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Help me understand the C7 re-sale?

Old 06-11-2018, 05:32 PM
  #1  
Mayor111
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Default Help me understand the C7 re-sale?

Hey Guys,

Im picking up my 2014 C7 (Z51/3Lt 7-Spd) tomorrow (literally cant wait). I think I got an AMAZING deal on my car... But to be educated, I keep looking at the FOR SALE section here for C7's and I just cant believe that over and over again, I keep seeing C7's (mostly Z06's) for sale with 4k to 8k miles on them, and they are selling for $25,000 to $35,000 less than what they paid... That equates losing around $4 to $6 PER MILE DRIVEN just for depreciation...cmon...

How can ANYONE (unless money is of no concern) justify buying a "new" Vette with THAT kind of depreciation hit? I was reading the other day where a post was about how a guy felt taking out a loan for a C7 was "ridiculous" yet he sold his Vette with a 25% depreciation hit...which FAR exceeds any interest your pay on a loan... It just boggles my mind how people dont actually do the math on a new car.

Just cant understand why you wouldn't take advantage of the used market more than people do. And if anyone says "Ill pay for that NEW CAR SMELL" than you deserve the biggest slap in the head...

Please share your thoughts on this...and please note - Im not picking on anyone buying a new Vette (not at all) Im just trying to understand why your ok with a 25% to 35% depreciation hit on a car that has 3k to 8k miles on it (barely used). Also, lets not start the "Im rich, your not BS"...cause like my grandfather always said to me: "If you have to brag about money...you dont have it".
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Old 06-11-2018, 05:38 PM
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dvilin
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Simply stated I wanted a 2019 Z06 Convertible and got it. When I sell it or trade it I will then know what kind of hit I will take. I never buy used for really no good reason other than I prefer new.
I pay more attention to my real investments than car purchases but that is just me, no biggie.
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Old 06-11-2018, 05:40 PM
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You can't measure depreciation by miles driven. The biggest hit occurs the second you drive it off the dealership lot.
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Old 06-11-2018, 05:40 PM
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I wanted a new one in 2014 so I bought it. I knew it would depreciate just like most cars. I didn't care.

Using your logic nobody would ever buy a new car, meaning there would be no used cars for you to buy.
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Old 06-11-2018, 05:54 PM
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I have bought a new '14, '16 and just bought an '18 GS. Drove each one 15K-17K miles. It cost me thousands and I don't care. AND NO...I am not rich by any stretch of the imagination. This is my true pleasure in life. I like it to be brand new...all mine..never driven by anyone but me. So when asked how much money I lost... the answer is ZERO...I got every pennies worth. Some spend there FUN MONEY on booze, gambling, drag racing, golf, etc, etc. I spend mine driving, owning and enjoying my Corvettes.
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Old 06-11-2018, 05:56 PM
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Originally Posted by Mayor111 View Post
I keep looking at the FOR SALE section here for C7's and I just cant believe that over and over again, I keep seeing C7's (mostly Z06's) for sale with 4k to 8k miles on them, and they are selling for $25,000 to $35,000 less than what they paid... That equates losing around $4 to $6 PER MILE DRIVEN just for depreciation...cmon...

How can ANYONE (unless money is of no concern) justify buying a "new" Vette with THAT kind of depreciation hit?
Because I'm not selling it.

1. As a buyer I would be very wary of buying a used Z06 with 4K to 8K miles on it because I don't know what kind of miles those are. It may very well have $25,000 to $35,000 worth of wear on it. Why are they selling at all? If you are willing to take that risk, go right ahead.

2. How do you know they paid $25K-$35K more for the car? Sounds like you are comparing MSRP to used prices, but most people don't pay MSRP for these cars. In reality they may be losing much less than you think they are.

3. I don't worry about depreciation. It's of absolutely no concern to me. I bought my car new so I did not inherit anyone else's problems (except GMs.) I don't like sitting in the driver's seat where someone else has farted for thousands of miles. I have no plans at all to sell my car, therefore depreciation effectively has not happened until I do. I usually drive my cars until they are nearly worthless and it is better just to give them away. I gave my last two cars to relatives.

Last edited by mschuyler; 06-11-2018 at 05:57 PM.
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Old 06-11-2018, 05:57 PM
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I generally only buy new cars. Lots of reasons, but I tend to keep cars for several years and want to know exactly how it's been driven, serviced and cared for. Yes, there is a depreciation hit but it's minimized if you keep the car long enough. Plus, I see all kinds of gross-ness watching others in their cars - picking their noses (God only knows where the booger ends up), eating fast food (lets wipe those greasy hands on the seats), drinking sticky drinks or just driving like a complete idiot with regard to the car.

I'll gladly pay a bit more to know what I am getting.

