20% depreciation in first year? true?

[Kangadrool]

Thats Spore. Unique again.

 

U never kenna those ang mo come here wan to buy car. U tell the price ty think either u r mad or u trying to cheat them .

 

Most confusing to them is how can a 9 year old car b cheaper than a 11 year old (COE renewed) car.

 

Ya, had a finance guru posted here. Shopped for new car and he can't understand the pricing, commented too complicated.

 

We just tell him, just go and pick the one you like, we check the pricing. If OK, we give it to you. You no need to understand since under company account.

[Pisces69]

Ya, had a finance guru posted here. Shopped for new car and he can't understand the pricing, commented too complicated.

 

We just tell him, just go and pick the one you like, we check the pricing. If OK, we give it to you. You no need to understand since under company account.

 

 

 

Hahaha. Ya same wh me last time.

 

Too trouble to sit down n explain e whole system to them. Can take several hours b4 ty start to ustand.

[Moneysucker]

there is something i dont understand.

 

i was looking at bmw 730 and 335.

 

both around 5 years old but it seems that the depreciation for the 730 is much much lower.

even though the 730 OMV is higher than 335.

 

why ah?

 

isnt 730 more "high end?" and more expensive when new?

and more expensive car generally have higher depreciation?

Edited June 14, 2013 by Moneysucker

[Wt_know]

730 less buyer, 335 more buyer

 

demand and supply ... something that less people 'fight' = less value

 

there is something i dont understand.

 

i was looking at bmw 730 and 335.

 

both around 5 years old but it seems that the depreciated for the 730 is much much lower.

even though the 730 OMV is higher than 335.

 

why ah?

Edited June 14, 2013 by Wt_know

[Moneysucker]

actually even 740 depreciation is lower

[Moneysucker]

730 less buyer, 335 more buyer

 

demand and supply ... something that less people 'fight' = less value

 

if less buyer, then why is the brand new price of 730/740 higher than 335?

[Wt_know]

walao ... u ok or not?

you expect a 730/740 which the car is 1.5x bigger, spec is 1.5x higher, status is 2x upper than 335 to be sold cheaper or equal 335?

 

i'm just saying for "popular" model ... the premium is higher as there are many potential buyers especially for used car that you mentioned 5 years old ... understand?

 

just like 99LH condo ... the smaller the unit the higher the psf ... the larger the unit the lower the psf ... that's because total cost and potential buyers (demand)

 

if less buyer, then why is the brand new price of 730/740 higher than 335?

Edited June 14, 2013 by Wt_know

[Dark_flan]

As topic suggests. I know the first owner is going to get the highest depreciation but the percentage I think may varies..

[Moneysucker]

walao ... u ok or not?

you expect a 730/740 which the car is 1.5x bigger, spec is 1.5x higher, status is 2x upper than 335 to be sold cheaper or equal 335?

 

i'm just saying for "popular" model ... the premium is higher as there are many ready buyers especially for used car that you mentioned 5 years old ... understand?

 

first lets assume 335 is more "popular" than 730/740.

 

Brand new

- 730/740 more expensive than 335.

- So the popularity factor doesnt apply here? Only the 1.5 times bigger, 1.5 times higher status apply?

 

When 5 years old

- 335 is now more expensive

- So now the "popularity" factor suddenly applies? And the 1.5 times bigger factor no longer apply?

 

This is what i dont understand

[Errickyap]

because some cars people don't usually buy second hand

 

7 series are to towkays, they like to buy brand new. Used 7 series are for towkays who is either budget sensitive or not so rich (not a big market)

 

as for 335i, youngsters, yippies, professionals, serious drivers who appreciate a good drive and also singles all will consider it. the audience is much bigger.

 

Running cost and parts cost between the 2 also diff, 7 series parts are mostly more costly and thus will cost more to run.

 

335i wise only the engine is big ticket items, rest is just usual 3 series stuff.

 

 

[Moneysucker]

because some cars people don't usually buy second hand

 

7 series are to towkays, they like to buy brand new. Used 7 series are for towkays who is either budget sensitive or not so rich (not a big market)

 

as for 335i, youngsters, yippies, professionals, serious drivers who appreciate a good drive and also singles all will consider it. the audience is much bigger.

 

Running cost and parts cost between the 2 also diff, 7 series parts are mostly more costly and thus will cost more to run.

 

335i wise only the engine is big ticket items, rest is just usual 3 series stuff.

 

ok it makes senses.

 

I wonder why are there not more people buying 4-5 year old 730/740 since they are relatively cheap

Edited June 14, 2013 by Moneysucker

[Hydrocarbon]

because some cars people don't usually buy second hand

 

7 series are to towkays, they like to buy brand new. Used 7 series are for towkays who is either budget sensitive or not so rich (not a big market)

 

as for 335i, youngsters, yippies, professionals, serious drivers who appreciate a good drive and also singles all will consider it. the audience is much bigger.

 

Running cost and parts cost between the 2 also diff, 7 series parts are mostly more costly and thus will cost more to run.

 

335i wise only the engine is big ticket items, rest is just usual 3 series stuff.

 

[thumbsup] Great explanation.

 

Was comparing between Z4 and 640i, (both convertible ones), the depre also roughly the same, maybe 640i 1-2k more per year. Same thing as what bro Errickyap said.. Haha.. (comparing for friend, not myself)..

[Sdf4786k]

with the improved reliability of BMW, has the depreciation greatly reduced or is depreciation a foregone conclusion as everything is now 35% off frist year, 20% for second to 3rd year.

 

Base on the SGCARMART depreciation numbers

 

[Qaz20]

with the improved reliability of BMW, has the depreciation greatly reduced or is depreciation a foregone conclusion as everything is now 35% off frist year, 20% for second to 3rd year.

 

Base on the SGCARMART depreciation numbers

Hmmm. Improved reliability of BMW??

 

Had friend with new X3 and 3 series visiting Performance Motor due to various issues in the 1st 6 months of driving.