CarreraG50 Posted 5October, 2015 Report Share Posted 5October, 2015 Dear Doug:I truly enjoy reading your articles, as well as your book. So much better than reading actual news.Anyway, here’s my question, which should suit you well considering your past work history. Why the heck do Porsche 911’s cost so much? I’m talking both new and used. They have to be one of the only cars that can cost hundreds of thousands of dollars within the same model range, over a 25 year period! Seriously, I just looked at Autotrader, and there’s a 2015 911 turbo right next to a 2008, then a 1998, then a 1989, and they all cost around $220,000 each.I get that they can be very technologically advance and are supposedly one of the best cars to drive, but being that I’m too tall to even get my leg inside one I’ll have to take other peoples’ input on that part. Still, I just don’t get it. Are they made out of unicorn tears or something? How can one car, made out of essentially the same raw materials and by the same humans as any other really good car, be THAT good for so many years that people would pay the exact same astronomical price for one that’s 25 years old as they would for a brand new one? Sorry, I think I technically asked three questions.Looking forward to you proving me wrong.Sincerely,EltonFor those of you who don’t want to sift through Elton’s letter – the only letter written to me this week to include the words “raw” and “unicorn” – allow me to sum up his question. He is asking: why the hell are Porsche 911s so expensive? And I must say, Elton, that you’ve raised an interesting point, because Porsche 911 values seem to keep going up, and by God, maybe it’s time that Letters to Doug tackles this issue, or at least captures its flag.First off, to address the exact vehicles you’ve asked about in your e-mail: the reason people are asking $220,000 for a 2015 Porsche 911 Turbo is because it’s an amazing car, full of luxury, and technology, and speed, and equipment, and engineering. The reason people are asking $220,000 for a 1998 and 1989 Porsche 911 Turbo is because they are high on methamphetamines.Now to get to the rest of the 911 market. In today’s world, the Porsche 911 is experiencing something called a bubble. What this means is, the market was originally fairy normal, and then, like a bubble, it has grown, and grown, and now it’s one of those giant bubble gum bubbles that get 150,000 views when people post videos of them on YouTube.These days, this is true of virtually all collector cars. Maybe the best example is the Jaguar E-Type, which is now an upper-five figure car, despite the fact that there are literally ten million excellent condition E-Types running around out there. Seriously: you cannot go to a car gathering without seeing a fully restored E-Type, even if it’s a gathering of lowrider pickup trucks at an Arby’s parking lot.So what you’re seeing, with some of these prices, is people trying to take advantage of the bubble. People are seeing 1960s and 1970s Porsche 911 prices going up, and up, and up, and so they’ve decided to ask huge money for their 2000 911 Cabriolet with Tiptronic. “It’s the same as an older 911,” these people reason to themselves. “But even better.” Then they post it on RennList and everyone laughs at them.With that said, allow me to provide a brief aside that may help justify the recent increase in 911 pricing.As many of you know, I used to work for Porsche Cars North America, where I had a series of five different brand-new Porsche company cars, only two of which I crashed. These were amazing vehicles, with incredible performance, handsome looks, surprising practicality, and true daily driver capabilities.While I was working at Porsche and since, I have amassed a car history that now includes 21 vehicles, ranging from an E36 BMW M3 to a Ferrari 360 Modena to a Lotus Elise. And none of these cars – not one of these vehicles – has ever been able to do what my 911s could.The Elise was reliable, but not comfortable – and it couldn’t carry four people or any luggage. The Ferrari was gorgeous and fast, but you couldn’t drive it every day. The M3 was fun and practical – but it didn’t have the look of a 911. My E63 AMG wagon, my Skyline, my CTS-Vs – they all had some fatal flaw that kept them just shy of the 911 on my “perfect car” measuring stick. And whenever anyone asks me what car I would own if I wasn’t buying crazy cars just to write about, the answer is always the same: a used Porsche 911.So yes, I’m saying there’s a bubble. But I’m also saying that some of it might be justified. Link to comment Share on other sites More sharing options...
hugh Posted 5October, 2015 Report Share Posted 5October, 2015 Cute. Link to comment Share on other sites More sharing options...
