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It would be interesting to see how they came up with a 5 year depreciation rate for the 718 since it has only been around for 3ish years. Extrapolating from the Boxster/Cayman might be faulty if the 4 cyl is viewed as such a big change. On the other hand, maybe nobody cares except for a few internet forum whiners and bubblehead reviewers.
 

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Well statistics aside I judge my resale values by the the autotrader here in Ontario and what I tend to see is 718’s trading at the prices 981’s are with similar mileage. Meaning that the fact that the 718 is newer seems to be negligeable. So, in Ontario at least either the 981’s are holding values better than the 718 or the 718 is depreciating faster, or both.
 

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I could be wrong, but I feel like if they come out with a 2021 718/6 that looks similar to the current 718/4 that 3-5 years from now it will be the 981's that are hurt the most. Those buyers that want a F6 will buy the 718/6 and those that want a less expensive, better performing car that looks current will buy a 2017-2020 718/4. Someone that wants the most raw Cayman will buy a 987.
 

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90% of buyers do not care if it’s a torquey 4 or a peaky 6. 718s are better in every measurable way. Real life depreciation differences will be within 2% over time vs 981.
 

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Generally Porsche depreciation is excellent IF one can refrain from checking the option boxes. A no to low option car is the 100% sure way for low depreciation. Most all options retain little to no value at resale. The engine and model/trim really are secondary factors when you talk non GT cars.
 

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To an extent I agree with the above however, one can’t discount the marketability of a high optioned car vs low and the degree to which second hand buyers ( myself included) would simply overlook cars that don’t have the options on my wish list. So, while options may not directly equate to lesser depreciation, the market is just so much more vast with a highly optioned car.
 

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To an extent I agree with the above however, one can’t discount the marketability of a high optioned car vs low and the degree to which second hand buyers ( myself included) would simply overlook cars that don’t have the options on my wish list. So, while options may not directly equate to lesser depreciation, the market is just so much more vast with a highly optioned car.
You do need to make a distinction between enthusiasts and the vast majority of Porsche buyers. Most people really don't care. It's a Porsche, it drives and it's cheaper then that one over there which looks the same? - good enough. My fairly high optioned base 718 lost value like crazy in year one really. And it was listed for only a couple of thousand more then a low option 718 with a MSRP that was 14K less. Did it sell quick? Yes. But the other one sold as well.
One more data point: My almost no option Macan GTS lost NO VALUE in year one. I traded it in for a small profit actually.
 

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Depreciation can be completely avoided by never selling your car.

Very few cars purchased new have zero depreciation. Exceedingly few. The vast majority of cars bought new will lose a lot of their value.

Of course a Jaguar will lose more value than (say) a Porsche. But, very few people buying a $70,000 or $100,000+ car are primarily looking at residual values. How many people do you hear say "I bought the Porsche 718 Cayman S solely for it's ability to retain more of its value 5 years down the road than a BMW M2"? Never.

If you're deciding between a Toyota Camry and a Chevy Malibu, sure, resale value could be a high determining factor. (Get the Toyota).

I just don't see the depreciation of a high-end sports car as being all that important when buying new. Plus, once you go over $100k, it becomes just about irrelevant. If you can't afford the depreciation of a $70k+ car, you can't afford the car. That includes the meteoric decline of a car like a Jag or Maserati. Owners of those cars are just burning money.
 

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Yeah I figure it costs ~$500 each time mine leaves its garage spot for a weekend run.

Don't really care because I've budgeted accordingly and can swing it. Knock wood.
Not going to say money isn't useful (because I've had none several times!) but the ante for Porsche enjoyment is entirely worth it to me.

...was not pretty in my case.
Good news is the hit on a GT2 RS may be somewhat less on a percentage basis.
'Pretty' in your case is you're piloting a GT2 RS! :p
 

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I just don't see the depreciation of a high-end sports car as being all that important when buying new. Plus, once you go over $100k, it becomes just about irrelevant. If you can't afford the depreciation of a $70k+ car, you can't afford the car. That includes the meteoric decline of a car like a Jag or Maserati. Owners of those cars are just burning money.
I agree that if depreciations is an issue you should not be buying a high end car because they absolutely are not investments. Though, I want all the people that consider buying a Porsche with limited finances not to be fooled into thinking as some sales people say "Porsches hold their value" or better yet "you won't lose any money". If you buy a Honda Accord and sell it and lose 20% that's far different then losing 20% on a car that costs 100K plus. If you can afford these cars buy them if not don't................it's not worth the kind of stress you will put yourself and family under. These are just cars........

Yeah I figure it costs ~$500 each time mine leaves its garage spot for a weekend run.

Don't really care because I've budgeted accordingly and can swing it. Knock wood.
Not going to say money isn't useful (because I've had none several times!) but the ante for Porsche enjoyment is entirely worth it to me.

