Beware of resale value

[ndabunka]

Originally Posted by 12X5M

What was the MSRP. I had a 2012 X5 M Silverstone/Black MSRP $100K with Full hood/fender/bumper ventureshield and tint(1,500.00) and Passport 9500ci ($2,500.00). It had 1,200 miles... I got $81,00.00 on it. I also got a $1,500.00 competitor trade-in rebate Total $82,500.00. Kept it from Aug 2011-March 2012. The car had some paint chipped off on the side fender by the idiot technicians of BMW of Austin. Traded for a 2013 Lexus LX570.
I got tax credit also $5,062.50. Texas (6.25%% Tax rate) Not always better to sell private party. No way in hell i would be able to get $87,562.50. I took a loss of $16,000.00

You took a larger loss than that because you had to pay the sales tax on it when you bought it (on TOP of the MSRP or whatever price you negotiated). ALL the high performance cars SUCK if you only keep them for a year or two. Best to buy them from guys who have "dumped" them so that someone else takes the initial depreciation hit. At least, that is what I do. Shopping these now and can get them in the $60K range (for a 2010 model)

[krisnetaji]

Originally Posted by ndabunka

You took a larger loss than that because you had to pay the sales tax on it when you bought it (on TOP of the MSRP or whatever price you negotiated). ALL the high performance cars SUCK if you only keep them for a year or two. Best to buy them from guys who have "dumped" them so that someone else takes the initial depreciation hit. At least, that is what I do. Shopping these now and can get them in the $60K range (for a 2010 model)

No. In Texas you do not have to pay sales tax again on the valued trade in price. (in my case $81,000.00) This is if you PURCHASED the vehicle originally. Also people looking to buy a $100K+ Car frankly are not going to look for a used car. They are going to want new. BMW //M cars always have terrible resale value

[mylqve]

The truth is the dealer has to resell the car and make a profit. So you are definitely better off selling it privately to cut out that middleman. But would you go through that trouble?

[ndabunka]

Originally Posted by mylqve

The truth is the dealer has to resell the car and make a profit. So you are definitely better off selling it privately to cut out that middleman. But would you go through that trouble?

When the value of that effort is $5K or $10K, you bet your rear end I would. I have always owned high-end cars and have only traded one of those 15 in over the past 30 years. The ONLY reason I traded that one was due to the tax benefits for my business at that time (truck over 6K lbs).

[krisnetaji]

Originally Posted by mylqve

The truth is the dealer has to resell the car and make a profit. So you are definitely better off selling it privately to cut out that middleman. But would you go through that trouble?

Not always true for example in my case:

2012 BMW X5M $100,275.00 MSRP Radar/Tint/Ventureshield. 1,200 miles
Offer: $81,000.00 + $1,500 (Lexus conquest competitor rebate)=$82,500
Tax Savings Texas 6.25% ($5,062.50)= Net $86,062.50. Their is no way in hell i could have got any more infact the lexus dealer did not want the car. They had to ship the car 200 miles a way. The BMW dealer where i bought my car did not want to buy also. People who spend $90K on a car are not going to buy from a private seller. Also they did not shortchange me on the new car the lexus ('13 Lexus LX570) go for MSRP and are not discounted.

[doug_999]

Originally Posted by 12X5M

Not always true for example in my case:

2012 BMW X5M $100,275.00 MSRP Radar/Tint/Ventureshield. 1,200 miles
Offer: $81,000.00 + $1,500 (Lexus conquest competitor rebate)=$82,500
Tax Savings Texas 6.25% ($5,062.50)= Net $86,062.50. Their is no way in hell i could have got any more infact the lexus dealer did not want the car. They had to ship the car 200 miles a way. The BMW dealer where i bought my car did not want to buy also. People who spend $90K on a car are not going to buy from a private seller. Also they did not shortchange me on the new car the lexus ('13 Lexus LX570) go for MSRP and are not discounted.

OT - but you appear to really like Lexus vehicles. I'd be interested in your thoughts on the Lexus vs. BMW in a separate thread. I think we are all mature enough here to handle it, but if you don't agree, PM me. I personally believe you are either a Lexus person or a BMW person but that both manufacturers want to be more like the other.