Depreciating Like a Stone?

[RussBarnes]

Houses used to be “appreciating assets”, cars have almost always been “depreciating assets”. The exceptions are rare cars. There are about 3,500 counties in the U.S. (some where there aren’t many people or cars) and to appreciate you need a car with less than 500 total in the entire U.S. and even then it still needs to have appeal. Often cars are popular with buyers where the older guy that now has $$$ remembers what he owned or wanted when he was 16. When I was a teen, the Model T Ford brought pretty good bucks from the then older crowd, not anymore cause to us it looks like a ramblin wreck. Now cars of the 70’s are what’s hot and in ten years it will be of the 80’s. Bottom line is that the success of the smart (coupled with the short term fuel prices) made us feel like we made a brilliant financial move, but now the normal pricing routine is setting in – it’s still just a car, no longer rare with 25,000 sold in the U.S. and so what about MPG when gas is under $3. Buy it cause you want it, like it, have a need for it, but NEVER for an investment.

[Orphan-Beggar]

Originally Posted by Dunerunner

Well, did any of us buy our smart thinking it was going to hold it's value? We all know you loose $2-3K just driving it off the dealers lot,

Quite the opposite was happening last year.
The smart appreciated $2-3K off the lot, and financing was not such an issue.

[jose3030]

Sorry about the health issues.

In regards to my cars, I've never bought a car w/ ever having a desire to sell it, just because I know what depreciating things they are. In fact, if you're GOING to buy a car, they never go below $1000 due to the fact that everyone's always looking for a cheap car to get to work, etc. So buying a $1600 car is a pretty smart move overall, esp. if it's taken care of, etc.

[forestacademy]

Ok Like I said, that price from CarMax is Wacked.
Search results at carmax.com
They have 8 smarts Nationwide ranging in price from $17,800 for a Cabrio to a pure for $13,998 OK they are dreaming with those prices, your price seems cheep compaired to those prices.

Take the list into them ask them to reconsider

[Doug1102]

We're picking up our new Smartie in two weeks, and we are NOT thinking of resale value at all. We buy cars and drive them until the wheels fall off. We bought our last car in 1998 and have 178 K on the odometer on it today, so we hope to do the same with our new Smartie.

[prm1177]

I figured I saved around $1600 in gas alone last year by driving my Smart vs my former car. And that's at current prices. If it had stayed at $4+ per gallon the savings would have doubled. No complaints.

[brian r]

Originally Posted by forestacademy

Ok Like I said, that price from CarMax is Wacked.

No Sh*t...

Fortunately I don't need to sell the car, but my friend knows that it's just sitting around and not being driven so he thought it might be helpful.

Sometimes it's in the way, and being gone would be convenient. It was bought because it's different and fun to drive, and it still is. I didn't think it would be driven so sparingly because it is too small for some things. Nor did I think I would make money on it. But it has almost no miles on it because I usually work at home...so I think a few thousand more than their offer would be fair, considering what their website asking prices are.

It looks like it will be looking at a turbocharger if it stays.

Originally Posted by forestacademy

I will have to say unfortunatly any extras you put on a car are for your apriciation and you alone. You realy cant expect to get that money back.

I have to agree, but within a focused market an "improved" car can have some additional value. I'm replacing my Passat (which just turned 10 years old last month) in a couple of months, and a couple people who know the car on the VW forums have offered me $7500 for it. Outrageous. But it has been driven only 64k miles, has tons of upgrades, fanatical servicing, separate winter wheels/tires, some rare euro parts, etc...

Originally Posted by jose3030

Sorry about the health issues.

I REALLY appreciate that. But I'm ok, thanks to the fact I get regular physicals and there is a robotic-surgery cancer center in Hartford. People in my family live to 100, and I'm barely half that. (guys get those physicals!)

[2micro4u]

All I will say is Carmax very rarley will give you a fair deal for your trade. They will not give you additonal unfortunatley for aftermarket upgrades and is in the buisness to maximize their profit buy buying low and selling high. Yes the prices are fairly reasonable when buying from Carmax but I dont reccommend EVER sell your car to them unless you want to basically give it away.
I know you can sell it easily within 2 weeks with the right marketing between 10K-11.5K and if its a Cabrio easily for 12K-14K.

My recommendation is to be patient and sell private. Post it on Craigslist, Autotrader, local paper, forums, and spread the word via word of mouth.Trust me it will sell.

[beautyforashes]

I bought my 08 cab in february, resale at $16000. The first owner payed 26000
and loaded it with every option. Even has a dvd player. 4000 MILES. His loss was my gain. I think the prices r down because the 09 r out and gas is down.

[jose3030]

Gas will go up again, mark my words.