JWS3

I originally posted these comments as part of another thread, but on reflection believe they should stand on their own.
To make a long story short, I was contemplating trading my 04 fairly loaded E500 for an SUV. Need a bigger, more winter friendly vehicle. When nwe the car ised for $66,500. Invoice at the time was around $59-60. I bought it last spring w/ 4800 miles for $50K. Yes, I know trading this soon is stupid and I expected to take a hit, but the sheer magnitude of said hit leaves me stunned, especially as it seems to uniquely pertain to MB.

After getting a few trade values I was shocking into near speechlessness by the incredibly poor resale value these cars seem to have. Truly, truly stunning-- even my DEALER started by offering 2-3K LESS than "Galves", the industry auction price guide used like a Bible by area dealers of all brands. My God, even an MB dealer doesn't want to give even the "auction" price!!!! Never in the last 15+ years and 10-15 cars for self, family and friends have I EVER rec'd or even heard of a value below "auction" price. In all my experience auction price has always, without fail, been the starting point, as it omits from the value calculation every option except pano roof and Nav. Xenons, CD, voice control, etc do not matter in the least. Some $4k of "options" (i.e things that should be standard at these prices) are WORTHLESS!! Quite the argument to never, ever buy another MB, I hate to say.
Wow..... I looked at MLs and became even more angry when I saw the BS charges for every little thing that should at these prices be standard. $900 for HID lights? $642 for Pewter paint? Extra for heated seats?? WTF is wrong with these people? I really, really, really hate to say this, but Lexus is looking better all the time. Their GX470 is priced less than the ML and has real SUV attributes. Things that would cream an ML wouldn't even get the GX' attention. A few Lexus dealers gave me equally crappy offers, citing "MB's poor quality and poor resale".
I am so disappointed I hardly know where to start........

carpersn

At least in my experience (once came out of 97 e420), the v8 models don't hold value as well as v6...i know most of the posters around here obviously want the extra oomph, but in reality, there is a HUGE discrepancy in the two prices and i've always found it hard to justify the bigger engine (when it usually has little extra content along with it)...

ruykava

well, i'm not sure if it is a general trend nowadays for vehicles to have lower retained values, because according to Intellichoice, the E500 has among the highest retained values among luxury cars: http://www.intellichoice.com/top10/T...ategory/Luxury

and the fact is, luxury cars NEVER have high retained value. and it's true: options are almost always worthless come resale time, because those who buy second hand are looking for value.

lig

I feel for the original poster. The M-B way of charging extra for nearly *everything* has been one of my pet peeves.

Honestly IMO the poor resale shouldn't surprise you. The board is full of stories about some really big discounts on W211s (except for E55s)

I got a pretty aggressive discount on my car back in '03 when the W211 had only been out for a few months. In a way that was part of the reason I had a less than stellar experience with M-B since a few early '03s were rife with problems. Mine happened to be one of them.

Good luck on your replacement search

jprescott

Related in a way: My pristine 19k mile E500 with everything minus nav(2003) was stickered at $59+ and I can only get $34k max for it. I just got a 2006 A8L and I leased it. I can't see buying another car. Long story short, yes depreciation was much worse than I ever expected.

vinceC

"and the fact is, luxury cars NEVER have high retained value"

There was a time when M-B sedans retained 80% of their value after three years (in the US at least). They used that figure in their advertising campaigns. However, the bad press and the fact that there are so many for sale has meant the laws of supply and demand have kicked in and are depressing values.

JWS3

However, there is a vast difference between normal depreciation and nakle grabbing. Even allowing for discounts at the time of sale I cannot fathom how a car like this could drop 10-12K in one year long AFTER the intial first year whack. Truly stunning. If such is true, then it'll eventually be good bye MB, hello Lexus. Never, ever thought I'd say such a thing, but I cannot sit idly by and get reamed year in year out.

Calcio

Tell me your miles and I will tell you what similar cars are going for at recent Manheim auctions.

blume

these numbers go right along with the 20% in the first year and 10% every years after that. i believe this to be a true elvaluation of depreciation in most purchases.

JWS3

2004 E500 Black/stone in near flawless condition (no BS- I am waaay uptight).
11,000 miles
Comand/Nav
Pano roof
Xenon light package
TPMS (tire pressure monitor)
Entertainment package (HK sound + 6 disc CD changer)
Integrated phone w/ Voice control
Trunk closer
Wood trim steering wheel

List was around 66,500. Local "Galves" value including allowance for low miles is $41,225. I am getting quotes for 36-38. Talk about depressing........

Thanks for your help.

