Curious about the approximate depreciation of a standard 991.

I know IT DEPENDS a great deal, but what would be a really rough 5 year depreciation estimate? I'm sure it's not totally linear, but what would you guesstimate for a 2015 991 that for arguments sake we'll say cost $100,000 new.

2015 $100,000
2016 $90,000
2017 $80,000
2018 $70,000
2019 $60,000

How would you adjust those numbers for an approximate 5 year depreciation of a new 991?

 

HA! Fun game. Assuming 10K miles per year....

2015 new purchase price $ 100K
2016: $ 85K
2017: $ 72K
2018: $ 60K (new series out by now)
2019: $ 45K

 

^^^ I think that's more accurate than my guesstimate. Seeing as more depreciation happens in the first year.

 

Also I should mention we're not talking about tax which you just 'loose' right away. In Canada that's an additional 13% ($13,000) which is just gone right away. So in the first year if you paid $100,000 + $13,000 in taxes and it's worth $83,000 by 2016 you've lost $30,000 in the first year. Ouch! But then it levels out a bit.

 

I'm assuming that those prices are based in the US.......when I lived in Toronto there was no such thing as a new 911 for $100K!!, therefore you have to take into account the horrible exchange rate also

 

Yeah $100,000 is just picked as a random starting off point.

 

Sticker price is a factor too. The higher the option list, the faster the depreciation is on some of those. For example, ceramic brakes return practically nothing at resale. Sport Chrono will have an almost full return as an option cost.

A lot of variables! External market variables too that could be unforeseen.

One thing for certain, a new 911 depreciates like a sinking rock.

 

I'd say first year is close to a 20% hit.

Years 2-5 about $800-$1,000 a month depreciation on average.

 

Agree with dr because that can be a well optioned car (MT). The good news is it probably will bottom out at $40K if it is excellent condition if the car remains as popular as it is now.

ChuckJ

 

Yikes. So in theory a zero option C2 would have the slowest depreciation, while something like a heavily options C4S Cabriolet would have the quickest depreciation?

 

Here's the thing with Porsches - if you want low depreciation you have to wait for the rare models to come up. The ones that are seriously unique, not just some options packages put together and a pack of stickers and painted wheels. All the basic 991's are 'utility cars' and going nowhere but down in price. Even 991 Turbos are not unique enough. The rare cars like the'57 Speedster, the '73 RS, the Carrera GT, the 918 Spyder - low volume runs and uniqueness make them collectibles and in demand. GT3's are nearly there, but not quite. The special edition PCA 991 GTS *may* fit into the category, only time will tell. Still, compared to a Mercedes S Class which is in the same new car price range, Porsches hold their value extremely well. I think only Jeep Wranglers, Suburbans and Tacoma pickups do better over time than a 911.

 

Here's the deal.

For example on a C2S

The sweet spot for a little less depreciation is in the 115-125K build range.

Once you start getting past 135K you're losing more and more off the top line. Add crazy leather, ceramics, Burmeister, and hit 140K plus on a C2S you're losing a lot more on that extra 15-20K in options over the 120K build.

Make sense? After 135K or so on a C2S you're losing almost all the money on those options.

Come resale, you'll be competing against all those 115-125K builds options or no options. Prospective buyers will lump that high optioned car in with those lower ones.

 

A lightly optioned C2S (ex: 115K) will have less depreciation as a percentage than a loaded one (ex: 145K)

Each model has it's sweet spot for a good optioned car without being too stripped or too loaded.

 

In most states, I don't know about CA, the sales tax on a new car is not assessed on the complete purchase price, only on the difference between it and the value of a trade-in.

If, as for me, the goal is to drive 911's within warranty, trading-in at approximately four-year intervals, choosing minimal acceptable options is quite helpful in limiting depreciation. For me that basically means 14-way seats, satellite radio, rear wiper, sport steering wheel, and little else on a base MT C2. I would also probably choose metallic paint, and twenty-inch S wheels, but recognize that the money spent here is basically "throw-away".

Current 991-1 Sticker price so-equipped is slightly over 90k, purchase price somewhat less than 90k. We shall see what 991-2 prices are when my present 2013 approaches the end of its warranty.

 

So I wonder, if you're going to keep your 991 6 years maybe you might as well keep it 10. All the big depreciation is already over.