GS Residuals, another myth?
- Thread starter longdog
- Start date
Yes, that's the same experience as I have had, but it still comes as a shock when you are offered peanuts for your "investment" against the price of a new bike. Even worse when you see the "stealer" mark-up on your old bike on their forecourt!!!!
All this and they still stiff you with their service prices
Its a dealer trade in price, in October, of course it will be poor, you'd get more selling it privately now or keep it thru the winter and sell it in the spring when prices bounce back up.
Shaunie
Registered user
Yes, that's the same experience as I have had, but it still comes as a shock when you are offered peanuts for your "investment" against the price of a new bike. Even worse when you see the "stealer" mark-up on your old bike on their forecourt!!!!
All this and they still stiff you with their service prices
"Investment" ??? How can anyone think that buying a new vehicle is an investment? Certainly not in financial terms. It's a (quickly) depreciating asset.
Anyway, basic rules of commerce. Minimum mark-up for anything you buy in the shops is 20%. Aldi, Sainsburys or Harrods, doesn't matter. If they can't make at least 20% profit on an item then they won't be selling it to you.
Bike dealers are no different. Trouble is, we all value our bikes based on what we see similar machines in dealers. Whatever YOU think YOUR bike is worth deduct 20% and you'll be somewhere close to it's trade value. If you saw a similar bike in a dealer for 7000 then yours is worth 5600. Ouch, that's hard to swallow. The "stealer" has to pay rent, rates, electricity, staff... At the end of the year his net profit is probably around 6%
So let's not be insulted and whine about it. Advertise your bike privately, wait 2 weeks while several dickheads come to your house to poke, prod, kick the tyres, offer you 200 cash and the balance by cheque. Anyway, you'll eventually sell it for 500 less than you'd hoped, then you can repeat the entire process in reverse to achieve the bike of your dreams.
Phew, that bordered on a rant. I apologise but whinging about part-ex offers really annoys me.
I second that 
Big Lee
Registered user
The bottom line is the vehicle you`re part ex`ing is the worst, most unreliable piece of machinery ever to have the misfortune to roll out of a factory under it`s own power. A favour of unfathomable magnitude is being done by the dealer to take it off your hands. Whereas..
the vehicle you are buying will transform your miserable life beyond all expectation as soon as you sign that dotted line & how you manage not to sign all your wordly possesions over to the salesman that you love now more than your firstborn for getting you out of that downward spiral before dying young is amazing.
They`re there to get as much money out of you as possible.
the vehicle you are buying will transform your miserable life beyond all expectation as soon as you sign that dotted line & how you manage not to sign all your wordly possesions over to the salesman that you love now more than your firstborn for getting you out of that downward spiral before dying young is amazing.
They`re there to get as much money out of you as possible.
The dealers are more a victim of their overheads than robdogs.
There has been a few threads on here about BMW dealers closing or at risk of.
If they were making a mint they would opening more wouldn't they?
There has been a few threads on here about BMW dealers closing or at risk of.
If they were making a mint they would opening more wouldn't they?
Buzz Lightyear
Registered user
For my sins I've spent over 20 years in the car trade and have not seen the level of depreciation that's being experienced at the moment. A lot of pressure from car manufacturers pushing for sales volume using low rate finance and huge discounts to entice buyers away from a used car (manufacturer not interested in used sales as they have been sold already!). Car sales are down in Europe and the USA. Hence our market is being flooded with them. BMW's cars are no different and their bikes have started to go this way too. An example of how things have changed in 3 years below:
In Feb 2004 I bought a new R1100S and 9 months later my depreciation was £1,750 against a new R1200RT. Quote from the Sales Manager, "I'm going to hit it hard, the demand has dropped, new R1200S model out in a few months." I felt disappointed and advertised it on Autotrader, it didn't sell and I px'd it and accepted the £1,750 loss.
Two and a half years later my 5,000 mile Jan 07 R12000GSA (loaded with all the right bits £12,100 new) was valued at between £8k last month, a loss of over £4k!
It''s the old supply & demand ratio. One thing is for sure I won''t be buying new next time. I've decided to keep the GSA and buy a 3,000 mile 3 month old K1200GT demonstrator for almost £4k off new price. The GSA has had it's "initial" drop and will probably lose £1k by September 2008. The GT who knows but at least I've reduced the drop by £4k
In Feb 2004 I bought a new R1100S and 9 months later my depreciation was £1,750 against a new R1200RT. Quote from the Sales Manager, "I'm going to hit it hard, the demand has dropped, new R1200S model out in a few months." I felt disappointed and advertised it on Autotrader, it didn't sell and I px'd it and accepted the £1,750 loss.
Two and a half years later my 5,000 mile Jan 07 R12000GSA (loaded with all the right bits £12,100 new) was valued at between £8k last month, a loss of over £4k!
It''s the old supply & demand ratio. One thing is for sure I won''t be buying new next time. I've decided to keep the GSA and buy a 3,000 mile 3 month old K1200GT demonstrator for almost £4k off new price. The GSA has had it's "initial" drop and will probably lose £1k by September 2008. The GT who knows but at least I've reduced the drop by £4k
The_Pilot
Guest
I just took a massive hit on an Aprillia Factory, beautiful bike, loved it but it had to go. Bought well but the time of year, the market, crap summer etc...
