Do second hand car prices plateau?

chipperhead

chipperhead

chipperhead

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After owning our Saab for over 6 years we are looking at getting a new family motor, it would be a diesel X5 and our budget is about 17k. I know it's not a popular car here but if we can ignore that in this thread for now.

We are in no particular rush and I'm wondering if now would be a good time to buy and the prices will steadily depriciate or would waiting 6 months be a huge advantage.
I know cars take there biggest hit in the first few years but do they then tail off evenly? Ideally I'd like a 2004 model as these had the revised diesel engines but I'm about 5 grand short on what I'm prepared to pay.
 
The only way for the X5's residuals is down, especially as the SUV bubble begins to burst and the all-new model becomes a more familiar sight on the used market.
 
Is it about to burst though, I thought a lot of the majors are coming out with them now like the Vauxhall Antara, Nissan Qashqai etc.
I thought it was an expanding market or are you predicting doom?
 
I'm predicting doom because eco-moron-warriors are having far too much of an effect on people. Antara, Qashqia etc are all mass market cars with small engines - Qashqai starts from 1.6. They are jacked up hatchbacks and little more.

The smallest X5 is a 3.0 with over 200g/km of carbonywhatsits.
 
I think it's generally rare "cult" cars that stop depreciating. The classic example is the Corolla AE86. They're 20 years old but still fetch £5k! Also things like the original Civic Type-R and Integra Type-R really hold their value. I was looking at Integra's 4 years ago and they haven't moved in price.
 
Most of my previous cars reached their plateau in the scrap yard.

However, with regards to the X5, while it is difficult to predict, big luxury cars generally depreciate enormously from new and then just depreciate quite a lot later in life in my experience. As the price drops people can afford to buy them who can't afford the running costs and so they get neglected and they drop more and so on and so on. Then you get the few rare mint examples left that may become classics, but I can't see it with the X5. If you keep it the same length of time as the Saab then I'd guess it'll be worth perhaps a third of what you pay for it now.
 
BigT said:
Most of my previous cars reached their plateau in the scrap yard.

However, with regards to the X5, while it is difficult to predict, big luxury cars generally depreciate enormously from new and then just depreciate quite a lot later in life in my experience. As the price drops people can afford to buy them who can't afford the running costs and so they get neglected and they drop more and so on and so on. Then you get the few rare mint examples left that may become classics, but I can't see it with the X5. If you keep it the same length of time as the Saab then I'd guess it'll be worth perhaps a third of what you pay for it now.
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Nice post, seems to make a lot of sense. I'd be well happy with 6 grand in 6 years time.
 
chipperhead said:
Nice post, seems to make a lot of sense. I'd be well happy with 6 grand in 6 years time.
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Can't help thinking the X5 represents a poor used buy - they are overpriced for what they are becuase people want the 'presence' that only a 4x4 that never goes off road can provide. The equivilent 5 Series Touring is more spacious, better equipped, faster, more economical, handles better, is safer, is cheaper, looks less dated (The X5 is E39 based) - basically better than an X5 in every possible way save for not looking like a well bling property developer.
 
[TW]Fox;10642131 said:
Can't help thinking the X5 represents a poor used buy - they are overpriced for what they are becuase people want the 'presence' that only a 4x4 that never goes off road can provide. The equivilent 5 Series Touring is more spacious, better equipped, faster, more economical, handles better, is safer, is cheaper, looks less dated (The X5 is E39 based) - basically better than an X5 in every possible way save for not looking like a well bling property developer.
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I do understand what you are saying and have read comments like these before and also appreciate your vast indepth knowledgs of cars but a few months ago we borrowed my brothers X5 for a day and it was simply a fabulous car to get the family about in and that really is the top and bottom of it.

I've borrowed my brother in laws 330d sport, that was great but we felt it wasn't a patch on the X5 for transporting us all in the best way, he's now sold that and bought a Range Rover Sport and said he loves the driving position and would never go back, now these are peoples honest views and you can't alter them if they simply prefer to drive this kind of vehicle.

Untill I had kids I always looked at mpvs and 4x4s with contempt, it's hard to explain but you become a different driver with the wife and kids in the car and you need to travel for 2 hours in as less stress as possible.

Anyway I've still got my VR6 for tearing about in, the X5 will mainly be for the misses as she's a district nurse and for the family at weekends etc.

So do I keep the 17 grand in the bank for a while and earn six hundred quid interest for six months and the car would have probably lost six hundred quid in depreciation so be £1200 better off or bite the bullet and get one bought now?
 
With respect a 330d Sport is no E60 530d Touring.

At the very least pop to your local dealer and take one for a spin before you commit to an X5. They are simply huge inside.
 
[TW]Fox;10643440 said:
With respect a 330d Sport is no E60 530d Touring.

At the very least pop to your local dealer and take one for a spin before you commit to an X5. They are simply huge inside.
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I'll try and convice the wife to come with me to a dealers but she's got her heart set on one.

Thing is my one year old won't be bothered that it is E39 based, he'll just be pleased he can see more farm animals over the hedges and my 4 year old won't be bothered that the regular 5 series is a better car in almost every way if the higher seating position makes her feel less car sick.

And the misses just wants it in black with blacked out security glass so she can pose in her pimp mobile.
 
I think the previous model X5 looks dated, I thought it looked a bit long in the tooth even about a year before the new one came out. Probably because there's just so many of them about. But then because there's so many of them about, obviously is testament to the fact that it's a good machine. But by the sounds of it you don't really have a choice in the matter, the wife wants it and I nearly see more women driving 4x4's than I do in normal cars now.
I always wonder how families ever got by 8-10+ years ago before this 4x4 craze came about. Kids must all be the size of sofas now or something.
 
markyp23 said:
Having been a "child in the back" of both of these cars I can say the X5 is far more enjoyable to be in. Much more spacious than the touring, for definite. The touring car is only better equipped if you get a standard X5. The X5 has enough "go" about it for the journeys we use it. I don't think it looks dated at all.

It does absolute guzzle fuel though, so it's only ever used on motorway trips.
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When you say the standard X5, what options do I need to be looking out for?

My criteria currently is, Black, black interior, 3.0d, sat nav, xenons and blacked out windows.
 
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