[Factorypilot]

Originally Posted by dmau9600

A major factor that contributes to depreciation is how much $$ you optioned the car, and the range of the MSRP price across trims. Higher optioned cars tend to take a larger hit to value, because they are above the average price of the car.

For example, if a base Camaro SS is ~$36k, and a more loaded model is ~$45k, then the average sale price is going to be somewhere in the middle. So, if a dealer or auction is analyzing average used prices on Camaro SS', the value of the more loaded models will be brought down by the sales of the lower-end models. This holds particularly true in the used market, where buyers are shopping for deals, and not custom ordering the car.

Case-in-point - I bought a 2015 M3 a couple years ago. I ordered a stripped-down base model at ~$65k. Most M3 buyers option the cars closer to $80-90k. So, there is a very big spread in the MSRP, and most are optioned at the higher end. One year later, I was able to resell the base M3 for $64,500k, because the higher average sale price of the loaded models boosted the average price of the car across the range.

The M3 is a bit more extreme example then the Camaro, but you get the point.

Yes, I understand that options and trims do make a difference even in the used market, but those options lose more of their value then the base MSRP of the car.

Great insights here. This also helps me to understand how to strategically purchase next time...