Resale value worth the sale?

[jwoobs]

Barrett Jackson auction had a couple 2018 GT40s go for 1 million plus this weekend. They are past Fords 2 year resale stipulation at this point. An early offering FE or Wildtrax would be MSRP plus plus at Barrett.

Yeah, but they only make 750 GT's per year, and they start at like 10x the price of the Bronco.

Ford made almost 10x as many First Ed., and who knows how many heritage editions will be made.

Add in the fact that the First Edition is really a graphics package on a BL and the rarity just isn't there.

Now if you were to shrink wrap a first year Bronco, any trim, and sit on it for 25 years while all the others rust out or get crashed, then you might have something worth auctioning off. But assuming market returns averaging 7%, you would need 5.5x (after auction fees) just to break even.

Realistically, I think the number of people with 2+ reservations AND the cash on hand to flip them is tiny.

I really wish Ford would tell us what is coming for '22. If you can get man-mid on something less than badlands, I would wait for that. But I can't fault people for taking their '21 and planning to flip it to get a '22.

Sponsored

 

[Tonka1]

If you can make it work for you, great! I know several close acquaintances that ordered special edition Harleys with the intention of reselling them immediately and it didn't work out. Cars depreciate as soon as they leave the lot. I get it that there might be a temporary market for it but am skeptical due to the cost of titles, taxes and insurance. I will stick with what works for me and that is the stock market which has been amazing lately. Good luck, I sincerely hope it works for you.

 

[Bestdayever]

Except that ties up your 45k for 2-3 years. This ties up your 45k for a few days. I'm not advocating doing this, as it is a pain in the butt, but ROI has to take time into effect.

Let's say I pay $50k for my Bronco and sell it about a week later, netting $55k after taxes are paid. I'm out my 50k investment for 2% of the year. If I make $5k after taxes, my annual rate of return on that 50k is 5/50/.02=500%.

If I paid with my American Express Card, I also have a whole bunch more points to factor in and $50k to invest in my savings account until my payment is due in 4-6 weeks, so add another (extremely small) interest return.

I think it would be difficult to find a Dealership that would accept any credit card for full payment on a new car. They would probably insist on adding 2-3% to the purchase. This would cover their cost on the card. Also there is the cost of wiring money into your bank account from the sale as well as getting the MSO/title to the purchaser. You don't know him, He knows nothing of you. Just sayin' life sometimes gets tricky.

 

[TheWoo]

I think it would be difficult to find a Dealership that would accept any credit card for full payment on a new car. They would probably insist on adding 2-3% to the purchase. This would cover their cost on the card. Also there is the cost of wiring money into your bank account as well as getting the MSO/title to the purchaser. You don't know him, He knows nothing of you. Just sayin' life sometimes gets tricky.

Yeah - was mostly being facetious about the CC. And you are absolutely right on the hoops - it's one of many reason I'm not considering it, though everything has a price and there is an amount of $$ available for which I'd do it, I'm sure!

 

[DaBronCo33]

I bet there’s more than a few who will be willing to pay an extra 5-10k to not have to wait until 2022.

 

[bigjwalt]

Lots of easier ways to legally make 10K off of 45K investment. 2-3 years in a decent portfolio, doing nothing.

Yep, the best way to get rich quick, is to get rich slow!

 

[vintage]

I believe a couple First edition just Sold on Ebay, one for $77,000 and the other for $75,000.
I'm guessing the one that brought $2000 more had the Black interior.

 

[Darforce]

I guess the difficulty would be find someone that wants it with that kind of cash because the bank won’t finance it for more than retail..at least mine wouldnt

 

[vintage]

I guess the difficulty would be find someone that wants it with that kind of cash because the bank won’t finance it for more than retail..at least mine wouldnt

I'm sure alot of folks paying $65k for a vehicle can afford to put down an extra $10k to $15K down.

 

[PSUTE]

No one is going to pay over for a base lol.. Id say the other trims yes but look at the sales figures on each trim... Base is way down the list

Agree, but a Base Squatch is a different animal. An early one will be a rare bird. Pretty sure that would bring some premium dollars. Day 2 (Well within 1st 24 hours, 6/7 deadly sins, #Ibescrewednshit)...

 

[Raptor911]

Every dealer I have dealt with will do 5K on a card unless you want to pay the 2-3% CC fee.

I think it would be difficult to find a Dealership that would accept any credit card for full payment on a new car. They would probably insist on adding 2-3% to the purchase. This would cover their cost on the card. Also there is the cost of wiring money into your bank account as well as getting the MSO/title to the purchaser. You don't know him, He knows nothing of you. Just sayin' life sometimes gets tricky.

 

[Palmettobronco]

Technically it will be used, so that will drag the price down compared to the dealer. Also, even if you pay cash, it could take months to get the title with COVID. Sales tax, property tax, seems like a bit of a risk.

That is so incorrect.....with the current demand for vehicles in general and adding the excitement for this launch these vehicles will be bringing huge premiums for a good while. Used, new doesn't matter. Someone will pay because they can. That's the facts. Raptors were and still are brining over msrp....its been a decade. Supply and demand. The great news for all of us we still for the moment live in a capitalist country. Those who whine about people flipping only do so for two reasons. They can't afford it or they are not willing to pay up for what they desire.

 

[Palmettobronco]

We’ll see who has the last laugh. There’s an ass for every seat.

#AMEN.

 

[Palmettobronco]

If you don’t pay cash for it then you won’t have a title to that new bronco. If the bank owns it good luck trying to sell it for a profit right away as many people will only buy it title in hand.

Incorrect. They don't care. They want the vehicle, it's not hard to sell a financed vehicle. Done everyday.

 

[Palmettobronco]

What is it that everyone is sooo against someone selling/flipping the bronco?

I have a first night reservation because i have been fallowing/hoping for this since the 2004 concept vehicle. Now that ford basically screwed the interior its not quite what i want? I'm not allowed to consider buying and reselling, knowing there might demand? I just drop the reservation on the floor?

How long do I have to keep it before the reservation police say it's ok?

Or do i just have to sell it at cost, to be ok?

If you buy it, it is yours to do with as you please. The end. Sell it make a ton and sleep well.

Sponsored