Will Your Elio Retain Its Resale Value?

[Lil4X]

Still nearly a year from delivery of the first production articles, maybe this question is a little premature. How well do you think a judiciously-optioned and carefully-maintained Elio will hold its value?

My thinking is that if the brand is successful, and they prove the reliability designed into them, their resale value should stand up quite well. Conventional cars seem to lose about half their sticker price after about 5 years. Some perform better, some worse. But when you are dealing with a $6,800 price class, while a 50% depreciation, in dollar terms, isn't that bad, I wonder where the breaking point is for people looking for inexpensive used transportation when they could simply buy a new one with a full warranty for a few dollars more. Will that artificially depress the market for used Elios? Or will demand be so high and deliveries be long enough to encourage someone wanting an Elio right now to go ahead and pick up a used one to avoid the delay?

 

[Craig]

I say it will hold a 75%+ value a ten years, barring any accidents, major faults and accessibility. JMO

Even if it has 300K+, what can a new engine cost?

 

[Ty]

It's really hard to tell. When the Mazda Miata was introduced for $13,900 back around 1991, demand instantly skyrocketed and people who were lucky enough to get one could turn around and sell them for $30K+. At the time I talked to a dealer and he said that Mazda wouldn't let them charge more for them. Eventually, there was a TV show that called it a "Chick car" and right after that, popularity plummeted. It was a great little car, too. Too bad. But, perceived worth is what drives resale value. If I were a betting man (apparently, I am a little bit), I would say that my Elio will retain it's value at almost 100% as long as the demand out stretches production. It looks like that could easily be the case for a year maybe. Once production can keep up with demand, I'd expect the Elio to drop in price similar to other models... However, the Elio has little distance to fall and there is a "bottom" level of worth for a car in good mechanical condition. I'd bet in 5 years, you wouldn't find any of them worth less than $2,000 unless they were trashed. This is just my opinion, of course, through my experience. I'm no expert but have shopped for and bought quite a few "beaters".

 

[jtmarten]

If production numbers reach 250k units per year as they hope, I bet the value after 5yrs would be $1500-2000 in good condition. Come on ... let's be realistic ... these will likely be sub-$8k vehicles delivered new.
They will mainly be commuters, racking up shloads of miles. However, if they have a major design change after the first year or two, the first few MY may have increased value down the line. In 25-30yrs as collectors. If you have the bumper sticker and unworn T-shirt still in the bag. LOL. *
On the bright side, your family car/SUV will have a greatly increased value due to not loading up all the miles you put on the Elio.


* sarcasm .... just another service I offer.

 

[Joshua Caldwell]

Odd and unique designs tend to appreciate after a while. I expect to be able to take the Elio to car shows in a decade or two

 

[Ty]

If production numbers reach 250k units per year as they hope, I bet the value after 5yrs would be $1500-2000 in good condition. Come on ... let's be realistic ... these will likely be sub-$8k vehicles delivered new.
They will mainly be commuters, racking up shloads of miles. However, if they have a major design change after the first year or two, the first few MY may have increased value down the line. In 25-30yrs as collectors. If you have the bumper sticker and unworn T-shirt still in the bag. LOL. *
On the bright side, your family car/SUV will have a greatly increased value due to not loading up all the miles you put on the Elio.


* sarcasm .... just another service I offer.

^ That's a service I often offer as well. You are correct probably. I was just thinking about what the average 5 yr old car sells for around here and figuring the Elio would be half that. A good running car should keep some value at least. And that shirt. Well, that's a whole different story!

 

[Craig]

If production numbers reach 250k units per year as they hope, I bet the value after 5yrs would be $1500-2000 in good condition. Come on ... let's be realistic ... these will likely be sub-$8k vehicles delivered new.
They will mainly be commuters, racking up shloads of miles. However, if they have a major design change after the first year or two, the first few MY may have increased value down the line. In 25-30yrs as collectors. If you have the bumper sticker and unworn T-shirt still in the bag. LOL. *
On the bright side, your family car/SUV will have a greatly increased value due to not loading up all the miles you put on the Elio.


* sarcasm .... just another service I offer.

I'm going the other way. I drive an 02 Cavalier, all rusted along the bottom, 170K. Can't find one around under 3K. When my Elio hits 12 or 13 years old there will be no rust and 250K on the motor.

A new skin, a motor for 2K, a detail job and it will be worth every bit of 7 or 8K and another 200K. JMO

 

[Craig]

^ That's a service I often offer as well. You are correct probably. I was just thinking about what the average 5 yr old car sells for around here and figuring the Elio would be half that. A good running car should keep some value at least. And that shirt. Well, that's a whole different story!

You are forgetting. What average 5 yr old car around you get 84 miles to the gallon?

 

[KN16]

No. A new one is inexpensive. Why would I want to pay you 3,500 for your used one when I'm half way to a brand new one.

 

[Kuda]

No. A new one is inexpensive. Why would I want to pay you 3,500 for your used one when I'm half way to a brand new one.

Then there's this: Found for Sale: 1987 Yugo GV Sport with only 1,800 miles
http://www.carscoops.com/2010/07/found-for-sale-1987-yugo-gv-sport-with.html