WHY does the CTS-V Depriciate so FAST
1 - 20 of 24 Posts
Actually, it has one of the best rates for depreciation (after 3 years). It is suppposed to be worth around 53% of its value after 3 years while A LOT of cars are in the low 30s%. I read that in a magazine, forgot which one.
Also most of us didn't get a real killer deal since the car is limited production. It isn't like we bought a normal GM car for 100s under invoice.
Also most of us didn't get a real killer deal since the car is limited production. It isn't like we bought a normal GM car for 100s under invoice.
Joined
·
72 Posts
No...just GM at its best. Most of their products are marginal and over-priced, so they have to give REBATES and INCENTIVES, etc to move them. The sticker on mine was 52-53K and I only paid 43K new. So how much could a used one be? If they didn't have a subsidized residual rate on my Smart Buy, I never would have bought it. In comparison, I paid full sticker price for my BMW, but actually made money on the trade-in!! I guess you either pay a lot up front and have some value later.....or get a deal up front and have to unload it cheap later.
Reason for higher-than-anticipated depreciation:
1) Crappy rearend, looking forward to upgrading mine when it blows
2) GM/Cadillac's failure to acknowledge such and provide a fix
3) Dealer's and RSM/DSM's poor attitude in resolving such
4) High fuel prices, some buyers will factor this into their buy decision
5) Forecasted future fuel shortages, thus even higher fuel prices
6) GM Employee Pricing has hurt the entire used car market
7) Many more than above, but too lazy to think of others
Take your pick. I still love my V. I paid sticker and still feel I received great value. My V will be with me for five, maybe even ten more years, so I am not concerned with trade-in value. Good luck with your sale...
1) Crappy rearend, looking forward to upgrading mine when it blows
2) GM/Cadillac's failure to acknowledge such and provide a fix
3) Dealer's and RSM/DSM's poor attitude in resolving such
4) High fuel prices, some buyers will factor this into their buy decision
5) Forecasted future fuel shortages, thus even higher fuel prices
6) GM Employee Pricing has hurt the entire used car market
7) Many more than above, but too lazy to think of others
Take your pick. I still love my V. I paid sticker and still feel I received great value. My V will be with me for five, maybe even ten more years, so I am not concerned with trade-in value. Good luck with your sale...
Just out of curiousity, what did GM offer you in trade ('04 I presume). Last I looked they were still running in the low-middling $30s for '04s on E-bay, and low $40s to maybe mid-$40s for '05s.LS6-CTS-V said:
I'm curious what GM dealer would offer in trade...
Brian R.
Yeah, the employee discount pricing has totally killed the resale values. I got totally screwed when I traded in my 03' Z71 Tahoe a few weeks ago for an 05' Infinity QX 56. I'm done with GM after getting boned on my last two trades (Vette, Tahoe). I plan to keep the V for a while to come but I seriously think that the V will be the last American made car I own.
'05 LS6 V Stealth Grey; '14 Z71 SLT Sierra 1500 Stealth Grey
Joined
·
2,823 Posts
Just wait till CVP gets a hold of this thread, he is viscious.:bomb: On the depreciation part- its a car, not an investment. It isn't the only one of its kind. Its not a historical car. Once you put any miles on it after delivery, forget it price chopped. Even jewelry drops in value, then hopefully will rise again. You can't buy a car for the value rising. You have to just put foot to floor and enjoy it. Just my spare change that your mom gave me last night on my way out the door.
In 1998 I bought an Ivory Pearl 1995 Infinti Q45t for $18,000 with 22,000 miles on it, just 3 years old, low mileage and flawless. The guy I bought it from paid nearly $60,000 out the door, it came with the PO so I know what he paid. One of the reasons I bought my V used.
I like to let someone else take the lumps. :thepan:
Now that's depreciation.
I like to let someone else take the lumps. :thepan:
Now that's depreciation.
