I bought all Porsches in my sig over a period of years, never sold anything. Usually bought a the very bottom of the market for cash, no loans. Both my Turbos have appreciated a little bit and nothing has declined. Of course the air cooled stuff has appreciated a lot over what I paid.

Main reason I don't have anything really new is because of steep depreciation curves.

 

Fantastic! That’s the way to do it.

 

And the problem is you don't have anything really new.

 

It's not a problem for me, it's by design. I pay all cash and therefore I refuse to take a massive depreciation hit. I'll just wait till the car bottoms out, I do not have to have bleeding edge new.

I recently tried to order a GT3.2 and a GT2RS, in both I was unsuccessful in obtaining an allocation. This would have been the first time I would have bought new against my better judgment - I liked the cars that much.

Other than those two cars, the rest of the lineup holds zero interest.

After the new car idea failed to materialize, I am back on the hunt for a CGT, 991.1RS, 997RS and a really nice 930.

I will buy all four at some point and pay cash. And never sell.

What cars do you have?

 

Catorce:

Can I lease your '63 356 T6B?

 

^the residual and mileage restriction would be a killer!

 

Although I'm an advocate of leasing, Porsche has significantly limited its appeal on GT3s with both a low residual and high money factor. The residual is well under projected ACV (actual cash value) at end of term. The money factor isn't competitive w/finance rates.

The low residual I could live with but not the money factor. Perhaps someone else can chime in on whether it's because Porsche doesn't have a captive financing arm like other manufacturers?

 

Porsche actually does have a captive finance arm.... PFS. Porsche Financial Services determines the money factors and residuals on its cars based on the need to support certain models. Needless to say the GT3 needs no support, hence the conservative residuals and uncompetitive money factor. Lease a GT3 in your company name if you can write it off and then buy it personally at the end of the lease at we'll below market value. Otherwise finance traditionally or better yet pay cash. Although PFS is a Finance Company, they are not a bank and still have to buy their money at higher rates from Banks before marking up further to show a small margin.

 

Thanks re: PFS -- I thought that too but was given contradictory information from a source that should have known better.

It shouldn't cost Porsche anything to offer a more competitive money factor. As I've posted before, the residual is ridiculous (ideally you want a high residual), but why actively discourage GT3 buyers from leasing with a high money factor? I've not heard a rational explanation for it, other than a shrug and a "...it's Porsche"

 

I agree, the residual is way too conservative and should be higher. As for the money factor, there is no reason for PFS to reduce their rate when they can sell every GT3 produced without having to do so. If you want cheaper money just go to a bank or credit union. They get their money for less than 1% from their account holders. Unfortunately, if you want a competitive closed end lease on a GT3 there isn't one.

 

I still don't get it. If they reduce the money factor, they still make money just not as much. Also, with a lease, it encourages selling back to the dealer (quicker and cleaner sale) which dealers want.

 

Agreed. It’s odd. Leasing is good for the factory, dealer and customer (when competitive terms are offered). It’s not a question of selling more GT3s — Porsche captures a returning customer with a competitive rate (and yes, it still makes money). We’re not talking about subventing the money factor to sell more GT3s.

 

That's true leasing is very good business for manufacturers in that it brings customers back into the market and the dealership every three years. In the case of a GT3 lease, it would also bring back a car which may have been tracked or damaged due to extreme use. A lower residual mitigates the remarketing risk for such cars and the high loyalty rate among GT3 buyers makes controlling the returning customer far less critical than say a first time Boxster lessee.