Yikes, values are still falling

[gymtime]

Not a big deal because I'm still planning to keep my car for another 3 years but I didn't think they would fall this much

Fell another $6,000 in the past 6 months according to KBB

My low mileage, fully loaded, perfect condition M3 is now worth almost half of what I paid for it from June 2013

I wonder when prices will bottom or will they keep tanking?

I know cars depreciate but never had a car depreciate this quick

[thekurgan]

Rod bearing hysteria isn't helping.

[gymtime]

Originally Posted by thekurgan

Rod bearing hysteria isn't helping.

What's the rod bearing hysteria? I've been out of the loop lately

[thekurgan]

Wait for it ....

[ZEEM3R]

When your left tail-light, right headlight, A/C control, Passenger seat adjustment knob, and emergency trunk opener don't work, it means your rod bearings failed. Sell the car for scrap and get a VW.

[buddalun]

Originally Posted by thekurgan

Wait for it ....

[EJT86]

Originally Posted by thekurgan

Rod bearing hysteria isn't helping.

Hahahahahahahaha!!!
You said "rod"

[FogCityM3]

Be careful of what you wish for...unwittingly, attempts to solve a problem, namely the recommended replacement of rod bearings may have prevented full engine replacements in a small number of cases, but also resulted in the destruction of value in every single M3 produced and there's no question the rod bearing issue has affected values probably by several thousand per vehicle. I'm actually thankful as I will be keeping this car for a very long time, even after I get another vehicle, so hopefully the parts prices will also drop.

I have a much bigger problem with the bashing of vendors, thereby scaring away those from potentially further developing/perfecting the platform, which is made worse by declining values where the cost/benefit for future development of parts for small numbers of makes little sense with de minimis reward for the risk. I've actually started looking at and sourcing aftermarket parts from Europe, which is helped by exchange rate/rise of the dollar and the backing out of VAT, but is still an expensive endeavor overall as you have to pay higher prices for shipping and customs. Would like to see more vendors develop the platform locally, but I think that ship has sailed.

[Flying Ace]

Originally Posted by gymtime

Not a big deal because I'm still planning to keep my car for another 3 years but I didn't think they would fall this much

Fell another $6,000 in the past 6 months according to KBB

My low mileage, fully loaded, perfect condition M3 is now worth almost half of what I paid for it from June 2013

I wonder when prices will bottom or will they keep tanking?

I know cars depreciate but never had a car depreciate this quick

back on topic, are you talking about depreciation from a new car price? If so, 50% in 2 years is accelerated depreciation beyond the norm, it is a bit steeper now than when there wasn't a F8X out there, but if I were to buy new in 2013, I wouldn't have paid MSRP either.

This is why many buy used. I bought my 2008 M3 in 2010. Sticker was $67k, I bought it for $46k, today it's worth I think $33k in Cali. I'm happy with this rate thus far. It also helps buy the car during a recession too.

What are your numbers btw?

[thekurgan]

Any intelligent person looking to pick up an E9x M3 will do a simple search. This board comes up. The top 2 most recent links ....

[MachinesWithSouls]

Allow me to venture an opinion on the matter.

1- being made until 2013, all e92 leases and loan payoffs are not yet complete, so the market continues to be hit with newer, factory backed examples.

2- Rod bearings issues have little bearing (haha, see what I did?) on the value of this car. Look to the e46 as a recent example, with subframe issues and whatnot. They are slowly going up in value. Hell, any car you do a search on will come up with issues.

3- The e92 is sort of in limbo. If I want speed, a new M3 is faster, an M235 is just as fast, and the new M2 coming out also has people on hold. Now of course, all of these cars have different experiences than a V-8 M3, but most people right now don't care about that. So same performance, new car Warrenty, easier time financing...the e92 just isn't old enough yet to make it feel that different from newer cars.

4- Finally, nostalgia has to set in. Do a search for e36s with low mileage. Holy crap, they are in the mid 20s! I really believe that cars only go up in value when little dudes who watched YOU drive by grow up and can finally obtain the car they always wanted. At that point, the car will be much more of a classic and much more separated from BMWs current lineup.

