~ Found a USED Raptor

[JOYFULLER]

Originally Posted by HarleyGuy

I always go by the 30% depreciation in the 1st year rule. Either planning or buying I calculate 30% off of MSRP price. So, for a $45K truck I would say $32K would be ok and you would be ok to maybe go to $34K and expect a little depreciation on your end. If you are trading in yourself try to make the money back on the trade in.

Exactly - from a dealer stand point vehicles are never worth as much as you think they are, or as much as you have left owing on them. For me the price of my Raptor came down to what I was willing to pay and how badly I wanted it. I might have bought even if they said $60k (and at least one guy has for a USED Raptor, 6000km). Also, dealers won't give you any credit for aftermarket accessories. I guess it comes down to what it's worth to you

And I would always say "buy a Raptor!"

[dcraptor7]

This thread makes me laugh. 30% depreciation on first year vehicle?

I paid $28,500 for my 2009 Jeep Rubicon and sold it 1 year later for $28,000.

The only reason that people are losing the kind of money you all are talking about and agreeing (OMFG) is that you are devaluing the truck before its time.

First, its a rare truck, not many around, Second, its a really cool truck. Why would you all assume its worth so little? Maybe you should put it on Craigslist and actually ask a reasonable amount, I am sure you will sell it.

So, if you paid $40K for you truck, after a few months, few thousand miles, it should be worth $36-37K, not $30K. If you sell for that, you are LOSING money plain and simple.

What do you think car dealers are charging for used F-150s, or Silverados? Well, many times used are more than you can get new because of incentives.

So, please don't start spreading rumors about how little the Raptor is worth....Example, if 5.4s were only produced in 2010, then they will be worth MORE, not less. There will be people seeking that engine out due to the thousands of modifications that can be done.

2 Examples: Older generation IPhones were going for $300 used a few years back. First Generation Mini Coopers are sought after even though the second generation owners swear they have NEW, BETTER tech. It does not always fare this way.

Geez, i am blown away by this thread.

[famaro]

Originally Posted by dcraptor7

This thread makes me laugh. 30% depreciation on first year vehicle?

I paid $28,500 for my 2009 Jeep Rubicon and sold it 1 year later for $28,000.

The only reason that people are losing the kind of money you all are talking about and agreeing (OMFG) is that you are devaluing the truck before its time.

First, its a rare truck, not many around, Second, its a really cool truck. Why would you all assume its worth so little? Maybe you should put it on Craigslist and actually ask a reasonable amount, I am sure you will sell it.

So, if you paid $40K for you truck, after a few months, few thousand miles, it should be worth $36-37K, not $30K. If you sell for that, you are LOSING money plain and simple.

What do you think car dealers are charging for used F-150s, or Silverados? Well, many times used are more than you can get new because of incentives.

So, please don't start spreading rumors about how little the Raptor is worth....Example, if 5.4s were only produced in 2010, then they will be worth MORE, not less. There will be people seeking that engine out due to the thousands of modifications that can be done.

2 Examples: Older generation IPhones were going for $300 used a few years back. First Generation Mini Coopers are sought after even though the second generation owners swear they have NEW, BETTER tech. It does not always fare this way.

Geez, i am blown away by this thread.

I do agree wilth all your points.

[HarleyGuy]

A stabilized rate of depreciation (7% - 12% per year) is the average new car depreciation value. New vehicles lose an average of 20% of their value the instant they are driven away from the dealership. When coupled to the average yearly depreciation of 7% to 12%, your first year's loss is anywhere from 25% to 35%.

That depreciation is based off of sticker price not what you paid for the vehicle.

For instance: A Raptor at $46,750 MSRP actual dealer cost is $41,058. A difference of $5,692 or 12.2%. - That is the amount of depreciation as soon as you sign the papers and drive off of the lot. With an industry standard 7-12% annual depreciation rate you can lose $3272 to $5610 on top of the 12.2% already.

Add it together, the depreciation over 1 year at standard mileage is between $8964 and $11302. Bringing the value of the truck down to $37786 to $35448.

You can argue that some vehicles hold their values better than others and yes a 5.4L Raptor may be a higher demand thus raising the resale value but the depreciation rate is what insurance companies and banks look at for insured value and loan amount approval.

Another way to look at it is:



There are all kinds of ways to calculate expected depreciated value but when I go car shopping I try to keep it simple and plan a 30% 1st year depreciation value. That keeps it right in the middle of the industry norm. Then when you negotiate the price you already know what the value of the vehicle is going to be once you take it off of the lot.

I had a 2007 Chevy Silverado Z71 that I traded in for my Raptor. Because I went armed with a 30% anticipated loss when I bought that vehicle I negotiated down far enough and added the rebates on top of it that when I went to trade it in I only was out 18% for the two years that I owned it.

I can keep throwing numbers and formulas out there but it boils down to how much you are willing to spend. Until nada, kbb, edmunds and all the other price guides come out with average trade in values you aren't going to know exactly what is a good deal or not.