Depreciation and other updates

[Guest]

The point about depn is the bid offer spread. So if, like me, you change your car every year or so, that spread is not amortized over a long period, so the depn of say 6k pa offer to offer is ok, but one needs to add say another 6k for the spread, making 12k in the first year.

If it's any consolation, in a moment of madness i looked into an M5. Now those things REALLY depreciate.... ie. offer to bid from new over 3 years, i reckon you'd be lucky to get back 1/3 of your money.....

 

[Alex L]

I went and spoke with an OPC Sales guy today and he said that there are really only 2 options on a 997 that are key for resale: PCM Nav + Bose.

Everything else doesn't really add much value to the car when it comes to resale. Which is why my £85k new 997 is now £68k after 12k miles. Retrofitting PSE and Sports Shifter really added nothing to the car's value.

He did say that after Porsche cycled the car for selling again they would probably price it at £76k. So £8k, minus the prep work for getting it ready for resale, is their profit!

 

[THX911]

ORIGINAL: Chris100

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.

ORIGINAL: Chris100

Oops, meant to press number 4

Chris,
You can go back to the post and edit it; I was going to say don't worry about cylinder 7 as only the first 6 count [] but read your follow up post... hope they are sorting you out with an equivalent or better courtesy car [8D].

Oh and welcome to the forum! []

 

[Guest]

Alex

£1500 per 1000 miles?!!! Mmmm, you must be thrilled. Still, at 85K, you must have added everything in the booklet/album!

Still, the Danish pastries in my OPC are splendid- thanks for covering their cost.

How I laughed until I remember 1) how much I lost on my last 911 (996 C4S, 12K in 11 months/14K) and 2) I haven't sold my 997 C4S yet.

Derek

 

[Alex L]

Yup, that's why I have decided to keep my 997 for another 3-5 years before getting a new 911.

I may even keep my current car given the rumour that the 997 will be the last classically styled 911. I would hate to ever sell it unless I absolutely had to; it's SUCH an amazing car.

If I do keep it then I can use the next 5 years to save up for a new 998 Turbo and not lose a penny in depreciation on trade-in. Trading in a Carrera S for a Turbo right now would be a decision made more with the heart than the head; the difference is just not justifiable on a trade-in unless I had money to completely burn. And even if I did I think I would seriously miss my Carrera S Cab.

 

[Guest]

I hope you mind me chipping in chaps. I enquired this week how much it would cost me to swap our ex demo 2.7 987 for a 997 C2. The 987 had a list price of £44K and was purchased for £42.5K as an ex demo with 1,800 miles on the clock.

The car has now done 6K miles and is 6 months old. The dealer is offering me £33K if I buy a new 997 or £34K if I buy a used 997.

They then went on to tell me how they would retail my car at £37/38K. They would need £1,500 for preparing the car, £1,000 for someone p/x and something for VAT

I had originally planned to keep the car until it was 20 months old (approx Jan 2008) and I am currently trying to work out when would be the ideal time to p/x it based on it being £33K now which equates to the following Depreciation:

New 997

Depr Against List £11,000 (25%)
Depr Against Price Paid £9,500 (22.3%)

Used 997

Depr Against List £10,000 (22.7%)
Depr Against Price Paid £8,500 (20%)

What do people think?

 

[robert997]

It's a sorry state, I don't know how they had the front to tell you the car has lost 11k in 6 months. And it highlights the problem with lots of options - 44k for a Boxster 2.7 is a massive spec, if you had a 36k Boxster 2.7 you'd probably have seen a better return but you'd still have lost at least £500 a month. Unfortunately it's a major problem for all of us, so the best advice is to keep it as long as possible, there's never a good time. A 997 won't be any better at holding value, though it will be miles better to drive. Porsche dealers are a bit like Casinos - the house always wins !

 

[Rotorhead]

Depreciation and disappointing residuals are not unique to Porsche. Plenty of other models suffer far worse.

It's all a consequence of over-supply, mostly created by consumer demand - too many people ordering high-spec new cars and only keeping them for short periods.

With cheap finance and low running costs, depreciation is the now the most significant cost of ownership.

 

[CLIFFWILKINS]

Only way to me, is to stop the huge depreciation is to buy something maybe older or rarer.
lost conciderable amounts on my last 3 new and newish cars.
Guess i am not rich enough to keep losing these vast amounts thats being offered on trade inns.They just dont want to be fair anymore.so i can see a dramatic down side to sales of new or newish models for future.
so maybe answer is for me anyway is to give up chasing newer car.
only my opinion .
just a poor enthusiast.

 

[Black80XSA]

Interesting looking back to the first post now, not even 2 years on and private sale C2S cabs are selling for around £50k, indies £55k. Bit more than the OPCs would have you believe on what were at the time 80k cars; and the creidt crunch to come too [&:]