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Depreciation and other updates

Alex L

PCGB Member
Member
OK, just spoke to my OPC. They suggested that the depreciation looks like this on a 997:

Year 1: 15-17% drop from new
Year 2: 10% drop on year 1
Year 3: 5% drop on year 2
...and then levels off further.

Apparently if you trade-in your 997 for another car though you will get a better deal.

The extended warrantee (2 years after first registration) is £725 per year (including VAT and Roadside assistance) and you need to get the car checked for a 111 point inspection before the warrantee period expires otherwise they charge you for the check.

Other information I gleamed included:

[*] 997 facelift will not happen until sometime in 2008 and will probably only include changes in lights/bumpers/PDK
[*] They have no indication on when PDK will be released specifically on the 997 Turbo, but they will be informed 6 months prior to its release so that they can warn new customers when ordering
[*] LSD on the new Turbo is probably a waste of money unless you will track the car a lot given it doesn't need any extra help with traction as standard. Generally LSD on a 4 wheel drive 997 is not necessary on public roads.
[*] 997 Turbo cab will be out first quarter next year and will be about another 9k over the price of the coupe model
[*] 998 won't be out for a LONG time yet. The 996 was around for about 10 years so the 997 will probably follow suit.
 
My OPC has just offered me 67K on a 75K 997 C4S with 3838 miles, one front wing needing repainting and two very small wheel scuffs.

This represents 11% in 5 months, or £2 per mile.

 
£2 a mile?! Wow, that's high. I was told that my original estimation of about £1 a mile was about right for pristine models across the first 2 years by the time the warrantee runs out.

I think I will be keeping mine until the facelift comes out and PDK is available on a new Turbo, probably aim for MY2010. But by then I will have lost about £25k unless I get a good trade-in deal, plus I will have to cough up another £50k for the Turbo.

Ouch!!!!

Suddenly doing a long-term £725 a year for the extended warrantee doesn't seem so bad. That's a point, I assume the extended warrantee is indefinite?!

 
Hi

Extended warranty will cover you until the car is 10 years old I believe, ie you can renew it annually up until the 9th Birthday of the car - (not that this is something I worry about too much [;)] )

Pete
 
I was going to upgrade to the 997 TT, but I don't think it is £35k + 2 years depreciation better than my C2S.
 
PDK was a transmission system used by Porsche on the 962.

Porsche are currently developing a paddle-shift (mechanically actuated dual clutch) gearbox based on the Audi DSG system and there is speculation that they will revive the PDK nomenclature. Expected mid-2008 for 09MY.
 
ORIGINAL: oliver

PDK was a transmission system used by Porsche on the 962.

Porsche are currently developing a paddle-shift (mechanically actuated dual clutch) gearbox based on the Audi DSG system and there is speculation that they will revive the PDK nomenclature. Expected mid-2008 for 09MY.

Very well put Oliver and to finish it, it stands for: Porsche Doppel Kupplung which translates to Porsche Double Clutch [8|]
 

Touchy subject depreciation where Porsche's are concerned - Manufacturers are all trying to make more & more cars to increase there revenues I can only see deprecation getting worse. I think we just have to learn to accept it.
 
Perhaps the biggest threat we all face are the prospects of ever spiralling upwards fuel costs and the governments obsession with CO2 taxation. If you have seen the news today motoring is about to get a lot more expensive.

Punative road charging, spy in the sky anti speeding devices, £1000+ annual RFL for starters.

This is going to happen make no mistake about it so we better enjoy Optimax at £1.04/litre while the good times last !

Yves
 
Michael997,

I hope its not worth 28K, but do let us know...! Obviously the rate of depreciation (per month, per mile, whatever) will lower with time/mileage, so £2 per mile might be applicable up to, say, 5K and then some lower rate from, say, 5-10K and so on. I'm no expert, but that seems to make sense.

