Depreciation

[W1NGE]

I think the Taycan will depreciate the most among Porsche models and this is normal. Its an EV and technology advances fast. Who will want to drive a 2.4 tons EV in the future, not me.

As a generalisation this is correct however as the tech in the Taycan hasn't changed since launch this doesn't explain the market conditions.

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[4thPcar]

Depreciation only matters in two scenarios for me: the car sucks or gives me constant headaches and I want to get rid of it ASAP or I'm at a stage in life where I change cars every 2-3 years because whatever.

Since I'm past the phase of switching cars constantly and assuming the car won't give me headaches, I write the value off the moment I leave the dealership.

Who cares what my children will get for it once I'm dead and buried or the car is 15yrs old and every part is wiggling off.

in same boat there partner.

 

[neo402]

I feel the cars are becoming big computers or large iphones to some extent. They will dep faster as now more and more they are tech gadgets vs crafted machines.

For me, we bought new, placed an order, as the particular combos of colors and options wife wanted, hard to find exact same. Also now going through the process, there's a certain thrill in getting those updates, seeing your creation being made. Just for you. It's worth it to me. Fully expecting depreciation etc.

 

[Redhot2474]

I think it will stabilize , especially with new ones having higher pricetag

 

[mjw930]

Over the decades Porsches of all types depreciated as much, and in many instances, more than the market average. From 1978, when I bought my first used Porsche, through about 2005 when I sold my 12th, 2 to 4 year old Porsche sports cars could be had for no more than .70 cents on the dollar, SUV’s and the new sedans for no more than .60 cents on the dollar. Over that almost 30 years I was able to drive low mileage 911’s, 944’s, 928’s, 986, 981’s and Cayenne’s on a modest, middle class salary. Something happened around 2015, those days ended for the sports cars but never really stopped for the sedans and SUV’s.

All it takes is to look at the residual values on the sedans and SUV’s sitting in the 55% range to realize that in a normal supply market a 36 month old 2020 $200k Porsche sedan is very likely to only command about $120k-$130k on resale. It really has little to do with it being an BEV.

And that’s what everyone should expect on all the Mercedes, Audi, VW, BMW, Tesla, Lucid, Rivian, Volvo and Jaguar EV sedans and SUV’s.

 

[Archimedes]

Truth be told, Porsche's depreciation numbers are largely buoyed by the 911. Other models, don't fare nearly as well, but typically perform better than other luxury options. Sure, early Taycans without plug-n-charge seem to take more of a hit. Even then, they still do much better than other luxury sedans.

Even 911’s depreciated significantly pre-COVID. The only Porsches that have ever depreciated slowly pre-covid were (some) GT cars. Taycans are depreciating quickly and will continue to do for a number of reasons. I don’t expect my Taycan will ever hit a value ‘floor’ so to speak. It’ll just continue to drop like a falling stone.

And anyone who thinks there is a shortage of Taycans should do a new inventory search on Porsche Finder and a used search on Cars.com. There are hundreds of available Taycans.

 

[WasserGKuehlt]

Even 911’s depreciated significantly pre-COVID. The only Porsches that have ever depreciated slowly pre-covid were (some) GT cars. Taycans are depreciating quickly and will continue to do for a number of reasons. I don’t expect my Taycan will ever hit a value ‘floor’ so to speak. It’ll just continue to drop like a falling stone.

No disagreement on the general point, except air cooled 911s - as someone else pointed out earlier, ~2015 is when they started going up (and then crazy). Have a look at the BaT graphs for 911s - early ones and 993s were the first to take off, followed by G bodies and 964.

Having said that, depreciation is a wonderful thing. Porsche make solid cars, and they can be had for a song on the dollar (or could be had - even aircooleds were once mid-teen k$ cars). I doubt I’ll ever buy a new one again - no regrets, but first and last for me.

 

[Archimedes]

No disagreement on the general point, except air cooled 911s - as someone else pointed out earlier, ~2015 is when they started going up (and then crazy). Have a look at the BaT graphs for 911s - early ones and 993s were the first to take off, followed by G bodies and 964.

