Z4 Depreciation Prices

[Mowflow]

Thanks for everyone's input - it just makes me really sad that such a great car isn't worth much! I really enjoy driving it and of the principal now that I might just keep it and eventually it will start to gain value (at some point lol). I don't have the original wheels any more so that's a shame!

In terms of the modifications, BMW said nothing about the upgraded wheels but they didn't see the car in the flesh. I did have the same problem when I was trying to P/X it with BMW. They said that would have to put everything back to stock in order to sell it.

The argument for keeping it is strong, I doubt it will be a future classic although some are speculating that the M's will be. I would say these cars or at least the 2003-2004 ones are at the bottom of their depreciation curve. Over the 3 years that you've owned the car it's probably lost a little bit less every year so £3k first year (bad due to you buying just as the new model launched) £2k next and £1k in the last year. If you hold on to it you probably aren't going to loose much more year on year.

FWIW I just bought a 2003 3.0, 2 very anal owners, garage queen with 52k miles for a smidge under £6,500k. It was a private sale but was through a garage as the owner was friends with the dealer. I'm not sure you'll get a significantly better price by selling privately.

Nice car though. I'll do a taillight swap with you if you want to put it back to standard

[aquazi]

sadly this is part and parcel of owning a car... the more prestigious the car the more you have to lose.

I've had mine for 4 years, i recon in that time i will have lost £10K.. thats £2.5K per year

[Maniac]

The argument for keeping it is strong...

As I read it, I felt you should have added 'Luke' on the end! The force is strong in that one...

[Mitch89]

I've had mine for 4 years, i recon in that time i will have lost £10K.. thats £2.5K per year

The alternative is losing less on something crap and boring.

Or worse, losing the same or more on something crap and boring.

[Georgio]

I recently bought a 2006 2.0l sport for a smidge over 7k with 50k miles.
Originally the owner wanted 9k+ but I think he quickly realised he wasn't going to get it.
He bought the car from a main dealer a year earlier for 14k so I bet that was a bitter pill to swallow.
Btw nice car though a bit 'hairdressy' for my taste, good luck in selling privately

[georgie_no23]

I work for a big company in the motor industry ... I have access to both CAP and glass' values. If you bear with me I can give you the exact figures, currently out on lunch!

[RichardG]

If it makes you feel any better I bought mine new for about 32K assuming I could get 6K for it now it means I've lost 26K over the 8 years of ownership, which works out at 3.25K per year.

That does not include the further 1000's I've spent on mods in the last 3 years.

Do I regret it, from a purely financial point of view, Yes.
But using man maths or heart over head not a cat in hells chance.

Would I do it again probably not, I'd buy one a couple of years old and let someone else take the inital hit.

Will I ever sell.......No. So depreciation is a moot point (or is that man maths again).

[tomscott]

But its the same with everything. If you cant afford it then dont buy! You get paid at the same time as owning it so... its just one of those things lol! Lifes little pleasure.

TBH most people put their cars back to stock before selling on to a dealer. Dealers dont like taking modded cars hence the poor trade.

[georgie_no23]

OOOKIE DOKIE.

BMW weren't kidding. Admittedly they've offered you CAP average, which is about 300 quid less than trade (the condition of a vehicle that would be suitable for a dealer transfer). However retail from a dealer (including a warranty which would in all likelihood cost them 400 quid) is just around the 8k mark. I'd imagine they would advertise it for 8, with the vehicle owing them 5500-5700. this leaves a 2300-2500 margin (dont forget VAT eats a big chunk out of their profits, with 10% in commission for the sales exec.), which is realistic for a BMW dealer.

If I were you, keep onto it, or try selling it privately, anything over 7k would be a very good achievement yet with the sun coming out (hopefully), this would not be unattainable. Hope that helps

[mossyboy1978]

Couple of things to bear in mind:

1. Modifying a car doesn't add to it's value. You are unlikely to ever get back what you spend on adding things to a car. It makes them easier to sell privately but does not increase their value.

2. Dealers like to sell stock cars - not modified cars. To sell a modified car you have to find a buyer with an understanding of the benefits these mods offer so a Pistonheads or ebay ad is better than a dealer.

3. There are two triggers for depreciation. The first is when a brand new car becomes used. It automatically drops in value hugely the moment you drive it out of the showroom. The second is when a newer version of the same car appears on the market. The new Z4 has caused a rapid drop in older Z4 prices. This is normal and why cars that were worth £9k before the new one came out are worth £6k now.

Selling privately will be easy - the car is clearly unusual and this will attract private buyers looking for non-stock vehicles.

[Paradroid]

I just got a 2008 2.0i SE with only 23k on it for £9k. Private sale but even so I don't think I've done too bad there at all. A dealer near me wanted the same for a 56 with double the miles, and it needed 4 new tyres.

Z4's are great value at the moment, I'm amazed how well mine drives.

[WizzEssex]

Before my Z4 I had a few (fantastic!) ex fleet cars through local auction-but the experience (talking to local dealers- seeing their 'mark-up' ) demonstrated to me that whetaver we think our cars are worth- much loved- well kept- good condition.......its always a shock to hear what the 'trade' think they are worth!!!

[original guvnor]

The thing is with depreciation - if you didn't own the car you have to spend more on public transport. At least with a car there is an asset value (albeit a smaller one) at the end.

I use my car-opt out allowance to pay for finance on my cars. That why the depreciation does't bother me as long as I build up equity each time I come to change. So far it's worked well - I started with a £1.5k deposit and next time I'll probably put in £20-25k. I'm playing with someone else's money because if i took the company car I wouldn't get the cash or as wider ranging choice of car. Yes I guess you could argue I could've bought a cheaper car and invested a lot of the car allowance in something that will appreciate rather than depreciate (i.e. shares/unit-trusts etc) but life is for living IMO.

[uuf361]

Depreciation is one of those things that gets us all I'm afraid.

I will lose less in the next 12 months on my Z4 than I lost each and every month in 3 years of owning my 997 TT Cab (one of the reasons I got the Z4).......and my 997 was one of those that retained its value fairly well in the segment.....

[srhutch]

But its an old car and there is a newer model so is not as desirable although it is.

This comment just isn't valid, how can you compare a £6-8k car with a car costing £10k more.

If somebody is looking to spend £18k on a new shape Z4 when there are old shapes around for the same money then it's a fair comment, but somebody looking to spend £6-8k wouldn't even be looking at the new shape.