Porsche Depreciation: 6 Models Compared
A subsidiary of the famous Volkswagen Group, Porsche is a German automobile manufacturing company that mainly produces sports cars, sedans and, SUVs.
With more than 300,000 cars sold in 2021, Porsche’s world market share stands at 1.03%. Porsche is one of the most profitable car companies in the world and has an annual revenue of more than 32 billion dollars.
But many of us often think that do Porsches hold their value? In this article, I am going to answer this question in detail and will also compare the depreciation trends of popular Porsche models.
Do Porsches Hold Their Value?
As a luxury car brand, Porsche is well known for its reliability, performance, and high demand. It is also among the top 5 luxury car brands with the best resale value. Therefore, it is safe to say that most Porsche cars hold their value very well.
Porsche holds 50% of its value after 5 years of operation, whereas other luxury cars hold only 40% of their value during the same time period.
Porsche value retention for a longer time is even more impressive, and that is mainly because of its reliability. More than 95% of Porsches from the last 25 years are still on the roads, and Technical Inspection Association named Porsche 911 as Germany’s most reliable car.
The below graph shows the average depreciation of Porsche cars over the 12 years.
While the following illustration shows the year-to-year depreciation percentage of Porsche cars. On average Porsche cars depreciate the most in the first year and third year of their operation. For the rest of their lifespan, they depreciate from 2% to 7%.
Also read: Are Porsches Reliable? Things They Don’t Tell You…
6 Popular Porsche Models and Their Depreciation
To better understand the value retention of Porsche cars, let’s have a look at the depreciation trends of 6 popular Porsche models over the period of 10 years.
1. Porsche 718 Boxster
With a top speed of 275 km per hour, Porsche 718 Boxster is a two-seater convertible sports car. It has a spectacular acceleration of 0-100 km/h in just 5.1 seconds. It has a four-cylinder turbocharged engine and comes in standard, S, and GTS versions.
Initial Selling Price: $70,825
Percentage Depreciation after 5 Years: 51%
10-Year Depreciation Projection:
| Vehicle Age | Depreciation | Residual Value | Vehicle Worth |
| 1 | $18,011 | 74.57% | $52,814 |
| 2 | $22,827 | 67.77% | $47,998 |
| 3 | $26,984 | 61.90% | $43,841 |
| 4 | $30,072 | 57.54% | $40,753 |
| 5 | $36,206 | 48.88% | $34,619 |
| 6 | $40,356 | 43.02% | $30,469 |
| 7 | $42,877 | 39.46% | $27,948 |
| 8 | $45,059 | 36.38% | $25,766 |
| 9 | $48,968 | 30.86% | $21,857 |
| 10 | $50,130 | 29.22% | $20,695 |
2. Porsche 911
Porsche 911 is a 2+2 high-performance sports car and was first produced in 1964. Since then more than one million models of 911 have been sold. It was fifth on the list of Car of the Century and has won multiple championship races. Its incredible performance and peerless driving experience make it the top choice among sports car lovers.
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Initial Selling Price: $183,187
Percentage Depreciation after 5 Years: 45%
10-Year Depreciation Projection:
| Vehicle Age | Depreciation | Residual Value | Vehicle Worth |
| 1 | $42,499 | 76.80% | $140,688 |
| 2 | $49,607 | 72.92% | $133,580 |
| 3 | $64,464 | 64.81% | $118,723 |
| 4 | $73,368 | 59.95% | $109,819 |
| 5 | $81,604 | 55.45% | $101,583 |
| 6 | $84,046 | 54.12% | $99,141 |
| 7 | $95,276 | 47.99% | $87,911 |
| 8 | $106,157 | 42.05% | $77,030 |
| 9 | $109,344 | 40.31% | $73,843 |
| 10 | $114,657 | 37.41% | $68,530 |
Also read: What’s the Cheapest Ferrari to Maintain? (+Costs)
3. Porsche Cayenne
Porsche Cayenne is a two-row luxury SUV powered by a 434-hp twin-turbo V6 engine. It majorly competes with Volkswagen Touareg and Audi Q7. It has an exquisite interior, impressive handling, and comes with plenty of customization options. Recently, its Turbo GT version was introduced by Porsche that can reach 0-100 km/h in just 3.1 seconds.
Initial Selling Price: $95,720
Percentage Depreciation after 5 Years: 54%
10-Year Depreciation Projection:
| Vehicle Age | Depreciation | Residual Value | Vehicle Worth |
| 1 | $20,245 | 78.85% | $75,475 |
| 2 | $23,337 | 75.62% | $72,383 |
| 3 | $38,403 | 59.88% | $57,317 |
| 4 | $45,735 | 52.22% | $49,985 |
| 5 | $51,497 | 46.20% | $44,223 |
| 6 | $55,738 | 41.77% | $39,982 |
| 7 | $63,644 | 33.51% | $32,076 |
| 8 | $65,530 | 31.54% | $30,190 |
| 9 | $72,412 | 24.35% | $23,308 |
| 10 | $74,327 | 22.35% | $21,393 |
4. Porsche Macan
Porsche Macan is a five-door crossover SUV and comes in many variants like Macan S, Macan GTS, and Macan Turbo. It shares its platform and wheelbase with Audi Q5. As claimed by Porsche, it is “the sports car of SUV segment” and is the most fun SUV to drive.
