The Lotus Cars Community banner

1 - 20 of 23 Posts

·
Registered
Joined
·
1,007 Posts
Discussion Starter #1
Was just browsing cars on ebay and came across this:
http://cgi.ebay.com/ebaymotors/Mercedes-Benz-S-Class-S65-AMG-2006-MERCEDES-S65-AMG-BLACK-BLACK-171K-STICKER-ONE-OWNER-NO-RESERVE-/150844854894?pt=US_Cars_Trucks&hash=item231f0dd26e

I know that most people who spend $100k+ on a car have enough money that depreciation is not a factor, but with this 2006 S-class AMG, supposedly with a sticker price of $171k, now selling for $35k six years later, you have to question to true value of this car.
Is this the same for most mercedes? Are they purely just about the statement that the second they are not new, all value is lost?
Why would a car lose 80% of its value 6 years and 80k miles later?
 

·
Premium Member
Joined
·
2,085 Posts
My opinion: first, anyone who can spend this much for a car doesn't want someone's used car. Second, high-priced sedans - not coupes or convertibles - do not retain much value in general. Third, this was a limited-production model only in the sense that there is a limited market for sedans at this price. Mercedes would and will build as many as are ordered. Fourth, 81,000 miles is actually a lot for a car like this, and while MB's may be able to go 250k miles with no sweat, the maintenance on this car is astronomical. I've had AMG models, and the price for a V8 service is twice the regular V8 price. This car is a 12, so you're looking at a ton for regular service, and parts will be very high. Fifth, this car is basically undriveable in the northeast, or northern midwest between November and April so that further limits its market (or you could buy a second set of wheels and maybe snows in this size, for $6k?. Lastly, the window sticker may say 13/20 mpg, but figure 6-88 city and 15 highway.
 

·
Premium Member
Joined
·
2,637 Posts
It depends on the purpose of the car. Pickup trucks (real ones, not luxury girly cushy ones), still have all their purpose a decade later, and retain their value in market where people use them to haul heavy stuff, and not just make the scene in them. Cushy cars, which their greatest appeal is simply a display of wealth and style tend to lose value quicker, as newer models appear on the scene which have even more appealing features. Cars like the Elise are also prized as track cars, they tend to retain a certain amount of their value, largely due to the value is not simply based on "style points".
Any vehicle which loses it's purpose loses value. If gas dropped to a dollar a gallon a prius would massively decline in value.
 

·
Registered
Joined
·
548 Posts
there were a lot of changes during those 6 years.... this car is considered overkill :D
 

·
Registered
Joined
·
1,886 Posts
So goes the high-dollar car market. Even Lambos, Ferraris, etc, etc. plummet after a few years with all but the most unique models. Like someone else here said, the big cats dont wanna get caught in a 2007 Murcielago as to not appear loser-ish. So, they dump it quick and order the 2011 or whatever. Hey - I wish it was me but it does drop the values quickly. :)

What happens, is that the secondary market takes over which means now the buyers do NOT have unlimited funds. They hunt for deals, they want the car fully serviced before the sale. They want impeccible service histories. So, to get all that the sale price has to come down. The cars do seem to hit a "floor" at some point though. The first 3-5 years is the worst.

And, lets be realistic here - I know that something is worth whatever someone will pay for it but geezus these cars are all way overpriced from the factory to start with so that artificially high starting value causes the depreciation to appear even worse than it actually is ;)
 

·
Registered
Joined
·
2,709 Posts
It's image value vs market value. Once a newer model is released, the image value becomes essentially $0, and the car becomes priced at market value.
 

·
Registered
Joined
·
229 Posts
Was just browsing cars on ebay and came across this:
Mercedes-Benz : S-Class S65 AMG Mercedes-Benz : S-Class S65 AMG | eBay

I know that most people who spend $100k+ on a car have enough money that depreciation is not a factor, but with this 2006 S-class AMG, supposedly with a sticker price of $171k, now selling for $35k six years later, you have to question to true value of this car.
Is this the same for most mercedes? Are they purely just about the statement that the second they are not new, all value is lost?
Why would a car lose 80% of its value 6 years and 80k miles later?
Mercedes quality is not what it once was.
 

·
Registered
Joined
·
2,360 Posts
AMG mercedes are the "kings" of depreciation. I would never want to own that thing out of warentee.

Ferrari Maintenance without the sounds and cachet.
 

·
Registered
Joined
·
93 Posts
I had 2 friends jump on Mercedes deals like that one. One lasted until his first service (and he had an additional list of non-routine fixes needed) and then just sold it in disgust about his experience (kinda like a boat - your happiest 2 days of ownership are the day you buy it and the day you sell it). The other friend lasted a full year in hopes that his service bills would decline and then sold his.

They both loved driving them but hated owning them.
 

·
Puff Daddy
Joined
·
3,872 Posts
It depends on the purpose of the car. Pickup trucks (real ones, not luxury girly cushy ones), still have all their purpose a decade later, and retain their value in market where people use them to haul heavy stuff, and not just make the scene in them. Cushy cars, which their greatest appeal is simply a display of wealth and style tend to lose value quicker, as newer models appear on the scene which have even more appealing features. Cars like the Elise are also prized as track cars, they tend to retain a certain amount of their value, largely due to the value is not simply based on "style points".
Any vehicle which loses it's purpose loses value. If gas dropped to a dollar a gallon a prius would massively decline in value.
Well said...

