The depreciation appreciation thread
Discussion
I'm in the process of selling a car. It's just a family runabout that we have owned since it was 3 years old (five and a half years ago) and we will lose GBP 1850 on it, which I am quite happy with. That got me thinking as to how I have fared over the years with regards to depreciation since buying my first car in 1987.
As it turns out not too bad at all. I will have bought and sold 9 cars with my own money during that period. Some were daily-drivers, others cherished classics. It's worth noting that none of these purchases were new cars. Anyway, ignoring inflation, maintenance etc, the nett result of all these 9 purchases/sales is actually a nominal profit of GBP 4070. So that's 27 years' worth of self-funding free car ownership, with 4 grand towards maintenance.
How does your depreciation history compare? Don't include any company-funded cars, just ones you paid for yourself.
As it turns out not too bad at all. I will have bought and sold 9 cars with my own money during that period. Some were daily-drivers, others cherished classics. It's worth noting that none of these purchases were new cars. Anyway, ignoring inflation, maintenance etc, the nett result of all these 9 purchases/sales is actually a nominal profit of GBP 4070. So that's 27 years' worth of self-funding free car ownership, with 4 grand towards maintenance.
How does your depreciation history compare? Don't include any company-funded cars, just ones you paid for yourself.
LotusOmega375D said:
I'm in the process of selling a car. It's just a family runabout that we have owned since it was 3 years old (five and a half years ago) and we will lose GBP 1850 on it, which I am quite happy with. That got me thinking as to how I have fared over the years with regards to depreciation since buying my first car in 1987.
As it turns out not too bad at all. I will have bought and sold 9 cars with my own money during that period. Some were daily-drivers, others cherished classics. It's worth noting that none of these purchases were new cars. Anyway, ignoring inflation, maintenance etc, the nett result of all these 9 purchases/sales is actually a nominal profit of GBP 4070. So that's 27 years' worth of self-funding free car ownership, with 4 grand towards maintenance.
How does your depreciation history compare? Don't include any company-funded cars, just ones you paid for yourself.
I think we've done this before?As it turns out not too bad at all. I will have bought and sold 9 cars with my own money during that period. Some were daily-drivers, others cherished classics. It's worth noting that none of these purchases were new cars. Anyway, ignoring inflation, maintenance etc, the nett result of all these 9 purchases/sales is actually a nominal profit of GBP 4070. So that's 27 years' worth of self-funding free car ownership, with 4 grand towards maintenance.
How does your depreciation history compare? Don't include any company-funded cars, just ones you paid for yourself.
LotusOmega375D said:
Anyway, ignoring inflation, maintenance etc, the nett result of all these 9 purchases/sales is actually a nominal profit of GBP 4070. So that's 27 years' worth of self-funding free car ownership, with 4 grand towards maintenance.
The only catch being, of course, that you shouldn't ignore inflation.£1 from 27 years ago will be worth just 33p today.
If you appreciate depreciation, buy cheap cars!
Tuvra said:
Probably down £100k or so in 10 years, I don't particularly care either, its what I enjoy...
i dont get the hang up people have on depreciation, my train ticket would be 5k a year so i would rather blow that on a caralso its better to spend it on something you enjoy than leave it for the family to fight over
Raman Kandola said:
Ozzie Osmond said:
The only catch being, of course, that you shouldn't ignore inflation.
£1 from 27 years ago will be worth just 33p today.
If you appreciate depreciation, buy cheap cars!
Pretty sure its the other way round, 33p from 27 years ago will be worth a £1 today£1 from 27 years ago will be worth just 33p today.
If you appreciate depreciation, buy cheap cars!
Down £19,000 over the past 4 and a half years on my current car (based on WBAC current valuation and this also includes interest on PCP).
Down £5000 on previous car after 5 years and 2 months (It was written off)
Down £2200 on first car after 18 months (part excahnged)
Do I care? Hell No. currentlyy contemplating upgrading to another new car (man maths not working out yet) and I reckon I'll be down another £15000 in the next 3 years.
Down £5000 on previous car after 5 years and 2 months (It was written off)
Down £2200 on first car after 18 months (part excahnged)
Do I care? Hell No. currentlyy contemplating upgrading to another new car (man maths not working out yet) and I reckon I'll be down another £15000 in the next 3 years.
LotusOmega375D said:
It's just a family runabout that we have owned since it was 3 years old (five and a half years ago) and we will lose GBP 1850 on it
Would you mind giving us the figures?What family car has gone from 3 years old to 8.5 years old and only lost £1850 in the process?
If you bought it at a stupid low price from a friend originally, that's cheating.
Bennet said:
LotusOmega375D said:
It's just a family runabout that we have owned since it was 3 years old (five and a half years ago) and we will lose GBP 1850 on it
Would you mind giving us the figures?What family car has gone from 3 years old to 8.5 years old and only lost £1850 in the process?
If you bought it at a stupid low price from a friend originally, that's cheating.
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