Depreciation!

[K2 Kaiju]

Im looking at them now, and not really seeing it. A new 18 LT 4wd is around 51k (great deal), while used 15s with a ton of miles for $35k or so (unless you buy a rental). Looks pretty good to me. I see same year X5s with 15k higher msrp for same price. You pay sticker?

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[MichaelSE]

My theory is that half ton SUVs depreciate quickly because there is less demand each year as more buyers move to pickups or crossovers. If you look at pickups especially, resale is great and depreciation is low because demand is always high.

 

[LT1ZOB]

After driving a friend’s RST recently, I’m even more excited about depreciation. Would like to pick one up in a couple years

 

[mgkruzr]

They are taking 13-14k off of RSTs.

77k with brembos down to 63k.

 

[fiatdale]

That’s not depreciation, that’s discount. These things do not depreciate like you think they do. Example: 2006, a 2003 (3 year old) Denali with a $50k sticker could be had for $15-20k. In 2012, a 2007 (5-6 year old) Tahoe LTZ with a sticker of $50k could be had for $20k. Fast forward to today, a 2 year old Tahoe LTZ with a $70k sticker is still $45k. I wouldn’t call that much depreciation really. Especially when you look at what 2007 Tahoe’s are still pulling to this day. Used car market is so screwed up and over priced. Unfortunately we have nobody to blame but the dealers for dumping so much into them but more so ourselves for settling to buy these things.

You also have to figure sticker price vs sell price. If you pay MSRP for these, you’re stupid. Go to another dealer. You almost always get them discounted anyway. So when you look at the discounted SALE price vs what it’s worth on the used market, they don’t drop hardly at all. New is the better buy if you’re looking at a 1-2 year old vehicle with low miles.

 

[UrbanSuburban]

In the Southern Ontario Market, used Full Size SUV's and Pickups, especially the GM ones are very hard to come by, you have to pay a fortune to get one. The Prices have been stubbornly high. Most of our used vehicles are going south to take advantage of the 35 percent difference in the dollar. It is better in the long run for the dealerships to take in used vehicles at a higher rate of value and then turn around and sell to the American Market Brokers in Detroit or Buffalo. You may think that a comparable model with the same options would be 35 percent higher in Canada but it is not. GM and Ford and Dodge and the Japanese will price it out at a considerable discount so that 35 percent difference may only be 7 percent. There has been Used Canadian Vehicles making the lots in different parts of the States with a Dealer added warranty. The Vehicles are virtually identical with the Cadillac Escalade, Yukon (XL) with the Denali trim, Sub and Tahoe with Premier trim most wanted, They have the Digital screen so the US conversion is automatic. The dashes with the fixed gages in them cannot be converted unless the gage cluster is changed. An easy way to tell if you have a Can vehicle is look at the RPO sheet in the Glove Box for option Z49.

 

[swathdiver]

I was originally going to buy a GMC pickup but they were more money than the Yukon XLs. The XLs in Florida were $5K more than the market in North Carolina so we got one from NC.

My truck's sticker had a price of $58K when new in 2009. It was built in September which was the 2010 model year already so I wonder what the original owner might have paid?

 

[cardude2000]

I cannot believe how bad these trucks depreciate! I owned a few preowned Escaldes and even a Denali so I am well aware of how they drop! BUT I purchased a 2017 Luxury last December and have been watching the market and am SHOCKED by how bad this body style is retaining its value! I am truly blown away!

The more expensive the vehicle in the lineup the worse the depreciation. Over time the bolt ons that make a Denali out of a $40k Tahoe don’t hold value.

But I am fine with that as long as I have power running boards and new car smell


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[91RS]

I think part of the problem is that the 15-18 body style has been so much more problematic than the GMT-800s and GMT-900s that people who are doing their research are holding onto their 800s and 900s because they are such good trucks. Plus, with the still-pending Takata airbag recall on the 900s, a lot of new car dealers won't touch them so they knock people's heads off on trade because it's going to the auction no matter it's condition so people are keeping them instead. I like the 15-18 body style, but I wouldn't touch anything older than an 18 and those trucks don't seem to be ageing well in my opinion so I'm not even sure I'd still want one in 5-10 years. I'm hoping the 2008 I just bought will last 10+ years and I won't have to worry about it!

 

[King Arthur]

I'll keep my 96 !

 

[Warriorpluto]

Like the others have said its every other vehicle as well. I was looking at getting an 2019 Lincoln aviator and in five years ill be able to afford it lol i run a carlot and buy and sell vehicles weekly and i see a trend of no cars really holding value unless its something like a amg or z06. I love it. That means people have to have something new every four years and get bored

 

[cardude2000]

I think part of the problem is that the 15-18 body style has been so much more problematic than the GMT-800s and GMT-900s that people who are doing their research are holding onto their 800s and 900s because they are such good trucks. Plus, with the still-pending Takata airbag recall on the 900s, a lot of new car dealers won't touch them so they knock people's heads off on trade because it's going to the auction no matter it's condition so people are keeping them instead. I like the 15-18 body style, but I wouldn't touch anything older than an 18 and those trucks don't seem to be ageing well in my opinion so I'm not even sure I'd still want one in 5-10 years. I'm hoping the 2008 I just bought will last 10+ years and I won't have to worry about it!

