Why does 06 525 have lower depreciation than 06 530?
12-23-2005, 10:50 PM
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My Ride: In the process of buying the right 2006 530i
How come the 525i has a lower depreciation rate than the 06 530? Even BMW Financial has the 06 525 2 percent better than the 530. It is not a whole lot, but I thought it would have been reversed. Does anyone know why the 525i holds value better?
12-23-2005, 11:36 PM
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Originally Posted by BMWDoug' post='215124' date='Dec 24 2005, 07:50 AM
How come the 525i has a lower depreciation rate than the 06 530? Even BMW Financial has the 06 525 2 percent better than the 530. It is not a whole lot, but I thought it would have been reversed. Does anyone know why the 525i holds value better?
12-24-2005, 03:17 AM
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Originally Posted by BMWDoug' post='215124' date='Dec 24 2005, 07:50 AM
How come the 525i has a lower depreciation rate than the 06 530? Even BMW Financial has the 06 525 2 percent better than the 530. It is not a whole lot, but I thought it would have been reversed. Does anyone know why the 525i holds value better?
12-24-2005, 03:20 AM
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Originally Posted by BMWDoug' post='215124' date='Dec 24 2005, 07:50 AM
How come the 525i has a lower depreciation rate than the 06 530? Even BMW Financial has the 06 525 2 percent better than the 530. It is not a whole lot, but I thought it would have been reversed. Does anyone know why the 525i holds value better?
12-24-2005, 03:34 AM
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My Ride: 2004 520i, mystic blue, steptronic, beige leather, pdc, bluetooth, rain sensor, BMW sport kit fitted, 18" 166 rep BMW rims , de-badged, cherished reg. chrome grill,
[/quote]
A bit of research here in the UK Both of these are 05 models
Basic 525se ?29357 new
to sell now privately ?25460 10k miles
Part exchange ?24005
basic 530ise ?31957
to sell privately ?24515 10k miles
Part exchange ?23115
All this for 43bhp more at ?2600 works out at ?60 per 1bhp and a lower resale value, higher ins poorer mpg
conclusion 530i is an orphan or soon will be IMO of course
12-24-2005, 05:05 AM
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My Ride: 2006 530xi. Deep green with beige interior. 6 speed manual. Premium package.
That is the opposite of here in the US - I could not believe your numbers so I did some research at kelly blue book and found that
05 525 - 15,000 miles, auto trans:
trade in = 34,150
private party = 39,395
retail = 44,940
BTW - new is 43,270 (I guess there is an assumption that no one gets one without options)
05 530 - 15,000 miles, auto trans:
trade in = 37,125
private party = 42,470
retail = 48,115
BTW - new = 47,370 - same assumption
so IMHO the 530 holds it value the same as a 525
when I was looking I found that the 525 lease money factor was .002 higer for the 525 (or higher interest) but for the 530xi and 525xi residual values were the same, but you are right, a base 525 has 2% more residual value at 2 years.
Now, I am always willing to offer my opinion, so here it is. The numbers are set by BMW, so they change them to get rid of the cars that they want or have extra of. Some months want to sell 525's, other months 530's. Either way they retain their value close to what the original price was.
I also think that if someone is looking at a 5 series in the US as a good value they are crazy. If economy drives your decision an accord is a great car.
I did limit my options becasue of price, but I had to have a five series. My BMW will loose more in vlaue in one year than the car that I was driving prior to this was worth.
Sorry - this may only make some sense because it is early.
05 525 - 15,000 miles, auto trans:
trade in = 34,150
private party = 39,395
retail = 44,940
BTW - new is 43,270 (I guess there is an assumption that no one gets one without options)
05 530 - 15,000 miles, auto trans:
trade in = 37,125
private party = 42,470
retail = 48,115
BTW - new = 47,370 - same assumption
so IMHO the 530 holds it value the same as a 525
when I was looking I found that the 525 lease money factor was .002 higer for the 525 (or higher interest) but for the 530xi and 525xi residual values were the same, but you are right, a base 525 has 2% more residual value at 2 years.
Now, I am always willing to offer my opinion, so here it is. The numbers are set by BMW, so they change them to get rid of the cars that they want or have extra of. Some months want to sell 525's, other months 530's. Either way they retain their value close to what the original price was.
I also think that if someone is looking at a 5 series in the US as a good value they are crazy. If economy drives your decision an accord is a great car.
