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The "330 Effect" (archive)

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Posted by Mark in TX on October 06, 2000 at 12:54:59:

In Reply to: E36M3 Prices posted by DCC on October 06, 2000 at 09:11:21:

Having just purchased a '95, I am probably a textbook example of what's going on in the E36 M3 market.

I started out looking for used '95's and '97 sedans. After months of back-and-forth negotiations over various cars, I came to 2 conclusions: first, the M3 has maintained its resale value very well. Second, the 330 is an excellent value for about the same money. Since I stood to get a discount of just under $5k on a 330 by doing Eurodelivery, using a buying service, and taking the BMW Club rebate, this was the way to go. What I now think of as the '330 effect' had taken me out of the market for M3's. If this is going on a widespread basis, as potential used-M3 buyers learn more about the 330, it will decrease the demand for E36 M3's and resale prices will fall.

As it turns out, BMW couldn't get a 330 for me soon enough, so I decided to wait till spring. A few days later, a deal no one could refuse appeared in my local paper's classifieds, and I now have a '95 M3 Lux @ $19.6k.

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