[ASAP]

Originally Posted by SushiM3

Inflation numbers are a lagging indicator. High inflation over the past 3 years reflects an economic climate where people have “too much” money. Labor shortages, higher wages, government stimulus, inflated asset prices etc.

I would imagine that a large majority of new M3 buyers (typically high income w2 employees, business owners, or asset owners) have benefitted from these as well.

While it is “abnormal” that the MSRP went up 8k in one year, what that really shows is that BMW was leaving money on the table and the M3 was selling at historically low prices in 2022. This is also backed up by the ADMs that people were paying that are largely gone now after BMW has raised the MSRP.

Also keep in mind that most car manufacturers make a margin of only 7-10% per car they build. If the cost of materials for the car went up by 7-8% due to inflation, BMW has no choice but to raise the MSRP a similar %, or they are making cars at a loss.

I don't know if this is true... but just fundamentally - the demand side and such price increases don't make sense w the numbers quoted in this article.

https://hedgescompany.com/blog/2019/...20%24116%2C550.

Don't these numbers seem really low to you?

[Cryptic7]

Originally Posted by SushiM3

Interestingly enough, it seems like the f80s were the worst deal of the bunch here, while a 24 g80 is practically identical to a 2004 e46.

Another thing to consider is that the 2004 e46 is probably more similar to an M2 in size and luxury and the G80 is probably more similar to the M5 of old. That makes the G80 seem like an even better deal after accounting for inflation

[Mar48]

Originally Posted by Forzanerazzurri

Don't worry, the inflation is transitory.

Are you suggesting prices will go back down? If not, don’t get the point of saying high inflation is temporary… Today’s prices are now the new baseline for future inflation, so unless there is deflation (haven’t heard that suggested anywhere) these prices are staying and only going in one direction.

[Forzanerazzurri]

Originally Posted by Mar48

Are you suggesting prices will go back down? If not, don’t get the point of saying high inflation is temporary… Today’s prices are now the new baseline for future inflation, so unless there is deflation (haven’t heard that suggested anywhere) these prices are staying and only going in one direction.

Oh boy...

[Mar48]

Originally Posted by Forzanerazzurri

Oh boy...

Lol rereading your comment…. Went over my head originally.

[Forzanerazzurri]

Originally Posted by Mar48

Lol rereading your comment…. Went over my head originally.

Hah sorry!

[Ankarah]

This was my thought exactly as I was optioning out my car.

It is so easy to get carried away with options and break into that six-figures territory, but doing so opens up so many other good alternatives that it made little sense to me.

For example, even within the same brand, the base 23' M5 could be had for just a few grand more if you were already over the 100k mark.

The sweet spot for the G8X, IMO, is at around 90k-ish.

[Needsdecaf]

Originally Posted by Ankarah

This was my thought exactly as I was optioning out my car.

It is so easy to get carried away with options and break into that six-figures territory, but doing so opens up so many other good alternatives that it made little sense to me.

For example, even within the same brand, the base 23' M5 could be had for just a few grand more if you were already over the 100k mark.

The sweet spot for the G8X, IMO, is at around 90k-ish.

It’s easy to make this argument. But you’re never comparing apples to apples. I’m very familiar with this having been in the new Porsche world for a decade. People can never understand why you would option a base 911 up into the price where you “could have gotten an S” and so on for every model, every trim. Truth is that highly optioned base has a ton of toys the S won’t. Leather, multi-way seats, upgraded stereo, sport Chrono, you name it. So it not really the same.

Like BK says “ have it your way (you rule!) “.

There is no need to add driver assistance, parking pack, and full leather to a G80 CX. It adds zero to the performance. But…I want it. And I’m going to be driving this car a while. So….I get those things.

Likewise, a $95k M3 sounds insane…but what other 4 door goes 0-60 in 3 seconds flat for the price? Certainly not an M550, or a Panamera 4.

[Ankarah]

Originally Posted by Needsdecaf

Likewise, a $95k M3 sounds insane…but what other 4 door goes 0-60 in 3 seconds flat for the price? Certainly not an M550, or a Panamera 4.

That is exactly my point. If you went for AWD for 95k, okay that sounds good.
But if you checked all the boxes and ended up with a 105k tag, which you can easily do without even adding carbon brakes, there is an M5 right around the corner.

At that point, it's pretty much the case of apples vs bigger apples, no?

[SushiM3]

Originally Posted by Ankarah

That is exactly my point. If you went for AWD for 95k, okay that sounds good.
But if you checked all the boxes and ended up with a 105k tag, which you can easily do without even adding carbon brakes, there is an M5 right around the corner.

At that point, it's pretty much the case of apples vs bigger apples, no?

Except a similarly optioned M5 (with the equivalent packages) would be 135-145k.

[PipeM3]

Originally Posted by A418t81

No, M3

Wow that is something I never heard! That is a good deal imo!

[SushiM3]

Originally Posted by ASAP

I don't know if this is true... but just fundamentally - the demand side and such price increases don't make sense w the numbers quoted in this article.

https://hedgescompany.com/blog/2019/...20%24116%2C550.

Don't these numbers seem really low to you?

I guess I might have muddied my point by mentioning demand, that’s another thing with other factors in play as well. I imagine the rise of social media has caused an uptick in people buying cars they can’t afford, but that’s another story.

My point was that the “actual” value of the M3 has stayed nearly identical through its entire history, it’s the value of everyone’s money that has gone down.

Even if we compare it to Porsche, since everyone keeps bringing it up.
A 2004 911 was 72k base vs 47k for the M3. That’s a 52% premium
A 2024 911 is 114500 base vs 76k for the M3. A 51% premium

If they’re still making M3s in 2055, I’m sure the car will be north of 200k. But that’s to be expected, if that’s in line with inflation everywhere else.

[JCZ5]

Rising tide raises all boats…so end of the day, everything is still proportional. Except for regular people’s salaries.

Worth it? Sure, cause the next tier vehicle is way out there.

[kgelfen360]

$1500 price hike is not going to change my mind. Everything is going up as well. It’s not like M3 only car getting more expensive.

[hhkb]

Originally Posted by SushiM3

I guess I might have muddied my point by mentioning demand, that’s another thing with other factors in play as well. I imagine the rise of social media has caused an uptick in people buying cars they can’t afford, but that’s another story.

My point was that the “actual” value of the M3 has stayed nearly identical through its entire history, it’s the value of everyone’s money that has gone down.

Even if we compare it to Porsche, since everyone keeps bringing it up.
A 2004 911 was 72k base vs 47k for the M3. That’s a 52% premium
A 2024 911 is 114500 base vs 76k for the M3. A 51% premium

If they’re still making M3s in 2055, I’m sure the car will be north of 200k. But that’s to be expected, if that’s in line with inflation everywhere else.

Great way to pair the numbers!