Quote:
Originally Posted by BigBlock69RS
eBay is probably the worst place to gauge price off of. Many cars are put on there with either extremely low(with a extreme reserve) or extremely high prices as a means of free advertising.
And just because one car might have even had a starting bid at x doesn't mean that is the price for all other cars.
Yes all new cars depreciate zl1s are no different, just your methodology for gauging depreciation is flawed. a sample size of one you can't draw any correlations or conclusions from.
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Fair market price (equilibirum) is found where the largest number of buyers and sellers gather to negotiate price of an item......not my method....Adam Smith in mid 1700s and used in every Econ 101 class, which is required GE in a 4 year college.
Ebay is the largest interactive marketplace for autos in the world. You can't find a larger sample size anywhere. One may not like it, but likes and dislikes are irrellevant, as Ebay is a conduit for economic price theory....that is their business model and I don't see them going out of business in the near future.
And the depreciation rate that I use is not my creation....its the approximate rate used by banks to determine residual value on a new ZL1 lease....14.8%
This yellow one will be a good example to observe.....with auto, CF and RV cam the MSRP was approx $60K, cost of almost $65K with tax. The first owner already took the big loss.....probably in excess of 25%....I'll let you do the math.