And as always, it's worth whatever someone is willing to pay. I've got blue/tan/stick. You've got white/red/dct. Potential buyer has his heart set on your color combination, so even though my car might be in better shape with fewer miles, you can charge more, and he'll most likely pay.

That's how I feel anyway. Guess we'll find out in 10 years or so!

[FashionablyFast]

When I sold my 2004 E46 in 2008, it was also depreciating. It was a 6-speed and had 41k miles when I sold it for $26k. They're now selling for that price with much more miles and many years older!

My point is, I'm hoping the same trend is happening with ours.

[bstone801]

Originally Posted by thekurgan

Wait for it ....

[Action JacksonE92]

I'm glad I only paid $35k for mine. I feel sorry for the people who buy brand new. I'll buy a fully loaded M4 in about 2 yrs when they drop to about 50k and have about 20k miles on it. Lol.

[gymtime]

Originally Posted by Flying Ace

back on topic, are you talking about depreciation from a new car price? If so, 50% in 2 years is accelerated depreciation beyond the norm, it is a bit steeper now than when there wasn't a F8X out there, but if I were to buy new in 2013, I wouldn't have paid MSRP either.

This is why many buy used. I bought my 2008 M3 in 2010. Sticker was $67k, I bought it for $46k, today it's worth I think $33k in Cali. I'm happy with this rate thus far. It also helps buy the car during a recession too.

What are your numbers btw?

Yes, I bought a new 2013

Actual number is more like 40% in 2 years with me putting on about 7k miles per year

I expected to see a sharp decline with when the new models came out, which there was. But then I just checked the value today, and as I mentioned, it plummeted another $6k within the past 6 months. I wonder if it will bottom here because these prices seem a bit ridiculous, especially if a 2013, fully loaded with performance exhaust and low miles goes into the $40k range which it is on the verge of doing

[STooK]

It'll be a while before you see prices stabilize. Probably in the high teens to low 20's. Even though I didn't buy my car brand new, I'm getting hit with depreciation too because I paid extra due to the CPO. Only reason I would've bought a 2013 brand new is if I were able to order it exactly to my likings. Otherwise it would've been better to buy used.

[MachinesWithSouls]

Originally Posted by Action JacksonE92

I'm glad I only paid $35k for mine. I feel sorry for the people who buy brand new. I'll buy a fully loaded M4 in about 2 yrs when they drop to about 50k and have about 20k miles on it. Lol.

Why? I bought new and already had the car 5 years. Let's say I sell it tomorrow for 45k. I'll have essentially paid 25k for using the car for 5 years, less than what you probably paid for a used one.

[///M Power-Belgium]

Originally Posted by thekurgan

Wait for it ....

Requiring a "black hole" ..

[TrevorM3]

op buys brand new m3, whines about depreciation...... ironic

[Ezio]

Originally Posted by Action JacksonE92

I'm glad I only paid $35k for mine. I feel sorry for the people who buy brand new. I'll buy a fully loaded M4 in about 2 yrs when they drop to about 50k and have about 20k miles on it. Lol.

dont ever feel bad for someone who buys a 70 grand car. just sayin

[gymtime]

Originally Posted by Ezio

dont ever feel bad for someone who buys a 70 grand car. just sayin

I don't care. As I said, I'm just surprised that prices are tanking this quickly. Far faster than the rate of normal depreciation. I was just wondering the reason.

At this rate, by the end of the year a 2013 with low miles in perfect condition will be worth less than the average new Hyundai/Toyoto econobox. Kind of ridiculous for a high end sports car

The 2010-2011 ones with higher miles will be worth about $20k

[strokeZ]

Look at Porsche prices - looked up a 2013 911S One has dropped about 30% with about half your miles and another dropped nearly 45% with about same miles you have. Not sure what the expectation is around car values and I am certainly in no way supporting the drop in value of our cars, but one does have to be realistic.