Can I Afford a Porsche? 6 Things to Consider

Have you ever dreamed of driving down the freeway with the wind blowing in your hair and a powerful engine in your car? For many people, the Porsche name brand is the epitome of a luxury car. It is the sort of vehicle that many individuals dream about owning for years before finally deciding to invest in this pricey vehicle.

How much do Porsches cost?

The cost of owning your own Porsche can be quite significant with costs ranging from $50,000 to close to $300,000 for a brand new car. Purchasing pre-owned Porsches offers a more affordable option.

You can see the cost difference for yourself in this chart:

How Much Should you Earn to Afford a Porsche? 

Before you invest in the car of your dreams, you need to know whether you can comfortably afford to pay the bill each month.

Particularly if you know that you will be financing the car, you need a certain amount set aside in the budget every month to avoid an embarrassing repossession.

Financial experts recommend that you spend no more than twenty percent of your take-home pay on a car payment.

Let’s suppose that you were able to secure five-year financing for your new Porsche. For a brand new 718, that means that you might be paying around $11,400 per year before interest is factored into your payments. You will need to earn roughly $55,000 per year if you want to afford this lower-end Porsche model.

If you wanted to take a step up and purchase something more mid-priced like the Panamera, you would need to earn substantially more. With the same five-year financing, you would pay roughly $17,500 per year before interest on your car payment. Your annual take-home pay would need to be almost $90,000 for you to afford this model comfortably.

Before you commit to any Porsche, make sure that you do the math on your car payments compared to your annual take-home pay. Take a close look at your budget to make sure that you are not overspending in other areas as well.

You want to make sure that you have the financial freedom to dedicate your hard-earned dollars to one of these luxury cars.

If you find that a new Porsche is not in the cards for you, you can also purchase certified pre-owned Porsches:

• Porsche has a specific program for dealers who offer these cars.
• These dealers must be experienced in handling the Porsche brand and performing their 111-point check.
• They also use only genuine Porsche parts when replacements have been needed.

Be sure to do some research on where you can find one of these car dealerships and available vehicles near you.

Are Porsches Expensive to Maintain Compared to Other Cars?

You might be surprised to learn that Porsche is not as expensive to maintain as many people imagine it would be.

Of course, it will cost more to keep up with a Porsche compared to lower-end vehicles like those made by Honda or Kia, but it is extremely comparable to other cars in the same class.

We’ve written a lot on the pros and cons of owning a Porsche, particularly when it comes to the expense of maintenance. Basic maintenance such as oil changes and tire rotations will be pretty affordable for these cars.

However, one of the most surprising expenses that car owners encounter is the cost of new tires.

A full set of fresh tires can easily cost you more than $1,000, and they might not last as long as you would think.

Most car owners will have to replace them again in about 25,000 miles or less if they are into racing with their Porsche.

If you are going to purchase your Porsche as a pre-owned model, make sure to do your homework. Older models had a few weak points that resulted in pricey repairs and maintenance bills.

Most people are much happier with newer models that are from 2009 and onwards, which tend to have water-cooled engines that require less attention.

How Expensive is it to Insure a Porsche Compared to Other Cars?

In addition to the cost of the car itself and the routine maintenance, most prospective car owners want to know what their annual cost to insure the car will be.

They might be used to the relatively inexpensive rates found on reliable sedans like the Honda Civic or other similar models. These cars are among some of the least expensive to insure, so expect to see a spike in your rates when switching to a Porsche.

You may not be expecting the insurance bill on these cars because they do boast excellent safety ratings. However, you do run a few risks with the purchase of these sporty vehicles.

First and foremost, the design of the car itself tends to encourage drivers to speed.

Insurance companies must offer protection even though there is a high risk that you are exceeding the safe speed limit.

Second, you are likely required to carry comprehensive coverage insurance because most people are financing their Porsche. You will want this higher degree of coverage in the event of an accident because repairing a Porsche can cost thousands of dollars.

Not to mention, a potential lawsuit that results from an accident can run into the millions of dollars. These comprehensive policies offer more protection.

How Fuel-Efficient is a Porsche?

Determining the fuel-efficiency of your new Porsche car can be a little tricky because they have so many different models.

They can range in efficiency from just 17 miles per gallon in some of the sportier models to more than 50 miles per gallon in their hybrid options.

The models with Turbo engines, such as the Cayenne and the 911, tend to have much lower fuel efficiency ratings. Both of these options get less than twenty miles per gallon combined city/highway. These engines are designed to have a bit more pep to them, and they prioritize power over fuel-efficiency.

If you want to make sure that you are getting the most bang for your buck, you may want to consider looking at some of the hybrid models offered. The e-hybrid Cayenne and Panamera both get approximately fifty miles to the gallon combined city/highway when using electric.

These same models get roughly twenty-three miles to the gallon when operating off of gasoline alone.

What’s the Average Age for a Porsche Owner?

Do you fit the profile for the average buyer of a Porsche? It likely comes as no surprise that affluent individuals tend to be the primary purchasers of these vehicles. After all, they are the only ones that can afford those hefty price tags. As a result, the average age for a Porsche owner tends to be a little higher.

The average age range of a Porsche owner typically falls somewhere around the age of forty and sixty. Most of the people who purchase these types of vehicles are men.

3 Used Porsche Models to Look For

Most people simply cannot afford or cannot stomach the price tag that accompanies a brand new Porsche. Investing in a used or certified pre-owned Porsche is a more realistic option, but what models should you be researching?

The best thing to do is to look for the most reliable models. This ensures that the new-to-you car is less likely to need immediate repairs compared to more unreliable models.

If you want a car that you can drive around town for day-to-day usage, you will likely want to consider the Cayenne or the Macan.

Both of these models may not offer the feel of a sports car, but they give you a certain degree of luxury and a tremendous amount of space.

In addition to the Cayenne or the Macan, you might also want to consider a newer and water-cooled version of the 911.

This model is another great option for someone who wants to show off their Porsche everywhere they go.

While the other models are still excellent choices, they tend to be a bit more unreliable than these three models. If you were going to purchase one of them used, make sure that they are certified pre-owned and have been thoroughly vetted by an experienced mechanic.

This can help you to prevent any problems in advance of your purchase.

Final Thoughts

Investing in a new or used Porsche to get you around town can be a significant decision.

You want something that looks good and drives well while still getting the most for your hard-earned dollar.

If you have been on the fence about whether you can afford a new Porsche, these six points should give you the insight you need to make a decision!

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