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I have been keeping an eye on prices of M5's and it seems values have really gone downhill.

People cant get rid of their 3.6's for anything over £4000 and late 3.8's around £6500. Early 3.8's no more than £5500.

Whats going on? Suddenly the prices are coming right down. Bit worried that they will be worthless very soon.
 

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Don't forget the E60 M5 is just around the corner so all previous generation M5's are depreciating. An E39 M5 2000 plate with 50,000 miles can be had for about £17,000 which is about the same price as a new hot hatch (Civc Type-R, Astra SRi) that particular E39 has dropped £40000 in 5 years ouich So with the E39 looking good value for money then the E34 is going to be cheaper still. Makes for depressing reading but not a lot we can do about it.
 

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They have done most of there falling now. But hey their a Classic!!
 

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Although the E34 M5 is a very special car it still can't escape the price depreciation cycle all cars experience, there's one positive aspect to this
sickening cycle, most special high performance, low production cars usually increase in value after they hit rock bottom (have we reach the bottom yet?
I hope we have), maybe the E34 M5 will someday command as much as a
67 427/435 Vette/69 Ram Air 3/4 GTO Judge/LS6 454 Chevelle. IMHO very limited parts availability, expensive maintenance servicing, and a none existing information source is the real killer for these cars. The best way to sell a new or nearly new car (i.e. E60 or E39 M5), provide little or no parts/ information or support for the older model.

Garcia
 

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I agree with the "fall and rise" theory - like a phoenix from the ashes these cars will rise again, look at the M3 E30. Off-course it will greatly help if there is some sort of documented history with the car too. Anyway thats my opinion.
 

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In Brazil M5 E34 and a few other cars, like S2 RS2 M3 E36 Used to cost about US$ 15.000,00 a few years ago, but today you can't find a good E34 95 for less then US$ 20.000,00 a few in very very good cond. with 40.000 km were sold this year for US$ 30.000,00 So I think this kind of thing classic cars has already began in Brazil
 

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It doesn't help that in the UK its a buyers market with the 2nd hand car market flooded.

But I do think that the prices will pick up and hold in a few years on the E34 as they are a rare car.
 

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BURTON said:
It doesn't help that in the UK its a buyers market with the 2nd hand car market flooded.

But I do think that the prices will pick up and hold in a few years on the E34 as they are a rare car.
Yes, I agree
They are a rare car, but of a type that seems to get driven which says a lot about how much of a good alrounder they actually are.
They all seem to have lots of miles on them which puts many off.
BMW M parts pricing is not helpful though. Im not going to rant about suspension components but thats the issue in my eyes.

I am fairly confident that the 3.8 is probably one of the worst cars to run day to day. It is obvious that the first owners got 60 to 80 K miles of good reliable high speed fun, then all subsequent owners have there hands in their pocket permanantly...
I think it will be along time before we see prices rise on our old Panzers.

A good friend no longer with us once said of his E28 M5 :-

"You never actually own an M5, your're just looking after her for the next owner.."

So chaps...Go enjoy it.

Farrell
 

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Oh I am enjoying mine!! Also is nice to see that there are fellow like minded owners also.
 

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that is normal, a good example of that is that i bought a 1994 S2 Limousine with the exterior and interior in perfect shape, spare tire has never been on road, as it still OEM. But i spent US$ 7000,00 on it. Upgrades and maintence...
 

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farrell said:
I am fairly confident that the 3.8 is probably one of the worst cars to run day to day. It is obvious that the first owners got 60 to 80 K miles of good reliable high speed fun, then all subsequent owners have there hands in their pocket permanantly...
Farrell
That's my experience - 000's spent since 85k miles (now at 105k) ie
new clutch
new edc suspension all round inc drop links, bushes, control arms, wheel bearings, front discs etc.
new fuel pump

dont even want to think about the inevitable 'engine refresher' :confused3
nothing spent yet in April which makes a change.....
 

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Jahangeer said:
I agree with the "fall and rise" theory - like a phoenix from the ashes these cars will rise again, look at the M3 E30. Off-course it will greatly help if there is some sort of documented history with the car too. Anyway thats my opinion.
I agree the E34 M5 is a complex car and it will always be expensive to maintain and that will affect the second hand prices but I think as the number of good condition models declines we will get the same effect as happened to the E30 M3.

