Are we on the verge of a big price crash on GT cars?
Discussion
Supply and Demand - the more there are available for sale the lower the selling price will be.
Some will be wanting to get out now given increasing costs in most other areas of domestic expenditure and the need to rid themselves of monthly payments on a car that is likely to be an indulgence rather than a necessity; I would suggest most are not an only car and if they are, there are cheaper alternatives.
Some will be wanting to get out now given increasing costs in most other areas of domestic expenditure and the need to rid themselves of monthly payments on a car that is likely to be an indulgence rather than a necessity; I would suggest most are not an only car and if they are, there are cheaper alternatives.
I read the papers and follow the financial news but despite very gloomy projections ( especially for the UK) I still can’t see that reflected in car prices - at least at the (very) premium end. At this weeks-end RM Auction in Munich top money was being paid and 80% of the lots on offer found new owners. I wouldn’t have thought so. I think the mid-market segment is in for a correction as this is mostly on finance. But top end stuff which is not so much on finance deals is probably still positively influenced by the fact that you can’t get any new ICE powered V8 / V12 any longer or at least the waiting times are up to 2 years on some models.
I think the GT4 has become a victim of it's own success.
Ever since GT cars became harder to get than a Steel Rolex Daytona the masses complained that Porsche were only selling to speculators and the true supporters of the Marque were being largely ignored.
So Porsche management took this on board and made the 718 GT4 more widely available than any previous GT car to the point where anyone prepared to do a little leg work could likely land a build slot. Even I got offered one when I swapped my Boxster GTS order to a B25 which I politely turned down and I certainly don't think I'm one of my local OPCs best customers.
Having said that I'm pretty sure that a few of these were bought by speculators hoping to make a quick buck and know of at least one person who bought one and promptly parked in his garage in the hope that it would increase in value and is now quite disappointed that the opposite has happened.
Conversely I know several others that were pleased as punch to be able to get one, are using them as intended and have no intention of selling as things stand.
Reducing prices will certainly be good news for those that were unable to buy one new and they will get to enjoy one of the best cars that Porsche has ever produced for a reasonable outlay. Will values decrease further or will they stabilise and over time increase again? Who knows, who cares, just enjoy them while you can
Ever since GT cars became harder to get than a Steel Rolex Daytona the masses complained that Porsche were only selling to speculators and the true supporters of the Marque were being largely ignored.
So Porsche management took this on board and made the 718 GT4 more widely available than any previous GT car to the point where anyone prepared to do a little leg work could likely land a build slot. Even I got offered one when I swapped my Boxster GTS order to a B25 which I politely turned down and I certainly don't think I'm one of my local OPCs best customers.
Having said that I'm pretty sure that a few of these were bought by speculators hoping to make a quick buck and know of at least one person who bought one and promptly parked in his garage in the hope that it would increase in value and is now quite disappointed that the opposite has happened.
Conversely I know several others that were pleased as punch to be able to get one, are using them as intended and have no intention of selling as things stand.
Reducing prices will certainly be good news for those that were unable to buy one new and they will get to enjoy one of the best cars that Porsche has ever produced for a reasonable outlay. Will values decrease further or will they stabilise and over time increase again? Who knows, who cares, just enjoy them while you can
bus_ter said:
Window shopping on Autotrader (as you do) and noticed there are now 90 718 GT4's and 30 981 GT4's for Sale. Prices down to the £60K's
That's quite a remarkable change from just 6 months ago. Is the current financial climate about to crash the price of GT cars?
Long way to go yet. 981 GT4's will be in the £50K's next year and we'll start to see the CR costing more than its big brother.That's quite a remarkable change from just 6 months ago. Is the current financial climate about to crash the price of GT cars?
Hardly a blood bath, as yet. If anything, remarkable how prices are holding up. I suppose if you account for inflation, anything in the mid £60ks or below is in the £50ks compared to a few years ago in real terms. We must have at least 15%'s worth of overall inflation in the last two years. But still pretty solid residuals by any san standard.
When you think about how ugly it got in the early 90s with orders of magnitude lower supply of this type of car, it's amazing how well prices are holding up, if you ask me.
When you think about how ugly it got in the early 90s with orders of magnitude lower supply of this type of car, it's amazing how well prices are holding up, if you ask me.
The key advantage the CR and 981 GT4 have is the number available is finite where as the 718 GT4 could in theory be in production for another 2 years. This combined with the current economic situation will likely put pressure on secondhand prices if new car slots become easier to find.
What's interesting is that 4.0 Boxsters appear to be depreciating in line with the 4.0 Caymans even though it seems these are much harder to order new and there are only 20 Spyders for sale on AT versus 90 GT4s at a not too dissimilar starting price (without comparing spec's) so if that continues it would clearly be a wider phenomenon than just GT4s.
In my lifetime I've never known a time until recently where a Porsche didn't depreciate as soon as you drove it out of the showroom and if those days are returning then I'm pleased for the genuine enthusiast even though I know its probably going to cost me a few quid more in the future.
What's interesting is that 4.0 Boxsters appear to be depreciating in line with the 4.0 Caymans even though it seems these are much harder to order new and there are only 20 Spyders for sale on AT versus 90 GT4s at a not too dissimilar starting price (without comparing spec's) so if that continues it would clearly be a wider phenomenon than just GT4s.
In my lifetime I've never known a time until recently where a Porsche didn't depreciate as soon as you drove it out of the showroom and if those days are returning then I'm pleased for the genuine enthusiast even though I know its probably going to cost me a few quid more in the future.
I think you throw in winter, plus uncertainty then you'll always have some people desperate to bail out of their cars.....but when the spring returns in 4 months time and we have a bit more stablility in the air then these cars will still be massively attractive to car people like us.
Across the price range, what else can you buy that really competes with a GT product?
Across the price range, what else can you buy that really competes with a GT product?
hornbaek said:
I read the papers and follow the financial news but despite very gloomy projections ( especially for the UK) I still can’t see that reflected in car prices - at least at the (very) premium end. At this weeks-end RM Auction in Munich top money was being paid and 80% of the lots on offer found new owners. I wouldn’t have thought so. I think the mid-market segment is in for a correction as this is mostly on finance. But top end stuff which is not so much on finance deals is probably still positively influenced by the fact that you can’t get any new ICE powered V8 / V12 any longer or at least the waiting times are up to 2 years on some models.
Have a look at 992 GT3 cars advertised.6 Months ago, the cheapest were £240K. Now they are £200k and they are still not selling.
GT3 market is probably more speculator driven than GT4, and those speculators will be keen to get some profit.
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