Saturday, November 20, 2010

Fall Back

If you’re like most of us, you enjoy that rare day of the year when daylight savings time affords you an extra hour of sleep – “Fall Back” is great for those of you deep into a sleep deficit due to a frantic work schedule.

Unfortunately, over the last 6 weeks (the time between the last market report and this one), we’ve seen luxury prices on many of the vehicles covered in this report do their own Falling Back. Overall, average depreciation is only 1.0%. However, several models fell significantly over the last 6 weeks.

The majority of the vehicles stayed flat (70% had statistically insignificant changes). The 30% that did fall, however, fell over 4%.

Compared with last month, overall average depreciation across ALL models is lower, but the models that did drop were notable. Last month, overall average depreciation was 1.93% vs. 1.0%.

The largest movers were Bentley (7.19%), Maserati (6.97%), Lamborghini (5.78%), and Ferrari (3.48%).
Just like last month, we don’t interpret the depreciation number as anything ominous. It’s higher than the previous several months, but certainly not out of line with what we have seen over the last several years.

When you factor in the extra 2 weeks and the average overall numbers, the outliers aren’t alarming.

Remember, the Market Report prices, while intended ONLY as a guideline, do represent the real money on these vehicles today.

Like we said last month, it’s normal for prices to go down. Flat values are unusual. Which is, after all, why you’re reading this report.

Of course, iLUXCARS is much, much more than a way to value your trades – iLUXCARS is a complete solution; from the time your customer walks into your dealership, through getting paid and the car off your lot fast.

Complete.

Technology working for you. Even when all you have is your mobile phone.

Our goal is simple and consistent – help you make more deals. Something we’ve been doing consistently well, according to our users, for over 5 years.

Helping you make more deals. One commitment at a time.

Faster. Safer. Better.

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