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1: Dodge Ram, 2: Mercury Grand Marquis, 3: Ford's F-150, 4: Dodge Durango, 5: GMC Envoy. (http://www.forbesautos.com/news/headlines/2008/january/fdc010308-most-overpriced-vehicles.html)

http://www.cleanmpg.com/photos/data/501/Dodge_3500_Cummins_Diesel.jpgBengt Halvorson - Forbes - Jan 4, 2008

In Pictures: 15 Most Overpriced Cars (http://www.forbes.com/2007/12/27/cars-overpriced-autos-forbeslife-cx_bh_0102cars_slide_2.html) All but two are P/Us or SUVs and from a domestic automaker...for years, posters and reviewers have ripped hybrids as overpriced - try to find them on the slide show. ;) -- Ed.

Go shopping for a Dodge Ram, and you may find that a $4,500 factory incentive awaits. On top of that, it's likely a dealer will give you an all-smiles, deep-discount price that's lower by thousands more.

Despite these incentives, Rams are languishing on lots. Dealers nationwide reported a 117-day inventory as of Nov. 1, according to Automotive News. Jonathan Banks, senior director of the Automotive Leasing Guide-affiliated ALG Consulting Group, says that excess dealer inventory is a leading indicator that it's time not just for more incentives, but possibly a price cut.

Good thing, because the Dodge Ram is among the most egregiously overpriced cars in the U.S. Rounding out the top five: the Mercury Grand Marquis, Ford's F-150, the Dodge Durango, and the GMC Envoy… http://www.forbesautos.com/news/headlines/2008/january/fdc010308-most-overpriced-vehicles.html

This can't be!

Only hybrids are priced too high.

Harry

Did anyone else read the accompanying article about the 10 best cars for residual value after 5 years?

One of them is the Pontiac Solstice. Their “data” claims they are worth 48% of their original MSRP after 5 years. Hmmm... Let’s see, the Solstice came out as a 2006 model? Perhaps they bought a preproduction 2003 Solstice, or maybe they have a time machine?

http://www.forbesautos.com/advice/toptens/best-overall-resale-value-2007.html?partner=fadc_hpflash_resale_value

i see the tail lights on a lot of those models passing me on a daily basis. the woman who works in my department drives a trailblazer and insists there's no way she can drive anything small or cheaper........

Forbes, yeah I don't believe anything they write in that comic book.

ANY automotive article in Forbes or the NYT is usually bad.

All the samples cited were the tarted up "Limited", "King Ranch" "SLE", "SS", and highest priced versions of vehicles which aren't the main sellers. Any fool knows such frivolities are overpriced anyway, the extra accessories depreciate quickly.

When I clicked on the Forbes article, I got a pop-up ad for a Porsche Cayenne. Talk about overpriced....

Hi All:

___Forbes did a good job on this one imho. Anyone that purchases a vehicle with a $9K rebate is asking to get hosed on resale! Someone here has been pointing out the Tundra is being offered up with that kind of kick back right now and how would you feel if you were an early adopter and 6 months later they are giving them away? Oh yeah, there is $15K out the window!

“Wow, I could have purchased a Corolla” as somebody swats themselves in the head :D

___Good Luck

___Wayne

Thats why I buy used.

i don't suppose these $15k discounts have any effect on depreciation?

Hi Ashen:

___Not at all ;)

___Good Luck

___Wayne

Did anyone else read the accompanying article about the 10 best cars for residual value after 5 years?

One of them is the Pontiac Solstice. Their “data” claims they are worth 48% of their original MSRP after 5 years. Hmmm... Let’s see, the Solstice came out as a 2006 model? Perhaps they bought a preproduction 2003 Solstice, or maybe they have a time machine?

http://www.forbesautos.com/advice/toptens/best-overall-resale-value-2007.html?partner=fadc_hpflash_resale_value


I didn't check your article in detail, but I checked out one on "residual values" of SUV's a couple of months ago that had similar paradoxes. It turned out that they were using "residual values" from current 5 year lease contracts as a proxy for future "resale value." The stat isn't total nonsense, since the lessor is establishing a minimum future value for the car, but if you swallowed it at face value, you probably satisfied your recommended daily allowance for BS.

These vehicles tend to be overpriced at purchase and then again at the pump...

How anyone can buy a vehicle for $45K or more, and have it worth half that price in one year is beyond my comprehension.

Harry