Car Dealers Future Value
When you visit one of the many car dealers out there to buy your new vehicle, you’re usually thinking about value. Invariably, the recommended retail price on most brand new vehicles just doesn’t seem like good value for money, but what about the dealers’ offers? If the saving provided is large enough to tempt you, then you probably think that the value of the vehicle is more or less justified. After all, what constitutes value is really down to the individual’s perspective.
Many of us should be more concerned about the future value of the car and how much our car will depreciate. After all, unless you’re intending to keep the car for many, many years to come, there’ll come a point, possibly in just a few years time, when you’ll want to trade in the vehicle for a sparkly new one.
And that’s when the harsh reality will hit you in the face like the proverbial wet kipper. For the depreciation of brand new cars makes for pretty horrendous reading. Most of us have heard stories about a brand new car depreciating by thousands of pounds almost as soon as its four tyres touch the tarmac outside the forecourt, but just what is the reality of the situation?
Well, if you’re rich enough to be able to buy a supercar, but find yourself in the position that you’d like to trade it in for something else - say a year later - then prepare to lose a lot of money. According to a survey by car experts Parkers, a Maybach 62 – one of the most luxurious cars in the world – will lose over £127,500 in value in just one year. A Rolls-Royce Phantom will lose over £81,000 and a Ferrari 612 Scaglietti over £55,500.
Of course, if you’re rich enough to even buy one of these in the first place, then losing money – however much – won’t necessarily hurt your bank balance. For the rest of us, the idea of value raises its head again. So, which cars depreciate the least and therefore offer long-term value? The Honda Jazz loses only £1,379 on its list price, with the Fiat 500 coming in second with £1,460 and the SEAT Ibiza third with a depreciation of only £1,552. Now that sounds more like it, doesn’t it?
The moral of the story is: when it comes time to visit one of your local car dealers for a new car, there’s a clearly only one type of car to buy. When it comes to depreciation and future value, the real ‘super’ cars are small cars.
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