Stevethevet

If I believe 5 Subaru dealers, my STi 7 Type UK Prodrive (5 months old, 6500 miles) is now worth between 17000 and 21000 to trade in. I could get a bit more privately (or could I at the moment, see the problems people are having selling), but don't want the test-pilots, risks of car-jacking (e.g. Wolverhampton yesterday), etc, etc.

So depreciation of, minimum, £8000 in 5 months (not helped by MY03 face-lift etc etc). Hmmm, not good.

So, how about buying a "sensible" car and avoiding such a huge loss next time. I know, how about a really "sensible" buy, a Ferrari 348! Before you fall off your chair laughing, consider this.

1. The 348 has levelled out in terms of depreciation now, so a well maintained, 10 year old car can be driven (over moderate miles) for 12 months/2 years with little or no loss in value.

2. Servicing is expensive, but allow £1500 a year (at a specialist, not a main dealer who charge huge fees) and you lose £3000 over two years (as opposed to £8000 over 5 months). Note, haven't included servicing in depreciation relating to STi.

3. There is no doubt, this is a bit of a risky buy, if something big lets go you will have a massive bill, but, if you pick the right, low mileage car and maintain it well, the 348 engines are good for 100000 miles with no major issues.

4. You get to drive a Ferrari for a couple of years for the same purchase price as a new STi8 and lose less money in the process.

5. P.S. Insurance is not as ridiculous as I thought it would be.

Am I talking nonsense? Or is this a very real way to have 2 years enjoyable driving and to lose less money than a more "sensible" purchase?

I'd be interested in your thoughts.

Best wishes,
Steve.

Barnaby

One comment on the Ferrari idea. Smashing thought the car will be, it will attract a lot of attention (even more than a Scoob!).

You will be quite limited in when and where you can park it I would guess. Fine for a second car, but not much good as a primary car?

davyboy

Minor Service - 1450
Major Service - 1875

Cambelt/timing chain - 2700

Go for a Porsche mate.

ProperCharlie

A 'solid' old car is always likely to lose less in depreciation than buying new. I would be tempted by something like, say, an 6-8 year old 911. Running costs are likely to be lower, as they are much better built than ferraris (sorry to say it, i love ferraris but it's true, isn't it?)

The only problem for me is that I buy the cars thru' the company using a finance arrangement that we use for buying trucks and stuff, and they won't lend on anything second hand.

If I keep my 02 STi for the three years of the finance term, I don't expect to be able to recoup a great deal, and it will have about 60k miles on it by then.

Charlie.

RB5320

interesting idea!!! but, although I know little about Ferraris, it seems that the critical thing come resale time is the mileage - if this were to be your main vehicle you would rack up very high mileage (by Ferrari standards). These cars are nearly always bought as toys, for the occasional pose on a sunny day. You could find that the value after 2 years worth of driving is considerably lower than expected. (Someone please tell me I am wrong here as I love the idea of having one!!!)
but, Porsche 911 - depreciation on one of these over a couple of years, even allowing for everyday mileage, is minimal. running costs probably similar to Subaru, maybe a little bit more. very tempting.

Steve

Chris_S199

Anyone know how they compare on running costs, eg mpg, tyres, windscreens, etc? Oh, and then there's the practicality...

Jza

Depreciation.... avoidance.... easy....

Put the money in the buildo and take the f*cking bus....

Jza

davyboy

£ 30k get you one of these, 911 (993 model) C4 coupe

camk

I get better MPG in my 996 C4 than my STi but 996 eats tyres(new rears after about 9-10K). Servicing has been pretty OK but only done 12K miles in 2 years. Practicality-wise its rubbish, boot is tiny and its just for kids in the back. I think depreciation looks a bit scary as well if I look what they sell for now against what I paid....Well built and looks great but its a different kettle of fish to my Sti Wagon

Only way I've really avoided mega depreciation in the past is but 2-3 year old and run it for 3-4 years. Repair costs are higher than new but depreciation is negligible in comparison to a new car. Your STi will not lose another 8K in the next year.

[Edited by camk - 11/19/2002 1:07:09 PM]

chrisp

Local Ford dealer is selling KAs for 4995 worst case it cant lose more than £4995 servicing under a 100 a year.

Classics are good value but they are not new . They do break down and dont start. Also newer cars are built for our winters. I have a mate with a classic 944 who doesnt run it in bad weather and winter much (unless its a nice day). You can destroy a good classic in a bad winter.

Olly

I did the same. I have only ever bought 2 new cars, both Impreza's, one a MY2000, the other a Bugeye. Both Dutch imports.

I actually lost nothing the MY2000 at sale time (remember when Impreza's were in huge demand?) but the Bugeye seemed to lose value by the day as the market shifted with the model change. So I got out. I buy my own cars outright with my own hard-earned & no finance, so depreciation is a big issue.

My solution? I bought a mint 205GTi 1.9, and am currently looking for a nice late 80's S class Benz, preferebly a 500 with a view to going onto gas to ease the pain. Couldn't really give a hoot about the letter on the numberplate or image worries that so many new car buyers feel is SO important. The Pug is 20 times more FUN than an Impreza (although obviously not as CAPABLE before everyone shoots me down), and the Benz, (according to folklore the best built Merc ever) should be comfy and refined. Insurance is less than a Scoob for the pair. The best of both worlds, all for under £5000 for the pair. Depreciation? Whats that? With the change, I bought another house.

chopper

I did exactly that - sold my P1 for 7k less than I bought it (8 months ownership)....and bought a Ferrari 348TS lhd.

I have just sold the Ferrari for 5k less than I bought it for 5000 miles later. I could probably have sold it privately for more but as it needed a good 2k work doing to get it to an acceptable condition (flames coming out of one exhaust - don't ask!), I just took the engineer's offer who works on the car for me. Basically I seem to go through cars faster than Colin Mcrae does these days (through choice, not crashing I might add...). I do not think it is possible to find any car that won't suffer depreciation in the £20-30k bracket these days... I think the best suggestion is to invest the money ie property etc and get a nice sensible cheap car (currently driving a golf now haha!). I've had enough of the performance car market for a while due to vandalism, theft, depreciation and crappy busy British roads and weather.

Might be time to keep the golf and look into a nice 2nd hand Robinson R22 helicopter I think

HELLOM8

Buy the new Mini, there are worth more second hand than they are new, Top Gear say, so it must be true.

davyboy

.............yep they all do this

GreenMachine

Avoiding depreciation:

GAP insurance + write it off after 2 yrs 11 months......

I'll get me coat......