And so it begins, car value crash... | Page 5 | FerrariChat

And so it begins, car value crash...

Discussion in 'Ferrari Discussion (not model specific)' started by 09Scuderia, Apr 13, 2020.

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  1. henryr

    henryr Two Time F1 World Champ
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    Nov 10, 2003
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    Juan Sánchez Villa-L
    manheim has been trying to get into the b2b for non auction.
     
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  2. ttforcefed

    ttforcefed F1 World Champ
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    what does that mean?
     
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  3. henryr

    henryr Two Time F1 World Champ
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    me?
     
  4. ttforcefed

    ttforcefed F1 World Champ
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    Yeh sorry. What is manheim trying to do?


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  5. henryr

    henryr Two Time F1 World Champ
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    they are listing cars now, sorta like BIN on ebay or classifieds. so it is not all wholesale only auctions.

    most of it is high line with what i wouldnt consider wholesale pricing
     
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  6. tres55

    tres55 F1 Rookie
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    Adesa has been doing this in Canada for quite some time now.

    Doesn't Manheim do the same thing with their OVE.com or whatever operation?
     
  7. tres55

    tres55 F1 Rookie
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    There are 3 Pista's on Manheim/OVE now


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  8. ttforcefed

    ttforcefed F1 World Champ
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    i see thanks, do they show final prices?
     
  9. henryr

    henryr Two Time F1 World Champ
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    too my knowledge the sales of that are not posted in the sales data from auctions.

    fwiw, the sales of that i have seen have all been off line. dealers using these as adverts
     
  10. ttforcefed

    ttforcefed F1 World Champ
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    no substance behind this, but my gut tells me this isnt a great endeavor. Manheim has a brand that is recognized with wholesale, i feel like this is a bad thing.
     
  11. ribbangga

    ribbangga Rookie

    Apr 29, 2019
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    Tom
    I watch said auctions every single week, supply is super low right now, nice cars for that matter, and prices are not cheap.
     
  12. ttforcefed

    ttforcefed F1 World Champ
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    which auctions do you mean? maheim?
     
  13. ribbangga

    ribbangga Rookie

    Apr 29, 2019
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    Tom
    exactly, prices for cars wholesale are now higher, to say there was a benchmark number of 100% we look at for prices, its peek this year was in early march around 102%, dropped down to about 90% at it's worst, and we have an upward slope passing 104% right now. I don't know where this whole glut of cars is going to be coming from he speaks of. Dealers aren't selling as much volume, means not as many trades, less supply usually means higher prices. That is in a general scope of things. How specially its impacts cars like Ferraris will yet be played out. I don't think there will be much effect, because the market is so specific. Residuals may be effected on lease cars, but that's about it. IMHO
     
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  14. BLAMPEE

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  15. BT

    BT F1 World Champ
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    Bill Tracy
    I like the Pista Pista, but it is such mileage, not sure I could deal with that kind of wear and abuse.
     
  16. ribbangga

    ribbangga Rookie

    Apr 29, 2019
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    Tom
    A lot of dealers have their inventory automatically exported to OVE just for exposure, and when the price is more, it factors in the auction fee. I never understand that, but it's generally out of being lazy and just keeping the export stream activated.
     
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  17. Way2fast

    Way2fast Formula 3

    May 24, 2006
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    Sam
    Rental car companies are selling off 80% of their fleet. Lots of leased cars being turned in and no one buying at wholesale auctions. No one buying new cars. Lots of fish in the sea and very few fishermen

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  18. ribbangga

    ribbangga Rookie

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    And I'd love to show you the quality of those cars. The dealers will keep the very nice lease returns and send the lower quality cars to the sale. Has been that way for quite a while, no surprise there. The rental car sell-off is something new for sure. Trust me the fishermen are out there. Don't worry. We usually look at an average of 7500 - 8000 units per week to choose from, now we are at 5500 on a good week.. an exotic sale with have 2500 units, hovering around 1200 - 1300 now.
     
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  19. tres55

    tres55 F1 Rookie
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    I will second that up here in Canada. Supply is low, we're still moving quality units although at a slower pace. Could have something to do with our dollar weakening and quality cars are being exported on the cheap. We have sent a bunch down lately that normally wouldn't have made sense to.
     
  20. amenasce

    amenasce Three Time F1 World Champ
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    How is he doing a month later?
     
  21. Tamahal

    Tamahal Formula Junior

    Mar 8, 2019
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    TAMAHAL
    Isn’t that crazy , for a sub 1000 mile pista the prices are between $480k and $600k..


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  22. Themaven

    Themaven F1 Rookie

    Nov 2, 2014
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    Darius
    I'm not in the industry, but I can't see any car value crash here in the UK atm. If you want to buy a specific Ferrari, say a Dino or a 458 or a 456, you will have to pay about the same now as you would have pre-corona. There are a couple of fire sale cars I have seen, but not many. Same with modern 911s, which I also look at. Almost no movement at all in asking price besides the seasonal uptick for convertibles.

    I know not many are actually selling, but that was the case pre-corona also, and there's no evidence at all of a price crash in this part of the market. Not even a "correction" beyond what was going on anyway since 2017 or so.
     
  23. tbakowsky

    tbakowsky F1 World Champ
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    Sep 18, 2002
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    Cars sellers are not adjusting advertised prices. They are selling based on best offer and not disclosing the final sale price. It seems inventory is stagnant and has been for some time.

    Newer stuff still seems to be moving, but the higher production 80's to mid 90's stuff is all but dead at the momment.
     
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  24. technom3

    technom3 F1 World Champ
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    Dealers are now stocking up on inventory in the expectation that pricing for 2018 and up cars will actually go up. Now not all dealers are doing this but there has been a shift to not buying anything for inventory to send me everything you got.

    This is due to dwindling new car inventories.

    I actually think there is a decent chance that this is going to work out perfectly timing wise. Perhaps as the rentals and off leases hit the stores are buying inventory.

    So we might not have a great dip in prices nor a great increase. It might be fairly steady with a small rise or fall on either side.
     
  25. DW68

    DW68 Rookie

    Dec 31, 2019
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    D Wilson
    I am due back to work June 1st in the retail and business sales of the mainstream motor trade in the U.K. What has been interesting is just how many enquiries are still coming in. If this continues, then short term we will see the pent up demand keep us busy but the acid test is what happens when we have worked through this phase. For now, this won't make dealers desperate to get shot of stock unless cash flow dictates.
    Remember, there are many, many used independent dealers out there who cannot sell tarmac so have to replace stock and with main dealers often selling a wider age of used car these days, these independents have to work hard for good stock.
    Couple in a downturn in new sales and therefore trade in's giving a headache to keep the main agents fully stocked, none of this adds up to used car prices dropping or crashing.
    I would be more wary of Gov incentives to swap into lower emissions (not true scrappage as this reduces the vehicle park so perversely can hold up these values) or Gov disincentives to keep higher emission vehicles. IF Governments are to meet their stated emissions targets, then at some point these factors will become very real for mainstream used car values.
     
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