Minimizing depreciation?

[E90OR]

Looking for a new car, but only need it 1-2 years. What can I buy for $70,000 today that will get the most money back when it is time to sell?

[Tsuyoi]

Why not do a 2 year lease?

[son_of_siggy]

Originally Posted by E90OR

Looking for a new car, but only need it 1-2 years. What can I buy for $70,000 today that will get the most money back when it is time to sell?

$45k in bonds and 25k in a new mini. I can't think of a $70k new car that holds its value particularly well.

[shivaswrath]

Originally Posted by son_of_siggy

$45k in bonds and 25k in a new mini. I can't think of a $70k new car that holds its value particularly well.

or $55k muni bonds and 15k used BRZ.

[GammaZeta]

Originally Posted by E90OR

Looking for a new car, but only need it 1-2 years. What can I buy for $70,000 today that will get the most money back when it is time to sell?

Few problems here:

1. You are looking for a NEW car. You should be looking for a USED car if you want to minimize depreciation.

2. The more expensive the car, the greater the depreciation.

3. Why do you only need a car 1-2 years? Moving? Planning on living off the grid? Joining the Amish community in 2015?

[E90OR]

Originally Posted by GammaZeta

Few problems here:

1. You are looking for a NEW car. You should be looking for a USED car if you want to minimize depreciation.

2. The more expensive the car, the greater the depreciation.

3. Why do you only need a car 1-2 years? Moving? Planning on living off the grid? Joining the Amish community in 2015?

I know these things. I should have specified new/used is ok. As for #3, all of the above, and then some!

Just looking for car suggestions, but thanks all for the financial tips. Let's just say this is a 'safe' budget we are working with. What cars?

[GammaZeta]

So basically you're looking for a car for $70,000.

You can buy:

Ford Pinto
E92 M3
Aston Martin V8
Honda Civic
Harley Davidson
Chevy Volt
Corvette C7
Boss 302 Mustang
Plymouth Minivan
Ariel Atom
Beck Spyder
Mercedes SL500
Audi TT
BMW Z4M
BMW Z3M
997 911
Ford Crown Victoria
Suburu WRX
Nissan Altima
996 911
Chevy Suburban
Prius
993 911
Cayenne
Hyundai Sonata
Boxster
Buick Lesabre
Nissan 370Z
Ford Escape
Trailblazer
Nissan 350Z

[E90OR]

You missed the most important part of the question, which one will retain most value after 1-2 years?

[GammaZeta]

Originally Posted by E90OR

You missed the most important part of the question, which one will retain most value after 1-2 years?

You still don't get it, do you?

Do you need a weekend car? Do you need a family transporter? Do you drive it in the city? Do you drive it in the suburbs? Do you care about fuel economy? Do you care about performance?

If you only care about depreciation, then the other posters already answered your question.

I would highly suggest a used 10 speed bicycle from 1983 as your primary mode of transportation if you only care about depreciation.

[E90OR]

Originally Posted by GammaZeta

You still don't get it, do you?

Do you need a weekend car? Do you need a family transporter? Do you drive it in the city? Do you drive it in the suburbs? Do you care about fuel economy? Do you care about performance?

If you only care about depreciation, then the other posters already answered your question.

I would highly suggest a used 10 speed bicycle from 1983 as your primary mode of transportation if you only care about depreciation.

Sorry but you're the one who doesn't get it. I just wanted a list of cars that people think would hold value well. Obviously I know cars are just about the worst investment from a financial standpoint. I purposely did not include details hoping that people would leave a variety of suggestions without patronizing. I was hoping to generate many ideas from other drivers since last I checked, this is a car forum with other driving enthusiasts. So much for that idea. But since you need specifics, assume we're looking a performance-oriented DD, 2-4 doors ok, prefer no convertibles, fuel economy in double digits. Any other questions?

So I ask again, what are some cars will suffer the least depreciation least in 1-2 years?

[GammaZeta]

Here ya go:

Honda Fit
The Fit is one of Honda's newest entries in the sub-compact market, and it is already winning followers. Honda offers several variations of the Fit, including a standard model, sport model and sport with navigation model. You can choose either the manual or automatic transmission. It comes standard with side-curtain airbags, ABS brakes and power windows. The Fit was named a top safety pick by the IIHS. With a manufacturer's suggested retail price (MSRP) between $15,325 and $16,860, it gets 33 mpg/hwy and 27 mpg/city. The Fit's residual value after five years is approximately $9,200.

Now go buy a Honda Fit.

[KingOfJericho]

This question is impossible to answer without the specifics you just mentioned so there's really no reason to get bent out of shape. If history is any indication, you should pick up a BMW 1M, 2001-02 Z3M Coupe, late year Acura NSX, ,993TT or 993C4S. They are all holding their value extremely well. A car must be a limited or out of production model in order to judge the depreciation (& scarcity).

[newbmwuser]

if youre only planning to drive it for 1-2 years, just get a used toyota camry. they only cost like 5k, and after a year you can probably sell it for 4.5k..

if you're so worried about depreciation, spending 500 bucks in 2 years must make you a very happy man.

[ptack]

What is the car for, a DD, an investment, a prop?
Are you worried about all costs or just the purchase cost?

Sounds like you need to think this through a lot more. If you only need a car to drive for a short time and want to save money you should get a used car and if saving money is really important than you should probably buy a modest, used Honda that will likely be very low in maintenance, gas and insurance.

[CAPSGOD]

This one is easy. You may not like the answer though. Toyota Landcruiser. Maybe a Cayenne Diesel.

[Sedoy]

For that price I would say get low mileage used 2010 Porsche Panamera V8 or used 2012 MB CLS550. Both amazing machines for that price and should depreciate slower than other very road common premium cars like 3-seies/5-series, E-class, GS350 etc.

[BlackJetE90]

Start looking for a slightly used RS5.

RS model Audis hold their value very well compared other German cars. All about cars with limited production.

[E90OR]

Thanks, all great ideas. I know it's an open question, that's the point!

[E90OR]

What about the G-wagens? Ugly as sin but sell for ungodly money.

[KingOfJericho]

They're $110K new but roughly 1/3 of that in a few years.

[bulldog x6]

you are better off leasing for that short of a time period - in fact, your best bet would be to look at something like leasebusters

[Mr. Liu]

G wagons hold their value very very well, but they are out of your 70k budget range unless you find an 06-07 with average mileage on it. My father's 08 G55 purchased in 2010 at 90k is still worth 80-85k today.