Airhead Posted 6October, 2015 Report Share Posted 6October, 2015 If they didn't everyone would have one. Link to comment Share on other sites More sharing options...
turboT Posted 6October, 2015 Report Share Posted 6October, 2015 simple answer - BRAND Link to comment Share on other sites More sharing options...
firstone Posted 6October, 2015 Report Share Posted 6October, 2015 Because people think they're going to miss out. Link to comment Share on other sites More sharing options...
Claywong Posted 6October, 2015 Report Share Posted 6October, 2015 There is so much racing pedigree to the Porsche brand. It's more than just a "bubble", from what I see, more and more people are recognising their significance in the market. Yeah some of them are riding the wave to get the easy buck, but in reality... All of the air-cooled cars are truly great!Having been extremely fortunate to experience/drive/own the newest super/sports cars that have just entered the market. These classic 911's are amazing things to drive and have such discovered a newly found passion, that is not going to fade away, ever... Link to comment Share on other sites More sharing options...
Coastr Posted 6October, 2015 Report Share Posted 6October, 2015 Lots of people want one. Some spurred on by boyhood dreams, some by the bandwagon, some wanting to speculate. they didn't make that many of them. A large numerator and small denominator result in a bigger number. end of story. Link to comment Share on other sites More sharing options...
cyberpunky Posted 7October, 2015 Report Share Posted 7October, 2015 Some things are more than the sum of their parts. It cannot be explained, only experienced. I love cars and see many cars that I think wow what a cool car but I have also driven many cars, and what a great Porsche(and not all Porsches are great) has, is far more than it being just a cool car. It is a drivers car, and so it is the feel through the wheel and the seat of your pants, it is the grip, the power delivery, the sensations, the sounds, but it is not the badge. The badge definity has appeal but for anyone who thinks its just about the badge, really does't get it and probably never will. Link to comment Share on other sites More sharing options...
Raven Posted 7October, 2015 Report Share Posted 7October, 2015 I certainly agree with every thing quote above about what a great drivers car they are , the racing history and the exclusive nature of the brand ,,,,but I must say our government Tax,s and Duty on luxury cars certainly dosn,t help with the final price of the 911,,,,Prices in Australia must be close to being the highest in the world for P cars ....Please don,t get me wrong I do feel very lucky and privileged to be the owner a pristine example of the 911 ,,,,but do also feel the tax,s are just to excessive and not valid ......... Link to comment Share on other sites More sharing options...
clutch-monkey Posted 7October, 2015 Report Share Posted 7October, 2015 Lots of people want one. Some spurred on by boyhood dreams, some by the bandwagon, some wanting to speculate. they didn't make that many of them. A large numerator and small denominator result in a bigger number. end of story.this.they are great but not 'current prices' great. Link to comment Share on other sites More sharing options...
Dreamr Posted 7October, 2015 Report Share Posted 7October, 2015 this.they are great but not 'current prices' great. I think we might need to get used to "current prices" being the "normal" prices. Link to comment Share on other sites More sharing options...
Claywong Posted 7October, 2015 Report Share Posted 7October, 2015 I think we might need to get used to "current prices" being the "normal" prices.Agreed, its never going to go back down to what it was... Link to comment Share on other sites More sharing options...
HH1 Posted 7October, 2015 Report Share Posted 7October, 2015 I certainly agree with every thing quote above about what a great drivers car they are , the racing history and the exclusive nature of the brand ,,,,but I must say our government Tax,s and Duty on luxury cars certainly dosn,t help with the final price of the 911,,,,Prices in Australia must be close to being the highest in the world for P cars ....Please don,t get me wrong I do feel very lucky and privileged to be the owner a pristine example of the 911 ,,,,but do also feel the tax,s are just to excessive and not valid .........Eventhouh prices are high they are no where near what the prices are in Singapore. Visit wwww.sgcarmart.com to have a feel of what they are paying over there and btw the AUD is equal to SGD. Link to comment Share on other sites More sharing options...
Oldmxnut Posted 7October, 2015 Report Share Posted 7October, 2015 As porsche said himself.. the last car on earth will be a sports car. With autonomy just around the corner, electric soulless cars already in play, diesels recently kicking an own goal. A low volume, identifiably branded, naturally aspirated or old school turbo (i.e. lag), manual geared, unpredictably drivable and somewhat generally impractical car can only increase in value Link to comment Share on other sites More sharing options...
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