Category Archives: STS-V

Appeciating depreciation from the outside in

Posted on by
2

The 2008 Cadillac STS-V sold new for US$78,775.  A high price, but the vehicle was literally one of the zeniths of the Cadillac line, with every possible option in the STS family, as well as a hand-made Supercharged Northstar power train, track-tuned suspension, and Brembo brakes.

Now in 2010, the same vehicle in Good to Excellent condition would receive a trade-in offer from an average Dealer of around $28-29K.   That my friends, is depreciation.  Heartache.

[Note: values taken from the Kelly Blue Book, via cars.com, April 2010]

Now, if the owner chose to sell the vehicle privately, it would be worth somewhat more.  For a private sale in good to excellent condition the owner could expect to garner $31-32K.

On the other side of the table, after purchasing said car the Dealer would prep it then offer it for sale around $36K.

Although a 2008 model seems NEW, remember that this model would have been manufactured in 2007, and is almost a 3 year old vehicle  now in 2010, with the 2011 models on their way out soon.  Still, even at 3 years that is a sharp, sharp depreciation per year.  We all know the joke that a car depreciates as soon as you drive it off the lot.  Part of the reason for that is if you pay full retail for a vehicle, you could not possibly resell the same vehicle for full retail — you would only get the reduced, near-wholesale value.  So the difference between what you could sell the vehicle for and what you purchased it for is part of the depreciation, and happens as soon as you take possession.

Another cause for depreciation over time is the public perception of a vehicle’s reliability, appearance, and utility.  The STS-V did not sell as well as Cadillac had hoped it would.  It was always intended to be a limited production vehicle.  The looks of the new STS when released in 2005 never popped with the public.  It was redone visually in 2008, but by then too little too late.  I have always thought that the STS went wrong in the hood/front end treatments, and this is the key part that Cadillac addressed in 2008 as well, restying the grill, but leaving the flat hood lines.   The STS-V however gets a domed hood to help fit the Supercharger, which fixes the look of the front nicely.  But looks definitely effect depreciation, as beauty is in the eye of the beholder for resale.

In the case of the STS-V Cadillac during these years has had very good reliability.  However, the public’s perception of Cadillac reliability still has not caught up with the facts.  Buyers are shy to purchase used cars that they perceive as likely to require costly repairs.

Thirsty:  The 2008 STS-V is a powerful car.  It is also a relatively thirsty vehicle, scoring just 13 mpg city and 19 mpg highway in the current EPA measurement system.  It requires premium fuel only.  Those are both hard sells in the used vehicle market.

Comparison shopping:  Pricing a 3 year old STS-V alongside a new CTS is a very hard sales proposition at the Cadillac Dealer.  The average buyer would certainly prefer to have the new CTS.

From my point of view however, here is a jewel-like masterpiece of a Cadillac, largely hand made, with a unique, powerful engine and track tuned suspension.  And due to the magic of depreciation, it has almost fallen to a price point where it is attainable.  Yes, I feel bad for the Owners who wrote a check for $79K in 2007 and want a new CTS-V but are shocked to find that their prize STS-V is worth less than 1/2 as much now.

But be assured that these wonderful Cadillacs will find good homes.  At least if I can find one in my price range that one will.

Researching versus Shopping

Posted on by
Reply

I have been researching my next Cadillac purchase.  I was split between a 2007 Cadillac CTS-V or a 2008/2009 Cadillac STS-V.  Either car would be really interesting to me for the next 5 years, but I am starting to lean toward the STS-V.  So now it becomes an issue of finding the right car, at the right price.  Also I really need to go drive a 07 CTS-V and the 08 STS-V just to make sure there are no details that have escaped me.  I like the manual transmission in the CTS-V (my Wife would not), but the luxury features of the STS-V fit my concept of an ultimate Cadillac better.

I have a wide span of time that I can shop.  My 2005 Cadillac CTS is doing very well, and is under extended warranty for more than another year.  So my current car situation is stable.

The STS-V was made in limited quantities.  The engines were actually made by hand, by a single technician on each engine.  In 2008 around 458 STS-V’s were sold.  That makes them a bit more difficult to find & buy than some other models made in higher numbers.  On the bright side, with such a recent car lots of them are still on the road, and some are coming off lease, or their owners are trading in for newer cars now or will this summer.

