RE: DAD's Auto Salvage (WAS,if you bought 200 20vt)

["James A. Desveaux" <desveaux@ucla.edu>]

Somebody on the list commented that one problem with cars like the '91 200
20valve is that Kelly and NADA prices them so low that salvage yards can buy
them at roughly book value, and still make a healthy profit parting them
out.  A couple of comments from my experience:

1. Enthusiasts always "value" these cars more than their book value, but if
you're like me (I'm pleading guilty here), you're still cognizant of that
almighty book value, and you really don't want to pay above it.  This is
especially true for those not in a position to pay premium prices for cars.
I let several '91 200Qs get away because I dithered over how much I really
liked and valued the car versus how much I really liked and valued the car
with my hand on my pocketbook.  Until somebody says 'the hell with it, I
want it badly enough not to dicker on price', the sale (to somebody) will be
a transaction, just like any other, and the car ends up in another garage,
or its parts transplanted somewhere else.

2. The other point worth noting (I think) is that Kelly and NADA (Edmunds
and PACE are far worse) don't do a great job in distinguising some of the
rarer models that are prized.  For Kelly and NADA, this is probably a
problem of what economists call 'thin markets'.  THere are so few of them,
and there isn't enough experience pricing them (remember, we're talking
about companies that price thousands of models), that their pricing isn't
reflective of what an informed seller or buyer would pay.  For instance, the
5spd V8 brings no more in Kelly Blue Book than the automatic.  The V8 is
worth more than the '91 200Q, the Coupe Quattro is priced considerably
higher than the 200Q.  Until several months ago, they'd priced the '91 200Q
sedan higher than the wagon, (978 sedans versus 149 wagons), etc.  I did
email Kelly about that time and asked why the wagon was worth less than the
sedan.  I noticed that in the next issue this was no longer the case.

3. I'd guess that if Audi keeps producing cars that are popular, and have
some panache (and if they steer clear of 60 minutes), the older models will
benefit in the used car market, especially the rarer ones.  Consumer
Distorts, for instance, no longer lists Audi as one of the cars to avoid.  I
remember when Audi would regularly appear as one of the used cars with the
mark of the beast.

Incidentally, I did see that pearl/black '91 200Q with 91k advertised in the
Seattle Intelligencer for $12,900.  If DAD's paid that much--or close to
it--to take it apart, I'm really surprised.  That's a lot for those kinds of
operations to pay, given that most of the body and suspension and interior
parts are shared by other 5000s or 200s.

In any case, sorry to learn that the car got snagged from under you.  

- Jim