E39 M5 to appreciate or not appreciate that is the question!

[Sideways Rich]

Evening All,

What does the collective think will happen to E39 M5 values over the next 2-5yrs - will they ever start to appreciate? Will mint examples command a significant premium?

I have a dilemma in that I bought one for DD duties in July 2011 and 19k miles of driving later its been a fantastic car, I've spent a decent sum getting it in mint condition and am now torn as to whether I sell it or store it until my return (likely to be out of the UK for a couple of yrs at least).

My head tells me flog it, buy some shares and earn a return on the money, but my petrol heart is saying put it in storage and see what values are like for well looked after examples when you get back.......

Does anyone have an indication of what it costs to store a car properly for a couple of years (somewhere where they move it once a month let all the fluids warm up etc)

Thanks

[rassi]

If less than a year: consider storing it.

If more: sell it.

It will never really appreciate, but depreciation may stop for low mileage, facelift, mint condition examples.

[belleair302]

Around £150 per month is a decent price, and I would carcoon it. the problem is that the E39 M5 has been produced in vast numbers and there are thousands all over the world, some in great condition. It is neither hand built ie E34 M5's nor produced in the original M factory. Either drive it as the designers wanted customers to or sell it to somebody who will!!

[Sideways Rich]

Interesting views, the man maths doesn't stack up when you factor in £1800 pa for storage.

[tjlazer]

Just keep driving it! I'm going to run mine as long as I can. Even if the market doesn't appreciate them you and I will!

[Gruber]

I think there'll be an appreciating market for very low mileage immaculate cars, but the rest are unlikely to see significant rises for the reasons already stated (simple supply and demand).

So if yours had only done 19k miles then i think it would be worth mothballing, but assuming it's on something rather higher then I'd say use it or sell it.

[Sideways Rich]

tjlazer said:

Just keep driving it! I'm going to run mine as long as I can. Even if the market doesn't appreciate them you and I will!

That will be a challenge when I'm in Singapore and the car is in the UK, but I totally agree with the sentiment, if I was staying in the UK I would just keep it.

[Sideways Rich]

Gruber said:

I think there'll be an appreciating market for very low mileage immaculate cars, but the rest are unlikely to see significant rises for the reasons already stated (simple supply and demand).

So if yours had only done 19k miles then i think it would be worth mothballing, but assuming it's on something rather higher then I'd say use it or sell it.

Yes, you're probably right, the amount produced is too high for it to command any kind of worthwhile premium when you factor in storage, servicing etc whilst away. Mine has done 96k miles.

[thepony]

I think very good last of the line low mileage E39 M5s will eventually appreciate considering it was head and shoulders above everything else

Will probably Take more than 2 years. E34 M5s aren't worth much
E39 M5 according to Evo magazine in 2007 is in the Top 5 BMW M cars ever produced along with M3 Sport Evolution; M3 CSL; M1; E39 M5 ....

I would be very surprised if not worth anything certainly in 20 years time

In 5-10 years I would expect to see appreciation considering there are not many nice ones left ....

Treasure it sir :-)

[2stis]

I can't see them going up in value much for a good while. I have a mint example on 65k and I think it will be a while until it even gets back to the price I paid for it a couple of years ago as they have taken a knock over the last couple of years as people economise and luxury, low-mpg vehicles continue to take a hit. However, the number I saw whilst searching for mine shows that already there aren't that many around in finest fettle and so, as the ropier ones are just run into the ground, the remaining will become rarer and values will eventually strengthen again. Having seen yours post KDS-detailing it does look like a great example and one that will hopefully be cared for by any subsequent owner if you did decide to part with it. The other thing to look at is whether it matters if it appreciates in the short-term - if you came back in a couple of years time and still had a wonderful car ready and waiting for you that you knew well and it had everything already done to it then that can be worth a lot too - not purely in financial terms. I went to work in HK for a few years (and a 3-month stint in Sing) and have always regretted selling the car I had when I left, but needs must!

Sideways Rich said:

Interesting views, the man maths doesn't stack up when you factor in £1800 pa for storage.

I agree that this is the killer. I can't see their value going up by this much each year in the next couple of years. Also hard to say it's a price worth paying just to know that you have your car to come back to when you return as £3600 is a lot to pay to be in that position. However, it is possible to store a car for much less than that, so if it was, say, only a couple of hundred quid a year I think it would be worth holding onto it, as trying to replace it with something equivalent when you return would be difficult and time consuming.

[Loplop]

I'm going to offer my two cents on the matter.

All M5's will appreciate eventually, they are an M Car so that's pretty much a given, the only real variable is how long it will take to appreciate.

E28's Were the first proper M5, they could embarrass some contemporary super cars at the time, while still being a practical 4 door saloon, it was the M535i 2.0 and with it BMW re wrote the rule book.

E34's (my personal favorite) Have a couple of aces up their sleeve, most importantly imho is the fact they were the last hand built M - Car at Garching. Meaning it was the last of the breed to have every little tidbit analysed at great lengths by Hans unt Gunther before being sent out. And they were the last M5 to be powered by the legendary line of BMW's world famous straight six engines.

I'll get to the E39 in a sec and leave out the F10.

The E60 has one thing going for it currently and the current global climate seems to support this no end. It looks as if the E60 will be the last, naturally aspirated M5 and that is an extremely important thing looking at the critics' views on the F10's engine.

