Subaru brz resell value
 

I'm really confused why everyone thinks that their car doesn't lose any value after they bought it.
People in the marketplace are listing their cars for barely less than they bought it for.

Whatever happened to your car losing 10-20% of value the moment you drove it off the lot?

Low inventory at dealerships causing this trend? I was expecting a few people to list their car a little high, but it seems everyone is. Maybe its just the forum people.

wow I can't spell today.
resale*

consider the demand and the lack of supply

also the fact that many dealerships are selling way above the MSRP and still off loading cars

Hell there are FRS selling at BRZ prices and still getting sold

This is the hottest car on the market right now I've had a guy ask to buy the car from me for 5K more than I got it for.

Not so weird IMO

Supply and Demand my friend. Demand is high, supply is low. Not to mention the car was hyped to ungodly levels, similar to the civics of yesteryear the boyracers will keep the resale value above where it should be.

These cars are vastly overpriced used right now. I'd wait til next year to see what prices are really like.

Supply and demand, friend.

The market demands a return to closer market equilibrium price soon enough. As Qs increased, Qd will decrease and the equilibrium move back. Considering there's a replacement/similar/identical good on the market (FR-S), I think the current equilibrium price isn't staying where it is for very long.

until there is an actual blue book value listed, anything goes. It may not seem fair if you are trying to snatch one up right now used. But if you bought one new and try to trade it in so soon for some strange reason it can work in your favor.

Example: I bought a new 03 350z and traded it in 6 months after b/c even though I was single it was not practical having no back seat with lots of drunk friends. At that time there was no blue book value listed.
I paid 30k
traded for 25k (6k miles)
I was only 5k upside down.

few months later bb value established was less than I got for it, dealer ate difference.

there is a dealer up the street selling a used brz limited for 33k....WTF? right?

Wait it out and you'll find what you want. Right now everyone wants to make a profit

just my 2 pennies

I traded in a manual FRS with 2500 miles on it, gave the guy 25500 for it, which was 600 more than he paid for it. Sold it two days later for 26,988. Like everyone is saying supply is low, demand is high. Until you can convince everyone not to pay over sticker for these cars, values will stay high.

Once the market gets a little more saturated, demand dies down, and dealers have them sitting on their lots, aasking prices of used BRZ's should start to drop. This isn't all that uncommon for new, high demand, limited production cars.

Correct!

Sudden horrible flashbacks to my high school economics class...

Economics in Highschool! :confused0068:

Either you're much older than me or much younger. Never heard of such thing and I've been saying for years that economics and finance (especially personal finance) should be taught in high school.

AP Economics brotha! It was hell!

And I was in High school last year, lol.

I had to take it 12 years ago.

I was looking at the used market yesterday too, just to see where everything is sitting. A few are selling for more than a new one, but I saw a couple FRSes listed under 24k. And keep in mind that the posted price is just that, a posted price. It doesn't necessarily mean that's what you have to pay.

Yeah, no shit. There's a listing on Autotrader for a BRZ Limited in NC, I think, and the car isn't even in his/her posession. The owner of the listing is selling the car that he/she has on order, with an estimated delivery in December, for 33k.

edit: here it is http://www.autotrader.com/cars-for-s...ngId=330877078

if ya willing to travel some,come to new england.
plenty of 'em here waitin' for the snow to arrive,so as to give the sales people somethin' to do! ehe! he! he! most of 'em still mounting the primacys! real good for new england in the winter!

There is no single market equilibrium price for a BRZ market. And for almost any car market. People don't pay the same price for the same car. It's very decentralized, there's a location, seller and a handful of potential buyers. There will be more of those right now in the warmer states.

I highly doubt people in the FS are getting their asking for their slightly used FRS/BRZ with 3-7k miles. It's possibly if there is the right buyer in the right time, but I doubt everyone is that lucky.

Quite a few people who are selling are probably upside-down on their loans and it's not easy to sell a car like that privately.

Quite a few people selling are looking to get of problematic cars with CEL issues. Finding an oblivious buyer takes time.

So, all in all, I highly doubt that everyone selling their used BRZ/FRSs is getting anything close to what they paid for. Two-three grand under is probably more realistic, especially for cars over 1k miles . Ebay is your friend when there are no regular kbb/nada/edmunds estimates.

And even if one gets close to what they paid for, people in most states are still out for a sales-tax, which is non-trivial amount to lose for a few months worth of driving.

