
Originally Posted by
Mountainman
What is the experience with returns on this sort of optioning - around $14000 - at a 3 to 5 year changeover? It seems so easy to make a $35000 car a $50000 car. Do the options depreciate quicker than the car itself?
My Golf R is $68,300 rrp on road. Good luck getting $50K after 3 years.
The more expensive the car, the worse it gets. You buy a 335 BMW brand new for around $130K. In less than 3 years.. 60K. Ouch.
You look at say a 325 BMW. That is $75,600 rrp. Add options of about $12K. All up on roads + taxes $99K. You pick it up for $93K. Awesome. Resale?
In 5 years time 50K tops If its got less than 40K km's on it. Less with higher Kays.
Do not option up a car for the purpose of resale value. Just do it for stuff YOU like or cant do without.
I guess the only thing is when you are on the buying side of the market, would you want one that is bone stock, or would you pay a couple thousand more for an optioned one (Sat Nav, Audio, Xenon etc)?
(The difference definitely wont be the $10-15K that the options cost you though, thats for sure)
I reckon the more expensive the car, the worse the resale of the options, because, at least I think, the kind of person say buying a Merc or BMW will just want to get one brand new, and wont dream of paying near new price when they can just get.. new!?
So you are selling the car to a different market (used luxury market) = less financially able people. Where you buy a WRX for $40K, in a years time you can sell for high $30's no problem.
Seller is a bit tighter.. Buyer is a bit more leniant..
Demand at luxury cars is different for "normal" cars I think. Hence the massively different proportional depreciation values.
(Just look at a 5 year old STI, or R32 compared to an M3 or Boxter)
(and even more so, in the girly market for cute hatches - barina's, corollas astra's.. man they still hold very well!! My sisters 2004 corolla worth $20K brand new still fetches $10K.. amazed when I saw how well the small cheap hatch market holds value.. again due to the type of seller and buyer as oppsoed to the condtition of the cars)
Last edited by REXman; 03-10-2010 at 03:05 AM.
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