Quote:
Originally Posted by bryce
my car had the sticker in the glovebox still. $38,xxx. i paid less than $25k. perfect title, carfax, blah blah blah.
in a word, the resale on bmw's in general sucks total ass right now
|
In reality all car brands resale has dropped a bit. But, it depends on the car and the market. In some areas used car prices have gone UP due to the economy and some people not wanting or being able to afford a new car.
In those areas used prices tend to go up as demand goes up.
Still, in general, BMW's resale is as high as it always is. It's a brand that has high resale value in comparison to other brands. So, let's say that a 3 year used BMW with 35K miles typically sells for 55% of it's original MSRP.
Also, let's say a typical same year same mileage used 350Z sells for 45% of it's MSRP.
Now, in the current market the Z is selling for 40% of it's MSRP.
Ok, and the BMW also drops the same percentage due to market, at 50%.
The BMW still sells for a higher percentage of it's MSRP, but it's actual selling price is lower than before, due to the decline in overall market value.
Thus, the BMW still retains a higher resale in comparison. Meaning, BMW resale hasn't fallen out of line in comparison to other brands.
BMWs are still rated at the top of cars that retain a higher percentage of original MSRP.
And, it may actually be even better than most other brands.
That is evidenced by BMW's recent surge in new car sales. That means that the markets desire for BMW's is higher than other brands, that show little to no improvement over the past year. When a brands new car sales are up, then so is their used car market prices, as demand is higher there as well.
Another factor demonstrating BMW's resale is BMW's lease rates that still show high residuals. Current 1 series models have a higher residual now than when I bought my 09. That shows you something positive.
BMW knows their used car market, as at least 50% of their new cars sales are leases.
Overall, a BMW will retain a higher resale value compared to most any other brand. In the Chicago area there aren't many used 1 series, but the ones at the dealerships still show a healthy price tag.
Seems the HPFP issue isn't hurting BMW as some people thought, or wanted, it to be. Good.
The last thing we need is for actual BMW owners wanting new or used sales to go down.