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! 8)
Z4 Depreciation Prices
- Thread starter Exactmax
- Start date
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).
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).
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.
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.
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 :?
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
Member
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.
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.
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.
Z4's are great value at the moment, I'm amazed how well mine drives.
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!!!
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.
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.
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.....
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.....
tomscott said:
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.
shortfuse 2
Senior member
sell it private it will go easy nice looking motor 
I wonder what the depreciation on the coupes will be like in the next few years. - the y don't seem to be dropping as quickly as the ragtops
My recent research when trying to decide whether to buy a coupe or roadster would suggest that the coupe is depreciating at a similar rate. Like for like on a 2006 model they cost roughly the same. There are obviously less coupes about (I think there was only 60 nationally on Autotrader and 17 on Pistonheads at my last search) but the figures seems to be relative to the number of people looking to buy one ie not many of them are shifting. The only coupe that I looked at the guy was struggling to sell, it had been advertised for over a month and the price had dropped more than 10%.
the depreciation on my new e89 will be 5k a year for 3 years and then i can give it back and know that it has cost me 15k for 3 years but i've had my fun..... its very hard to sell a car nowadays and people are not so free to give up their hard earned money which is why dealers have to have a mark up of at least 1k to cover repairs and selling costs
srhutch said:
Exactly. What the new Z4 will have done is tempt previous e85/e86 owners to trade up, especially now as used e89s start getting down towards the £25k mark for a high spec 2009 model. You get more 'old' Z4s on the market, higher supply but not necessarily higher demand for 1st time owners of Zs, and so the prices go down because it is a buyer's market. Seasons affect it, granted, but I don't think desirability has a very large impact unless it is just when the new replaces the old, with buyers looking at similar-ish prices for a brand new car and plumping for the new model.