TommyV44

I have a 2010 C4S Cab that I lease and I went into the dealer the other day to see about an extended warranty after the new car warranty ends because I plan to buy the car.

I was surprised that Porsche doesn't offer one......they're only available through 3rd parties and are prohibitively expensive. It got me to thinking; what if at the end of my lease I turn the car in and then buy it back from the dealer and pay to have it CPO'd. It would probably be a lot cheaper for the warranty but would the dealer do it....that's the question.

Also do you think the dealer might sell it back to me for less than the residual?

Anyone have a guess?

Thanks in advance.

Best,

tom

TooSixy

It depends. When I turned in my BMW 550i at the end of the lease, the dealer offered me $4K below the residual value, and CPO it for free. I turned it down though.
Not sure about Porsche.

TommyV44

Wow....thanks! That's good info to have. If BMW did it it at least sounds doable. I really appreciate the insight.

Tom

robbonds

i would think they will work something out on the CPO if you end up buying the car.
As far as buying the car below residual - waaaay too early to tell. Depends on economy and more specifically the supply/demand of used Porsches. Porsche may also take into account the condition of the car, tires and various other parts (brakes, clutch etc..).

Kuhan

When does your lease expire? If it's after the release of the 991 then you can expect to get a better deal than today. CPO typically costs them $2k but it is for 2 additional years and up to 100k miles. Your factory warranty is for 4 years and 50k miles. If you have a three year lease, you should get 3 years coverage to 100k miles with the CPO if you buy back.

A note on BMW - they offer the cars maintenance included for a certain number of years. If your lease expires before this then they can pass that on to the next owner so for them there is no cost to offer the "CPO" - they would have to honour it anyway (or something like that).

TommyV44

Yeah, mine expires 3 years from last May. It sounds like what you're saying is that I'd have a good shot with the turn in and buy back with the CPO.

Do you think they'd sell it back to me for less than the residual?

Tom

onedae

Unless things have changed very recently, PCNA will NOT, as a matter of policy, sell you the car below residual value. No matter what the real market value is. However, you may be able to work out a deal with your dealer to have them buy at wholesale from PCNA and then you buy from them at some agreed upon price that is less than retail but more than the residual. Unless there is a significant spread between what the dealer will sell you the car for and residual, it may not be worth the hassle.

boolala

Why would he want to buy it from the dealer at "more than the residual" when he could purchce it at residual value????

BTW the residual value is the retail value of the car at lease end............

GHills

The market for used and off lease BMW 550s has to be right close to zero. Ugly, bloated, overloaded with pointless complex expensive electronics. Such a black eye for bmw. I wouldn't read anything into bmw's fire sale policies with respect to porsche.

nazhat

What you need to do it pretend you are just returning it and they will ask you if you want to buy it. We all know that they don't want it on their lot. They want to turn it right away. So you have the upper hand...you just need to show them you are willing to walk away. You should be able to get it a lower price with CPO. Poker Face

stevepow

Other than not having the classic BMW sportiness and excellent steering feel that I wanted, my 550i was a really nice car - very made well and had zero issues. The electronics were comparable to the 997.2, with 3 yrs advantage to Porsche - some bits are better in the 997.2 - I suspect my '09 911 has nicer gadgets than an '07 997.1 as well.

Ugly - maybe - not the best looking car on the road, but in a beauty contest between an e60 and a Panamera, two sedans, it'd be a tough call. Neither should be in a beauty contest.

When I turned my 550i in from lease, they wouldn't budge off residual - my Porsche SA claimed that most leases have an insured residual so no incentive for BMWFS to cut anyone a break. (Except they don't think about the incentive to keep a customer out of a Porsche )

TommyV44

Sounds like a good plan. The straight face will be hard since I love this car especially the color. Maybe given the Blue turquiose they'll be even more anxious to sell it back to me.

Tom

tejoe

prohibitively expensive? I don't know which company your dealer is peddling but there is a tremendous profit built into the price they'll show you in the 'book'; after messing with the F & I guy for awhile I ended up getting it for about 60% of what was initially quoted.

If your dealer is familiar with the car when your lease runs out he already has a pretty good handle on anything wrong and what it will take to fix/upgrade it. Presumably you would have any warranty items taken care of before this date so all he would be looking at is the fluids , new tires, and the detailing. Rough guess is that he'd want $4-5k over the residual.