Having said that, depreciation is a wonderful thing. Porsche make solid cars, and they can be had for a song on the dollar (or could be had - even aircooleds were once mid-teen k$ cars). I doubt I’ll ever buy a new one again - no regrets, but first and last for me.

Those are 30+ year old classics, which by the way all depreciated like rocks during the first decade or two, before they got popular for nostalgia purposes. I owned two air cooled 911s and two water cooled. They depreciated as fast or faster than any other car I’ve owned.

I paid $142k+ TTL for my Taycan 16 months ago. It’s probably worth $105-110k now and will lose $10-15k per year going forward.

 

[007]

IMO, the hard hit in used Taycan prices at the moment also has a lot to do with the sudden jump in interest rates and the squeeze everyone is feeling with inflation everywhere else in the macro economy.

But with new Porsche prices on the move up plus the world going toward electrification with strict mandates on ICE cars just around the corner (like here in Europe) and likely continuing shortages in batteries to feed this growth, my bet is that selling a 6+ year old Taycan some day might not be brutal as, say, a panamera (assuming the global economy is somewhat stable).

 

[007]

And anyone that has the cash to take advantage of a 30%+ hit on a nearly new Taycan should definitely go for it. Buying new now is nuts.

 

[laua]

IIRC back in late 2010 early 2011, I was toying with the idea of getting a used 997, and 4 year old CPOs were going for as low as low to mid 40k. Given a base price of ~$75k then, that was about 40% depreciation in just a few years. That seems about normal for a ‘luxury’ car.

In hindsight, I wish I pulled the trigger instead of going for a BMW 335! After that initial depreciation, it would’ve subsequently held its value much better.

 

[WasserGKuehlt]

Those are 30+ year old classics, which by the way all depreciated like rocks during the first decade or two, before they got popular for nostalgia purposes. I owned two air cooled 911s and two water cooled. They depreciated as fast or faster than any other car I’ve owned.

Again, no disagreement. Your initial statement was that all 911s depreciated before the pandemic. My retort was to say air cooled ones were already on the rise before then - to the point where 993s, for instance, attained prices higher than new by the time they turned 20. Heck, I got into (water cooled) 911s precisely because they depreciated like rocks.

 

[WasserGKuehlt]

IIRC back in late 2010 early 2011, I was toying with the idea of getting a used 997, and 4 year old CPOs were going for as low as low to mid 40k. Given a base price of ~$75k then, that was about 40% depreciation in just a few years. That seems about normal for a ‘luxury’ car.

My list of “missed out on …” regrets is long, and almost exclusively Porsche: 964 for 17k circa 2011 (40+ now), 993 for 32k a few years later (I thought they were going to drop further, 80+ now), 996 turbo for ~28k in 2016 (2x now or more).. 75k not too long ago would have fetched a 997.1 turbo - the last of Mezgers. If I’m not mistaken, 75k now is the price of a nice 997 C2S, perhaps even a manual.

 

[f1eng]

Battery price have to get really affordable to make sense economically. Would you put an additional $20k in maintenance on a 9 yro Taycan?

Porsche should extend the battery warranty and then their EV's will hold value better.

For me it depends on how much I like the car and what alternative thereis.
Today I do not see a single car on sale which appeals to me enough to consider buying it, except the Taycan, and I'm not sure I still would buy it with the current colour choice.

I also do not expect huge battery developments. I would be super impressed by a 20% battery weight reduction, which is may be possible, but I won't be holding my breath.

It would still be heavy, but most cars are heavy nowadays. Some people think of a 1500kg car as light, and people buy SUVs to drive in on the road

 

[f1eng]

I 100% agree with you. Depreciation sucks, but it's what you deal with when you love new cars (I keep them 4-10 yrs but never bought used). You just have to get it out of your mind. Almost everything we buy on a daily basis depreciates, often much worse than a Porsche.

Me too, I keep cars I like a long time so depreciation hasn't bothered me except on the one car I sold after a short time because the seat gave me backache and the climate contol was mega horrible in winter!

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