Depreciation is one of the most frustrating things when it comes to cars. The second you drive them off the dealership lot, they lose as much as 30% of their value. Buying a new car is almost always a worse choice financially than buying a secondhand one. In some regards, at least.
In this article, we’re going to talk about everything to do with Porsche Taycan depreciation, what it is, how to reduce it and more. As well as a more in-depth look at the Porsche Taycan depreciation rate and what you can do to prevent it.
Don’t worry, all is not lost, and just because it does depreciate doesn’t mean it has to depreciate at an alarming rate. After all, do electric cars even depreciate? Let’s dive right into it together!
- Depreciation refers to the decrease in the value of an asset over time, such as a car.
- Cars depreciate due to factors like wear and tear, high mileage, and technological advancements in newer models.
- Electric cars, like the Porsche Taycan, depreciate differently from traditional gasoline cars due to their unique features and battery technology.
- The Taycan’s depreciation is influenced by its battery lifespan and capacity, with an eight-year/100,000-mile battery warranty.
- Porsches, in general, tend to hold their value well due to their rarity, demand, and engineering quality.
- Certain Porsches, such as limited editions or classic models, tend to depreciate less.
- To reduce Taycan depreciation, regular servicing, keeping the car clean, and minimizing mileage can help preserve its value.
What Do We Mean By Depreciation?
Depreciation is the process of accounting for the decrease in the value of an asset over time, in this case, your Porsche. Let’s say you bought your Porsche for $100,000, and after a year of driving it, it’s now worth only $80,000.
That $20,000 decrease in value is called depreciation. Depreciation is an important metric to consider because it reflects the fact that cars, and many other assets for that matter, lose value as they are used or age.
Why Do Cars Depreciate So Much?
Cars depreciate incredibly quickly because they lose their inherent value due to factors such as wear and tear, high mileage, and accidents.
As a car ages, it becomes less valuable, and as it racks up more miles, it becomes less reliable. The older a car is (in most cases), and the more miles it has done tend to indicate how close it is to becoming completely worn out.
Every part of a car degrades over time, from the seat leather to the piston rods. The older it gets, the more worn down, less reliable, and prone to breaking it becomes.
Cars are also constantly being “out-innovated” by other cars, even from their own company, which naturally reduces the value of older cars year after year.
Do Electric Cars Depreciate?
But is that the case for electric cars? The Porsche Taycan depreciation isn’t unique. Electric cars do indeed depreciate just like any other car, but since they operate in very different ways, the way (and rate at which) they depreciate can vary greatly.
For example, because electric cars don’t have gasoline engines, they don’t break down from chemical wear and tear or experience the same levels of intense heat and literal combustion.
Instead, they are powered by batteries, of course, which depreciate but at a much slower rate in general.
Porsche Taycan Depreciation Explained
A HUGE amount of the depreciation tied to the Tycan has to do with its battery lifespan. The battery is the most critical component of any electric car, and as such, its lifespan and capacity will impact the car’s value year-on-year.
The Taycans battery is rated for eight years or 100,000 miles (whichever comes first). And its battery capacity has a separate warranty for 70% efficiency/capacity or eight years, whichever comes first.
If the battery degrades faster than expected, it could impact the car’s value. But, since it is under warranty, Porsche would be liable to fix it.
The Taycan will depreciate just as any other car, electric or not, would. But it holds up pretty damn well compared to many other electric vehicles, especially Porsches.
Do Porsches Hold Their Value Better?
In general, Porsches tend to hold their value tremendously well, and they depreciate far less than many other brands for a number of reasons.
First, since there are (relatively speaking) very few Porsches around, they are more in demand, which helps them hold their value.
And since we are talking about luxury cars, which are often quite rare or hard to come by, they tend to hold on to (or even increase in) value over time.
You also have to remember that since Porsches are so well-engineered, they tend to last longer from an engineering perspective anyway, so if we are looking at depreciation logically, it would only make sense for Porsches to stand the test of time far better than many, if not most, other automotive brands.
Which Porsches Depreciate The Least?
There are certainly some Porsches that tend to depreciate a lot less than others. Mostly because they are extremely rare as they come from limited edition sets or because they are just Porsche enthusiast “classics” that will always be in demand.
You also have to factor in engineering quality, though that is honestly the smallest factor. Here are some examples of Porsches that are likely to depreciate the least:
- Porsche 911 GT3 RS
- Porsche 911 Turbo S Exclusive Series (2018)
- Porsche 911 Speedster
- Porsche 718 Spyder
- Porsche 918 Spyder (2015)
- Porsche Carrera GT (2004-2006)
- Porsche 356 (1950-1965)
Reducing Porsche Taycan Depreciation
You can reduce your Porsche Taycan’s depreciation rate in a few ways. Firstly, service it often. Very often. Ensuring that everything is running smoothly and any small issues are taken care of before they become too serious is a great way to help your Porsche Taycan retain more of its value.
You should also keep it clean, washing it regularly stops salt and grit from breaking down the body of your Taycan and causing it to lose value gradually over time.
And lastly, you can also try to reduce its mileage as much as possible. If this is your daily car, then that doesn’t really help, but if you have multiple vehicles, consider using a lesser/different car for some of your driving needs to help preserve your Taycans value. Remember, the warranty only lasts for 100k miles.
Our Verdict On Porsche Taycan Depreciation
Hopefully, you now feel as if you know a little more about what deprecation is and how it works. Remember, all cars depreciate far faster than any other asset class, and there really isn’t anything you can do about it as a whole.
But, there are certain steps you can take to reduce it, even if you cannot remove it completely. The Porsche Taycan depreciates fairly slowly compared to most other cars on the market, even electric cars, and especially other Porsches.
It’s a safe choice if you are looking for a car to hold on to in the hopes that it will retain most of its value when you go to trade it in 3 years down the line.
But all of this could be obsolete, if in the future Porsche develops a synthetic fuel that allows their cars to produce less emissions.
I’m Daniel, the founder of YSM Motors. I’ve been living and breathing cars since I was born and got into the online space when I was 16, writing about cars.
My unique view comes from owning several interesting cars, ranging from a Volkswagen Golf R, BMW M3, and, more recently, my Porsche Spyder. Owning these cars and a few others has allowed me to become close friends with other car enthusiasts giving me insight into rarer and more exotic cars such as Ferrari, Maserati, Porsche GT cars, and more.
I’ve been lucky to experience and maintain such a vast range of exciting cars, and in the process I’ve become close with a few car dealers and high-end workshops, which has allowed me to pick their brains on topics you can’t find info about online.
My eye for detail stems from my full time career as a Business Analyst. This all started when I studied a Bachelor of Science with a Major in Information Systems, leading me into my 13-year career.
After honing my online skills with various projects and immersing myself further into car culture, by 2019, I decided to dedicate myself to YSM Motors in my spare time and purely focus on my passion for cars and everything to do with them.