Savage Depreciation?

[markcolton]

I bought a 55 plate Boxster in April 2010 with only 8k miles and loaded with options - hardtop, PCM, satnav, Bose, 18" S alloys, full leather dash etc for £25k from Porsche Leeds.

Wife is now pregnant and so i need to sell the Boxster to get her a more practical car and i will need something too and cannot afford more than the £400pm we pay for the porsche - owe £23k on finance....

Tried to PX the Boxster and highest value so far is £17k!! - but similar cars of age and mileage (17k now) on sale for £23k!

i am genuinely shocked that a prestige car like this has lost so much value in 6 months - is this the norm?

 

[pauljmcnulty]

Tried to PX the Boxster and highest value so far is £17k!! - but similar cars of age and mileage (17k now) on sale for £23k!

i am genuinely shocked that a prestige car like this has lost so much value in 6 months - is this the norm?

Simply, yes. The bottom has fallen out of the economy, people are concerned about the future and a Boxster is a luxury item. Plenty for sale and few buyers prepared to pay top money.

Also, you bought it from Porsche, so paid the premium price. Their mark-up was lost the minute you drove it off the forecourt, the longer you own it the less this affects the value. The difference between PX price and what the dealer puts it on the forecourt at is his profit, you might get more privately if you're happy selling it yourself, or through one of the specialists who offer to sell on a commission basis.

I guess you're just unlucky that you need to sell now, although I can't see prices of any luxury cars doing anything but continuing to fall until we have another few boom years. [&o]

 

[Mark_Bennett]

Keep the Boxster and spend the 8K you would have lost on something "practical" ?


By the way part of the premium would pay for the 2 year warranty you got - so you've got 18 months to burn through that premium. When you tried PX did that get factored in as it is transferrable?

 

[marlin]

My mate sold his Boxster, which he had from new, 6000 miles 18 months old lost 18K, however I have beaten him by a large margin having bought a 997 Turbo [] hoping the deprecation curve is flattening out now, but early days it makes your blood run cold[]

You pay to play []

 

[colinbythesea]

There will always be a difference between the trade price of a car and the forecourt price. The dealer has costs to bring a car up to retail standard, keep premises, pay VAT on any profit, offer finance and so on. If you go to an auction you will see the real price of cars. I have a Focus auto, old shape, as my normal car at the moment bought as a 17,000 mile 3 year old at auction for £3,500. At that time it would have cost about £5,500 on a forecourt. I will replace it soon with another 3 year old focus and expect to pay up to £2,000 less than a forecourt price for an auction car. So you haven't suffered depreciation just the difference between trade and forecourt in hard economic times.

Your best price currently will be selling privately but it could be difficult at this time of the year under the current economic climate.

 

[Black80XSA]

I bet the dealer isn't giving you anything extra for the hardtop, or a bare minimum.

I'd suggest you sell the hardtop via ebay or the forum here - you should see at least £700 for it, maybe more as there aren't many around for the 987 cars.

Never a great time to sell a convertible, but even without the hardtop, you should see £17k for a private sale , especially with the benfit of the extended used warranty.

Editted to say i noticed yours not a S model - i'd expect about £18.5k private sale for my S, which is higher spec than yours - perhaps the trade valuation of £17k isn't all that bad considering winter is approaching

 

[Dylan1]

as others have mentioned this is NOT depreciation solely-in fact little is pure depreciation-the vast majority of the loss is in the difference between buy in and sell price differential

to give you a comparison 5yrs ago i paid £45k for a 996 2yrs old.changed it for a cayman s after 6 months(fell out of love with the 996) and was given £35k.

back on opc forecourt in 1 week at -yes you guessed it-£45k!!-i had lost nil to depreciation but lost 10k because i changed it so soon-that same 10k spread over the 4 yrs i had the cayman wouldve worked out at only £1250 loss in each 6 months.

shame you have to sell so soon but you will lose if you have to...

but hey..good luck with the baby[]

 

[dereksharpuk]

You ask 'is this the norm?'