What the E39 had, was that it was going to be the last, 3 pedal 'proper' manual M5 and it stayed that way for a few years, that was going to THE selling point of the E39 in subsequent years but then the Americans demanded a 'stick' for their E60s and eventually (I think it was the last model year.) they got them, meaning that what currently looks to be the last 'proper' manual M5 is a late, US - Spec E60. I'm pretty sure I heard rumors of a 3 pedal arrangement coming to the F10 though.

So that's what I think of the E39 in the bigger picture. It will appreciate eventually, it's a spectacular drivers car, even in standard 528i guise the E39 chassis is lauded by pretty much everyone, so the E39 will have it's day eventually, but not for a while.

[Sideways Rich]

2stis said:

I agree that this is the killer. I can't see their value going up by this much each year in the next couple of years. Also hard to say it's a price worth paying just to know that you have your car to come back to when you return as £3600 is a lot to pay to be in that position. However, it is possible to store a car for much less than that, so if it was, say, only a couple of hundred quid a year I think it would be worth holding onto it, as trying to replace it with something equivalent when you return would be difficult and time consuming.

Thanks I think you're right, the £150 per month is for a top notch storage place where they valet, trickle charge, roll the car and heat up all fluids. I have some friends that own a farm that store high end cars which could make the man maths work better.

I don't need to sell the car but I'm reasonably comfortable I could get a better return on the cash by selling it as opposed to storing it.

I've promised myself a GT3 when I get back, only fair after not driving in Sing for a couple of years! :-)

[2stis]

Sideways Rich said:

I don't need to sell the car but I'm reasonably comfortable I could get a better return on the cash by selling it as opposed to storing it.

I'm sure you are right. If you fancy a change anyway when you come back then I don't think it is worth keeping it just from a financial viewpoint - I can't see them rocketing within the next two years such that there would be any 'profit' from it if you waited and sold then instead.

Sideways Rich said:

I've promised myself a GT3 when I get back, only fair after not driving in Sing for a couple of years! :-)

Ah, you should hang on to the M5 too then - I find them the perfect pair and can't imagine selling either ;-)

[BlackPorker]

Loplop said:

I'm pretty sure I heard rumors of a 3 pedal arrangement coming to the F10 though.

It's more than rumour!
http://www.pistonheads.com/roadtests/doc.asp?c=100...

[Sideways Rich]

2stis said:

Ah, you should hang on to the M5 too then - I find them the perfect pair and can't imagine selling either ;-)

Superb, that is an awesome stable to have, 996 or 997 GT3?

For me a 996 GT3RS/997 GT3 clubsport and the M5 would be perfect. :-)

[Cheib]

Loplop said:

The E60 has one thing going for it currently and the current global climate seems to support this no end. It looks as if the E60 will be the last, naturally aspirated M5 and that is an extremely important thing looking at the critics' views on the F10's engine.

What the E39 had, was that it was going to be the last, 3 pedal 'proper' manual M5 and it stayed that way for a few years, that was going to THE selling point of the E39 in subsequent years but then the Americans demanded a 'stick' for their E60s and eventually (I think it was the last model year.) they got them, meaning that what currently looks to be the last 'proper' manual M5 is a late, US - Spec E60. I'm pretty sure I heard rumors of a 3 pedal arrangement coming to the F10 though.

So that's what I think of the E39 in the bigger picture. It will appreciate eventually, it's a spectacular drivers car, even in standard 528i guise the E39 chassis is lauded by pretty much everyone, so the E39 will have it's day eventually, but not for a while.

I agree with you about the E39....it'll be the M5 people want in a few years time. The E60 has an epic engine but is handicapped by what a lot of people now think is a poor gearbox.....in 10 years time the E60's gearbox will look like utter garbage...much like the original 3 speed auto's do now..manual gearboxes just don't date in the same way. Combined with the E39's great chassis and own fantastic engine I think it will be looked on as the last proper M5....i.e. naturally aspirated with a manual box. The US only manual E60's aren't really relevant to us over here....I think I've read somewhere it's not that great anyway as the car was never designed with it in mind.

I think for E39's to ever be worth serious money it will need ultra low mileage and time warp condition. Condition alone won't be enough. Too many around.

[2stis]

Sideways Rich said:

996 or 997 GT3?

A 996.2. I went for a non-clubbie in the end (aka 'Comfort', although that is not a Porsche designation for them) as I have two kids so I have rear belts retrofitted which means I can take the whole family sometimes and get more use out of it than I would if there was a cage back there!

[Sideways Rich]

2stis said:

A 996.2. I went for a non-clubbie in the end (aka 'Comfort', although that is not a Porsche designation for them) as I have two kids so I have rear belts retrofitted which means I can take the whole family sometimes and get more use out of it than I would if there was a cage back there!

Very nice and I can understand choosing a non-clubbie with Kids.

Well the M5 is sold, a chap has been along this morning and placed a deposit.

[2stis]

Congrats. A mate mentioned that he was interested in getting an M5 so I told him to call you quick as by chance a very nice one had just come on sale! Thus I had already heard that your car was sold as he rang you earlier. Despite the doom and gloom out there the good ones always seem to sell quickly!

[Sideways Rich]

2stis said:

Congrats. A mate mentioned that he was interested in getting an M5 so I told him to call you quick as by chance a very nice one had just come on sale! Thus I had already heard that your car was sold as he rang you earlier. Despite the doom and gloom out there the good ones always seem to sell quickly!

Thanks, appreciate you pointing him in my direction, yes I've been pleasantly surprised both cars I've sold have been bought very quickly recently.