better to sell after year 1, or year 2?

[EdisEdward]

i usually sell every 2 years, but now I am rethinking the strategy. So the most basic new iPhone costs $650 at year 0 (release date). In year 1, one year later, you can probably sell it for 450 if it's in good condition. In year 2, you can probably sell it for 250 in good condition.

So shouldn't everyone just sell their phone after year 1? Depreciation cost is $200 per year anyway so might as well get a phone every year...?

 

[Martin81]

Obviously it's not $200 per year. Who would sell a three year old iphone for $50?
Is $400 in the first two year not a bit high?

Example: I bought my iPhone 4S 16GB in October 2011 for 629€ and sold it in September 2013 for 330€. That's "only" 300€ in two years.

I'm looking forward to the 6S and to be honest I don't want to sell my 5S for less than 350-370€.

 

[EdisEdward]

Obviously it's not $200 per year. Who would sell a three year old iphone for $50?
Is $400 in the first two year not a bit high?

Example: I bought my iPhone 4S 16GB in October 2011 for 629€ and sold it in September 2013 for 330€. That's "only" 300€ in two years.

I'm looking forward to the 6S and to be honest I don't want to sell my 5S for less than 350-370€.

I was talking about year 1 and 2, obviously the $200/year depreciation is not infinite. You are limited by the 650 basis