That said, first model year cars typically remain relatively overvalued, unless plagued with serious issues. It remains to be seen how the ongoing CEL/chirping issues evolve.

don't forget that someone who bought a $25k car also paid, tax, fees, delivery charges etc. so they paid around $2,500 more than just the value of the car.

so if you see someone selling their used car for $25k with lets say 5k-10k miles thats not a bad deal (assuming you don't live in a stupid state where you have to pay taxes on a private sale)

I bought a FULLY loaded 2011 GTI with DSG with 7k miles for $24k out the door, I could've got a brand new EMPTY one for that much money.

33k for that car doesn't seem too out of line considering it has the "chrome gender trim options"...

I put my car up in the classifieds since at the time I was looking at a house and was looking to get rid of the loan. Carmax offered $23,000 which I thought was pretty good and I was just going to see if I could get more than that. Since then I found bunch of problems with the house I was looking at so I'm not planning on selling the car anymore, but there hasn't really been that much interest.

That right there is the problem. I've never fully understood how people come to this conclusion unless they were driving junk brands that have horrible resale values in the first place.

My '00 Civic Si was stolen 3.5 years after I bought it. I paid $18500 OTD with a wing on it. It had 67000+ miles which carried a massive penalty due to excess mileage. Insurance gave me $15500 for the 3.5 year old car with 67000 miles on it.

That's a 16% loss over 3.5 years, right smack in the middle the 10-20% claim. If the claim is to be believed, then does that mean the car lost that 16% on day one, but didn't lose a single penny of value for the next 3.5 years? If true, then it would be insanely idiotic to not own any cehicle for at least 3 years since the value is the same as selling it a week after purchase.

Therefore I have always concluded that the huge instant loss claim was always in regards to trash brands, crap with little to no resale value. Hondas and Toyotas sure as hell hold their value. Go shopping for a slightly used previous year of a Civic, Accord, Camry or Corolla.

In some cases those cars with 10-15k mileage will sell for within a few hundred dollars of the brand new year model(assuming it hasn't changed generations). Part of that reason though is the ability or inability to get a car loan, the rest is excellent resale value due to the brand in question.

I know nothing of Subaru resale values. I do know that with the exception of one model, Subaru scores below average in both initial 90 day quality and 3 year quality results(both J.D. Power) which most assuredly has a negative effect on resale value. But I doubt it would be even close to any average American car company in quickly dropping values(Subaru won't drop as fast).

edited to add: none of this applies to the twins however, as the others have said, supply and demand will dictate much of the resale regardless of quality. Oh yea, supercars drop like a rock with 10x gravity, unless they are one of a handful made in which case they "might" increase in value.

That's an apple to orange comparison. Decent insurance is supposed to pay you a _replacement_ value, that is how much it would cost _you_ to get the same car in a few days from a dealer. Here we're talking mostly private party and/or trade-in value, that is how much you'd get if you were trying to sell. So not what insurance paid you, but what you would've gotten if you tried to sell that car privately or traded it in.

I'll sell you mine......after I know that the BRZ STI is confirmed and I've put down my deposit. So if you don't mind waiting for 1.5 years then my BRZ is now yours ;)

I'm serious, want it? hehehe

Best news I've heard all week.

OP said nothing about trade-in or private party, he is talking about value and depreciation.

I just remembered something too, since the car was torched down to the bone it was rated in average condition instead of the near mint that it was IMO. thus further reducing its value. The rest of what you're saying has no relevance to anything the OP asked.

really doesn't matter 2 sh**s what the market,OR the car is,i would NOT pay even close to new for a used car.why would anyone do this,regardless of make,or model,in light of the fact,they are "mass produced" even in limited quantities!.if the car ya want isn't on a dealer's lot,be patient it'll show up!
point is,they are NOT going to stop producing that make,or model,so why pay
new for used,or even close to new? in my view,just idiotic!..just sayin'

case in point! anything general motors!..for years they produced dog s**t cars! now they they have finally got their s**t together,they STILL ain't worth
"crap" used,and the values drop,like they was being driven off a 'high" fuc*ing bridge! sadly ,in a lot of people's minds,they are STILL junk!

Of course he is. 10-20% instant depreciation once the car is driven off the lot - is all about trade-in or private sale.

It seems my assumption was correct based on the majority of your posts.

I agree with this..the bubble may burst.

I'm not sure where the phrase originated from either. Would be curious to find out. I also have never bought a new car. Probably partially from fear of loss of investment. Either way (new or used) you are going to lose money though. I always just assumed it would be less with a used car, again assuming you find one in good shape that doesn't require much spending in repairs.

I bought my modded 04 STi for $18,250 in June 2009 with 57,500 miles.
Sold it for $16,000 in June 2012 with 83,000 miles.

