Date: 16 Mar 2002 14:30:18 GMT From: jmel5nopsamcomnospam (JMEL5) Subject: Re: Buying new 2001 9-5
Well, depreciation aside, he still doesn't want to overpay for a car, regardless of its value in 1, 3 or 5 years. Even if he was going to keep the car for 10 years or more, the best price is still the objective. For most people depreciation factors in for resale value and also the value of a car at the end of a lease, which affects lease payments. Technically, the 2001 on the dealer's lot is new, but, as the weeks pass, that new car argument by the dealer goes out the window as the 2003's are introduced by other car makers, including Saab. JJ >The dealer is selling you a "new" 2001 car. If YOU were trying to sell >the same car, then it wouldn't be new and there would be some eyebrows >raised about the reasons for selling the car after such a short time, >that risk reduces its value. However, if you keep the car for say, 5 >years, the difference in depreciation would not be so great.