Why does 06 525 have lower depreciation than 06 530?
#11
Contributors
Join Date: Nov 2004
Location: Essex, UK
Posts: 2,325
Likes: 0
Received 0 Likes
on
0 Posts
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
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
[/quote]
With those figures I hope it's $'s!!!!! (Plus the poster is American)
#12
Contributors
Join Date: Oct 2005
Location: Ohio, USA
Posts: 687
Likes: 0
Received 0 Likes
on
0 Posts
My Ride: 2006 530xi. Deep green with beige interior. 6 speed manual. Premium package.
It is US $ - sorry - another bad American assumption. I got the values straight from KBB.
I do have trouble believing their figures becasue that means since I got a stripped down 06 - meaing few options, then the car has lost only a few percent since I bought it.
I do have trouble believing their figures becasue that means since I got a stripped down 06 - meaing few options, then the car has lost only a few percent since I bought it.
#13
Members
Thread Starter
Join Date: Dec 2005
Location: Central California. Plenty of sunshine. Hot in Summer, but NO humidity. :)
Posts: 96
Likes: 0
Received 0 Likes
on
0 Posts
My Ride: In the process of buying the right 2006 530i
Kelley Blue Book, 2005 525i, Automatic, 12,000 miles, LA zip code
Equipment
Premium Pkg
Sport Pkg
Air Conditioning
Power Steering
Power Windows
Power Door Locks
Telescoping Wheel
Cruise Control
AM/FM Stereo
Single Compact Disc
Dual Front Air Bags
Front Side Air Bags
ABS (4-Wheel)
Traction Control
Leather
Dual Power Seats
Moon Roof
Alloy Wheels
Trade-In Value $36,725
2005 530
Engine: 6-Cyl. 3.0 Liter
Trans: Automatic
Drive: RWD
Mileage: 12,000, LA zip code
Equipment
Premium Pkg
Sport Pkg
Air Conditioning
Power Steering
Power Windows
Power Door Locks
Telescoping Wheel
Cruise Control
AM/FM Stereo
Single Compact Disc
Dual Front Air Bags
Front Side Air Bags
ABS (4-Wheel)
Traction Control
Leather
Dual Power Seats
Moon Roof
Alloy Wheels
Consumer Rated Condition: Excellent
"Excellent" condition means that the vehicle looks new, is in excellent mechanical condition and needs no reconditioning. This vehicle has never had any paint or body work and is free of rust. The vehicle has a clean title history and will pass a smog and safety inspection. The engine compartment is clean, with no fluid leaks and is free of any wear or visible defects. The vehicle also has complete and verifiable service records. Less than 5% of all used vehicles fall into this category.
Trade-In Value $39,750
So, according to http:/www.kbb.com the depreciate equally. I wonder if BMW Financial added the 2% because of the 06 525i's new engine power. It is interesting.
Equipment
Premium Pkg
Sport Pkg
Air Conditioning
Power Steering
Power Windows
Power Door Locks
Telescoping Wheel
Cruise Control
AM/FM Stereo
Single Compact Disc
Dual Front Air Bags
Front Side Air Bags
ABS (4-Wheel)
Traction Control
Leather
Dual Power Seats
Moon Roof
Alloy Wheels
Trade-In Value $36,725
2005 530
Engine: 6-Cyl. 3.0 Liter
Trans: Automatic
Drive: RWD
Mileage: 12,000, LA zip code
Equipment
Premium Pkg
Sport Pkg
Air Conditioning
Power Steering
Power Windows
Power Door Locks
Telescoping Wheel
Cruise Control
AM/FM Stereo
Single Compact Disc
Dual Front Air Bags
Front Side Air Bags
ABS (4-Wheel)
Traction Control
Leather
Dual Power Seats
Moon Roof
Alloy Wheels
Consumer Rated Condition: Excellent
"Excellent" condition means that the vehicle looks new, is in excellent mechanical condition and needs no reconditioning. This vehicle has never had any paint or body work and is free of rust. The vehicle has a clean title history and will pass a smog and safety inspection. The engine compartment is clean, with no fluid leaks and is free of any wear or visible defects. The vehicle also has complete and verifiable service records. Less than 5% of all used vehicles fall into this category.
Trade-In Value $39,750
So, according to http:/www.kbb.com the depreciate equally. I wonder if BMW Financial added the 2% because of the 06 525i's new engine power. It is interesting.
#14
Members
Join Date: Jul 2005
Location: Charleston, SC
Posts: 146
Likes: 0
Received 0 Likes
on
0 Posts
My Ride: MY06 530i, US Spec, Premium, Nav, HUD, Comfort seats, CWP, Sport package, Rear side airbags. Produced Sep 06.
[/quote]
Not trying to know your ride, but I drove both and the 525i was just underpowered IMHO. Had to the extra (albeit modest) HPs! Merry Christmas!!