We must remember that at the moment there are a number around in good or excellent condition and that this will effect the price as there are a number to choose from for the buyer but.....when this number declines as it did with the E30 M3. The price will go up

But I think this is a minor consideration for owning and running a fantastic performance car that can mix it with supercars and yet take the family shopping or cross continent.

Enjoy the car while you own it and then sell for the best price you can.

brgds

Simon
 

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Hi Guys,
Well interesting subject as mine will be on sale soon. grrrrrrr
You will all know its past, etc, and in what condition it will be for sale soon, but before that, I think that pricewise, it depends a lot of how in a rush sellers are. And as well it is down to us to not letting go our vehicle for a ridiculous amount of money regarding the car that we will give away.
As a part-time classic and sports car trader and long time racing driver, you'd imagine that I had a lot of different vehicles. BUT... when my first M5 went, i was really gutted (especially when I made my mind on the monkey who bought it..and heard that the car finished in a wall two month later..but aaaaaaanyway !)
So I had to source an other one straight away, realising the miss in my life. Couldn't cope with any other cars I had for sale at the time, and still can't now. I have the chance to have driven hundreds of different nice vehicles, but still can't match the M in terms of ratio : acquisition costs/pleasure to drive on a daily basis.
Furthemore, our cars seem to do not be well recognised/known/remembered amongst potential buyers of fast luxury saloon having an Automotive History . Fair enough as the production is quite small anyway. Loads of interested prospects do not realise what they will buy. They will only discover it during usage. Added to that, a lot of our vehicle end in the hands of dodgy traders which are just only after a quick profit, and neglecting the condition of the vehicle. A quick polish and that will do. And these guys as well do not help us selling our vehicle.
So one solution would be basically to all be concerned by this matter and discuss about it and eventually working towards a kind of owners agreement. But certainly not to follow the actual trend price market (I have seen a 3.6 going for 3 grand ?!?!?...I won't tell you either what I paid for mine but anyway...). Not following the prices markets, and especially if we see a vehicle much cheaper than the one we have for sale or would like to sale. We could start to make our own estimations guidelines or a benchmark and fix amongst ourselves and offer only a bottom line price per year/mileage, etc..as it already exists for any classic or car with a pedigree like the M5. AND STICKING TO IT, whether for a 3.6 , a 3.8 or a E39. That would be one first possible step to have our vehicle re-evalued (by ourselves and between ourselves) . Because so far, what I am only seeing is that we are all M5 owners, but still as well all competitors when it is down to the sale matter. And we are killing each other instead of helping each other in the value of our asset, as to sale our vehicle we think that dropping the price is the easiest. In this condition we would be able to sell our vehicle much closer from what it really should worth , instead of giving away our pride to a monkey who will not really care and will sell it to a scrap yard for 50 pounds when he will hit the pavement !
I really don't see actually why our cars should loose value now. They are far too old to still depreciate. And new M5 or not. This is not the same type of customers that will by a V10 on credit with a 4 years waiting list at any bmw dealership (well that's at least what my dad's contract says when he left a deposit ages ago), an H reg 3.6 or late 3.8 and even an E39. E39 could still depreciate a bit ....but still...not for long and not too much I hope! Already dropped in price by 2/3 of their new value, and they still look new !
I really think we should advertise our car for more money all together. So we will create the market instead of trailing behind it.
Just a thought though.
styve (confused
)
 

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Hi Valiers
Other market forces are currently forcing our values down. The E39 M5 is still in freefall & comes with its own unique failure modes.
I earn my living as a Vehicle test Engineer (still learning from my peers & you Fellas everyday though..) but a couple of my friends are now on the service side of the industry. Those who have Used 2-3 yr old M5 E39 all give the same warning:-
Worthless without warranty.
They all appear to have accrued thousands in warranty costs.
Its serious as well as stupid items. ABS sensors last as long as an oil service..

