View Full Version : wonder about the resale
I wonder what the resale value is going to be with the H2s. I imagine it will be relatively good. Better that most other SUVs.
Not to imply that anyone would actually WANT to sell their H2! But was just thinking about it & wondered what you all thought...
I wonder what the resale value is going to be with the H2s. I imagine it will be relatively good. Better that most other SUVs.
Not to imply that anyone would actually WANT to sell their H2! But was just thinking about it & wondered what you all thought...
mpetrich
11-21-2002, 06:06 PM
Yea, that's a good question. I sold my 1999 Lexus RX300 to buy my H2. I bought it new for $37,000 and sold it for $25,000. I thought that was very good resale value. Especially in light of the fact that the used car market is VERY weak (talk to the CarMax guys) since so many new cars can be bought for $0 down, 0% interest and 0 payments for the first year (I sound like a commercial). I don't think supply and demand applies too much in the used car market. Thousands of the RX300's have been sold and there is a good supply of them but as long as the car is desirable by many, you have a good shot of selling the car for a decent amount used. I guess, that's the long answer for saying that maybe the used car market won't be that great for the H2 since it is not a "mainstream" SUV. I really don't like to think of it as a SUV at all, more like a rig, or just a Hummer.
Just my two cents...
Bill Kervaski
11-21-2002, 07:01 PM
Resale will totally depend on the amount of used H2's on the market.
- Bill
Relative to other vehicles the H2 will have a very high resale value at least for this list of owners. Strong demand, few out there, great brand, superior vehicle, relatively inexpensive to begin with (compare to Land Rover at $80K). All good for resale value.
My guess Nov 2003 1 year later, used 1 yr H2 $40,000.
Nov 2004, 2 years used H2 $30,000-$35000.
Nov 2005, 3 yr used H2, $25,000-$30,000.
Am I in the ball park?
Except that NY Hummer used for breakfast and opera in the surf on the beach.
I'd guess H2 will sell slightly above your ranges. My experience is that vehicles go down by about 1/2 after 3 years and 2/3 after 5 years.
...except big bad black hogs in Silicon Valley
But, But, I got a disco light inside my Hummer, that got to add to resale value. /infopop/emoticons/icon_biggrin.gif
HeeHaw
11-22-2002, 12:30 AM
I have the large SILVER ball in the back with a spot light shinning on it. COOL! /infopop/emoticons/icon_biggrin.gif
Hummie2
11-22-2002, 03:16 AM
Sell my H2! NO WAY! (if I can ever get delivery) I plan on being burried in mine.
Don /infopop/emoticons/icon_razz.gif
racina
11-22-2002, 04:07 PM
I'm guessing when the H2 is announced as the "Truck of the Year" at the Detroit International auto show on Jan. 5th both the demand and the value will rise yet again.
Tedster
11-22-2002, 05:18 PM
NADA average depreciation formula based on $50k
1st year average 19% equates to $40500
2nd year average 15% equates to $34425
3rd year average 15% equates to $29261.25
This formula is only a guide for an average vehicle with average demand.
I purchased a new 2000 BMW M5 for $75000. and sold it 13 months later for $72000.
I don't think the H2 will be that strong, but will probably only depreciate about 10% per year.
Ted
03 Yellow H2,Adventure Package,Luxury Package,Sunroof, Wrap-around Grill Guard w/Lts.,Tailight Guards,Roof Lights,Tubular Sidesteps,SMA Tire Rack,Carbon Fiber Dash, Custom Exhaust
Dew Hummer, St. Pete, FL
11-22-2002, 05:30 PM
The longer dealers hold the price to at or very near MSRP, the stronger the value will be. Every rebate / finance incentive drops pre-owned values proportionately.
