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Discussion Starter #1
I think people don't keep them long enough, or they trade them in, therefore, they are too numerous on dealership lots and the prices come down just to get rid of them. Perhaps if there were fewer made, they would be more exclusive and the value would go up. Any thoughts?
 

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They are complicated cars with a lot of latest-technology gizmos and toys.

I think the public perception is that these things will break in time & because it's a Cadillac it will be expensive to fix. Particularly the "unproven technology". So long as it's still under the factory warrantee it's ok because someone else will pay to fix it. Once it's out of warrantee it's too much of a liability - hence no demand for them. Basic economic theory states low demand = low price.

Note the popularity of extended warrantees amongst the population here.

FWIW, my STS is 10 years old. If I wasn't confident that I could fix anything that breaks myself, I wouldn't have touched it either. But I can. So I bought one. And I do fix it. And I love it. No extended warrantee required.

My $0.02
 

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Let us not forget all the fleet sales. the fastest depreciating Cadillac is the Deville, no surprise thats the one they sell to fleets. Cadillac has said they will cut fleet sales in half within the next 5 years, that will help.
 

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I like how they go down in price. THat means that lonely poor american joe like myself can afford one that is 12 years old. I am glad they depreciate so quickly, by the time i am 25 i can own one that is only about 5 years old. If you do the right research you can find a GREAT deal on these cars b/c "old" people own them.
what i mean about old people is that the average grandma/grandpa buys one NEW, the take it into the shop everytime it needs work. The warranty runs out and they get something new again. I love that.
 

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People I know never check prices of Cadillacs, they just assume they're expensive. They also believe they're gas hogs, so they don't look at them. Their loss, my gain.
 

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JJhomer83 said:
I like how they go down in price. THat means that lonely poor american joe like myself can afford one that is 12 years old. I am glad they depreciate so quickly, by the time i am 25 i can own one that is only about 5 years old. If you do the right research you can find a GREAT deal on these cars b/c "old" people own them.
what i mean about old people is that the average grandma/grandpa buys one NEW, the take it into the shop everytime it needs work. The warranty runs out and they get something new again. I love that.
Well, that's the thing, if John Smith is your average guy, dosn't have alot of money, but wants a "new" used car for himself, say he has $5k.....now 45k won't get you a 12 year old Bimmer or a Benz, it would get you a nice, even 6-8 year old mid-size family sedan....but $5k will also get you a 10-12 year old Caddy...... a couple of years ago, the 80's RWD DeVilles and Broughams were the perfect canidate for this.... now they are getting older, so you do not see them around as much, but what I am saying is, when someone should be buying a Taurus or a used Lumina or something, they are buying the Caddy.....then they do not take care of it, and run it into the ground, it gets dents and scratches, looses a hubcap etc..... they don't bother to fix it, and it ruins the resale value in general.

The only times I ever see a BMW or a Benz used as a beater, is the rare occasion when there is a early-mid 80's model that someone is using....but I see it with Cadillac alot more....drive though the ghetto part of your nearest city and look at all the run-down Caddys there.....
 

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Night Wolf said:
Well, that's the thing, if John Smith is your average guy, dosn't have alot of money, but wants a "new" used car for himself, say he has $5k.....now 45k won't get you a 12 year old Bimmer or a Benz, it would get you a nice, even 6-8 year old mid-size family sedan....but $5k will also get you a 10-12 year old Caddy...... a couple of years ago, the 80's RWD DeVilles and Broughams were the perfect canidate for this.... now they are getting older, so you do not see them around as much, but what I am saying is, when someone should be buying a Taurus or a used Lumina or something, they are buying the Caddy.....then they do not take care of it, and run it into the ground, it gets dents and scratches, looses a hubcap etc..... they don't bother to fix it, and it ruins the resale value in general.

The only times I ever see a BMW or a Benz used as a beater, is the rare occasion when there is a early-mid 80's model that someone is using....but I see it with Cadillac alot more....drive though the ghetto part of your nearest city and look at all the run-down Caddys there.....
Nightwolf,
You make a good piont about not seeing beat up benz and beemers. Something to shed some light is to think about how many of those cars were acually sold in the U.S. at that time. IN general there were more cadillacs sold in the U.S so that makes them more avaible to own used ones. If you look at the 90's caddy's and compare them to beemers and benz its about the same. About the people who buy cars for around 5k that is the typical stereo type for the money. You buy cheap so you don't care.

Take my car i own a 92 eldo with 73k on the clock and paid 4k for it. Mine int. is MINT and my ext is near mint with one blemish. I wash and wax it once a week. etc..... etc....
 

