Spyder value depreciation

[IdahoMtnSpyder]

I got to thinking today about how our bikes, and motorcycles in general, lose value over time. In the case of bike ridden about 8,000 or more miles per year is there any validity in thinking in terms of $ per mile for depreciation? I rode my Goldwing 52,000 miles and 8 years and sold it for roughly $5000 to $6000 less than I paid for it. That was a depreciation of about 10 cents/mile. I paid $15,000 for my 2013 base Spyder RT, including shipping, and have ridden it 20,500 miles since spring, 2014. I'm thinking it's probably worth something on the order of $13,000 now, or roughly $2000 less than I paid. Again, that's a loss of around 10 cents per mile.

Low mileage bikes, like with 2000 miles/year, would have a much higher $/mile drop simply because age would the primary determinate of price.

Just wondering if $/mile might help us get a better idea of how much our Spyders drop in value. Your thoughts?

 

[Chupaca]

Check...

you can confirm it by going to kelly blue book or nada and punch in your data and see what they value it at. Then see how much per mile. :thumbup:

 

[Brogers57]

Basically anything these days kills the value. People just don't want to pay money for things. Mass production has killed us!

 

[ARtraveler]

Depreciation comes up from time to time. Mostly when you want to trade it in for the latest and greatest. Then you hear the horror stories--how little it is now worth--how those accessories that you spent thousands on are now worth little to nothing--...

Depreciation is a fact of life these days on any vehicle. You have heard that when you leave the dealers lot, you just lost 25%. That number is high, but depreciation happens.

Those who trade every year or every other year are going to take the biggest hits. Most items take the biggest hit the first year and then taper off as additional years progress. Those who keep their toy for four or more years are at least going to get the benefit of their :spyder2:'s.

I have been on both sides of the fence. Every other year and keeping the item for over four years.

I would not recommend getting to caught up in the numbers or worry how much a mile its costing. If you take the time to figure all that out--you are going to be depressed. :roflblack::roflblack:

A discount off initial MSRP and maybe some discounts on farkle purchases can take some of the sting out of the above. All those little things, help to reduce the pain.

 

[JayBros]

Overthinking depreciation could be an indication of insufficient riding.:lecturef_smilie: I've 9,500+ on my Spyder and have two months to go before its 1 year anniversary and I consider myself a casual rider.:yes:

 

[wyliec]

My thoughts- I'm driving my 2008 GS into the ground; so coz doesn't call me a spyder weenie. If you hear me coz, nod your head.

 

[robmorg]

Impossible to Calculate

Overthinking depreciation could be an indication of insufficient riding.:lecturef_smilie:

:agree: But I'm going to "overthink" why that is true...

There is really no way to accurately calculate depreciation on a motorcycle, and especially a Spyder. Even the KBB is only a rough guide. Best you can do is guess. That's because, on the grand scale, "depreciation" is linked to resale value. Therefore, the higher the market volume, the easier it is to accurately calculate depreciation. The problem with low-volume vehicles (like a Spyder) is that the market value is more heavily based on "dealer subjectivity factors".... Your used Spyder is subject to the value that the dealer you are dealing with THINKS it's worth at any given time. And that is based on many other subjective factors... Geographic location, the time of year, how many "left-overs" he currently has on hand (or can acquire), current manufacturer rebate campaigns, how anxious he is to make a sale, how easily he thinks he can unload yours, and even how he comes to these conclusions.

Of course all these factors can apply to automobiles too, but to a much lessor extent. That's because with automobiles, the numbers that are traded is so vast, that the dealers tend to put more weight on published figures, such as KBB figures. This is partly because published figures tend to be a more reliable basis for dealers, again due to the volume of sales.

I know I'm talking in circles here, but it makes sense to me. :sour:

 

[flaggerphil]

This is right up there in my "who cares" file...

 

[Bob Denman]

:agree: I bought it to ride; not to look at it, and worry about it's dwindling residual value... :shocked:

 

[kngfsh27]

Don't have time to think about it.

I've had cancer twice and have it again in remission. The depreciation of my Spyder is the least of my worries. Getting through my bucket list, now that is another story. Go have fun. Don't worry about what your Spyder is worth. If you decide to trade it in, just do what I do, tell your financial advisor. Living is not a given. I thank God every morning when I wake-up. Life is way too short to get caught up in the little things.

 

[Bob Denman]

Your Bucket List...
Are you making any progress on those two SuperModels yet? :roflblack: :clap:

 

[kngfsh27]

Your Bucket List...
Are you making any progress on those two SuperModels yet? :roflblack: :clap:

Not on my bucket list since my wife is a super model in my eyes.

 

[spacetiger]

I got to thinking today about how our bikes, and motorcycles in general, lose value over time. In the case of bike ridden about 8,000 or more miles per year is there any validity in thinking in terms of $ per mile for depreciation? I rode my Goldwing 52,000 miles and 8 years and sold it for roughly $5000 to $6000 less than I paid for it. That was a depreciation of about 10 cents/mile. I paid $15,000 for my 2013 base Spyder RT, including shipping, and have ridden it 20,500 miles since spring, 2014. I'm thinking it's probably worth something on the order of $13,000 now, or roughly $2000 less than I paid. Again, that's a loss of around 10 cents per mile.