Steve R
11-23-2002, 05:07 PM
I suspect we will see outstanding value retention with our H2's. I've been to some of the marketing studies they've done, and I can tell you that the future H2's are gonna cost a lot more then what we paid! GM has almmost been shocked by the demand for the H2, they did not anticipate how much of a hot-ticket it would be. Newer H2's will have built-in nav-screens, two-tone leather interior, fancier materials, bigger engines, etc..lots of excuses to jack-up the pricing! They showed us some combinations and were probing costs along the lines of $72,000+. They're gonna play this vein for what it's worth....people will pay to own a Hummer. I think we'll all be VERY surprised how more expensive (new) H2's will help maintain a strong used-value for our H2's. I wouldn't be surprised if used H2's outperform stocks for a couple years! (half-joking/half-serious!)
H1 was nowhere near $100K when it came out. When I test drove one in the early '90s, it was something like $70K. anyone remember the H1 MSRP in the earlier years? Of course, when you keep on raising prices, fewer and fewer units you will sell, there is a limit to what the market will bear; last I heard H1 is 700 units year. $70K for Hummer H2? I doubt it, maybe several years later.
I hear you Mac but I beg to differ. What would you rather own, an H2 or Land Rover? Lots of my friends favor the H2 as well. I don't know how many Land Rovers sell a year but I see them all over the place and they're around $78K. The H2 is just a far more superior vehicle. It all depends on how GM plays their strategy.
(And if the disco light happens to become a standard feature look out! /infopop/emoticons/icon_biggrin.gif)
HummerH2
11-23-2002, 09:22 PM
H2 is better than the Land Rover 24/7 /infopop/emoticons/icon_smile.gif
Steve R
11-27-2002, 04:38 AM
Hey MAC, love your enthusiasm...but I've got to tell ya: I've been to the marketing research studies, I've seen the potential future of the H2....and now that GM knows they've got a hit and people will pay to own a HUMMER....you can bet your sweet(apendage of choice) that pricing is on the up!
They showed us several packages; they're gonna change the exterior a bit, stream-lining the lights and other details. They're gonna offer different engines, and an interior bursting with rich upgrades and refinements...it's going to run a close race with Jaguar. Bottom line: I saw some upper-end packages...and they were asking us how we felt about paying upwards $85,000...with other packages in the $70's.
And ya know what....I and many others were eagerly, willingly and gladly prepared to pay that for an H2 as it is. When it came out in the low 50's, I giggled and slammed my money down.
I've seen the future...and it's costly. Look at the Range Rover, Lexus, Mercedes, BMW and the Porsche....they'll gussy up the H2, ask what they want....and they'll get it. Forget the stock-market....invest in H2's! /infopop/emoticons/icon_biggrin.gif
Steve, did you see these new versions before current H2 came out or after?
Even if I knew these better versions will come out 2 years later, I still have no choice but to buy the Hummer now, with no regret. The only mistake would be
buying the 72K/72 months warranty @ $2200, $3 year service contract @ $900, no reason to look that far down the road if I plan to upgrade 2 years later.
I am not sure about $70K or $80K, you are in the S500 neighborhood, as far as production cars go, that is the highest upper limit. I love Hummer, but if you give me an equal choice between brand new S500 or Hummer, I don't know which I will pick, especially after 3 years of Hummer fun, I tend to make total shift in vehicle ownership. They may just gave you the numbers and see when you pass out. Smart move to move upmarket. Is Hummer H2 the most expensive vehicle ever from GM?
In today’s classified ads.
03 H2, adv. 645 miles. Pewter. Leather. $70K.
03 H2 $83500. No detail.
98 H1. Open top. Silver. 30K. $45K.
97 H1. Wagon. White. 21K. $56K.
sheag
11-30-2002, 04:11 PM
I think the part of the country you live in really impacts resale (as well as new car prices). For instance, I looked at Mac's post on what H2s are selling for used now in the classifieds, but here (state of Washington) they're selling for around 55K even with upgrade packages. I told a dealer yesterday that I had decided to go with another dealer to buy my Hummer and he offered me a price below MSRP, which is the first time I've heard of that for an H2. Unfortunately it's not the color I want. As I mentioned, the H2 I want has been sitting on the lot for a couple of weeks and it looks like it's not going anywhere. So I think maybe in SOME parts of the country the hyper bubble of interest is waning, supply is catching up to demand, and perhaps prices will stabilize to MSRP or even below. But I think resale value will continue to be very good, especially if the later models are priced much higher than the 2003. If they price the H3 in the range they're now pricing the H2, with the H2 priced closer to the Rover, I think you'll have a lot of people who would rather have a two year old H2 than a new H3. But who knows.
