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      02-27-2017, 06:22 PM   #5
champignon
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Drives: 1M;Z3M Cp;135is Vert, 996TT
Join Date: Jun 2015
Location: Idaho

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Quote:
Originally Posted by Gangplank View Post
There's only 4 listed on cargurus. 3 under 1M and one misfiled as a 135i. All 50-60k
Asking prices do not equal actual sales prices. Not every car for sale shows up on any one website. When a sale is made there is no way to compel that the actual sales price is disclosed (except by the local DMV, for sales tax purposes).

Unlike more common cars, there are not enough actual sales transactions out there to be able to construct the sort of database that NADA or KBB use to roughly value other, more common, used cars. Every one of these 1Ms is a "one-off" sale, each one has its own condition, its own mileage, and its own marketplace in which the sales transaction occurs.

This is not to say that a typical 1M in decent condition and reasonable mileage for age is not worth $50 to $60,000, however it is to say that no one really knows until they go out into the marketplace and try to buy a vehicle for themselves.

The following unrelated example is perhaps illustrative: My business partner and I have owned a residence together for about 6 years, which he uses as a primary residence and I use when I am in town for business reasons. We went in together in this because it saves us both a lot of money. A few months ago we decided to get a bigger and better house, and to unload the old one. The resale market for "cheap" houses is very tight in the particular city and there was hardly anything in the part of town available for under $300K. Our house to be sold was newish and in good shape, however right on a busy and noisy road; under normal circumstances it would have been a hard sell, however being as there was no other competing inventory, there was lots of interest.

We ended up selling the house for $50K more than an assessor's recent previous estimate of value obtained only a few months earlier, and for $20K more than our agent's original suggestion. When the first sale fell through, we raised the price, and this time put onerous conditions on the buyer were he to back out of the sale after only 2 weeks. He wanted the house so he accepted those. The house appraisal for this transaction came in at a value under the purchase price, and we said, essentially, take it or leave it. He took it, and the sale closed. Appraisals from 2 professional appraisers within 1 month using prior sales data comparisons varied significantly during the time we had the house up for sale with the 2 different potential buyers (last one actually completing the sale).

My point is that in a thin market, it doesn't take much to push the price up or down quite a bit depending upon the balance of buyers and sellers, and if the market is thin enough, it will all depend on which party wants to complete the transaction more than the other party, and the one wanting it more will pay dearly for that privilege. 1M resales occur in a very thin market, just like our old house did.
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