll have those same rebates for the Focus RS when it comes out in spring? LOL

To the OP, those numbers sound about right and for the reasons that others have stated.

[krhodes1]

Originally Posted by BoomWasabi

Depreciation has nothing to do with your negotiated price. At the time of sale/trade-in no one will know how much you actually paid for it. And I would guess early in 2014 people payed close to MSRP for then new 2 Series.

BTW, a year ago I bought a new car for my son. Got a really good deal ~28% off of MSRP. All calculators (Edmunds, KBB, cargurus) still show that it worth more than I paid if I do private sale.

Of course it does. The difference between what you paid for it and what you can sell it for is all that really matters. I paid almost $8K below US MSRP for my 2016 M235i. If I were to turn around and trade it in now, on paper it would look like I took a bath, but in reality it would cost me very little. Private sale I might break even, with a little bit of luck. Ultimately it would take a HUGE discount for me to not buy one new and get exactly the car I want, and not someone else's sloppy seconds.

Though as you discovered, the real bargains are when the manufacturer is putting money on the hood to move the metal. My greatest score in that regard was a new 2008 Saab in spring of '09. MSRP $36K, I paid $22K after rebates and incentives. Sold it two years later for $19K. On paper that is epic depreciation from MSRP, in reality the deal of a lifetime, and it was a great car.

[mike@x-ph.com]

Car value depreciates fast the first couple years

[BoomWasabi]

Originally Posted by krhodes1

Of course it does. The difference between what you paid for it and what you can sell it for is all that really matters. I paid almost $8K below US MSRP for my 2016 M235i. If I were to turn around and trade it in now, on paper it would look like I took a bath, but in reality it would cost me very little. Private sale I might break even, with a little bit of luck.

It looks like you didn't read my comment...

[jskrilla]

Originally Posted by buumer

Had this car since 2014 and started to think of going Golf R route for family/practicality reasons until something really fun comes along. The bimmer has 25k miles on it right now. Went to check carmax and was pretty surprised by the appraisal(34% drop from msrp), and then checked with the vw dealer who beat the carmax but still came to a 28.5% drop from msrp.

Obviously first year will get the biggest depreciation run and the car has 5k more miles on it than expected, but a 34% drop in value seems almost rediculous(no accidents or damage to speak of).

Anyone here inquire about their vehicle value?

I've even thought about swapping my car for an M3, it just makes no sense until my lease is done. I found out also that buying the car out in two years it would be 28990. so the depreciation has dropped it. But if you are willing to sell the car yourself you'd deff won't get killed on the depreciation.

[buumer]

Got a few appraisals and they all spanned 5k from each other. I found another high mileage m235i on autotrader that sits at 37.9(cheapest one on autotrader), and it has already been reduced once. Guessing it might go for under 37, which isn't horrible compared to some offers I've receiced(28k being one of them...even with tax savings).

Might also be the combination of out-of-season and general market demand. Certainly makes a solid case for leasing over shorter terms with BMW residuals.