Good news is the hit on a GT2 RS may be somewhat less on a percentage basis.
'Pretty' in your case is you're piloting a GT2 RS! :p
You got that right was out driving about yesterday drove around 200 miles..........;)
 

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Not to rain on anyones parade but the theoretical rate of depreciation is great until it intersects reality.......was not pretty in my case.
Very true. You look at what an OPC is selling a car for and then see what they will give you for yours, even in p/ex, which of course takes into account any discount factor on the new one. I know they have overheads (opulence is excessively necessary I'm sure), preparation and there is a warranty cost but I reckon you're looking at over 15% as a mark up on what you can sell to them or privately. Does anyone have any knowledge of what their pricing policy is? I'm sure it's similar in US and UK.
 

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I agree that if depreciations is an issue you should not be buying a high end car because they absolutely are not investments. Though, I want all the people that consider buying a Porsche with limited finances not to be fooled into thinking as some sales people say "Porsches hold their value" or better yet "you won't lose any money". If you buy a Honda Accord and sell it and lose 20% that's far different then losing 20% on a car that costs 100K plus. If you can afford these cars buy them if not don't................it's not worth the kind of stress you will put yourself and family under. These are just cars........



You got that right was out driving about yesterday drove around 200 miles..........;)
Agreed


If you take the average family income of the average $30,000 Honda CRV owner (around $60,000 USD household income) compared to the average income of a new $70,000 Porsche Cayman owner (north of $300,000 USD [average income of 911 owner is over $500k USD]), the Porsche owner should be able to much better afford to spend the depreciation of their Cayman. Meaning, if using your example of 20% depreciation (it's probably higher), a $6,000 loss is much more significant to the average Honda CRV owning family than the $14,000 loss of the average Porsche Cayman owning family.

If someone is looking to purchase a new Porsche Cayman and has to scrap to afford the car or the payments, that person cannot afford the car. Period. Like I mentioned before, the depreciation of a luxury sports car should be irrelevant to most Porsche owners.

Buying used is a completely separate topic.
 

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Discussion Starter #16
The MotorTrend article is not saying there is no depreciation. It is just saying Macan, 718 and 911 hold more value than other luxury cars- at this time, using projections.
 

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The MotorTrend article is not saying there is no depreciation. It is just saying Macan, 718 and 911 hold more value than other luxury cars- at this time, using projections.
Understood; it was a good article but sometimes we take topics/articles and go down a side road or two to help those contemplating a Porsche purchase in the future.....it's all good.
 

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Agreed


If you take the average family income of the average $30,000 Honda CRV owner (around $60,000 USD household income) compared to the average income of a new $70,000 Porsche Cayman owner (north of $300,000 USD [average income of 911 owner is over $500k USD]), the Porsche owner should be able to much better afford to spend the depreciation of their Cayman. Meaning, if using your example of 20% depreciation (it's probably higher), a $6,000 loss is much more significant to the average Honda CRV owning family than the $14,000 loss of the average Porsche Cayman owning family.

If someone is looking to purchase a new Porsche Cayman and has to scrap to afford the car or the payments, that person cannot afford the car. Period. Like I mentioned before, the depreciation of a luxury sports car should be irrelevant to most Porsche owners.

Buying used is a completely separate topic.
Logically perhaps but I'm nowhere near those leagues, not that many are in our run down Little England, and it's gonna get a whole load worse. But after 3 Boxsters, I'm now in a 911. Different people on different income levels (I'm sure the same in the US) have different priorities. We have people in my village who live in fabulous houses (that appreciate) and drive old bangers. Some wealthy people have neither nice houses nor nice cars, presumably getting their kicks from monitoring their paper wealth for the next generation. Still others live in shitholes but drive nice cars (that depreciate) because that's where their priorities lie. I lived in South Carolina for 5 years a lifetime ago and remember walking through some real ghetto neighbourhoods, breeze (cinder) block houses with no windows and doors, visible mattresses on the floor, yet big old (new) Caddies and Lincolns parked on the street.
 

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I believe the 718 may hit the 50% retained value mark after 5 years. The 981 GTS seems to be doing better than that right now.

Cars have been the biggest drain on my personal finances over the years, but they are a passion of mine. I am recently retired and need to live off income from my assets. Buying this new heavily optioned 718 CGTS is financially dumb, but I love cars and I worked an extra 9 months part-time (post retirement) earning enough to pay for the upgrade from my original low option base 718 Boxster (or Corvette) I had budgeted.

There is no doubt that for higher end sports cars that buying one 2-5 years old will result in lower percentage depreciation than buying new. However, I have personally had problems with every single used car I have ever bought. I have not had a problem with any new car I ever bought. I realize those two statements are not statistically valid (other than indicating I suck at picking used cars).

I have spent hundreds of hours following all the car sites trying to find the perfect used (ideally certified) 981 or 911. I was not willing to compromise on colors and options. I eventually found a a few (but they were 600+ miles away) I would have bought if I didn't already have my 718 CGTS on order. Even then, I still shop the sites daily looking for a great build/price, but it would have to be perfect as I feel an ethical obligation to my dealer that has spent a lot of time with me as well as remembering my bad luck with previous used cars.

The good news about doing a new car build is you tend to get exactly what you want which contributes to keeping your car longer. It seems once you get past more than 4 to 5 years old depreciation tends to level out.
 
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