Someone recently turned down a staggering $106,000 for their nearly new BMW M5, which had only 4,000 miles on the clock. At first glance, that might seem like a missed opportunity, especially considering the car’s original MSRP was a hefty $139,625 just a few months prior. But when you dig a little deeper, it becomes clear that this decision might not be as foolish as it sounds.
### Why Did the Auction Fall Short?
The auction took place on Bring A Trailer, where the bidding started to heat up but ultimately fell short of the reserve price. While we don’t know what that reserve was, the fact that the highest bid was only $106,000—despite the car being in pristine condition—raises some eyebrows. After all, that’s a significant 24% drop in value in less than a year. To put that into perspective, the high bid was just $88,000 eleven minutes before the auction closed. It took a bidding war to push it up to the final number, which suggests there’s a hesitance among buyers.
### The Hybrid Dilemma
Interestingly, this situation reflects a broader trend in the automotive market, particularly among high-performance vehicles. Recent evidence suggests that buyers in this segment are not keen on hybrid technology in their performance cars. The latest BMW M5, while a powerhouse in its own right, is heavier and more complex than its predecessors, and it seems that some enthusiasts are not ready to embrace the hybrid shift. One commenter on the auction noted, “Buyers have spoken, they don’t want HYBRID TECHNOLOGY in performance cars!” This sentiment could be influencing the M5’s resale value.
### What Makes the 2025 BMW M5 Special?
Despite the depreciation concerns, the 2025 BMW M5 is still an impressive machine. It boasts a striking Marina Bay Blue exterior, a luxurious black interior with Merino leather upholstery, and features like quad-zone climate control and carbon fiber trim. It’s a car that many would be proud to own, yet the market seems to be reacting differently than expected.
In stark contrast, another recent sale of a previous-generation M5 saw a buyer shelling out $196,000 for a super-low mileage CS special edition. That’s a whopping $52,000 over MSRP for a car that’s just three years old! The difference? The CS edition is a limited release, and it seems collectors are willing to pay a premium for exclusivity.
### Will the M5 Hold Its Value?
So, what does this mean for the future of the M5? It appears that the latest model may not hold its value as well as its predecessors, at least not in the short term. The market’s current preference for non-hybrid performance cars could be a significant factor in this depreciation. However, it’s worth noting that the M5 Touring version is gaining traction in the U.S. market, and it could potentially fare better in terms of resale value.
### A Shift in Buyer Preferences
This scenario highlights a fascinating shift in buyer preferences. As the automotive landscape evolves, so do the desires of car enthusiasts. While hybrid technology is becoming more prevalent across various segments, it seems that for high-performance vehicles, many buyers still crave the raw power and simplicity of traditional combustion engines.
The big takeaway? The future of performance cars isn’t just about the latest technology—it’s about understanding what enthusiasts truly want. If you’re considering a high-performance vehicle, keep an eye on these trends. Start with one change this week, and you’ll likely spot the difference by month’s end.