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The main thing that makes them depreciate the most is basically public opinion. People think they cant afford them, or could afford to pay for repairs. Then, people get them, drive them into the ground, do 10,000 mile oil changes and beat the shizzle out of them and when they get repair costs they think they suck. But fact is no car can take that kind of abuse (maybe a honda, but who cares about those) and expect it to still be reliable.

My theory is that the 2nd owner of a car is going to be the worst, overall (if when they buy the car when its less than 6years old). Think about it. 1st owner has it new, they wanna keep it like new. But the second owner gets this 5 or so year old car, and they want it to drive them around, and they dont care about anything else. Then the third owner is screwed making up for what the 2nd didnt do. This only applies to certain cars... You will almost ALWAYS seen a MB, BMW, Lexus, Jaguar, etc of similar years in MUCH better condition (overall), whereas other cars that dont have as good of a public value (cadillac) in much worse conditino, overall....

The main thing about this is value of the car. People will not spend as much money on a 10 year old cadillac as they will on a 10 year old BMW, Lexus, MBz. This starts the endless cycle, as people continue to poorly maintain their "lesser value" cars, they continue to depreciate and depreciate.....
 

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I am not saying all $5k cars are bad... I am just saying, someone that may have had $5k to spend on a regualr ca,r instead of getting a mid-size family sedan, they are now getting an upscale luxury car.... my Coupe DeVille was $4450.... I was looking at lall high-end luxury cars....including ~'93 BMW..... but the going price for one of those was about $7-10k at the time....for a car that cost the same as my DeVille when new... and that was wayyy too much for me..... so $5k could have got me other cars I was thinking of.....~'94 Taurus SHO, '96-'98 Grand Am GT etc... but that same $5k got my ultra-mint 78k miles DeVille....so I took it....

..... I take very very good care of my car, but to someone that was just planning on getting an everyday sedan or something, they may not take the time out to clean it and wax it, heck everything over with the engine and stuff.....

...like the 80's Broughams, they are wonderful and beautiful cars.... but, like aorund here, there are about 3 that are run into the gorund, all banged up, smoking and everything, and that's what gives them a bad image.....

....I don'e believe I see any 1990+BMX or Benz around here being ran as a beater, all beat up and stuff..... but I see a few DeVilles and Broughams like that....
 

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I think what set the price is what dealers can buy the car coming off lease.
We trade a car( we got the car for a daughter going to collage) in when the lease was up the dealer phone GMAC and was unable to buy the car cheaper than the off lease price!
Has only the dealer can make their % off a use car and keep the cash flow going it makes no difference to them what the car sells for. It is all cash flow for a dealer
 

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About seeing beemers and benz. There are plenty in my area philly suburbs.

I see 80's beemers rusted dented and load broken exhaust. I
 

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Used car prices are set by dealers AT dealers auctions. Dealers are unwilling to pay top dollar for domestic luxury cars as they sit longer on lots until they sell, than do foreign luxury cars. Therefore, in order to make an equal profit they have to buy cheaper, and if she sits a while they lower the price.
However, a low mileage, well cared for car in top condition, will always bring top dollar. What would you pay more for? A 1992 BMW 5 series with 72,000 miles, a miss in the engine, some dents & scratches, faded paint and a cigarette burn in the passenger's seat, or a mint 33,000 1992 Coupe deVille >
 

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Discussion Starter #14
I've always thought you can tell what a person's personality is like by how they keep their car. LOL Just my thoughts, for example, if they keep the car clean, wax often, hurry to the car wash after they put salt on the roads, etc. then they respect or care for things more. If a car is beat-up and not cared for then maybe other things are a priority over the investment of their automobile.

Everyone has good, interesting theories on depreciation, but I can't seem to accept the thought that a Cadillac owner is somehow not as caring or meticulous as a BMW owner. Any car I've had I've always tried to care for it to make it look better than the average Joe's. I've seen many beat-up Benz's and some paint faded Lexuses, but I also see some beat-up Caddies. I just think it depends on if they are a car enthuisiast or not. Either way, these things may effect value of a vehicle, but I think MANY people trade-in or sell when their warrenty is up because they are fearful of expensive repairs. If a vehicle is quality, personally I don't worry about repairs. I also do not "put-off" repairs. If my car needs something, I will go without food until it gets fixed if I have to. :yup:
 

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JJhomer83 said:
WELL SAID Wes
BAH! What does he know!?

When I was his age, I had to get up and walk across the room just to change the damn channel! But that was okay, because there weren't but THREE OF THEM! Hell, if Carter wanted to talk, the whole evening was shot!

