Are you sure that you want a 991, or a 997? I think you need to decide that first.

Ditto. Especially if they are subsidizing the lease rate (money factor, AKA interest rate) then why give them 7K? Plus, if the car gets totalled or stolen, the lease is paid off but you're still out that 7K.

Well, that is a pretty boring car.

Doesn't sound like it to me! As a toy, yes, but as a DD, no, it gets old really quickly. And as a toy, I'd vote for the 997.2TT over a 991.1.

I concur.

Excellent point, plus (for me) there's the thing of not having to worry about this happening, if you are a worrier.

Downsides of leasing (not mentioned) include the additional fees to do the lease (not sure about Porsche, but it's now around $995 for BMWs) and more fees at the end if you turn it in. Plus the horror stories of "excessive wear and tear". Upsides include less sales tax (in most states) and lower payment, protection from depreciation, etc. as mentioned.

 

I have 2014 C2 (leased) which is over 7/16. Ordered a new 2016 C2 in a pull head during 8/15. The new car is pretty loaded and customized to my particular use (S PASM, PTV+, Black headlight, Black Edition, Clear Tails, Aero Kit, Painted wheels, Sport Chrono, 14 way seats, no sunroof). I negotiated a 6.7% discount with a 69% residual & 30 month term. The money factor is .0020 but could change depending on the interest rate environment at delivery. I do not recommend putting money down on cap cost reduction since that capital would most probably be lost in an early termination. There is no money due on my 2014 lease just hand the keys to the dealer. Frank C.

 

I have asked this question in the past after helping a friend.

Me personally...it made no sense to me, but that got a lot of backlash from the "Lease" group.

The only protection from down side risk I could assess is that you can return the car if it is ever damaged and not take on the depreciation.

I personally could not make sense of it other than that one factor.

I bought my car used with 1100 miles on it and picked it up for 97K (2013 Carrera4S White w/o sport chrono). I felt i got a great deal considering it was almost 18months back and I paid for it all with cash.

I recently looked at a used 430F1 for 120K and had the car appraised and with a bit of back and forth they offered 86K for the car with 10200 miles on it.

Thats a depreciation of $11K. Spread that out for 18 months and thats $611/month.

My buddy received a supposed "deal of lifetime" lease on a C2S loaded for $1650/month for 24 months with only first month payment. Thats $39,600!!!!

Even if I financed the car at 3% it would be no where near the lease losses.

Like I said...unless you are truly looking for the down side loss from an accident a lease for a 991 makes no sense to me. Just buy a preowned 991.

 

Respectfully, you are not comparing "apples to apples" in your analysis. Your are comparing buying pre-owned to leasing new. If you do a straight up lease vs buy comparison, the only real difference, excluding the tax benefits of business use is the money factor versus the cost of "buy" capital. For example, if your cost of capital is 6% (invested funds) and the current MF (.0020) converted to an interest factor (4.8%), leasing will cost less. The depreciation is what it is, whether one buys or leases.

 

Our friend from South Carolina makes some good points, but I think he's skims over a couple of very important items. First, as he admits, he got a "great deal" on his used car. So that skews the whole comparison right there. As driver mentioned, it's also comparing apples to peaches, since one car is used and another is new. And there's the cost of capital, which the cadet totally ignores.

It's nice to pay cash for a car, no payments, no stress, but that's also a huge opportunity lost to invest it. Of course, lately the market is crap and you're better off burying your money in the back yard than putting it in stocks right now, but generally speaking, one tends to earn more by investing the money in equities than in a depreciating asset.

Still, all views are worthwhile as we debate the issue. Everyone has a different comfort level when it comes to buying cars, investing, saving, etc.

My former accountant referred to leasing as "poor man's financing". It paid off big time for me the first time I did it - buying the first Infiniti Q45 which depreciated so badly that it was cheaper for me to park it and make the payments in the last year that I had it than it was to trade it in.

