- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
The Tesla Effect: Cheap European Used Cars
Posted on 10/31/19 at 8:47 am
Posted on 10/31/19 at 8:47 am
Excellent article from Forbes discussing how the popularity of Tesla has dramatically decreased values of used European cars.
Cheap luxury cars
Cheap luxury cars
17
Posted on 10/31/19 at 8:54 am to VetteGuy
I'm not sure this is due to anything Tesla did. German cars plummet in value the minute you drive them off the lot, been that way for a long time
Posted on 10/31/19 at 8:55 am to VetteGuy
And as soon as the European brands EV's start really rolling out Tesla's market share is going to drop. I think porsche said 80% of their presales were from Tesla owners with Jag and BMW coming along they will be seeing the same. Tesla filled a needed void but their only hope right now is range
Posted on 10/31/19 at 8:55 am to VetteGuy
I thought their resale values were bad because their maintenance costs were so crazy high
Posted on 10/31/19 at 8:55 am to VetteGuy
I think it has more to do with the cars being a pain in the arse to find parts for and most mechanics refusing to work on them. Just traded in my Volvo and probably will never own another for that reason, the only place that will touch them for anything other than an oil change in BR is the dealership, apparently they require expensive specialty tools. I've heard BMW parts are expensive as well, there are a ton of cheap 8 year old autos available right now because maintenance costs have skyrocketed.
Posted on 10/31/19 at 8:56 am to VetteGuy
Model 3 is hideous.
Posted on 10/31/19 at 8:58 am to SuperflyLSU
quote:
I think it has more to do with the cars being a pain in the arse to find parts for and most mechanics refusing to work on them.
That and a lot of typical owners only keep them a few years before trading them in. so there is a lot of competition for great product. Most of these euro 4 door sedans are on their third owner before they get to 100k
Posted on 10/31/19 at 8:58 am to CptRusty
quote:
German cars plummet in value the minute you drive them off the lot, been that way for a long time
Agreed, but Tesla has really made the situation much worse.
Even for BMW, a 60% depreciation hit in 3 years is pretty dramatic.
Posted on 10/31/19 at 9:00 am to kingbob
quote:
I thought their resale values were bad because their maintenance costs were so crazy high
Certainly a part of it, but the depressed values are even for CPO cars, which are generally lower miles and may have extended factory warranties.
Posted on 10/31/19 at 9:02 am to VetteGuy
quote:
The Tesla Effect
Gotta drive those electric vehicles to save the planet, dog!
Posted on 10/31/19 at 9:02 am to VetteGuy
I did notice some great prices on fully loaded used Audis and Beemers this summer. I was definitely tempted, but scared off by the maintenance costs and went with a cheaper hyndai instead.
Posted on 10/31/19 at 9:04 am to VetteGuy
quote:dition, I was paid handsomely by Tesla to write this hit piece, as they are scared shitless of what´s coming to market.
Jim Gorzelany
I’m a veteran Chicago-based consumer automotive journalist devoted to providing news, views, timely tips and reviews to help maximize your automotive investments. In ad...
Posted on 10/31/19 at 9:31 am to CptRusty
quote:
I'm not sure this is due to anything Tesla did. German cars plummet in value the minute you drive them off the lot, been that way for a long time
I always laugh when people say this, as if every single car made doesn’t do the same thing the moment you drive it off the lot.
Except wranglers. Those things almost go up in value
Posted on 10/31/19 at 9:36 am to BuckeyeFan87
I mean, it’s obvious which brands and models depreciate more than others. The german luxury brands depreciate faster than the American luxury, which depreciate faster than most American cars, which depreciate faster than Japanese cars, which depreciate faster than good trucks, and Jeep wranglers/rubicons essentially never depreciate, lol
Posted on 10/31/19 at 9:40 am to kingbob
Tacomas also seem to go up in value the older they get
Posted on 10/31/19 at 9:43 am to VetteGuy
Little Suzi's on the cheap!
Looking for a getaway...
Posted on 10/31/19 at 9:49 am to VetteGuy
I'm in the industry and this has been the hot topic for a few months. In general, Tesla doesn't produce enough inventory to dilute the market on other models. The more likely culprit is the increase in shared ride services and the increasing influence of the younger generations not being injected into the consumer ranks due to lower job participation.
Posted on 10/31/19 at 9:53 am to Sao
A lot of the depreciation for luxury vehicles is due to the life factors on how they are purchased. People buy them new because they want and can afford a new vehicle routinely, and they don’t care if they lose $5,000-10,000 extra on the depreciation they are getting a new car anyway. Then, who are the buyers? People that can’t afford them new and want them as a status symbol.
Take something like a Cadillac and many of those buyers are older generations that keep them long term. They are more likely to be able to afford them used with plans to keep them long term and baby them with 5,000 miles a year.
It’s different markets.
Take something like a Cadillac and many of those buyers are older generations that keep them long term. They are more likely to be able to afford them used with plans to keep them long term and baby them with 5,000 miles a year.
It’s different markets.
Posted on 10/31/19 at 10:09 am to VetteGuy
I drove my son’s dual motor model S Tesla this past weekend. Steering and suspension is tight, acceleration is neck snapping and it hugs the road like nothing else I’ve ever driven. Son and I drove the loop around Lake Tahoe from and to El Dorado Hills and used less than $5 worth of kw purchased at a supercharging station. 
Posted on 10/31/19 at 10:10 am to ccomeaux
quote:
In general, Tesla doesn't produce enough inventory to dilute the market on other models.
I respect your opinion as you live the business day to day.
From the surveys I've read, it does seem Tesla is siphoning away some new-car sales from luxury marques, especially BMW/Audi/M-B. That being the case, this would logically affect used car values of those same brands. Hot new, hot used; cold new, cold used.
Lots of folks mentioning traditional (bad) depreciation of German stuff, this article points out that now its worse.
Page 1 of 3
Popular
Back to top
Follow TigerDroppings for LSU Football News