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Thread: Passat (R36) depreciation

  1. #1
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    Passat (R36) depreciation

    I've been browsing some of the UK forums for reviews of the R36. Despite it's launch some weeks ago, there's still not much available (that I could find). However there is a lot of discussion about picking up an R36 in a few years time at bargain basement prices due to massive depreciation.

    Having not owned a VW before, my question is twofold: 1) how do Passats usually fare in the depreciation stakes, and 2) do you think the R36 will fare any differently?

    Cheers
    Wyatt.

  2. #2
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    Quote Originally Posted by Wyatt View Post
    I've been browsing some of the UK forums for reviews of the R36. Despite it's launch some weeks ago, there's still not much available (that I could find). However there is a lot of discussion about picking up an R36 in a few years time at bargain basement prices due to massive depreciation.

    Having not owned a VW before, my question is twofold: 1) how do Passats usually fare in the depreciation stakes, and 2) do you think the R36 will fare any differently?

    Cheers
    Wyatt.
    Don't know how much the R36 will depreciate, but the petrol versions of the Passat have been quoted as depreciating to 55% after 3 years with average kms. I would suggest that the diesel variants would depreciate less as they will be in more demand.
    At the end of the day, the depreciation will depend on the availability vs demand in the second hand market. If few new R36's are sold, but there is a good demand for them second hand, then you may enjoy good second hand pricing. Otherwise you will be losing out if there is not much interest from the second hand car market.

  3. #3
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    'Big' engined cars such as the R36 would depreciate a fair amount over 3 years in the UK. This would be more a factor of the UK car market than a reflection of what might happen here. You should see what a 3 litre Alfa Romeo dropped like.

    Smaller engined variants of the Passat fair better, with the diesels being the best in terms of low depreciation.

    Not forgetting that there will be a much larger choice of second hand cars in the UK too. With 3 times the population in a fraction of the space, prices are going to be affected.

    I would think that Australia would not suffer the same.

    Gavin

  4. #4
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    Quote Originally Posted by Wyatt View Post
    I've been browsing some of the UK forums for reviews of the R36. Despite it's launch some weeks ago, there's still not much available (that I could find). However there is a lot of discussion about picking up an R36 in a few years time at bargain basement prices due to massive depreciation.

    Having not owned a VW before, my question is twofold: 1) how do Passats usually fare in the depreciation stakes, and 2) do you think the R36 will fare any differently?

    Cheers
    Wyatt.
    It is a tough one to gauge, however I can say that what works in the UK doesn't always work in Aus.

    They have very different tastes/roads etc to us here. They have been embracing diesels for years, and petrol cars depreciate because they are thirsty and attract a great deal more road tax.

    In addition the Poms always prefer manuals to autos, even the DSG.

    There are many cars that have been a hit here and a miss in the UK - and vice versa - consider the Ford Modeo, Vectra, Pugeuot, Monaro etc. etc.

    I am slightly concerned about resales on the R36, given the Passats in general are terrible. However it will really depend on the type of write ups they get locally, and whether or not they are well suited to our roads.

    You need to remember that the poms get a better selection of cars much cheaper - have a look at the cost of an Audi A6 3.2 Quattro it is only $28k + Options. The Passat is $29k + Options. I ask you which would you buy......

    Hope this has been some help (though it probably hasn't!)
    Confirmed Global Warming Sceptic. No Longer a VW Owner -Loving my new 2011 Range Rover Sport - bought as VW unable to provide info on the new Toureg despite it being released overseas 12 mths ago. 2008 R36 Wagon, 2006 GTI and 2004 R32 - Gone. Sorry VW, you make great cars but until you improve your customers' experiences you will lose customers

  5. #5
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    my passat was more expensive than a gt falcon hardtop in 1974

  6. #6
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    Quote Originally Posted by Wyatt View Post
    I've been browsing some of the UK forums for reviews of the R36. Despite it's launch some weeks ago, there's still not much available (that I could find). However there is a lot of discussion about picking up an R36 in a few years time at bargain basement prices due to massive depreciation.

    Having not owned a VW before, my question is twofold: 1) how do Passats usually fare in the depreciation stakes, and 2) do you think the R36 will fare any differently?

    Cheers
    Wyatt.

    The depreciation in Europe would probably be more severe than here in Australia, in part because Passats are much more common and there will be a lot more R36's on the roads over there. They are also relatively more expensive in Europe - in fact in Germany an R36 sedan costs about Euro 45K or A$73K with a lower standard equipment levels than we are getting for A$65K.

  7. #7
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    Thought I could add something to this one, after my experience today.

    Was at the dealer looking over my new car (which I get on Sunday), and a block came up and asked whether it was mine.

    When I confirmed it was the case, he offerred to take it off my hands for $5k more than I paid for it.

    It was tempting..... but not really. Told him not a chance.

    So dont worry about depreciation, clearly these cars are going to appreciate!!!

    Footnote: I know tone is difficult to get across on forums, but please be assured I am joking!!

    Confirmed Global Warming Sceptic. No Longer a VW Owner -Loving my new 2011 Range Rover Sport - bought as VW unable to provide info on the new Toureg despite it being released overseas 12 mths ago. 2008 R36 Wagon, 2006 GTI and 2004 R32 - Gone. Sorry VW, you make great cars but until you improve your customers' experiences you will lose customers

  8. #8
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    Thread Starter

    Then I shall look forward to selling mine in three year's time for a tidy profit (at that rate I should be $15K in front!).

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