Still the fact remains that if you can buy an E39 for £18k with warranty, why on earth would you spend 60% of that on a 3.8 which is even worse to run & service with numerous parts on back order & other parts kept in mainland Europe only.

I would add that I have a 3.8 & when it is all working ok, it is a car that has very few peers on the twisty stuff.... BUT I believe mine is typical.
Its always got things going wrong month after month.

My other half refers to mine as " THE BLUE BAG OF SH*TE" with comments like "OH, THERE GOES ANOTHER HOLIDAY"
I have now retired mine to occasional use as I have put to much money into the car in terms of replacement parts to get anything reasonable without spending another £10k ontop of a sale from my 3.8.

I think the word is out on the street about running costs on these cars.

Regards
Farrell
 

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Hello Farrell,
Point taken and it makes sense as well. I am lucky enough to be able to do all the work myslef or benefiting from a network of relations that can do me favors and consequently not charging me thousands when something goes wrong, hence having saved i guess a substantial amount of money during maintenance.
Regarding your other half words : well I can't really say. Maybe few solutions :
- you should allow her at your own risks, to drive the car a bit more so she may soften her comments. :crying2::crying2: ouich
- If she is still moaning after a ride, leave her !
:byebye:

Alternatively, my other half is since a long time well aware that the pleasure of driving and messing around vehicles gives me more buzz than any of her griefs....or satisfactions for new bra, jumpers and others shoes that she will wear anyway only twice before being disapointed by her purchase (surely because of the size matter ). At least, when I am changing a part on my car, it lasts for ages, and she can't match that with any useless crap she is buying ! God ! It looks like our extra holidays ends in charity shops sometimes.

I am still thinking that should we list our vehicles for a higher price though.

Styve
 

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Well I did an analysis of all M5's for sale in Sweden, its quite a big market.

I did a detailed look at April 05 and a summary of March 05.

April 05 M5's for sale

3,6's counted 19, average price 4500GBP or 60421 SEK (1989 - 2, 1990 -9, 1991 - 8)

3,8l's counted 18, average price 6600GBP or 89,272 SEK (1992 - 11, 1993 - 4, 1994 - 1, 1995 - 2)

5,0l's counted 20, average price 19,300GBP or 260,245 SEK (1999 - 9, 2000 - 7, 2001 - 3, 2003 - 1)

total 57!

March 05 M5's for sale

3,6's 8
3,8's 5
5,0's 13
total 26

See if you make any sense of that! There seems to be more E39's in the Swedish market up for sale, than the other models. Perhaps owners are getting scared of potential problems arising.

Any Swede on the board care to help me out? Mr Ilunder?
I have posted as imilar post on a Swedish forum, so if I get an opinion from there I will let you know, as there are a lot of E39 M5'ers posting there.

Regards

J

PS there may be more cars than the M5's listed above - I have only taken from www.blocket.se - the most popular advertising web page in Sweden.
If anyone wants I can mail them the spreadsheet I did, it has the mileage per car as well as the price.
 

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Im thinking that the main reason is the running costs to be honest. for the money you can get other cars that may or may not deliver what the m5 delivers. BUT the running costs are a lot cheaper.

same with many cars at the moment and the reason why japcrap is so popular!
note - i have owned and sold the cars-

a scooby is relaible and cheap to run

and m5 is very expensive to run.

this is main problem of running costs i am thinking

frosted
 

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frosted said:
Im thinking that the main reason is the running costs to be honest. for the money you can get other cars that may or may not deliver what the m5 delivers. BUT the running costs are a lot cheaper.

same with many cars at the moment and the reason why japcrap is so popular!
note - i have owned and sold the cars-

a scooby is relaible and cheap to run

and m5 is very expensive to run.

this is main problem of running costs i am thinking

frosted
-----------------------

Yes that is probably the best reason, Japanese cars are cheaper to buy and to run.

I would not class them as crap though, I was at an event last weekend called Challenge, I got crap times as the cones on the airstrip was basically the course and you did not get out of 2nd gear, there 3 or 4 Porsche GT3's an RS Turbo, a Ferrari etc, guess what got first?

A Mitsubishi Evo 6. Not all Jap cars are crap, just most of them.

Rgds
J
 
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