Buy 'em used and worry whether or not you got a good one, or buy them new and drive them for about ten years and don't worry about the depreciation....... like the man said, it's not an investment, it's a cost you pay for your driving entertainment. If you want to buy it as an investment, the day you buy it, cover it and store it for about thirty years and hope that you live long enough to sell it for more than you paid for it.koop said:
There's also the problem of low demand. CTS-Vs didn't disappear off the lots like M5's, AMG's, or (dare I say) 300C's. Prior to employee pricing, dealers were discounting the V to get rid of it. This is not conducive to the car holding its value.
My opinion is that it is low demand. Even people that are seriously impressed with my V don't realize they are even made.
I think that is why I got my '04 new, after it sat in a dealer showroom for a full year, for $41,000. Really, although I wanted a CTS-V since I first read about them, it is the only reason I actually bought it...it was just too good of a deal, and essentially I avoided the first year of depreciation...maybe more.
My other thought is that now that an LS2 is on it's way, maybe some would be going for the "new" version?
I think that is why I got my '04 new, after it sat in a dealer showroom for a full year, for $41,000. Really, although I wanted a CTS-V since I first read about them, it is the only reason I actually bought it...it was just too good of a deal, and essentially I avoided the first year of depreciation...maybe more.
My other thought is that now that an LS2 is on it's way, maybe some would be going for the "new" version?
I buy 'em used with the Factory Warranty still intact. My V had 3 years and 10 1/2 months remaining on the factory warranty, I put $12,500 less out of pocket from what the previous owner actually paid for a 6 week old car. I like to turn my daily drivers over every 18 months or so and this saves some wallet pain. I'm sure I'll have just as much worry free fun as any other V owner. We all have a shit eating grin when we drive our V, mine might show some extra teeth though.NIK said:
A small fraction of American buyers want a car like the CTS-V. Most people can't drive stick, they don't want a loud exhaust and they want an engine that idles smoother than the LS6.
Pricing from a dealer... around $28 - $29K (that's a high estimate) for an '04 with around 22,000 miles on it.
Pricing from a dealer... around $28 - $29K (that's a high estimate) for an '04 with around 22,000 miles on it.
Do you have any links for such a car? If you don't want to post here, could you email to me? [email protected]Vrocks said:Pricing from a dealer... around $28 - $29K (that's a high estimate) for an '04 with around 22,000 miles on it.
Thanks,
Rich
Rich,Rich64SS said:
It's my '04, and it has about 23,000 miles on it now. A wholesaler offered around 30,000 for it and that's why I figured a dealer would offer other V owners around $28 - $29,000 (I'd guess that they'd probably try to sell it for around $32,000).
Whoever does end up with my '04 is getting a good one. Still on the original diff (no whinning) and it's never been in the shop for anything but routine oil changes and recalls. Even though I did drive it hard once in a while the car is in perfect mechanical shape.
- clutch is perfect.
- still on original brake pads, which were checked about 2,000 miles ago by my dealer.
- one wheel is scratched but it's an easy repair.
- Needs new wipers
If the wholesaler doesn't want it in the next week or two I'll send you an e-mail. I'll also let you know if the wholesaler takes my V.
Vrocks
You can point it out to a million different things, but I'm in the car sales business and there is only one reason at this point why the V's resale value has suffered so much in the last few months.
GM's employee pricing program.
Before this, the resale was very high on these cars. Unfortunately, those people got a great deal, but hurt the rest of the market. Unlike Ford who only applied their employee pricing to certain vehicles (ie excluding Mustang, Escape hybrid, etc) to keep their values up, GM just did it cross the line except for the Vette. And now that GM has opened the floodgate to incentives on the V, its gotta keep 'em coming.
Like someone said, if you get it good up front, you're going to take it in the rear on the trade in. Oh well. I'm not planning on getting rid of mine for awhile anyway.
GM's employee pricing program.
Before this, the resale was very high on these cars. Unfortunately, those people got a great deal, but hurt the rest of the market. Unlike Ford who only applied their employee pricing to certain vehicles (ie excluding Mustang, Escape hybrid, etc) to keep their values up, GM just did it cross the line except for the Vette. And now that GM has opened the floodgate to incentives on the V, its gotta keep 'em coming.
Like someone said, if you get it good up front, you're going to take it in the rear on the trade in. Oh well. I'm not planning on getting rid of mine for awhile anyway.
1 - 20 of 24 Posts