In fact, prime V-shopping time may be this summer as the CTS Coupe and V-Coupe are released.  I suspect a lot of V-owners will want to update to the V-Coupe when it is available.  That will make a bit of a Buyer’s market for their current 1st Generation CTS-V or STS-Vs.

I would like to find a low mile STS-V at a very low price of course, but I am in the fortunate position to be able to wait for the prices to fall a bit until they reach my target range.   My plan is to purchase the STS-V, then put my CTS up for private sale locally, with all the drama & irritation that includes.

It is a good time to shop with the internet available.  I did learn a bit more about some oddities on eBay with bidding against a Reserve, and the ebay near-real time interface options.  Getting some of those details down may be important in grabbing the right car at the right price.

It might be fun to purchase the STS-V remotely and drive it home for the first trip out of the box — just depends on where the ‘right’ Cadillac is that fits in my price range.

If you have a 2008 Cadillac STS-V that you want to sell (very inexpensively) please let me know!  It will end up getting featured here on CaddyInfo quite a bit over the next 5 years.

Shopping for a Cadillac STS-V

Posted on by
3

Cadillac created the V-Series Concept in 2004, with the release of the 2004 Cadillac CTS-V.  V stands for Velocity.  V-Series Cadillacs are luxury vehicles, as are all Cadillacs.  But they are also Gentleman Racers.  The V-Series features more than adequate  power plants, high performance track-tuned suspensions, high performance braking systems, additional engine and transmission cooling, and generally heavy-duty, series gear for enthusiasts who want to have serious fun with their Cadillac.

The Cadillac STS-V was produced from 2006 through 2009.  It featured the Sigma platform, Sachs tuned suspension, 4-piston Brembo Brakes front and rear, a 469 hp Supercharged (MP122) 4.4L DOHC VVT V8, and all the luxury features and accommodations available on the Cadillac STS.

Performance: the performance of the STS-V should be similar across the various production years, because the weight and power did not vary.  0-60 mph time was measured in around 4.8-5.1 sec depending on the magazine and the day.  Quartermile time is 13.1-13.3 sec at around 106 mph.   Skidpad performance was measured as high as 0.90g and as low as 0.83g.  Knowing the hardware I feel that 0.87g – 0.90g is probably representative.  Top speed is electronically limited to 155 mph.

The STS-V uses a Magnusson MP122 supercharger, putting out 12 psi.   So for argument sake, knowing that atmospheric pressure at sea level is 14.7 psi, and knowing that a supercharger adds approximately 4% power per psi, we can calculate that the supercharger adds 48% power.  Max efficiency is 7%/psi, but 4%/psi with real-world efficiencies and pumping losses. So the base 4.4L DOHC VVT V8 unblown might make 316 hp.  And we can recognize that the tuning that this hand-built gem of an engine received at the Tech Center allows the lower-displacement 4.4L Northstar without the supercharger would make similar power to the normally aspirated 4.6L DOHC VVT Northstar, which makes 320 hp.

One example of the detail work on the STS-V is that the exhaust ports and head of the engine are extrude honed.  This is a process that forces an abrasive material through the heads.  Typically used in racing applications, this increases horsepower by increasing the airflow through the engine.

The STS-V’s 469 horses arrive at 6400 rpm, but at least 395 of the 439 peak pound-feet of torque are available between 2200 and 6000 rpm.  The idle quality of the STS-V is even more stable than the already exemplary STS, due to the increased rolling inertia of the Supercharger.

All Superchargers generate heat; it is a by-product of compression.  The STS-V uses an air to liquid intercooler to help reduce the heat of the incoming air charge, with a separate cooling system for the intercooler.

Pricing:

Kbb.com is a great resource for used vehicle pricing.  Currently they suggest the following STS-V pricing for a used example with 30K miles:

2006: $24-26K Private Sale; $29K Retail

2007: $28k-30K Private Sale; $33K Retail

2008: $30-32K Private Sale; $36k Retail

2009: $43-46K Private Sale; $50k Retail

Newer models will continue to be under Warranty.  Also, in 2008 the STS-V gained a Heads-Up-Display (HUD), which is a desirable feature.  I hope to continue to monitor STS-V pricing, and pick up a 2008 Model once they are available around $25K for a very good example with under 30K miles.