dlchasen

The 36 month lease on my CD is up March 2, and I have thoroughly enjoyed this car. The buyout is $41,300 which, while likely slightly under book value, wasn't compelling because of potential out-of-warranty maintenance costs. Porsche recently emailed me about the 2-yr warranty extension which makes me more inclined to keep it a while longer. If the depreciation hit isn't too severe over the next two years (say $8,000?) after the dust settles, this could be a very cost effective way of holding on to this outstanding vehicle and then selling it with one year of warranty left. My wife is driving a leased Jetta Sportwagen and I'm getting into a coupe, and since we need one utilitarian car, I'm thinking of swapping out of that lease and giving her the diesel. That would be a lot more car for a couple hundred bucks a month more in all in costs. Any thoughts?

v10rick

The future value is like trying to predict the stock market. With Cayenne's it is guaranteed to be worth less, but by what amount.

The big plus is you know the service history and if the extended warranty is transferable it could add value if you decide to sell before it expires.

Based on the great CD reports I would be inclined to keep it and wait out the emissions settlement.

endless_corners

Keep it because you like it and life is short. Its not an investment and you could just as likely be out thousands as you could end out ahead. You are speculating on future value and there is no way to tell how the diesel fiasco will net out with depreciation. What you aren't speculating on is that you really enjoy the vehicle. If you can afford it, keep it. Why not keep it for a long time?

ezdriver

Sounds to me that you should keep it. Does it meet/exceed the functional requirements? Have you enjoyed it for the years you have owned it? These are the things that really should matter more so than what the value would be when you decide to sell or donate it down the road.

I own a 2002 Mercedes E430 with 185k miles that I absolutely love to drive so it is my DD. It is a sleeper that most people do not recognize. I also own a 2007 E350 which my wife drives and I have been using it for our longer [more than 300 miles from home] joint trips ... and of course my Pcar for road trips by myself. I like my older E430 so much that I never blink an eye when she needs maintenance. That is what a fulfilling car ownership experience is all about.

Let us know which way you decide to go ...

dlchasen

Thanks for your responses.
I agree that given the right positive experience with a car holding on to it has some merit. However, I've always been a sucker for 3 and out as cars just keep getting better and better. Given some real economic benefits, however, I can be persuaded to hang on a bit longer.

endless_corners

Well I'm glad somebody buys new cars and eats the depreciation. We need you guys!

MJG911

I just bought mine out 6 months into the lease. 3 factors.
1. even though leasing makes a better writeoff for me, I didn't really understand lease calculations (shame on me), and they gave me a money factor of .0033 by my calculations. And, not because of my credit rating either. On the same day I took delivery, I also purchased a 2012 CPO C2S at 2.1% interest.

2. We loved our 2013 and only got rid of it because lease was up, and since this one was custom ordered to my specs, we love it even more.

3. The extended warranty.

Refi at 2.1% and I by paying the same monthly as I was on a 39 month lease, I'll have it paid off in 54 mos.

jpru2001

can't beat that!

mjsporsche

Buying it and holding it for a year or two has too many downside risks. Who knows what you will get for it and whatever you think that number is now, it is probably going to be worth less.

The best scenario is to extend the lease a year or two so you are not stuck with trying to sell it.

If you buy it, you need to buy it to own for a longer period of time so that depreciation is no longer a factor to you.

Miamirice

👍😋

Thomas42

I'm in a BMW lease that ends next month. The residual is so high (and my payments are really low!) that with a certification it's about $10K over current book value if I were to buy out the lease and pay the associated fees and taxes. Kind of a no-brainer, and I've already replaced it with a CGTS, which I like ever so much more.

25 years ago I leased a Mercedes Benz, and it was worth considerably more than the lease buy-out price. Could have bought out the lease and sold it for a profit. I did buy that one, and drove it for many more trouble-free years.

Sure, you cannot predict the future value, but both these decisions made sense to me.

ddeliber

In case you were curious a BMW dealer will negotiate a buyout within a couple months of lease completion. BMWFS will not so don't even bother trying, but a simple call to a dealer may surprise you. Recently on Bimmerfest there were a few threads talking about pretty good offers to buy (with CPO) your own car off lease. Not sure the numbers but $8.5k off plus CPO and the last 2 month lease payments on a nicely optioned 3 series sticks in my head.

Does anyone know if Porsche does something similar?

endless_corners

Yeah but $41k on a used CD is on parity with the market more or less.

dlchasen

I think your idea is in fact the best scenario. Accordingly, I wrote two emails to Porsche Customer Relations asking if they would enter into a lease based upon the residual value...no response.

dlchasen

Example of Porsche Customer Service? I inquired about a new lease for my CD based upon the current value and projected residual value; Porsche Financial informs me Porsche does in fact re-lease cars and advised me to arrange this through my dealer.Dealer leasing person advises that dealerships are currently unable to either sell or lease diesels.Thus, while I can purchase it from Porsche Financial at the original residual, I can not lease it from them or their dealer.

Porsche is obviously not interested in working with me/us notwithstanding that we are not receiving the benefit of our bargains. These cars have experienced diminished value, not due to our fault, yet Porsche has no answer for those of us who would like to purchase or re-lease at lease end at a price which reflects FMV when they clearly caused the de facto residual value to now be lower than previously calculated. Getting no cooperation from them, I'm thinking of a small claims action, but proving actual loss of value is to a judge's satisfaction will be challenging. I had an obligation to not waste their asset, and I think they had one as well as long as I had an option to purchase.