25,000 miles- $2,250 over 36 months is $62.50/month or ~$2/day or $0.09/mile. Plus insurance, gas, and maintenance of course. Insurance and gas is most likely similar to a new STi, maintenance on a used will be more if you hit a 30k, 60k, or 90k marker.

https://www.alg.com/residual-value-awards.html

Fine then. But private sale is roughly the same as dealer retail. I know I wouldn't pay more than a used car is worth from a dealer, and likewise if I'm selling privately I am going to want what it is worth, which is the same as what you talk the dealer down to from the initial inflated above value price.

You have to pick one or the other, but it can't represent both trade-in and used dealer retail. Those two numbers are as far apart from each other as possible in regards to selling used.

Who the hell trades their car in anyways? I have never and will never even consider doing this, ever. It's like saying I bought a brand new X and a pawn shop only gave me 60% new value so they can turn around and sell it for 80-90% new price. Of course it applies in that scenario, but I don't think that was the question.

Of course not. Buying from the dealer is easier, finding the right used car is also easier at the dealer, since they can arrange to get it. For an out-of-warranty car like the Civic you refer to dealers also might be required to provide a short warranty that a private party won't be likely to offer/honor.

Lot's of people trade-in their cars. Selling privately takes time and effort, for some it's not worth it.

I've had similar good fortune when selling all my Subarus. They typically hold their value very well and there definitely is a good market for private selling subarus, at least in my experience (owned 2 STis and 1 WRX and private sold all three). I think the BRZ will most likely hold value pretty well even if an STi version comes out - I base this on the fact WRX cars hold their value very well even with an STi version in the market.

That's because the WRX has a lot of value compared to the STI. I don't see the BRZ as having much value in that aspect.

I regularly see 02-03 WRX on dealer lots for between $9000 and $11000. Mine was roughly ~$9 KBB. Overpriced, still.

It's all relative - and your logic actually supports my premise. "That's because the WRX has alot of value compared to the STi". If a BRZ STi is released, it doesn't matter if it's turbo charged or not, the regular BRZ will still have a TON of value as a budget RWD sports coupe. It's already proving that versus the giants in many publication reviews.

You might have meant the WRX has alot of value as a daily driver sport car because of the 4-door sedan practicality. I think in that sense, different people are buying these cars, and the people searching for budget RWD sports coupes will be keeping demand up for the regular BRZ for a while (in theory, obviously not proven as nobody can see future).

So back to the OP's question, I think this car will do good in the "holding value" department.

My high school taught personal finance, at least 10-14 years ago. Definitely good stuff to know.

I'm so glad you're keeping it! :happyanim: I was sad to read that you were wanting to sell it.

when the turbo hits,all (standard) frs's will take a large hit! count on it!
better off to wait if you can, and get the turbo! it's right around the corner

ftfy

And also, no, I don't completely agree with this. The used pricing on the older Genesis Coupe turbo didn't hit the floor as soon as the new model with way more power came out. Same with the Mazdaspeed Miata. It may drop a bit, but I think that if we are ever offered a turbo model there will be a price hike, and the NA models will still be worth a decent amount of money.

Right, that's what I'm saying too. Any vehicle is going to eventually depreciate, but in my experience Subarus hold their value exceptionally well compared to most other brands. I think this will apply even considering the inevitable improvments Subaru makes to the BRZ in the upcoming model years.

Aha, and therein lies the tipping point. If you buy the "right" car, it sells itself. I sold my '93 Civic Si in 10 minutes. It went on sale Friday morning and by 10am I had two separate buyers beating on my door. The second guy bought it during the test drive, which pissed off the first guy who said he'd think about it while the second guy test drove.

By "right" car, I'm talking about ones with good resale value, the ones that do not apply to the age old perception(what the OP is talking about) that cars drastically lose value the moment you drive them away.

The only cars that fit that statement are junk brands. Hondas and Toyotas sell themselves privately or from a dealership...especially Si and top models. The twins most likely will fall into this category I think for other reasons as well assuming it is priced correctly(retail or close).

Therefore the idea that a vehicle loses value could only apply to people considering a trade-in brings me back to my point that it couldn't be trade-in value people are talking about. That would be similar to announcing to the world that water is wet and grass is green! Of course you don't get $100 for your item that is worth...$100. It goes without saying.

yes! a price hike,but it will be the one the "purists" will want,and unfortunately relegate the (standard) to just another good handling sports coupe

it's ok to dream i do too on occasion! i am a realist though,and not in denial.
the car WILL depreciate faster with a companion turbo model competing for the "same" "limited" market!.

you must have (g.m.) in mind when you refer to "junk" models. granted, when they leave the lot for the first time,the "bleeding" doesn't stop.