Resale value discussion

[smkettner]

Any takers to predict the price of a 6-7 y/o mid to high mileage '11 Leaf in good condition with a new leased battery? My guess is you'll be able to get 4-5k for it if you get lucky.

I am thinking let the buyer put in the first battery under this warranty to start with 12 bars. Might get a small spike in value as the warranty does not appear to give a new battery at any time except the initial replacement.

 

[iluvmacs]

My 2011 with 31k miles on the odometer lost more than $1,000 over last month or so according to kbb.com. Not pretty.

My '12 SL lost well over $3k on KBB between March (8500 miles) and June (11000 miles). I'm glad we just traded it in and switched to a lease. Also glad the dealer guaranteed us a trade-in price back in March for when our new '13 Leaf was actually going to arrive in June (and that price was basically equal to KBB in May, so we thought we were doing poorly at the time but in the end we managed to come out a little ahead of KBB).

 

[kubel]

At this rate, my car will be worth about $10,000 at the end of the lease. I'm so glad I didn't buy out my lease early.

The used car market should be good up here in Michigan for buyers of used LEAFs. Batteries seem to stand up in cold climates and prices should be below $10,000 in the next 2 years.

 

[mxp]

At this rate, my car will be worth about $10,000 at the end of the lease. I'm so glad I didn't buy out my lease early.

The used car market should be good up here in Michigan for buyers of used LEAFs. Batteries seem to stand up in cold climates and prices should be below $10,000 in the next 2 years.

I cannot see how a 2011 Leaf can be worth $10k at the end of say, a typical 3yr lease. A Leaf with a damaged battery probably; but even a Leaf with 1 bar lost isn't going to be worth $10k. It would be at minimum $15k...

 

[Valdemar]

Check kbb.com, private party price for 2011 SL with 31k miles in good cond. (mine) is about $16,500 and is going down fast. While kbb can be wrong many buyers will use it as a guideline when shopping for a used car.

 

[cwerdna]

I cannot see how a 2011 Leaf can be worth $10k at the end of say, a typical 3yr lease. A Leaf with a damaged battery probably; but even a Leaf with 1 bar lost isn't going to be worth $10k. It would be at minimum $15k...

Did you look at what I quoted from Autoblog in the 1st post?

 

[cwerdna]

Tesla Aside, Resale Values for Electric Cars Are Still Tanking:
http://blog.caranddriver.com/tesla-aside-resale-values-for-electric-cars-are-still-tanking/

According to the pricing authority Black Book, retail values for the used 2013 Nissan Leaf are at an average 22 percent of the original MSRP—in the range of $8000 to $8500—while that five-year-old Leaf is selling at just 11 percent of its original sticker.

A three-year-old Leaf—a $30,000 to $40,000 car new—returned from lease gets sold at wholesale auction at $6000 to $7000 or, on average, just 18 percent of its original price. For gasoline vehicles, a three-year residual is typically in the 45- to 65-percent range. “To be under 20 percent is fairly telling,” said Anil Goyal, Black Book’s senior vice-president of operations. “A lot of it has to do with demand.”

In all fairness, the original buyers didn’t lose quite that much money. They likely received a $7500 federal tax credit, along with a range of other possible state or local rebates, credits, or incentives; but even factoring those in, owners of a three-year-old Leaf won’t recover much more than 30 percent of their original net cost...

 

[golfcart]

On the bright side, tanking values mean lower personal property taxes for owners and leasers if you live in a place that has those on cars. I look at it just like my house, I want it assessed a low as possible unless I am actually trying to sell it... and I have no intentions of selling this car anytime soon.

 

[redLEAF]

On the bright side, tanking values mean lower personal property taxes for owners and leasers if you live in a place that has those on cars. I look at it just like my house, I want it assessed a low as possible unless I am actually trying to sell it... and I have no intentions of selling this car anytime soon.

Hah, always look on the positive side!!

We don't have license fees associated with the car's value here in IL so no effect plus/minus for us --- at least for now, we plan to keep the car but biggest concern would be the insurance payout if it was ever totaled; diminished value means less to get a replacement car, I had new car replacement coverage during my first two years since new but no more at its more than 4 1/2 years old. Over time, you would think that the insurance would go down but most of what you pay is related to fixing it --- these costs have NOT decreased but the chance that they would total it increases as it would be just too expensive to fix versus its value -- in 45 years of driving I've never had a car totaled but there is always a first time.