Initial Selling Price: $74,936
Percentage Depreciation after 5 Years: 49%
10-Year Depreciation Projection:
| Vehicle Age | Depreciation | Residual Value | Vehicle Worth |
| 1 | $17,670 | 76.42% | $57,266 |
| 2 | $22,511 | 69.96% | $52,425 |
| 3 | $26,228 | 65.00% | $48,708 |
| 4 | $33,444 | 55.37% | $41,492 |
| 5 | $37,086 | 50.51% | $37,850 |
| 6 | $41,500 | 44.62% | $33,436 |
| 7 | $49,825 | 33.51% | $25,111 |
| 8 | $51,301 | 31.54% | $23,635 |
| 9 | $56,689 | 24.35% | $18,247 |
| 10 | $58,188 | 22.35% | $16,748 |
Also read: Are Porsche Parts Expensive? The Full List
5. Porsche Panamera
Porsche Panamera is a full-size luxury vehicle and comes with both rear-wheel drive and all-wheel drive options. It mainly competes with other large luxury cars like Audi S7, Tesla Model S, and Mercedes-AMG GT. It has an excellent cargo capacity and comes with a lavish and roomy interior.
Initial Selling Price: $137,385
Percentage Depreciation after 5 Years: 61%
10-Year Depreciation Projection:
| Vehicle Age | Depreciation | Residual Value | Vehicle Worth |
| 1 | $32,890 | 76.06% | $104,495 |
| 2 | $38,784 | 71.77% | $98,601 |
| 3 | $53,882 | 60.78% | $83,503 |
| 4 | $68,459 | 50.17% | $68,926 |
| 5 | $84,066 | 38.81% | $53,319 |
| 6 | $90,303 | 34.27% | $47,082 |
| 7 | $95,785 | 30.28% | $41,600 |
| 8 | $101,335 | 26.24% | $36,050 |
| 9 | $106,501 | 22.48% | $30,884 |
| 10 | $108,534 | 21.00% | $28,851 |
6. Porsche Taycan
Porsche Taycan is an all-electric saloon car and went into production in 2019. It is the first electric car manufactured by Porsche and has a 220 miles range when fully charged. It has a striking appearance and comes with a highly customizable and futuristic interior.
Initial Selling Price: $81,850
Percentage Depreciation after 5 Years: 52%
10-Year Depreciation Projection:
| Vehicle Age | Depreciation | Residual Value | Vehicle Worth |
| 1 | $16,119 | 80.33% | $65,829 |
| 2 | $23,134 | 71.77% | $58,814 |
| 3 | $31,689 | 61.33% | $50,259 |
| 4 | $37,229 | 54.57% | $44,719 |
| 5 | $42,662 | 47.94% | $39,286 |
| 6 | $48,153 | 41.24% | $33,795 |
| 7 | $52,398 | 36.06% | $29,550 |
| 8 | $55,921 | 31.76% | $26,027 |
| 9 | $60,215 | 26.52% | $21,733 |
| 10 | $63,502 | 22.51% | $18,446 |
Why Do Porsches Hold Their Value so Well?
Porsche has a long history of reliability, performance, and comfort. Over the years it has built a massive fan following among car enthusiasts and continues to be their top choice.
- Porsche cars have high market demand and people who cannot afford to buy a new one, are always looking for a good condition second-hand Porsche cars.
- Most of the Porsche cars have five to ten years of maintenance costs already included in their initial price. Initial years of these cars are perceived as zero maintenance cost and therefore it significantly improves the resale value of the car.
- Porsche has also impressive accolades to its name, and its model 911 took the 2018 Kelly Blue Book Resale Value award in the high-performance car category. The same award in the compact car segment was won by Porsche Macan.
- Another main reason for the excellent value retention of Porsche cars is their simple engine design than other sports cars like Bentley or Bugatti. This makes them more reliable and easy to maintain.
Also read: How Much Does it Cost to Own a Lamborghini (a Year)
Why Do Porsches Lose Value Fast in the First Year?
On average Porsche cars lose 23% of their value in the first year which is fifth-best among all other luxury car brands. Being a sports car brand it is natural for Porsche cars to lose most of their value in the first year but still, it is much better than the average first-year depreciation of other sports cars which stands at a staggering 30%.
People who can afford a year-old Porsche car are usually the ones who can afford to buy a brand-new Porsche of the same model. Therefore, the low demand for one-year-old Porsche cars significantly drops its value.
Also, nowadays automakers launch new model cars after every year which automatically drops the value of the previous model.
Which Porsche to Buy, When to Buy it, and When to Sell it to Save as Much as Possible?
Three years old Porsche 911 is the best car to buy to save the maximum amount of money.
The initial selling price of Porsche 911 is $183,187, whereas a three years old Porsche will cost you around $118,723. This only amounts to 65% of the original cost and will still have 76% of useful life remaining. You should sell it before the seventh year because in that year it loses 7% of its value.
Another good option will be buying four years old Porsche Macan. It will cost you 55% of the initial price and still have 67% of the useful life remaining.
What Can You Do to Decrease Any Porsche Depreciation?
Below are some of the ways by which you can decrease any Porsche depreciation:
- If you do not want to keep it for a long time, never buy a brand-new Porsche car, as it depreciates the most in the first year.
- Always keep your Porsche in a good condition and never miss the regular maintenance of your car.
- Try to buy a used Porsche with low mileage because the more mileage the car has the less it will be worth.
- Try to buy a second-hand Porsche with the minimum number of owners because more owners mean lower resale value in the market.
Does Porsche Hold its Value Well When Compared to Other Similar Car Brands?
Porsche is among the top-performing luxury car brands when it comes to value retention. After three years of operation, it only loses 37% of its value, while other similar car brands lose 43% of their value in the same time period.
Porsche cars usually perform better than BMW, Mercedes-Benz, and Cadillac cars. They are very close to Tesla and Audi in terms of value retention. Incredible performance, reliability, and cult fan base make Porsche the top choice among luxury car enthusiasts.
References:
caredge.com, en.wikipedia.org, caranddriver.com, porsche.com, topgear.com, whatcar.com, motorandwheels.com, edmunds.com,