I did limit my options becasue of price, but I had to have a five series. My BMW will loose more in vlaue in one year than the car that I was driving prior to this was worth.
Sorry - this may only make some sense because it is early.
12-24-2005, 05:22 AM
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Originally Posted by BMWDoug' post='215124' date='Dec 24 2005, 09:50 AM
How come the 525i has a lower depreciation rate than the 06 530? Even BMW Financial has the 06 525 2 percent better than the 530. It is not a whole lot, but I thought it would have been reversed. Does anyone know why the 525i holds value better?
12-24-2005, 08:45 AM
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My Ride: Gone: 2004 525i Jet Black, Built 03/04, Premium Package, Black Dakota Leather, Halogen to Euro Spec Bi-Xenons Retrofit, Dark Poplar Wood Trim, Steptronic Breyton Spirit Reps 20x9F 20x10R - Nitto NT555 245/35/20F-275/30/20R, M5 Front Bumper, H&R Sport Springs, Chrome Grills, 20% Tint, Euro Reflectors, Debadged, Aux Input, CIP v19.x
[/quote]
Agreed
12-24-2005, 09:20 AM
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My Ride: 2005 BMW 330i Orient Blue exterior Beigh leather interior with Wood trim, Premium package, Steptronic auto, Xenon headlights.
no doubt any 5 series is a good car. We used to own a 2002 E39 525i and we really enjoyed that car so much. felt like a classic true BMW in our minds. don't get me wrong we love our 2005 530i and 330i. but that was the first BMW we keeped for such a long time and we still miss it. E39 is great and the E60 is better, but we are glad we were able own such a wonderful BMW product.
12-24-2005, 09:24 AM
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My Ride: 2004 520i, mystic blue, steptronic, beige leather, pdc, bluetooth, rain sensor, BMW sport kit fitted, 18" 166 rep BMW rims , de-badged, cherished reg. chrome grill,
Originally Posted by dgjk' post='215171' date='Dec 24 2005, 02:05 PM
That is the opposite of here in the US - I could not believe your numbers so I did some research at kelly blue book and found that
05 525 - 15,000 miles, auto trans:
trade in = 34,150
private party = 39,395
retail = 44,940
BTW - new is 43,270 (I guess there is an assumption that no one gets one without options)
05 530 - 15,000 miles, auto trans:
trade in = 37,125
private party = 42,470
retail = 48,115
BTW - new = 47,370 - same assumption
so IMHO the 530 holds it value the same as a 525
when I was looking I found that the 525 lease money factor was .002 higer for the 525 (or higher interest) but for the 530xi and 525xi residual values were the same, but you are right, a base 525 has 2% more residual value at 2 years.
Now, I am always willing to offer my opinion, so here it is. The numbers are set by BMW, so they change them to get rid of the cars that they want or have extra of. Some months want to sell 525's, other months 530's. Either way they retain their value close to what the original price was.
I also think that if someone is looking at a 5 series in the US as a good value they are crazy. If economy drives your decision an accord is a great car.
I did limit my options becasue of price, but I had to have a five series. My BMW will loose more in vlaue in one year than the car that I was driving prior to this was worth.
Sorry - this may only make some sense because it is early.
05 525 - 15,000 miles, auto trans:
trade in = 34,150
private party = 39,395
retail = 44,940
BTW - new is 43,270 (I guess there is an assumption that no one gets one without options)
05 530 - 15,000 miles, auto trans:
trade in = 37,125
private party = 42,470
retail = 48,115
BTW - new = 47,370 - same assumption
so IMHO the 530 holds it value the same as a 525
when I was looking I found that the 525 lease money factor was .002 higer for the 525 (or higher interest) but for the 530xi and 525xi residual values were the same, but you are right, a base 525 has 2% more residual value at 2 years.
Now, I am always willing to offer my opinion, so here it is. The numbers are set by BMW, so they change them to get rid of the cars that they want or have extra of. Some months want to sell 525's, other months 530's. Either way they retain their value close to what the original price was.
I also think that if someone is looking at a 5 series in the US as a good value they are crazy. If economy drives your decision an accord is a great car.
I did limit my options becasue of price, but I had to have a five series. My BMW will loose more in vlaue in one year than the car that I was driving prior to this was worth.
Sorry - this may only make some sense because it is early.