Low mileage bikes, like with 2000 miles/year, would have a much higher $/mile drop simply because age would the primary determinate of price.

Just wondering if $/mile might help us get a better idea of how much our Spyders drop in value. Your thoughts?

An interesting discussion - some might not think so. Chupaka had an interesting thought how to look at it.

For me, I'd say the big drivetrain change in bringing on the 1330 really hurt resale values (RTs for the most part). Therein lies the secret value. If you are willing to have lower mpg/range on a single tank of gas, there can be some great buys out there.

I don't think you can bound the cents/mile - because even if you don't ride it much, it will still drop in value (mostly because of drive train change). Example, suppose you only rode it 5,000 miles. You probably drop in value of $2,000. Then the loss is $2,000/5000miles = 2/5, or 40 cents/mile.

What might be a more interesting discussion is how many miles can the bike accumulate before loosing a significant amount. I suspect most Spyders (most RTs) don't have high miles. The resale of these bikes are good because the next buys has some reason to believe they will not have ant/many high cost problems. If you put a spyder with 36,000 miles vs 10,000, side by side, I'm guessing there is a noticeable price difference.

Also, if I could make a generalization (for the RT riders); they are older and have the kind of disposable income to afford their ride. Price is important, but they want certain capabilities and are willing to pay for it. I would say the RS/GS riders are different; I'm still sorting out the ST rider (I am one of them having switched from a RTS). I think the F3 maybe more like the RT buyer. Since they went after the HD crowd, I would guess they are hoping to get the RT kind of buyer as there is a noticeable segment of HD buyer is that are like the RT riders (willing to spend $ for what they want, also know as Sunday Only Buyers (SOB)).

I will upgrade to a newer bike when the ST gets the 1330 engine with clutch and hand brake...

Jerry

 

[Bob Denman]

Not on my bucket list since my wife is a super model in my eyes.

in that case; :congrats:. :clap: On being able to cross that one off the list! :thumbup: nojoke

 

[IdahoMtnSpyder]

For me, I'd say the big drivetrain change in bringing on the 1330 really hurt resale values (RTs for the most part).

I don't know how much that changes the resale value, but the local dealer said much the same thing. In fact, the tech changes will impact the resale value while the recall most likely will not as far as the 2013s are concerned.

The reason I brought this up in the first place was to help folks have a better understanding of what the resale value of their Spyder really is. Just like most m/c owners they're inclined to think their bike is worth more than what the market does. You're right, on a mileage basis some folks will see a $1 to $2 or more per mile value drop in the first couple/three years if they don't ride very much. If you ride a lot then the depreciation isn't so bad on a mile basis, which as I see it, means the Spyder doesn't cost you so much.

 

[kngfsh27]

in that case; :congrats:. :clap: On being able to cross that one off the list! :thumbup: nojoke

Thank you, Bob. My wife means everything to me. She has been through this whole thing with me. She is a saint. We sit together and go over my list. Tomorrow morning I will set again to complete another part of my list.

 

[spacetiger]

...If you ride a lot then the depreciation isn't so bad on a mile basis, which as I see it, means the Spyder doesn't cost you so much.

I think you are right on this point.

ride safe

Jerry

 

[ARtraveler]

And there are several ways to calculate depreciation:

:ani29:: Straight line
:ani29:: Units of production (here would be miles driven)
:ani29:: Accelerated methods--such as
Declining Balance Method
Sum of the Years digits method
:ani29:: MACRS (modified accelerated cost recovery system) the IRS way.
:ani29: : And many, many, more....

Each method will give a differing amount.
For accounting purposes the method chosen is supposed to accurately reflect the usage so that the expenses of the period can be more accurately matched with the revenues of the period.

nojokenojoke--but when you think about it all--:roflblack::roflblack::roflblack::roflblack:

Life is short--ride the da_ _ :ani29: :yes:

 

[PistonBlown]

No point in my case - by the time I've finished with a vehicle it's normally ready for scrap Anyway how much of a 'depreciation' do you put on the fun of owning and riding it?

We don't tend to have age related depreciation in NZ - condition/km's is what it's based on and even then we tend to run up high mileages. the average age of vehicles in NZ is 14 years (in the US it's 8). Most vehicles here are second hand imports (particularly from Japan) because they are worth far more than in their country of origin.

There are secondhand Spyders same age and model as mine for sale at the moment on TradeMe (our version of eBay) that are the same price as I paid for mine new. so if you want to avoid depreciation export it to NZ and sell it there

 

[OJ UK]

No point in my case - by the time I've finished with a vehicle it's normally ready for scrap Anyway how much of a 'depreciation' do you put on the fun of owning and riding it?

I agree with that! PistonBlown's ute (pick-up truck) is about 20 years old and still runs like a sewing machine!
I'm always amazed at the old British vehicles still in regular use in NZ! Cars from the 60's & 70's are still to be seen!
I'd move there tomorrow if I could!