Once a car gets old enough (and it has some 'special interest' value) you can switch to 'agreed value' coverage (had that on an old Miata -- only $190/year and agreed value was $9K; car was in pristine shape with low miles and of course NOT my primary vehicle) that's a different story but used Leaf's are currently just considered used cars with rapid overall depreciation. I suppose after it got below a certain overall value you could drop certain coverage so we might be approaching that sooner than later.

 

[remarquian]

Tesla Aside, Resale Values for Electric Cars Are Still Tanking:
http://blog.caranddriver.com/tesla-aside-resale-values-for-electric-cars-are-still-tanking/

The discounts dealers are currently offering for '16s are 9-10K. Add in the $7,500 Federal Tax Credit and in my state (Colorado) $6,000 Tax Credit and your looking at around $10K for an S and $13K for an SV.

So marketwise it sounds just about where it should be. Tho I feel the pain of someone that paid close to the MSRP.

 

[Reddy]

The discounts dealers are currently offering for '16s are 9-10K. Add in the $7,500 Federal Tax Credit and in my state (Colorado) $6,000 Tax Credit and your looking at around $10K for an S and $13K for an SV.

No wonder used Leafs are so cheap. If I could get a new '16 for $13K net, I get rid of my '11 right now and take the hit. Unfortunately, such a deal is NOT available here. I'd be lucky to get one for $1000 under MSRP in this area.

 

[remarquian]

No wonder used Leafs are so cheap. If I could get a new '16 for $13K net, I get rid of my '11 right now and take the hit. Unfortunately, such a deal is NOT available here. I'd be lucky to get one for $1000 under MSRP in this area.

Not net. In the interest of fairness, taxes brought mine to $15,700. I think in the three months since you could probably get it down another $1K.

The $6000 Colorado tax credit really distorts the market. It applies to all EVs sold in CO that haven't been registered before in CO, ie used ones. So there is at least one company importing out of state used Leafs. But that changes next year.

 

[golfcart]

On the bright side, tanking values mean lower personal property taxes for owners and leasers if you live in a place that has those on cars. I look at it just like my house, I want it assessed a low as possible unless I am actually trying to sell it... and I have no intentions of selling this car anytime soon.

Hah, always look on the positive side!!

We don't have license fees associated with the car's value here in IL so no effect plus/minus for us --- at least for now, we plan to keep the car but biggest concern would be the insurance payout if it was ever totaled; diminished value means less to get a replacement car, I had new car replacement coverage during my first two years since new but no more at its more than 4 1/2 years old. Over time, you would think that the insurance would go down but most of what you pay is related to fixing it --- these costs have NOT decreased but the chance that they would total it increases as it would be just too expensive to fix versus its value -- in 45 years of driving I've never had a car totaled but there is always a first time.

It makes a big difference for us. At an assessed value of $25000 I would have to pay $580 a year in property tax, at an assessed value of $15000 that bill drops to $285 a year and at $10000 I would only pay $190 a year. They really hit you hard for "luxury" cars worth over $20k.

The insurance thing is tricky, especially if you financed the car (why not when NMAC gives you 0% for 72 months) and pocketed the $7500 tax credit as a nice 0% loan to use on something else. It is a calculated risk I guess.

 

[golfcart]

The $6000 Colorado tax credit really distorts the market. It applies to all EVs sold in CO that haven't been registered before in CO, ie used ones. So there is at least one company importing out of state used Leafs. But that changes next year.

That is unreal, I wondered why I saw so many when I was working in Boulder/Longmont last month. That's a good chunk of change...

So just to clarify, if you bought an auction used 2012 leaf from out of state for $7k and had it shipped to CO they would give you a $6000 tax credit on it and you'd basically pay $1000 net for the car?

 

[remarquian]

So just to clarify, if you bought an auction used 2012 leaf from out of state for $7k and had it shipped to CO they would give you a $6000 tax credit on it and you'd basically pay $1000 net for the car?

As long as it hadn't been registered in Colorado before. There is a formula the tax credit is based on the MSRP and the rating of the battery. It is my understanding that the '16 24KwH Leafs generate a $5K tax credit, the 30KwH ones the full amount. Looking at the website of Greeneyedmotors, it seems the tax credits range start from $2.5K and go to $4K.

http://www.greeneyedmotors.com/used-car-boulder?make=Nissan

This changes January 1st, when they take the $6K tax credit, and change it into a $5K time of purchase credit.