Porsche inflation (sometimes best not to look)

[Plyphon]

Agree with this entirely except that equation can change if you are in receipt of a regular income which is not derived from your other assets.

And this is exactly it, right. It's not a zero sum game, you can both finance, AND invest in appreciating assets for your future.

That, and you need to balance your enjoyment today with your finances for tomorrow. The human factor.

The end of the day, you're spending money whatever route you take. One route has a large upfront cost, the other has a ongoing cost. It's that simple.

[Jon A]

Agree with this entirely except that equation can change if you are in receipt of a regular income which is not derived from your other assets.

And this is exactly it, right. It's not a zero sum game, you can both finance, AND invest in appreciating assets for your future.

That, and you need to balance your enjoyment today with your finances for tomorrow. The human factor.

The end of the day, you're spending money whatever route you take. One route has a large upfront cost, the other has a ongoing cost. It's that simple.

[Wing Commander]

Just done a comparison myself.

My Carrera T was £89,235 in April 2018.

A similarly specced T today comes out at £107,560.

So in just under 6 years, the price is up by £18,325 or 20.5%.

[MacanArif]

Just done a comparison myself.

My Carrera T was £89,235 in April 2018.

A similarly specced T today comes out at £107,560.

So in just under 6 years, the price is up by £18,325 or 20.5%.

That feels like a reasonable increase Simon in 6 years circa 3.5% a year.

[andreas]

So in just under 6 years, the price is up by £18,325 or 20.5%.

That's less than UK inflation, which was 24% in that period according to the BofE inflation calculator.

[mcnallys]

It's a bad idea to buy a depreciating asset on finance. It's a worse idea if that finance is PCP, the most expensive finance product out there. Given the popularity of PCP though, I presume most people don't understand the product, do it because everyone else does it, badly want something they cannot otherwise afford, or simply don't care!

I think there are a lot of naive buyers out there who don’t have the first idea how much they are actually paying in interest. They are drawn in by the only thing that matters to them, how much does it cost a month….. they are a salesman’s dream!

Before we all start getting a downer on PCP, it all depends on circumstances. I get a car allowance for example. This is only available to me if I have a car so I could buy an old Bangor and pocket the cash or use it to pay the monthly payments on a PCP for a car I really want.
Given this is available to me, I would be had to go to use my own savings to fund a depreciating asset. The interest rate is relevant but not critical as it’s not my money paying it!
It’s worked very nicely for me for the last 15 years

This is what I do with previous cars, we take a deal (when rates where ok), but have a defender alongside the 992, but got a top-up loan for the remainder of the balance on the Land Rover and that is the same amount of my car allowance in my hand.

If I had to go again I would take PCP (with a sensible rate) and the car allowance then funds.

PCP on Cayenne GTS - ooohhh tempting (in 2-3 years)

[Bluesnose1812]

Many employers that pay a car allowance also offer employee loans to buy one at low interest repaid out of the allowance.

[Wing Commander]

Just done a comparison myself.

My Carrera T was £89,235 in April 2018.

A similarly specced T today comes out at £107,560.

So in just under 6 years, the price is up by £18,325 or 20.5%.

That feels like a reasonable increase Simon in 6 years circa 3.5% a year.

Agreed, Arif. I wasn’t meaning to say it was excessive. It’s just that some folks on here (possibly in this and other recent threads) have been implying that Porsche prices have increased unreasonably in recent years. As you and Andreas state, my example of price increase since 2018 does not seem too bad, when compared to general inflation over that period.

[2japs]

Just done a comparison myself.

My Carrera T was £89,235 in April 2018.

A similarly specced T today comes out at £107,560.

So in just under 6 years, the price is up by £18,325 or 20.5%.

That feels like a reasonable increase Simon in 6 years circa 3.5% a year.

Agreed, Arif. I wasn’t meaning to say it was excessive. It’s just that some folks on here (possibly in this and other recent threads) have been implying that Porsche prices have increased unreasonably in recent years. As you and Andreas state, my example of price increase since 2018 does not seem too bad, when compared to general inflation over that period.

2018 T’s are being advertised mid £70kish, that’s pretty good on the depreciation front for your T

[Plyphon]

2018 T’s are being advertised mid £70kish, that’s pretty good on the depreciation front for your T

On that note, 992 GTS can be had under £100k now. Yeah, this example isn't from an OPC, but the option is there if you wanted to get into 992 GTS.

https://www.autotrader.co.uk/car-detail ... dh&fromsra

What's the depreciation on that? £30k in just over 2 years?

Alternatively, here is a 2023 GTS, at an OPC, with a high spec (aerokit...mmmmm) at £115k

https://www.autotrader.co.uk/car-detail ... dh&fromsra

At a guess that's getting on for £140k spec today. They must have taken at least £20k hit in less than a year! Madness.