And we didn't have these damn AIR BAGS either! If you wrecked one of those cars, you just hammered it back into shape, hosed off the dashboard and sold it to the next guy!

And we didn't have this INTERNET either. If we wanted to know something, we had to go to a place called a LIBRARY and climb a bunch of steps.

E-Mail? Nope. If we wanted to correspond in writing, we had to use a thing called a PENCIL and write on some stuff called PAPER. Then we folded it up, LICKED a stamp, and stuck the envelope in a BOX. One WEEK later, it got there!

PORN? We had to ask some older guy outside the convenience store to go in and buy it for us! It was either THAT, or sneak into Dad's closet and hope we didn't get caught!

STRIKE THAT! We didn't have "convenience stores." We had good old fashioned GAS STATIONS! When you drove through you ran over a rubber hose that went DING! DING! and woke up the attendant who came over and pumped your gas for you! If he wasn't too hung over, he'd check your oil and wash your windshield too!

And what is this RAP crap? When I was Wes's age, so-called "black" music was what you danced to. It was all upbeat, and respectful toward women. Songs like "She's a Bad Mamma Jamma" and "Brick House". Today it's just "Bitch Betta Have My Money!"

And we didn't have this BCS bullhockey either. At the end of the season, AFTER everybody played their bowl games, the writers and the coaches would all get together and vote for who they thought was the best college football team. MOST of the time, the writers would pick one team, and the coaches would pick another, and the rest of us would argue about it for the whole month of January.

Oh yeah. We've still got that.

Happy New Year, Wes! (just havin' some fun with ya') ;)
 

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Whoa what a rant at 39 lol.

I'd hate to be your grandson when you're 80...Regale him with a tale or two hehe :p
 

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I think it started back in the 80s when American cars were PsOS (think ht4100 and Cimmarons), foreign cars became more desirable, so American cars went down in value, so the owners of American cars were generally poorer and therefore didn't take as good care of the car. Since then, someone looks at older foreigns and they look better than old domestics, which keeps the value of the domestics down, which perpetuates the cycle.
 

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I have owned both Caddillacs and Benzes and I have three theories why Benzes hold their value better than Caddies.

One theory has already been explained. Caddies are mass-produced. Benzes, on the other hand, are still limited production. The entire one-year output from MB, for all models, does not even close to overall Caddy numbers. I don't have the fugures in front of me, but when I checked production figures I was surprised how limited Benz's output really is. :yup:

Spare parts for old Benzes are easier to find. Mercedes Benz keeps a large of factory stock parts, from small trim pieces to major engine components, available. I once owned a 1967 250SE, it was a fun little six-banger to drive. It was a very popular Benz model, before Benzes became overpriced. I could walk into the dealer and order any part for it and they'd usually have them in stock. and if not in stock, they could get them withing 48 hours. On the other had, I once needed a door trim piece for my (former) 1988 Seville. The door trim was coming undone (heat damage from So. Cal.'s sunshine). I went to the dealer an dthey nearly laughed me off the Parts Dept. floor. My only hope was to find a good piece in a unkyard OR to manufacture my own. In my opinion, the more extensive the spare parts sources are, the more a car will retain its original value. Even now, I went to the local dealer to order a bottle of touch up paint for my 1999 SLS. Two weeks later, they still odn't have it!:banghead:

The third reason I think Caddies depreciate more is because of GM's policy to use similar components across their production lines. Caddies often share parts with Chevies, Buicks, etc. this practice, per se, does not mean that Caddies are bad cars. But to some buyers it lowers the car's "foo-foo" value. Mercedes may be stepping into this same trap now that it owns Chrysler. Many Chrysler products carry Benz parts. Of course, Chrysler advertises this fact as a plus for its cars "...inside, we are just like a Benz." If Benz started putting Chrysler parts in their cars, Benz owners may not be as happy.:bouncy:

Big depreciation is a fact of life for most luxury cars. As pointed out before, deep depreciaton is a benefit to most buyers. If you don't have to have the newest and the latest, then you can buy a used, 3-year lease return, pay only a fraction of its original value and still drive around in a very, very nice car.:worship:
 

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It had nothing to do with quality that people started buying imports. It's because people needed small cars with good gas milage and GM, Chrysler and Fords weren't selling that.

Cadillacs aren't depreciating in value much differently then any other North American car...
 

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Mercedes was no. 3 last year. Cadillac was no.4 Lexus was 1 and BMW was 2. That should debunk the mass produced argument. Cadillac as of November was only a little behind MB this year though

As of November:

Cadillac 194,028
Mercedes 196,930
BMW 252,020

I dont have Lexus Numbers
 
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