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Old 02-21-2011, 06:49 AM   #77
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Join Date: Feb 2011
Location: Connecticut
Posts: 3

Originally Posted by thstone
Anyone who buys a used Porsche with a warranty is paying for the repairs, the price of the repairs just happens to be built into the price of the car. That is why a car with warranty is usually anywhere from $2,000-$4,000 more than similar vehicles without a warranty.

My experiece from owning two BMW's that I bought CPO with warranties is that the warranty is about break even - meaning that the $2,500 premium that I paid to get a car with a warranty is about what I would have spent on repairs over the life of the warranty.

No surprise there, the dealers know what is likely to faill and the costs to repair the cars and set the CPO price according and the private market follows the same pricing model.

Since I really didn't save much with the warranty, I had no problem buying a nice '99 Boxster without any warranty. I'll pay for whatever needs to be fixed and come out about the same.
I bought my 2004 C4S in 2008 and immediately purchased an extended warranty (from an after-market company owned by the Penske Group, which also owns my local Porsche dealership). The warranty cost about $3,200. 18 months later the intermediate shaft let go, destroying the engine. The dealer honored the warranty and put in a factory rebuilt engine, together with a new radiator. The total invoice was over well over $18,000, and I had to pay just over $900 - the deductible and the taxes. Then after the car was totaled last October, I got a refund of over $1,200 from the warranty company for the unused portion of the warranty/premium. So you do the math - $2,000 saved me over $1,700. You can bet that when I bought a 2007 Cayman S to replace the C4S, it was a CPO from the same dealership.
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