Old lux car cost

[Q45tech]

I periodically remind owners that a $50,000 MSRP car probably cost $40,000 [$30,000 in parts [$3000 to assemble] or $55,000 parts at dealer retail] and the parts to labor ratio is 60:40.

Based on a conservative failure rate [1.5% annual] that's only $750 per year from day one in parts or about $7,500 in 10 years, now the factory warranty reserve is around $2,000 [things that fail in the first 4-6 years] leaving somebody to pay the other $5,500 unfortunately the exchange labor almost doubles the cost.

The above does not consider NORMAL wear items like: Tires, brakes, shocks, suspension items [upper links, tension rods, rubber bushings], mounts, batteries, filters and fluids.

General all the prebuys we do have some defects in the above items

When you buy a 10 year old [100-150k] V8 car you must find out how much of the NORMAL $10,000 [parts and labor] was spent previously or you may be on the hook for most of it!

Things like AC evaporator, condenser, compressor should have been changed. Alternator, radiator, driveshaft, transmission, sunroof, engine coolant hoses, knock sensors, are the things waiting to be changed.

Cars have a fairly perdictable depreciation: 50% MSRP at 3 years and 25% of MSRP at 6 years by 9 years they are down to 10-12.5% of new MSRP.......because all the cheap low cost miles have been used.

It amazes me that people buy a $50k car for $5-$10k and think they have bought something other than a string of repair /replacement payments on top of the necessary maintenance expense. That may easily EQUAL the used purchase price over the first 2-3 years of ownership.Luckily 10 year old lux cars are hard to finance [unless you go to pay here lots] otherwise more poor people would get stuck.

It truely amazes me how little percentagewise [15%] of the moving components go bad in 10 years [other than maybe the transmission and ac system].

[911/Q45]

It must be tough dealing with those folks Dennis. Everyone thinks they are savvy and got a great deal, then when reality strikes they lash out at the bearer of the bad news. Similar to people who buy as much house as they can possibly swing, then get buried by routine maintenance that they should have planned for.