Jim

Calcio

10/13/05 RIVRSIDE $42,250 13,666 miles Avg Cond Gray
10/11/05 FAAO $41,700 8,786 Avg Cond White
10/06/05 GTR TAMPA $41,200 8,550 Avg Cond White

Options unknown - these were actual transactions at dealer auctions. With your options and condition, my guess would be up to $45,000 at auction. Looks like the "Galves" are pretty accurate. You should be able to get at least $500 above the auction price for a private party sale. A dealer will probably pay $1000 to $2000 below what they can sell it for at auction. Good luck!

Rock72

why not give it a shot trying to sell it private party? cars.com is showing some decent prices on those cars.

as for the suv route, it's a bit off topic but i just bought a 2006 toyota sequoia to use along with the e320. i did take a look at the new ML and the new R class but for the price and options, the sequoia limited has pretty much everything i want...3rd row seating (not avail with the ML), heated seats, folding side mirrors, daytime running lights, rear dvd player, navigation, etc...i got the limited model with pretty much all of the options for $45k. a similarly equipped R class was more like $65k and the ML didn't have 3rd row seating. the lexus G class suv is nice too.

Rock.

CE750

in general MB residuals are better for the lower end cars/engines than the upper..

reasons:

- upper end buyers aren't as concerned with resale, and trade in more often, thus creating liquidity

- higher end MB's don't have a market since most high end MB buyers have the funds to buy new... where as lower end have a broader market.

E320 is going to hold better value (as an absolute percentage) over an E500 or E55.

CDI is a whole different animal due to the diesel engines reputation for long life.

Calcio

2005 E320 CDI
11/03/05 NEVADA $42,750 10,098 miles Avg Cond SILVER

Since you brought it up

I'd buy one now myself if I could get it with 4-matic.

CE750

VERY good price.. was it a "stripy"?

What was sticker? $53K? that is what stripy goes for new.

MBFanatic4Life

B/C of all these reasons and more is why I wouldn't even bother paying more than 50K for a new MB! It isn't worth it unless one would drive the heck out of it for many years. Anymore these cars shouldn't be bought expecting a high resale value! IMO the Benz that would hold its resale value the most would be the CDI!

CE750

the banks are one step ahead of you... highest residual of any MB is CDI, then CLK (as of my last look).

Calcio

Don't know, the transaction detail doesn't list the options, just what I posted. I could have had my choice of one from 3 different local dealers at $46K or so back in September for a left over 2005 (sticker of $54.4). Interestingly, the only 2005 E's that anyone had left were CDIs. In hind sight, I wish I had taken my salesperson's advice and bought the CDI and a set of rims w/snows instead of looking at the E350 4-matics.

HELL ONA HARLEY

Sell it privitely and get over it.....All dealers are going to low ball you no matter what brand it is. Its common knowledge that this is where their real money is. You say yourself that you bought this car for $50,000 with only 4800 miles on it and it listed for $66,500???? Why are you so supprised that its still loosing value???? Seems to me the first guy is the one that sould be sniveling.... Good luck with your lexus.

BudC

CE750

Dude by my account, and I've got used car sales experience, your car has a 3rd party used price of about very safe $52+K.. Kelly Blue book is over $54K and $57K for dealer sale.. Not sure what your *****ing about.. it's flippen loaded, and if it's as clean as you say (I believe you) and only has 11K miles... it would take you 0 time to sell it.

Forget the dealer. they are only interested in stealing it to make a killing.. What else would you expect? Lexus is not different.

CE750

Here click on here if you don't believe me.. and this isn't including the TPMS, PANO ROOF, and TRUNK CLOSER..

Kelly Blue Book

fill out the basic questions and see.. $53K easy.

JWS3

I have no experience in selling a car other than through the newspaper. In my experience luxury cars just don't sell well in the paper, which leaves the various on line sources.
Since I have never used "Ebay" and thus have no history, what sites do you suggest? autotrader/ Cars.com? I don;t know one from another and welcome any input/suggestions.
And yes, the car is clean- I am very uptight as to care/cleaning. Other than a few tiny stone nicks it is truly as clean/shiny as new.
Thanks again

Jim

CE750

in nice writing, put a 4-sale on the rear window with phone number..

Also, put ad in news paper, you would be surprised how many look.

Auto trader is good, so are a 1/2 dozen other on-line sites that target a local market..

park it some place on the weekend where others park cars for sale...

be creative... IT's worth 52K easy.

Aussie-E-John

Ordered my new E350 Avantgarde with sport pack and asked to get a trade in value on my 97 v6 e320.

I bought it new and cost me $140,140.00 australian.
It has travelled 265,000 km and has been seviced by the book at the MB dealership.

It is still in very good condition.

The highest trade in value the dealer could offer was $15,000.00

OUCH. Not good so im keeping it.