Sadly yes. In fact I think you have got off lightly.

Back in Jul 2009 I bought a 997 Cab for £90K. Sold it back in May 2010 with just 1800 miles on the clock for £65K. A loss of some £25K in 10 months.

I now have a 360 Spider which is now worth more than I paid for it. True it is will cost more to maintain that a new Porsche, but certainly not £25K per year!

My son has just bought a newish DBS for £160K. I have not told him what it wil be worth in a couple of years. Less than half?

 

[oliver]

Depreciation is the true cost of ownership these days.

Generally speaking, over the years, I would say the Porsche average is +/- 15% pa.

For 'in demand' cars it's less, but to buy a roadster from an OPC in spring, then to try and trade-in a few months later at the start of winter, it really is going to be the most costly.

Older and more specialised cars do not suffer much depreciation. However, they generally cost more to run and their compromises mean they get less use.

I have older Porsches that have positively appreciated in value, but I still buy new ones because they meet my everyday criteria over 12,000 mls pa. However, these days, I generally keep them for 4 years, on average, over which time the depreciation per mile looks much more acceptable.

 

[ianmac]

I purchased my first Boxster from an opc, never again, the extra you pay is not worth it,bought private last year, saved £7000 min over opc price, stilll you live and learn, BTW a opc will do a free pre purchase inspection of a private car you are thinking of buying, thats that i,ll do next time! best of both worlds, shame tho the UK economy is wrecked the way it is, Gordon Brown, useless!

 

[Rodney Naghar]

ORIGINAL: ianmac

I purchased my first Boxster from an opc, never again, the extra you pay is not worth it,bought private last year, saved £7000 min over opc price, stilll you live and learn, BTW a opc will do a free pre purchase inspection of a private car you are thinking of buying, thats that i,ll do next time! best of both worlds, shame tho the UK economy is wrecked the way it is, Gordon Brown, useless!

Oh really? [sarcasm mode on] I'm quite interested in 10 cars on Autotrader atm, I'll give a call to my friendly OPC and get them to inspect them all for free then. [Sarcasm mode off] [8D]

I'm pretty sure the OPC that told you that is having you on. They'll charge their usual 111 point inspection fee and the car will have to be taken to them. Oh and that inspection includes things such as tow-bar/roof rack/Navigation CD ROM/park assist/Cayenne transfer oil box level etc so If they inspect a GT3 it's not really a 111 point inspection at all.

 

[ianmac]

Yes opc Newcastle offered me "FREE" basic check or pay £hundreds for full check, just ask...offered me that, just ask present owner to take it in, if they wont, t what are they hiding?

 

[bluenote909]

I genuinely feel for you and wish you luck selling your car you bought the vehicle from "the main stealers " always a sleep easy option and in fairness if you can afford it the best. Specialists vehicles can cost significantly less so you may have saved £3-5K as a result and if taken time to source with HPI etc just as good. A lesson learned i guess.

Keep the vehicle and let your wife enjoy it, put a child seat in the front with the airbag off and buy a cheap runabout until things pick up.

The market is on its knees and will be even more flat when VAT hits 20% in Jan.

Best regards

 

[ChrisW]

I agree, keep the Boxster and buy a Japanese runabout for £2 to £3k ...

Honda Jazz??

 

[tiskev]

"Your first loss is your best loss" to quote my first Boss .
Take the pain now Mark and put it down to experience .
If the housing market drops as expected and interest rates goe up
you wont see a buyer for dust .
Great shame.
I still cannot come to terms on how much i would lose if
I sold my Cayenne S .However if i turn it into a pickup i might get
a "Nissan" price for it
Depressed Tunbridge Wells ............

 

[Dylan1]

Depressed Tunbridge Wells ............

depressed ,??or suicidal??[]

always look on the bright side of life..dee dumm....[]

 

[tiskev]

Suicidal but I'm holding out because Madame won't get the Ins............