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70 messages,  Last post on Jul 24, 2007 at 9:30 AM

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#11 of 70 dardson by tblazer503 Nov 25, 2003 (2:43 am)
you are still comparing a Full Size SUV to a Midsize SUV. Compare a Chevrolet Trailblazer to a Honda Pilot. I bought my Trailblazer for about 29k in (early)sept '01, Retail price was 31k. Traded in nov '02 for 21k. yup, thats a 30% hit in a year. Now they are worth about (guessing) 17-18. that's almost a 40% depreciation in the 2 years. Pilot, say invoice at 29k, you will be hard pressed to find a 2 year old one for less than 20k I would imagine.   Of course, let's not forget that the 3k rebate on the Trailblazer came out after I bought it. Purchased sept 10, 2001. Which would probably also fit in with your timing on both cars. 'If' I had bought at the right time, I 'may' have lost only 20%(6k) but the rebates weren't being seen, and I am not a fortune teller. On the other hand, I bought my '03 Accord in Nov '02, for 20k and was offered 17,5 on a trade-in after negotiating.... hmm. Try that with any domestic '03.   As a real-life comparo... there are 2 '01 Sequoia LTD's in the sunday paper. 31k, 32k. '01 Expeditions in the paper(4) are from 20-23k all "loaded" in different arrays.... an '04 EB expedition is on CD.com for about 36k. a Sequoia '04 LTD, 42k. Both are 'base' models, can go up by adding leveling susp, etc. the Sequoia loses about 10k(25%) in 3 years, the Expedition, 14.5k(average 40%) in 3 years. Not even factoring in that cars seem to go up about $500.year.
#12 of 70 by tblazer503 by dardson1 Nov 25, 2003 (8:04 pm)
OK, I'll bite......In February of '02 I shopped a Sequioia SR5 vs a Tahoe LS. Never found an SR5 with an MSRP less than $39k. All (the Toyotas) were packed with Gulf States Toyota Distributor's (Texas and most Southern states East) low-value, high-dollar, add-ons such as etched glass, road-side assistance, protection pkg (ScotchGuard and exterior Poly-Coat), etc., etc., amounting to $3k     While I admit I didn't pursue the Toyota more than two sessions, the car was in short supply and the best offer I could manage was $1500 under MSRP or something close to $37.5k. I ended up with a lightly equipped Tahoe LS that listed for $34k+ bought at invoice less the $2k rebate + a very nice 5% APR.......$28,000.     The estimated trade values determined by Edmunds may or may not be accurate; however, their accuracy should be equally good or bad from vehicle to vehicle. If you use Edmunds to determine a trade value for both cars, a Tahoe equipped like my '02 = $21,800 and an '02 SR5 = $26,100. Had I bought the Toyota I should expect $32k+ to be as good as the Tahoe. Even if I subtract the $3k that Gulf States socks us Southerners with, I ought to expect $29.5k trade value. Tell me where I'm wrong.
#13 of 70 From what I have seen by tblazer503 Nov 25, 2003 (8:36 pm)
on the "real world trade in values" thread, the Tahoe, as with a few others of the full size truck family are just as good if not better as Toyota. In terms of the minivans, compact truck, midsize SUV, car, etc.... I think that the foreign will most usually be your best bet.   The whole 3k package is just wrong... IMO.. sounds like they cornered the market on that one... terrible.
#14 of 70 dardson ... by jlawrence01 Nov 25, 2003 (9:45 pm)
You may find one or two classes where the depreciation is less on a domestic vehicle vs. the major Japanese name plates (Honda, Toyota). But across the board, it is not the case.   Personally, I prefer vehicles with rapid depreciation, especially when they are models that have a good reliability record. IMO, a 2000 Buick Century is tremendous value over a similar Honda Accord or Toyota Camry.
#15 of 70 jlawrence by masspector Nov 26, 2003 (3:57 am)
"Personally, I prefer vehicles with rapid depreciation"   I assume you mean for you to buy used and not new?
#16 of 70 Mass by jlawrence01 Nov 26, 2003 (7:26 am)
As I buy only used cars for personal consumption, I prefer cars that depreciate quickly but are reliable. There are a lot of those out there.
#17 of 70 depreciation by dardson1 Nov 26, 2003 (7:33 pm)
My original point is that American makers (GM in particular) appear to inflate the prices on their vehicles so they can offer deep discounts and generous rebates. It gives the customer the impression he's getting a heck of deal, the bank the kind of ratio they need to make the loan, and the buyer enough cash in the form of a rebate to make the down payment. What an idea! The only loser in the win/win/win situation is the perceived depreciation tumble the American cars take (on paper).     I agree the Japanese seem able to make vehicles that run a long time with fewer problems than anyone else. From personal experience, I never found that Mercedes, BMW, or Volvo was any more trouble-free than American makes.     I'm just saying the creative financing practiced by American car makers distort the depreciation picture. In a perfect world it would be more accurate to compare average price paid instead of MSRP to resale x years down the road.
#18 of 70 Makes sense by eharri3 Dec 05, 2003 (5:07 pm)
Sometimes in this argument it really seems like people do compare apples to oranges. It's rather simplistic to take the value of two vehicles in the same segment with the same MSRP, one import, one domestic, and form an opinion on depriciation based their value after a few years without taking into account what they actually sell for new in certain market conditions. On alot of import vehicles you're lucky if you're not being charged MSRP plus an additional dealer markup. So the import may be worth more after 2 years but you also paid MSRP or more at the onset. So how far ahead are you really getting?   On the other hand, many domestic vehicles with all the rebates and incentives sell for thousands below sticker and in some cases way below invoice cost. Perfect example... I bought my 04 Dodge Dakota Quad for 24K plus tax, tags, and title after 4800 dollars in discounts. The average asking price for 1-2 year old versions of the same model seemed to be in the neighborhood of 20-22K. If I looked back 3 years or more I could get into the high 19s. So I was only looking at at best a 3-4 thousand dollar discount to accept less of a warranty and 20 thousand miles of wear and tear. The first year depriciation hit is huge if you use MSRP in your calculations, but not so bad if you base it on what I actually paid.
#19 of 70 apples, oranges, whatever. by landru2 Dec 05, 2003 (7:14 pm)
Were you planning on just walking in and paying the asking price for a used Dodge truck? If not, your analysis is just as flawed as the MSRP vs selling price argument.
#20 of 70 True by eharri3 Dec 05, 2003 (7:51 pm)
Which goes to show... the waters can be very muddied here because there are too many variables to make a definitive general statement about depriciation in domestics vs. imports. Are we talking below sticker, or above it on the new vehicles? Are we talking asking price or out the door on the used?

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