997 GT3 Residual Value
Discussion
Fellow pork fanciers,
Between now and April next year I plan to get into a 997 GT3. Lucky me.
I don't want to get into a debate about "buying" vs "financing", suffice to say that for good reasons I finance my cars and spend as little capital as sensibly possible. Nuff said.
For those in the same boat, what "balloon" payment have you managed to get past the underwriters? 996 GT3 prices seem to be holding firm, and with the 997 being a more exclusive (?) production run, I would have though that a 50% balloon after 4 years should be possible?
Thanks for the info.
Between now and April next year I plan to get into a 997 GT3. Lucky me.
I don't want to get into a debate about "buying" vs "financing", suffice to say that for good reasons I finance my cars and spend as little capital as sensibly possible. Nuff said.
For those in the same boat, what "balloon" payment have you managed to get past the underwriters? 996 GT3 prices seem to be holding firm, and with the 997 being a more exclusive (?) production run, I would have though that a 50% balloon after 4 years should be possible?
Thanks for the info.
I was thinking about this.
Generally speaking, 50% after 4 years is a bit high, especially if credit controls are being tightened, but it does only equate to 15% pa which is typical for a decent Porsche. In practice, the 997GT3 should perform better, partly because of its relative rarity, but also because its better road refinement means it should have a broader appeal, maintaining demand.
Hopefully, you should end up with a residual value well above the final balloon payment, at the end of the term. Well, that's my theory.
Generally speaking, 50% after 4 years is a bit high, especially if credit controls are being tightened, but it does only equate to 15% pa which is typical for a decent Porsche. In practice, the 997GT3 should perform better, partly because of its relative rarity, but also because its better road refinement means it should have a broader appeal, maintaining demand.
Hopefully, you should end up with a residual value well above the final balloon payment, at the end of the term. Well, that's my theory.
Edited by Koln-RS on Tuesday 11th September 18:22
Well for what its worth my GT3 is financed over 3 years with a 40% residual. I think 50% residual is easy enough to get through the finance co,s maybe more but that is over 3 years.
4 years and a highish balloon may be too much.
Be sure you have it worked out though because getting out of such an agreement early is going to be very expensive. GT3s are still quite hot news at the moment and as a result your car is going to cost you list or thereabouts. But what its worth if you want to sell is at least £8000 less than that as soon as you drive it out of the showroom.You have to calculate the depreciation from that lower figure downwards and remember that your paying it off very slowly and in the first couple of years its nearly all interest. You,ll actually have a big slice of negative equity for a long time:
BUT its a bloody fantastic car and there is nothing out there as fast, tactile, exciting and solid for remotely similar money. Its also ,with the exception of the tyre wear, pretty reasonable to run- 21mpg, 2 year servicing and good inexpensive independents around. Compare that to a Ferrari or Lambo
4 years and a highish balloon may be too much.
Be sure you have it worked out though because getting out of such an agreement early is going to be very expensive. GT3s are still quite hot news at the moment and as a result your car is going to cost you list or thereabouts. But what its worth if you want to sell is at least £8000 less than that as soon as you drive it out of the showroom.You have to calculate the depreciation from that lower figure downwards and remember that your paying it off very slowly and in the first couple of years its nearly all interest. You,ll actually have a big slice of negative equity for a long time:
BUT its a bloody fantastic car and there is nothing out there as fast, tactile, exciting and solid for remotely similar money. Its also ,with the exception of the tyre wear, pretty reasonable to run- 21mpg, 2 year servicing and good inexpensive independents around. Compare that to a Ferrari or Lambo
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