The only car I've ever bought new was my truck earlier this year (2012 Tacoma 4x4). Used ones 3-5 years old with 30-100k miles have almost zero depreciation. It's not uncommon to see 1-2 year old used ones come up for sale slightly higher than MSRP and they have 15-20k miles on them... it's crazy :eek:

I almost got sucked into the AMG trap a few years ago after I sold my first Elise. People here and other first hand experiences from my friends swayed me away from it.
 

·
Registered
Joined
·
1,007 Posts
Discussion Starter #12
makes you wonder why make some of these cars garage queens when they will lose their value regardless
 

·
Registered
Joined
·
2,026 Posts
The people that I know who buy new have bought a new Ferrari or Lamborghini are very interested in the depreciation. It is one of the reasons they don't drive them very often. I invited one guy with a 1 year old Ferrari to a picnic for exotic cars. He was horrified when I told him it was 200 miles away. I took the Lotus and enjoyed the trip. He stayed home.
 

·
Registered
Joined
·
1,886 Posts
The people that I know who buy new have bought a new Ferrari or Lamborghini are very interested in the depreciation. It is one of the reasons they don't drive them very often. I invited one guy with a 1 year old Ferrari to a picnic for exotic cars. He was horrified when I told him it was 200 miles away. I took the Lotus and enjoyed the trip. He stayed home.
So why have the car then? Thats focking amazing but it happens all the time. The people who CAN afford the car without batting an eye are too cheap to drive the freegin thing. Why? What about enjoying the car? :confused:

Just absurd.

makes you wonder why make some of these cars garage queens when they will lose their value regardless
Right - I got news for the guy that back in bought a new 2002 Murci and drove it to 3 cruise nights the whole ten years of ownership: Its not worth d!ck anymore buddy, compared to what Aventadors are going for. You may as well have racked up 60K miles on the thing and had some fun.
 

·
Registered
Joined
·
502 Posts
Maserati Quattroporte is the same way. My father bought his for about 40K less than sticker for a one year old car with 5K miles. Since he bought it 5 years ago he has added another 20K miles and it has dropped another 40K. Those cars cost $120,000 new and can easily be had for $40K today.
 

·
Registered
Joined
·
1,007 Posts
Discussion Starter #17
funny enough i did look at some maserati cars and found a 2005 for $22k-$25k last winter. This just makes you kinda look at lotus cars and smile when you think about their depreciation. It quite literally almost matches a Honda.
That may also be due to lotus not changing the body style too much between years. I mean, one dealership was telling me that I was getting a steal with a '05 lotus for $33k (bone stock no hardtop, starshield etc). and a [Lotus Dealer] also said that getting a 05 for $36k was a good deal (also bone stock). The elise came out for about $52k or so in '05, right?
 

·
3Xtothe0[]
Joined
·
489 Posts
funny enough i did look at some maserati cars and found a 2005 for $22k-$25k last winter. This just makes you kinda look at lotus cars and smile when you think about their depreciation. It quite literally almost matches a Honda.
That may also be due to lotus not changing the body style too much between years. I mean, one dealership was telling me that I was getting a steal with a '05 lotus for $33k (bone stock no hardtop, starshield etc). and a [Lotus Dealer] also said that getting a 05 for $36k was a good deal (also bone stock). The elise came out for about $52k or so in '05, right?
Low numbers + high demand, if people are buying 05s for over 30k the dealers know it and are pricing their inventory accordlingly. Two years ago if you were buying a clean 05 with under 10,000 for over 30k you were crazy. Times change and so does demand but production numbers stay the same or even go down considering all the totaled cars that get wrecked.


.
 

·
Registered
Joined
·
708 Posts
Maserati Quattroporte is the same way. My father bought his for about 40K less than sticker for a one year old car with 5K miles. Since he bought it 5 years ago he has added another 20K miles and it has dropped another 40K. Those cars cost $120,000 new and can easily be had for $40K today.
Quattroportes are worse than you're even saying. I have watched prices on them from the day they were introduced in the US. Couple years ago, I would go in almost weekly to the local Masser dealer site. New one: $135k. 1 year old new one: $119k. 2 year old new one: $89k. I'm currently thinking of buying an 05 this winter and putting in a Corvette LSx engine/transmission. Right now, there's one 50 miles for me for sale for $29k. Winter.....I've watched before....lots of them for $25k and reasonable number for $19k.

A big reason why? Want to service the masser's electronically controlled dual clutch system? $6k at the dealer. Do it yourself without the dealer machine to adjust clearances? $1500 and it'll lunch itself in 1000 miles. Hence my plan to remove and sell the Ferrari engine and trans and replace with something any backyard mechanic can service.
 

·
Registered
Joined
·
2,635 Posts
Quattroportes are worse than you're even saying. I have watched prices on them from the day they were introduced in the US. Couple years ago, I would go in almost weekly to the local Masser dealer site. New one: $135k. 1 year old new one: $119k. 2 year old new one: $89k. I'm currently thinking of buying an 05 this winter and putting in a Corvette LSx engine/transmission. Right now, there's one 50 miles for me for sale for $29k. Winter.....I've watched before....lots of them for $25k and reasonable number for $19k.

A big reason why? Want to service the masser's electronically controlled dual clutch system? $6k at the dealer. Do it yourself without the dealer machine to adjust clearances? $1500 and it'll lunch itself in 1000 miles. Hence my plan to remove and sell the Ferrari engine and trans and replace with something any backyard mechanic can service.
I bet that you could, not counting your labor, almost have your new Maserchevy for $0 net. I remember a SB Chevy conversion for Jag sedans. Why have an expensive V-12 when you can have a V-8?


(2000 posts! Congrats to me, I wasted a lot of my life! :p:rolleyes:)
 
1 - 20 of 23 Posts
Top