 

Which is why you should carry high deductible and repair out of pocket. No claim = no carfax

 

Police involved=Carfax no matter who pays. Heck, I had a BMW that was tapped from behind. The car that hit me got rear ended fairly hard. My car had a rub mark which I later buffed out. However, since the police were called, they reported to Carfax. My car was noted to have been involved in rear end "collision" with minor damage. No way to get that off of the Carfax.

 

Only reason I mentioned the comparison of used to leasing is OP mentioned it in his first post with mention of 991's coming off of lease.

I am in agreement that leasing "New" makes more financial sense than buying "New". I have agreed with it in the past, but purchasing a CPO with less than 5K miles on it makes much more sense than leasing.

I have mentioned this is previous posts, but a lease to me only makes sense when the dealer is willing to subsidize the leases. Porsche is not willing to do this at the level other German auto makers are.

My daily driver is a lease and my business partner and I lease them through our office.

I leased a 2014 Benz E350 4matic for $418/month with only first month payment for 10k/year for 27 months with 6 month option. How? The residual for the Eclass is quite strong and the one I found in particular was a damaged (front windshield was removed and eventually replace by dealer), dealer demo with 5200 miles on it. This drove the sales price down significantly. Never titled so was able to work the numbers for a lease. THIS makes sense to me.

$1600 to $1700 per month on something you don't own and are limited to 10K/year makes NO sense to me.

Yes I could have put $97K into the market rather than into my car, but my wife and I had agreed long ago that debt is not something we were going to mount up as a couple (We've witnessed friends and family bury themselves and their children by doing so). Our portfolio and savings is more than adequate without maintaining the 97K I spent on a toy.

I understand and appreciate all opinions, but I think I am pretty on point with this assessment.

 

I don't wish to be confrontational but you contradict yourself in these two sentences, unless your opinion is that it never makes sense to either buy or lease a new vehicle. Thankfully for our economy, as well as the global economy 17 million people (US only) this year (as forecast) disagree with you.

 

Last December I traded my 2012 997 which I owned for a new 2014 BMW M5 which I leased. They gave me a check for $66k for the 911 with 17k miles which was more than fair since the car was lightly optioned. I had bought it for $70k 8 months earlier. The M5 was loaded with MSRP of $124,385. The lease is 36 month 10k miles and the lease payment is $1168.23 plus tax with zero drive off ! Additional miles are only $.16 up to the day I turn in the car. Dirt cheap. The residual was 60% and the money factor .0013. The cap cost was $107,409.20 plus $725 lease fee. This is an unbelievable lease on a great car but I'd hate to own it because I figure it will only be worth mid 40s in Dec 2017.
The trouble with the advertised 911 lease is the money factor is ridiculous at .0033 ( 8% ).
The bottom line is leasing is great if you can time it right. To get a deal like my M5 you need to time it when the dealer really wants to move the car, has trunk money from the manufacturer, and the manufacturer's lease company is offering great lease terms as they do from time to time.

 

Sounds like you got a great deal on both the 911 and M5. How are you liking the BMW?

 

[QUOTE="mclaren997;4406102"]The trouble with the advertised 911 lease is the money factor is ridiculous at .0033 ( 8% )./QUOTE]
Wow, I was quoted .0020 when I ordered my 2016 Black Edition. There is no reason that it can't be shipped with a third party leasing company.

Frank C.

 

The MF for my 991 lease last month was .00176. Some people are getting .0015. That being said PFS sucks as a leasing company. Very unreasonable with returns and excess wear and tear. Do a quick search of the forums for more info.

I will not be leasing another Porsche. BMW on the other hand is a fabulous company to deal with when it comes to leases.

 

I felt this way about my Audi aka VW financial. I leased my second Audi through an Audi dealer in MA(I live in NY), and they used a different bank for leasing with way better rates and my lease is up next year so we'll see how the return process goes, hopefully it is way better than my previous experience.

Perhaps the same can apply to some Porsche dealers throughout the country and their choice for prospective financing. You would just have to find them, it would be handy if there was a thread for what dealer porsche owners went to with and which bank was used. In my case Harborone Bank of MA was used. Guessing there isn't a need for such thread bc most ppl just use PFS