Shea
H2 is way better than Land Rover.
97 H1 21K miles. That means 3000 miles a year, thats NO FUN. If a vehicle is so good and so much fun, you don't just drive 3000 miles a year.
98 H1 30K, is 6K a year, you know you are not driving it much if only 6K a year, in fact that qualifies for insurance discount.
Or it could be they had problems. 3K-6K/yr generally is an auto I like to own, don't want to sell, but secretly I don't want to drive, only dirve it because I need to drive it once awhile. Numbers could tell stories.
In today’s(11/30) classified ads.
03 H2, adv. 645 miles. Pewter. Leather. $70K.
03 H2 $83500. No detail.
98 H1. Open top. Silver. 30K. $45K.
97 H1. Wagon. White. 21K. $56K.
Steve R
12-01-2002, 06:58 AM
Shea...I think I love ya...but don't tell my wife!
MAC, I'm not sure what your point is with all the numbers and sales costs...but from my understanding, a new H1 is somewhere in the neighborhood of $117,000, and it apparently rose to this point having started at nearly half that almost a decade ago. Course, the H1 has massively evolved....each being fairly unique to eachother....so it's very hard to run comps.
I've seen the G500...and it is not even in the same class as an H2 in terms of suspension and capability. Sheesh...it's an Isuzu Trooper with chrome. Being an H2 forum, I'm gonna plead the "forest gump" and say "that's all I have to say about that". Let's not talk G-box.
Your probably right about the shock-value thing when they threw those high prices at us for survey purposes. But when they put together all their upgrades (engine, interior, nav system, etc)...they'll use it as an excuse to jack the price far more then the mere cost of the upgrades alone.
Today we see dealer-greed and supply/demand screwing with the prices. That'll pass eventually. The price increase I refer to will be based on the typical "redesigned" and "upgraded" qualities they'll be engineering into future models. Trust me, this is our fun....but this is their living.
We did not make any mistakes on buying now! The increases I speculate will likely elevate the value of our vehicles such that we MAY likely be able to sell our used H2's for close to what we paid for them. No matter...if we can own these toys, we're NOT counting on anything in terms of resale...we bought it for the smile-factor! God Bless America and our decadent life-style!
Unless gas prices go crazy...I think our H2's will enjoy the best value retention of any SUV being made today. The worst is probably the Land Rovers...a discovery today will be worth about half what you paid for it in about 3 years; bloody pathetic!
HUMMERDOGG
12-02-2002, 01:50 AM
Steve R-
At the marketing studies you've been a part of, was there any mention of regular price increases for the remainder of the 2003 H2 model run?
-HUMMERDOGG
Steve R
12-02-2002, 02:55 AM
Sorry HummDog...I'm afraid there's no info on that yet. The study was commissioned by Hummer and they were probing consumer interest for future innvoative concepts.
They showed us interior options, engine options, material options, exterior mod's...all sorts of stuff. Here's a kicker: to lighten the car and create a unique finish they were actually considering using anodized aluminum with various colors for the outside! The finish is stronger, but repairs are not as easy. Nobody liked it, so I doubt we'll see it. For that matter, everything I saw was pretty much conceptual and only subject to research...so count on NOTHING until it's on the showroom floor!
What I can tell you is that Hummer has found the crashed remains of a U.F.O and their scientist are reverse-engineering the alien technology to be adapted into future models! The future promises to be exciting! They will even have an auto-pilot robot, styled after various members of the Swedish Bikini Team...rumor has it these super-robots will be called "Hummergirls".
Aluminum panel body, just plain aluminum, no paint. I'll take that, trade in instantly. While they are at it, I want an expresso machine inside the Hummer.
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