#15
Contributors
Join Date: Sep 2005
Location: Hong Kong
Posts: 3,585
Likes: 0
Received 0 Likes
on
0 Posts
My Ride: In a place where the Mercedes density is the highest in the world (no. of MB per square kilometer) I choose a Bimmer, why? because of one thing "The Ultimate Driving Experience"
My Ride:
523i Steptronic, Silver Grey Exterior, Black Interior with Black Dakota Leather and Maple Wood Trim. Chrome Grill, Style 123 rim, Airbags everywhere, PDC, Rain sensor, Auto lights, Moveable front armrest, Advance Climate Control, Glass Sunroof, Auto dimming interior and exterior mirror with foldable functions, Extended Lights package, 6 CD changer in glove box, Power seats with memory, Power adjustable steering wheel, Power rear sunblinds.
Add ons: 123 wheels, chrome grill, K&N Hi flow filter, Eibach Pro Kit, e60.net decal and 24,000km
Past rides:
2001 Nissan Xterra SE
1999 E39 523i
1999 E46 323i
1996 Acura Integra LS
This is certainly true if you live in Hong Kong where the size of your engine determines the price you pay for renewal of your license's fee. Case in point, my previous E39 523i is basically $1000 USD less than a same year 540i which is a real bargin if you don't mind paying more each year for license and gas.
But in the states, I don't think it matter that much as size of the engine only determines your fuel consumption and well maybe the price of oil change at BMW (6 cyl. vs 8 cyl.)
But in the states, I don't think it matter that much as size of the engine only determines your fuel consumption and well maybe the price of oil change at BMW (6 cyl. vs 8 cyl.)
#16
Senior Members
Join Date: Oct 2005
Location: Carlsbad, California
Posts: 340
Likes: 0
Received 1 Like
on
1 Post
My Ride: 2007 BMW 550i Sport Pkg, 6MT
Originally Posted by Red' post='215321' date='Dec 24 2005, 12:54 PM
Not trying to know your ride, but I drove both and the 525i was just underpowered IMHO. Had to the extra (albeit modest) HPs! Merry Christmas!!
#17
Members
Join Date: Mar 2005
Location: Los Angeles, CA
Posts: 246
Likes: 0
Received 0 Likes
on
0 Posts
My Ride: 2007 530i, white/black manual, sports package, nav, PDC, etc.
It might be that BMW wants to move more 525i's for a variety of reasons, including CAFE. Generally speaking, cars with bigger engines tend to depreciate faster anyway. The resale on V8s is notoriously weaker than smaller, more fuel efficient I6s.
Originally Posted by BMWDoug' post='215124' date='Dec 23 2005, 11:50 PM
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?
#18
Senior Members
Join Date: Oct 2004
Location: NW , England
Posts: 412
Likes: 0
Received 0 Likes
on
0 Posts
i wonder why anyone in LA needs a car that goes over 50 mph, last time i drove there (nov ) that was the fastest i could ever go, with all the traffic, maybe if they learned how to drive on the freeways and used the lanes correctly this would help
#19
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?
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
[/quote]
Not sure where you got those prices from. I was a bit perplexed with them. Whilst I can understand a higher percentage loss with the 530i, what I couldnt figure out was how a used 530i could be cheaper in ? terms than an equivalent 525i. Its just not logical. If I was presented with the scenario above and knowing that the 525i is not significantly more economical than the 530i, I would pick the used 530i, save some money and get more power.
To check it out for myself, I went to Parkers -
525i Sport Auto 2004/54 plate
Cost New ('04) ? 32457
Franchised Dealer ? 27485
Independent Dealer ? 26050
Private Good ? 25095
Private Poor ? 22705
Part Exchange ? 23660
530i Sport Auto 2004/54 plate
Cost New ('04) ? 36007
Franchised Dealer ? 28920
Independent Dealer ? 27415
Private Good ? 26405
Private Poor ? 23890
Part Exchange ? 24900
The SE models produce similar differences with the 530i always worth more. Glasses guide also delivers similar results. Seems more logical.
Also for new E60 buyers in the UK, don't forget that the 530i includes metallic paint as standard whilst on the 525i it costs extra. Slightly reduces the price difference. Not sure if there are any other equipment differences.
#20
Contributors
Join Date: Nov 2004
Location: Essex, UK
Posts: 2,325
Likes: 0
Received 0 Likes
on
0 Posts
Originally Posted by norham' post='215151' date='Dec 24 2005, 12:20 PM
[quote name='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?
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?
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
[/quote]
Not sure where you got those prices from. I was a bit perplexed with them. Whilst I can understand a higher percentage loss with the 530i, what I couldnt figure out was how a used 530i could be cheaper in ? terms than an equivalent 525i. Its just not logical. If I was presented with the scenario above and knowing that the 525i is not significantly more economical than the 530i, I would pick the used 530i, save some money and get more power.
The SE models produce similar differences with the 530i always worth more. Glasses guide also delivers similar results. Seems more logical.
Also for new E60 buyers in the UK, don't forget that the 530i includes metallic paint as standard whilst on the 525i it costs extra. Slightly reduces the price difference. Not sure if there are any other equipment differences.
[/quote]
I would agree that the absolute price of an 'equivalent' 525i/530i that the 530i would always cost more. However, the percentage lost on a 530i would be more relative to the initial purchase price.