As for those folks selling at a steep discount soon after buying, I think it's pretty common. Some want to have the latest and greatest and turn over their cars more quickly. In the case of the C7 (or other sports cars) I think some folks realize after making the purchase that these cars are not for everyone in terms of practicality, comfort, ingress/egress, or cost. And some of these cars (probably most) have been well cared for. So for those looking for a deal and who don't mind finding an occasional strange booger in the car, well...
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Old 06-11-2018, 06:42 PM
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I'm with you. Keep buying used. Thanks to all the guys buying new. We can swoop in and "steal" it when the time comes. Please keep them in the garage until it is time to sell!
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Old 06-11-2018, 06:49 PM
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The cars delivered when the C7 models were new more than likely cost a person MSRP or maybe MSRP plus a buyer's premium. However, once the cars had been on the market for a year or so the prices the new cars sold for dropped lower than MSRP and in some cases they are 20% less than MSRP. You may think you got a great deal but the PO may have had a better deal.

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Old 06-11-2018, 07:03 PM
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I have one bit of advice for you. Don't ever buy a new car if depreciation bothers you.

I bought a 2014 Cadillac CTS V-sport a couple years back, $72K sticker price, for $38K as a certified used car, with 2800 miles on it. I put 8K miles on it, drove it a year, and had to GIVE it away for $29K. These "drop like a rock" depreciation schedules aren't just for Z06 and Z51s, they're for all GM vehicles.

If you want an investment, buy a Ferrari and keep it in the garage.
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Old 06-11-2018, 07:15 PM
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Kent1999
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You are thinking like a poor person.

Most car savvy people know that mass-produced cars are NOT an investment, but an expense. Like 99.9% of all luxury cars, the higher the MSRP, the greater the initial depreciation in actual dollars.

When I take a nice vacation, do I complain because I'm not getting cash back at the end? Of course not -- I'm spending (not investing) money to enjoy the experience. I don't enjoy golf, so I cannot imagine how anyone could spend hundreds of dollars a weekend on green fees. Similarly, buying a Brand New Corvette is an experience that costs money. That experience is worth it to some, and not worth it to others.

If a person has to really worry about the cost of depreciation in the 1st 3 years of car ownership, that person absolutely should not be buying a new Corvette (or any new luxury/premium car), and that person should absolutely be keeping their cars a LOT longer than a few years.

Last edited by Kent1999; 06-11-2018 at 07:21 PM.
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Old 06-11-2018, 07:16 PM
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With the large discounts on C7s, depreciation is minimized. I bought a new C7 in 15 as my toy and who wants a used toy if you can get a new one.
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Old 06-11-2018, 07:25 PM
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Guys, not to over complicate things, but used vehicle values are a very simple deal. (I am a car dealer by the way, not Chevrolet) Your car is worth what somebody will pay. As a dealer a trade is worth what we think we can retail the car for less, our profit and reconditioning.. It is really that simple. It is a basic supply and demand thing.

I purchased my current 2017 Grand Sport for $52,000 (Private sale with 2000 miles on it), to me as a dealer the car was worth about $47,500, maybe $48,500 at that time. I could have gotten a new one for close to the same $52,000 as at the time 20% off MSRP was available. I was looking for a basic GS and unfortunately none of those were in dealer inventory and the odds of one coming into trade so I could pick it up "wholesale" was slim to none.. So to me the car was worth $52,000. I really couldn't care less for package 2 or 3 all I wanted was a basic Grand Sport. ( I figure my car is a $45-46,000 wholesale trade car right now)

Corvette's actually hold a decent resale, not of course if you pay list or close to list, but the actual transaction prices are considerably below MSRP.

OP, cars are not investments, they are depreciating assets.. If your concerned about resale, by a Subaru or a Jeep Wrangler, both really strong resale vehicles, most everything else goes down 25% to as much as 40% less than original MSRP the day you buy it. Notice I said MSRP, not transaction prices which could be considerably less.
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Old 06-11-2018, 07:59 PM
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Corvettes are mostly expensive toys just like motorcycles, boats and airplanes. You can pick up lightly used, nearly new one a few years old for around half the new prices, a boon for poor boys.

Thing is a half price '14 Z06 can be more than $50k. I bought a new '16 for $56k, got museum delivery and buyers tour so sometimes it makes sense to buy new.

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Old 06-11-2018, 08:03 PM
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Originally Posted by Mayor111 View Post
Hey Guys,

Im picking up my 2014 C7 (Z51/3Lt 7-Spd) tomorrow (literally cant wait). I think I got an AMAZING deal on my car... But to be educated, I keep looking at the FOR SALE section here for C7's and I just cant believe that over and over again, I keep seeing C7's (mostly Z06's) for sale with 4k to 8k miles on them, and they are selling for $25,000 to $35,000 less than what they paid... That equates losing around $4 to $6 PER MILE DRIVEN just for depreciation...cmon...

How can ANYONE (unless money is of no concern) justify buying a "new" Vette with THAT kind of depreciation hit? I was reading the other day where a post was about how a guy felt taking out a loan for a C7 was "ridiculous" yet he sold his Vette with a 25% depreciation hit...which FAR exceeds any interest your pay on a loan... It just boggles my mind how people dont actually do the math on a new car.