They sell millions of these things. I guarantee only a very small percentage know about the booming and buffetting issues. People here sometimes don’t even know. There’s not even a sticky on them.

I very much doubt that’s the issue.

I just ran the KBB:

2014 Tahoe LTZ with 50k miles in good condition is: $32k.

->Original MSRP: $59k
Or 54% of its original value.

———————————————

2015 Tahoe LTZ with 50k miles in good condition is $40k.

->Original MSRP: $61k.
Or 64% of original value




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[91RS]

The booming and buffeting is a very small percentage. I'm talking about the vibrations/harshness and electrical problems mainly, that is pretty wide spread. Those are the two reasons I wouldn't buy one.

 

[mgbgene]

I bought my 05 slt in 2009 for $17K, right when gas prices were thru the roof, it had 50k on it and now has 134k. Looks like new I think still worth somewhere around 7k. Sticker on it new was 53k..so I always buy used. I love this model, thought about moving up but the newer ones seem to have a lot of issues.

 

[LT1ZOB]

You guys brought up 15-18 quality issues. I’m at 25.8k miles and have 3-36 until late January of 2020. Chances are very high I get to 36k first.
So if you don’t mind, please list some of the main issues I should be looking for to make sure the dealer addresses under 3-36k.
I’ve had it since early July and other than the disgusting quality of the “polished” 20” wheels (which GM replaced all 4 under warranty), I see and hear no other issues with mine.

 

[Butch Patrick]

In my opinion, the only way to overcome depreciation is what I have done for the first time in my life. I used to trade every 3 to 4 years and took a beating even though I always paid cash for the difference. My last purchase was a new '05 Tahoe Z71, loaded with all options. I paid somewhere around $42K. Still driving it, 195,000 miles on it. The only repair I have made was a water pump at 185,000 miles. Got 125K before I needed a break job. Should bring $5000 to $5500 today. That brings my cost to roughly $230 per month. The only time I have financed a car was in 1984, right after I almost went broke. I had no money and bought a worn out 6 cylinder Mustang and had to finance it. Wound up paying big time on this one. Never again if I can help it! Tahoes and other makes with the 5.3 motors will last a long time if you just take care of them and drive them sensibly. Probably should not have posted this. My engine, transmission or AC might go out now.

 

[Shunto]

I cannot believe how bad these trucks depreciate! I owned a few preowned Escaldes and even a Denali so I am well aware of how they drop! BUT I purchased a 2017 Luxury last December and have been watching the market and am SHOCKED by how bad this body style is retaining its value! I am truly blown away!

same for almost any vehicle, this is why I buy them at 5years old when they are 1/2 price. the only way to keep the value a bit is to never drive it and keep the miles off

Agreed...
I saw a beautiful 14 LTZ Tahoe with 30k on the clock... was going to jump on it Cept the guy wanted almost $40k (he was an old marine and he wasn't budging) I have to admit he took care of it...real good care of it... I look back and i think i should have bought it. That's my favorite body style.

 

[Hrocks]

I cannot believe how bad these trucks depreciate! I owned a few preowned Escaldes and even a Denali so I am well aware of how they drop! BUT I purchased a 2017 Luxury last December and have been watching the market and am SHOCKED by how bad this body style is retaining its value! I am truly blown away!

I've read the replies to your post and agree with the many that make reference to the well documented myriad of problems with the latest GMTK2XX generation. I have a 2010 GMT 920 White Diamond Tahoe LTZ with 105,000 miles, that I have given to my son to drive in HS. It has been a fantastic vehicle. I noticed that even with the miles, nice ones are being offered for sale at over $25k. I was thinking about selling it because of the high residual value and giving him one of our other SUV's to drive. I've had other GMT 9XX SUV's (Yukon's and Escalade) with similar experiences. (although the 'Sclade did have some first year 2007 growing pains---sounds like there's a GM pattern)

I guess the next gen SUV will be based on the 2019 GM T1 pickup platform and will be coming out in 2020...hopefully they will get this one right!

 

[nahfwt]

I’m interested in hearing exactly what these problems are compared to the well documented issues with cracked dashboards and lifter failures that plagued the GMT 9XXs I don’t have any booming/buffeting in my 2016 but I had both of those problems in my 2010.

 

[Tonyrodz]

In the Southern Ontario Market, used Full Size SUV's and Pickups, especially the GM ones are very hard to come by, you have to pay a fortune to get one. The Prices have been stubbornly high. Most of our used vehicles are going south to take advantage of the 35 percent difference in the dollar. It is better in the long run for the dealerships to take in used vehicles at a higher rate of value and then turn around and sell to the American Market Brokers in Detroit or Buffalo. You may think that a comparable model with the same options would be 35 percent higher in Canada but it is not. GM and Ford and Dodge and the Japanese will price it out at a considerable discount so that 35 percent difference may only be 7 percent. There has been Used Canadian Vehicles making the lots in different parts of the States with a Dealer added warranty. The Vehicles are virtually identical with the Cadillac Escalade, Yukon (XL) with the Denali trim, Sub and Tahoe with Premier trim most wanted, They have the Digital screen so the US conversion is automatic. The dashes with the fixed gages in them cannot be converted unless the gage cluster is changed. An easy way to tell if you have a Can vehicle is look at the RPO sheet in the Glove Box for option Z49.

I didn't get the rpo. It was an H2 pickup tho.

I'm in NJ.