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      11-15-2012, 10:03 AM   #103
aceking4u
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Drives: Audi & BMW
Join Date: Feb 2012
Location: Los Angeles

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Quote:
Originally Posted by RPM90 View Post
Digression from comparing driving attributes, as I'd like to address the residuals, and depreciation of these cars.

Audi has improved their resale, but the reality is that the 3 series holds better value. That's the major reason why BMW leases are so good, they have better residuals, which are based on the actual market value, that includes the S4.
Plus, of course pre F30 3's have fallen in the used market, as they are no longer the current model. BMW was giving huge discounts for left over E90's, and that then effects used prices of all pre F30 3 series.
The S4 is still current, even if it's now "old". When the new S4 comes, used prices of previous gen S4's will fall as well.
So, we need to stick with same gen models to make an honest residual comparison.

It's also likely that some or even many Audi dealers jack up the used sale price of an S4, I've seen it in the Chicago market. But, the actual selling price comes way down when you really want to buy it at it's true cost.
Audi dealers like to jack up the S4 used prices as they like to claim "rarity".
True, S4's are rare. But, so are 335i's in many markets.
328i's outsell 335i's by a good margin, and thus are also rarer.
In my area you do see quite a number of 328i's, rarely a 335i.
I see about as many 335i's as I do S4's, and this is the Chicago market where AWD is a wanted commodity.

If S4's really had better residuals it would be reflected in their leases, and that's simply not the case. Audi looses a lot of sales in the US due to their awful lease rates. Actual selling prices may be close between the 3 and the A4/S4, but when leasing Audi's lose.
I would have put more consideration into the S4 if not for the awful lease rates, which made an equally priced S4 nearly $100 more per month.
Plus, BMW gave some good incentives with "drive" discounts and loyalty money.
My 335i Msport MSRP is a bit over $52K and I'm only paying $511 per month, tax included, no money down, with multiple security deposits.
Similarly priced S4 was over $600, something like $620 or so, even with conquest money.
I agree with most of your points, especially how Audi doesn't give good lease rates. But please keep what i mentioned in mind. Audi doesn't produce and send as many cars to the U.S like BMW. Therefore, if they have fewer cars sold here, why should they offer lower lease rates? Audi doesn't have a problem getting their A4 off of lots at the price they want to sell it for. IMO, if they had this problem, they would offer better lease rates (especially since over 65% of luxury cars are leased anyway).

Going back to exclusivity. I still stand by what I said and you're a great example of it. Why pay $100+ more monthly for this car when you can have a 3 series. Everyone is also thinking the same thing, not just you, and I go through the same process when selecting a car. Monthly payments & down payments are important.

Another reason why you see so many 3 series and C class on the road.

In Los Angeles to Orange County, you'll see a 3 to 1 ratio (eye balling it).

Nothing wrong with having a BMW. I think the F30 is an amazing car, I'm just simply stating, not all choices are driven by monthly payments, but I think most are.
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