Just cant understand why you wouldn't take advantage of the used market more than people do. And if anyone says "Ill pay for that NEW CAR SMELL" than you deserve the biggest slap in the head...

Please share your thoughts on this...and please note - Im not picking on anyone buying a new Vette (not at all) Im just trying to understand why your ok with a 25% to 35% depreciation hit on a car that has 3k to 8k miles on it (barely used). Also, lets not start the "Im rich, your not BS"...cause like my grandfather always said to me: "If you have to brag about money...you dont have it".
Mayor, you say you're not picking on anyone, but yes you are picking on those who didn't do it your way when it comes to buying a C7 Corvette.
That's OK because I have something for you to chew on.
Sometime over the next seven days, I am 100% sure someone, either a friend or relative is going to say about you, "Can you believe that fool paid over $40K for a four year old used car that has only 2 seats and almost no place to put anything? Why we could buy 2 new Cruze for what he paid for that used car." No, they won't say it to your face, but they're saying it just the same. I know you don't care, just like all of us here understand and don't care what the critics say. We know and understand the need for speed and pride of owning a C7.
My point is, it's all relative. All we're doing between what you did and some others with a Z06 are doing is moving the decimal point.

Last edited by roadbike56; 06-11-2018 at 08:04 PM.
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Old 06-11-2018, 08:05 PM
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Originally Posted by Mayor111 View Post
Hey Guys,

Im picking up my 2014 C7 (Z51/3Lt 7-Spd) tomorrow (literally cant wait). I think I got an AMAZING deal on my car... But to be educated, I keep looking at the FOR SALE section here for C7's and I just cant believe that over and over again, I keep seeing C7's (mostly Z06's) for sale with 4k to 8k miles on them, and they are selling for $25,000 to $35,000 less than what they paid... That equates losing around $4 to $6 PER MILE DRIVEN just for depreciation...cmon...

How can ANYONE (unless money is of no concern) justify buying a "new" Vette with THAT kind of depreciation hit? I was reading the other day where a post was about how a guy felt taking out a loan for a C7 was "ridiculous" yet he sold his Vette with a 25% depreciation hit...which FAR exceeds any interest your pay on a loan... It just boggles my mind how people dont actually do the math on a new car.

Just cant understand why you wouldn't take advantage of the used market more than people do. And if anyone says "Ill pay for that NEW CAR SMELL" than you deserve the biggest slap in the head...

Please share your thoughts on this...and please note - Im not picking on anyone buying a new Vette (not at all) Im just trying to understand why your ok with a 25% to 35% depreciation hit on a car that has 3k to 8k miles on it (barely used). Also, lets not start the "Im rich, your not BS"...cause like my grandfather always said to me: "If you have to brag about money...you dont have it".

Everyone does what they want to do. Do some people pay too much? Sure. But what if it doesn't matter? My 2014 Z51 m7 was the cheapest I found within 1000 miles. It had 17k on it, and now has 23k. I drive 150 a day so the depreciation hit if I turn it will be big. Were you under or over 40? And how many miles?
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Old 06-11-2018, 08:23 PM
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Originally Posted by hammong View Post
<snip>

If you want an investment, buy a Ferrari and keep it in the garage.
If you buy a Ferrari, just as with a Corvette, don't leave it in the garage. Drive it... put miles on it. Enjoy it....

I do not buy cars considering how much they will depreciate. Cars _are_ depreciating assets....

I put about 20K miles a year on my C7 - have amassed more than 700K miles in Corvettes over the past 29 years - my three-year-old C7 has 66K miles on it....

I put about 10K miles a year on my old Ferrari - it's appreciated over the last five years.....

To quote myself: "No one on his or her death bed ever said, 'I wish I'd put fewer miles on the Ferrari/Corvette."
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Old 06-11-2018, 08:25 PM
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I've bought new and used. I prefer to buy used when I can. I do like to trade cars often so buying used helps me do that while taking less of a hit. If I were to keep cars forever I would probably buy new and get exactly what I want no compromise (however if I happened to find exactly what I wanted used in great condition it would be hard for me to buy new).

I actually swore I would never buy a new car again... then the 2016 Camaro came out... out the window that went. Ended up buying a brand new one. Sold it when I needed to get a truck, regretted it, in a used corvette now.

If we were all that concerned about the $$ we should all be driving used corollas.
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Old 06-11-2018, 08:52 PM
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I rarely buy new unless I get a great deal...that and Iím willing to pay to not have someone elseís farts trapped in my seat!
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Old 06-11-2018, 09:07 PM
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Kevin A Jones
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#1 - Life's short and you have to pay to play, so don't let depreciation bother you too much.

#2 - Considering most of us purchase our C7s at 10%>25% off MSRP, the depreciation
isn't as much as you think and often new cost little more than used.

#3 - Considering what I've made buying/selling C2s, C3s and other sportscars over the
last 40 years, I have little if any concern as to how much I loose on my GS as it's
one of the most fun cars I've owned.
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