Everyone,

Here is an explanation of how my OPC arrived at its offer price:

"I will look into your original order of the car because i make the
> purchase price just over £75,000. Please bear in mind that the GAP and
> tyre insurance are not transferable policies so cannot be included in
> the value of the vehicle.
>
> We have arrived at the figure of £67,000 as we believe you car will
> retail at £72,999 ( this is only 2K off list for 1 owner and 4000
> miles)
>
> >From the £6000 margin we have to take into account the following
> costs:
>
> I am assuming the preparation costs will be approximately £1200 (Paint
> of front PU and wing = £700 plus a GCO and wheel alignment of = £500)
>
> We pay VAT on the total margin at 17.5% of £6000 = £893.
>
> We would nearly always have to use some over allowance or discount
> on used cars as the market is alot more competative than on new
> vehicles, this is approximately £1000.
>
> When investing close to £67,000 in stock, I expect and budget to make
> £2500 clear profit or 3.7% ROI. I don't think that this is
> unreasonable
> to expect.
>
> £6000 less costs would make me approximately £2,900. I am happy to
> refund the extra £400 margin assuming we sell the car within 3 weeks (
> as i also pay stocking charges every day the vehicle sits on our
> books) and I make the budgeted figure of £2,500.
>
> I would like to purchase the vehicle and i feel that is a fair price
> however if i am able to see the car and get an exact idea of
> preparation
> costs i may be able to pay more money."

The cost of my car was, in fact, £76,279.25, a fact I have regaled to my OPC just now awaiting a response to see whether the extra £1,000 is going onto their offer to me or their profit. Mmm, I wonder what they'll say...!

Derek

 
Everyone,

My OPC has just come back to me and.......they are not changing their previous offer. So they will be keeping that extra £1000, then.

Splendid.

Derek
 
Derek - whatever the issue regarding the mystery £1,000, at least your OPC has had the decency to break down and defend their proposed margin. I've never seen that level of detail before - my experience is that the dealer shuffles awkwardly from one foot to another while mumbling things like "we've got high overheads" and "you're car's spec isn't what the market wants" and other such rhubarb.
 
I got £59,250 for my C2S 05/54 9.6k miles £69.5k new by selling privately. Trade buyers were offering £57k on average (got loads of calls from traders so the market is still healthy for C2S), OPC would offer £55-56k but retail for £64k.
15% depreciation in 20 months is pretty impressive I think, not many other cars are in this league.
 
Dapster, actually, I agree with you. But it doesn't help my loss.

Shane, marvellous- I'd give something precious from my body (like my Brad Pitt looks. Doh, already gone) for 15% in 20 months. If I sold mine to my OPC (ignoring the fact that I paid for tyre and GAP insurance), my 76.3K turning into 67K is a 12% loss in 5 months. Where did you sell yours? I tried so hard with my 996 C4S privately and got not one single enquiry, though I didn't belong to PCGB then.

Derek
 
Autotrader and Top Marques - web and magazine.
I think if you are sensible on optional extras then the depreciation is acceptable
997s appear to be in demand from my recent selling experience (although not Silver ones) - at least in the South.
 
Hey guys, old topic I know but still very relevant!

I'm looking at trade-in prices for my C2S Cab for a new Turbo and I just got a rough quote from my local OPC for £68k with 12k miles on the clock. The car new would cost £85k so affectively it's lost £17k in 12k miles!!

I also looked up what OPCs are selling equiv cars for and here's an example of a C2S cab with 13k miles on the clock (and less options as mine) listed at £76k:

http://ucl.porsche.de/ucl/plsql/uk/clients.show_car?sid_=54292942888EA2B1A96E2C5A73E53C6&pnr_=1&lnr_=3&caller_=

So are they actually putting more than £8k mark-up on my car here? Ouch!

That would mean trading in today a new Turbo would cost me over £40k. I don't know about you guys but I wouldn't say that a Turbo is worth £40k more than a fully optioned C2S Cab with a years worth of mileage on the clock.

Any suggestions?
 
My 997 C4S - with a sensible and attractive specification - has lost £13000 at trade-in after 7 months and 6500 miles! It will retail through and OPC for around £5000 more than I was given so, in real terms, it lost £8000 - which is to be expected. Remember that like must be compared witrh like and - unpalatable though it may be - its the new price to the used price that is the true depreciation - and not with the part-exchange or trade figure taken into account.

Del
 
Mine is a 03/06 C2S cost 72k, 7k miles, this week offered 62k against a new turbo. It is what I expected, a turbo would lose more than that - it has to be factored in before you buy the car - just don't tell the wife.

However, think of the excellent engineering that you are purchasing......my car left the office yesterday on the back of an RAC flatbed....misfire cyliner 7.....I suppose it's one way of keeping the mileage down.
 

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