Bought a GS again, paid 7.5k for a 8k miles 05 gsa fully loaded, seems ok to me, I p/x ed my old one for 7k with nothing on it a year ago.
You can get them cheap but normally only in poorer condition or you found that desperate guy.
They are a good, all round all year bike and compared to most have good residuals....I say just ride it.
Bought a GS again, paid 7.5k for a 8k miles 05 gsa fully loaded, seems ok to me, I p/x ed my old one for 7k with nothing on it a year ago.
You can get them cheap but normally only in poorer condition or you found that desperate guy.
They are a good, all round all year bike and compared to most have good residuals....I say just ride it.
Ribcracker
Registered user
Alot changes depending on the dealer, when I was looking Pidcocks had a high price on the bikes they were selling and were offering a pooor deal on trde in.
50 miles away in Crewe at blue bell they were working on a nnarrower margin and after a couple of visits it was obvious that they were shifting they're stock quicker than Pidcocks. I brought mine from blue bell and while I was picking it up Demongroover did a deal on his 1200 as well.
It does pay to travell a bit.
50 miles away in Crewe at blue bell they were working on a nnarrower margin and after a couple of visits it was obvious that they were shifting they're stock quicker than Pidcocks. I brought mine from blue bell and while I was picking it up Demongroover did a deal on his 1200 as well.
It does pay to travell a bit.
Buzz Lightyear
Registered user
At the end of the day we all ride the GS because we love 'em. Good old finance allows you to buy with no px in Winter and sell the "other" bike privately in Spring. My mate sold his R1150GS Adventure for £2k more privately than his px offer by doing it this way.
Ah, the term "investment" was made with my tongue firmly in my cheek
I am certainly not naive enough to think of a GS or indeed any other modern day bike as an investment, (unless it's a Desmosedici that is!!!) 
Hmmm....... whinging about part-ex prices......... I know the rules of the game and I don't expect a fortune, but a realistic price inline with the stealer's bible, Glasses Guide, would be nice. The stealer in question told me that £4,500 was inline with Glasses' price, then went and offered me £3,500
and wouldn't budge an inch!!! "Wrong time of year to sell" he told me while expecting top-book on the bike that he was selling!!!
If that is whinging, I apologise, but he wouldn't move and all I want is a fair price. Half way and we would have probably shook on the deal.
Taking the p**s
Longdog, that dealer is indeed taking the piss.... I recently had my 05 SE serviced at Bahnstormers where they have the TT 1200 GS in the showroom... Whilst talking to the sales guy i told him that it was a lovely looking machine but that I was happy with my SE. He went out to have a look at it and said that he would give me 7K for it against the TT GS (14k total) and 6K against a standard 1200 GSA
. My SE has 18k miles on it now and that didn't include all the TT stuff I have on it....... Needless to say I kept the SE as it's a far superior model to the 1200GS
If you want a comparison take it to a few BMW dealers to see what the difference is.....
Longdog, that dealer is indeed taking the piss.... I recently had my 05 SE serviced at Bahnstormers where they have the TT 1200 GS in the showroom... Whilst talking to the sales guy i told him that it was a lovely looking machine but that I was happy with my SE. He went out to have a look at it and said that he would give me 7K for it against the TT GS (14k total
) and 6K against a standard 1200 GSA. My SE has 18k miles on it now and that didn't include all the TT stuff I have on it....... Needless to say I kept the SE as it's a far superior model to the 1200GSIf you want a comparison take it to a few BMW dealers to see what the difference is.....
Craig David
Guest
FWIW September 07 Cap book values an '02 1150GS (with 20K miles) part ex £3800 in 'average' condition, £4300 in 'clean' condition. Dealer would sell at £5295.
£3500 does seem low - winter never helps bike prices though.
£3500 does seem low - winter never helps bike prices though.
Keep 'em Longer
My way to save money is to keep them longer
In 1980 my R90s cost me £900.00
I've turned down £5.000.00 plus for her recently
My R26 cost me £300 in 1972
I've had offers over £3.000 in last 2 years
My R60/6 was £290 in 1978.
Now needing a restoration, I've STILL been offered a £1000.00
My R80 g/s in 1995 cost me £900, I think it may be worth a little bit more now
Taking into consideration inflation since purchase dates, I'm still in profit overall.
My 5 Monkey bikes have risen in value over 1000% since purchasing in the years 1972/ 85......
2 maybe 3 of my bikes will be going in FSW in the new year, my 1985 FJ1100, My 1980 R100 cs
and maybe the R60/6 as I have not had time to give them the devotion they deserve.
I trust no one will complain if I make my purchase cost back on them
My way to save money is to keep them longer
In 1980 my R90s cost me £900.00
I've turned down £5.000.00 plus for her recently
My R26 cost me £300 in 1972
I've had offers over £3.000 in last 2 years
My R60/6 was £290 in 1978.
Now needing a restoration, I've STILL been offered a £1000.00
My R80 g/s in 1995 cost me £900, I think it may be worth a little bit more now
Taking into consideration inflation since purchase dates, I'm still in profit overall.
My 5 Monkey bikes have risen in value over 1000%
since purchasing in the years 1972/ 85......2 maybe 3 of my bikes will be going in FSW in the new year, my 1985 FJ1100, My 1980 R100 cs
and maybe the R60/6 as I have not had time to give them the devotion they deserve.
I trust no one will complain if I make my purchase cost back on them
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