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New M3 or lightly used M5?


Merlot
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I did not really want to start another one of these new vs second hand threads but I was lookiong around and realised for the price of my new M3 (£54k) I could have a newish, low mileage M5.

Now I know that if I keep the M3 for six months or so then I will probably be fine but over two years I presume the M5 will be the better financial bet. Of course this says nothing about what I want but then again I change my mind so often that is not relevant. iamwithstupid.gif

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The M5 is an incredible car, in my view it's probably the best all round car on the planet (if you ignore the awful fuel consumption and tiny petrol tank!).

My money would go on the M5, I use a friend's regularly and I can't stop smiling every time I get behind the wheel. Something so big should not be able to accelerate so rapidly!!

However, taking residuals into account, the M5 has never been a car to hold it's value well so I would be slightly concerned about that.

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Cheers.

An 06 06 M5 books at c£49k trade and can be had for not much more than that (is the book too high?). They seem to drop at £6k pa but I guess there will be some step changes too as it gets marked back as newer cars come out. If I paid £52k and kept it two years it might be worth £34k in the trade, so £9k pa.

Would my M3 trade at £36k at two years old? Based on likely RS4 saloon prices in a few months then yes but who knows?

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My gut feel would be the M5 - mainly because they're a very complete car, but also because I've got an allergy to buying new cars and losing however much it is depending on the model as soon as you leave the showroom.

That said, I've not yet driven an M3.

Would you be able to find a dealer with both and drive them back to back?

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I'm one of those strange people who often buys cars undriven. Its all part of the risk taking experience! Anyway, my M3 comes in about five weeks so I should really take that along to test an M5 once my car is run in. However, can I wait that long and how much will the new M3 push down M5 values in any case?

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I think i would rather take the M5. In my eyes it has more kudos, is faster and has more space. I don't know if you will see as many M3's in the future due IMO the price being so high, but an M5 is still pretty rare, well at least in my neck of the woods.

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No matter what M3 will also sell well, the price being so high compared to what?

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The M5's are suffering pretty badly at the moment, possibly because they commanded near to list for about the first year so depreciation is catching up!

The residuals on M5's were horrific when I was looking last year - £20k drop in 12 months shocked.gif

You can get 07 cars for the same price as a new M3.

I'm not sure whether it's the lure of the V10, but there's just something about the M5 which does it for me 169144-ok.gif

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[ QUOTE ]

The M5's are suffering pretty badly at the moment, possibly because they commanded near to list for about the first year so depreciation is catching up!

The residuals on M5's were horrific when I was looking last year - £20k drop in 12 months shocked.gif

You can get 07 cars for the same price as a new M3.

I'm not sure whether it's the lure of the V10, but there's just something about the M5 which does it for me 169144-ok.gif

[/ QUOTE ]

Some M5's seem to be retailing near or below trade book value which is worrying. I'm also worried that no one will want an SMG car once the DCT is out.

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They're very different cars, to be fair. M5 is more of a cruiser, whereas the M3 is more of a car shouting "drive me hard" all the time, which is why I love the E92's understated looks.

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I was actually surprised how badly the M5 came out in the M Car Test in Evo this month.

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