New or Used: THE PRICE IS WRONG!

Bing writes:

I am a financially stable 27 year old engineer living in the Bay Area, where it seems BMWs and Audis are about as pedestrian as Camrys. I’ve been getting the car itch, but I don’t like the idea of getting an entry level luxury car like everyone else.

Almost by accident, I stumbled upon the idea of buying a early 2000s Aston Martin DB7 Vantage Volante, which can be had in the low to mid $40s. Aside from the car being gorgeous and powerful, I get to pretend that I’m not just another boring Silicon Valley yuppie (which, believe me, I am) while not being overly flashy (it’s old enough to have a “classic car” vibe). Financially, I would also like to think it has steadied out in depreciation, and if I sell it a few years from now, I may be able to recoup more of my investment compared to getting a much newer car. Finally, there’s something attractive about the idea of having your dream car while you’re young, rather than waiting until you’re 65. So the question is: is this a stupid idea?

1: Am I wrong about the depreciation? Is this car likely to keep falling in value? Will there be a demand for it in a few years?

2: Will this be too impractical of a car to drive on a regular basis? I live less than 2 miles from work so the low mpg is less of an issue. Will maintenance eat me alive?

3: Is this car too much for me to handle? My current car is a Ford Focus (which I won on the Price is Right, incidentally). I’d be getting a Touchtronic auto, which should be relatively tame, right?

4: Should I get a normal car now and wait another few years for the DB9 (which is just stunning) to depreciate to a similar price level? If I got the DB7 now, I may still end up secretly yearning for the DB9.

This is very unfamiliar territory here, so any thoughts and suggestions would be greatly appreciated. Thanks!

Steve answers:

Let’s answer your questions point by point…

1: Am I wrong about the depreciation? Is this car likely to keep falling in value? Will there be a demand for it in a few years?

Depreciation is always a big question mark. But that’s not so much of a make or break issue if you want an exotic. The real question is whether you fully understand the potential costs involved and the complete maintenance history on the vehicle.

If you don’t understand both, skip the exotic.

2: Will this be too impractical of a car to drive on a regular basis? I live less than 2 miles from work so the low mpg is less of an issue. Will maintenance eat me alive?

That gives me caution. Less than 2 miles means that your car is not going to fully warm up by the time you get to your business. You can make up for this by going on a nice pleasurable weekend ride. But a couple thousand small drives over four years would likely have an impact on your engine.

3: Is this car too much for me to handle? My current car is a Ford Focus (which I won on the Price is Right, incidentally). I’d be getting a Touchtronic auto, which should be relatively tame, right?

No, it may be a good fit for your desires. By the way, have you price about maintenance and known issues for this vehicle? The four figured price may be ‘over or under’ your expectations.

4: Should I get a normal car now and wait another few years for the DB9 (which is just stunning) to depreciate to a similar price level? If I got the DB7 now, I may still end up secretly yearning for the DB9.

Your commute gives me a bit of pause. If you have the means or are willing to pay the premium, then go for it. But I would personally opt against driving the two miles, and just walk whenever it’s practicable.

Sajeev answers:

I literally LOL’d at the word “investment” for a 10-ish year old Aston Martin. You are not looking at this right, not by a long shot. Or, put in terms of your Focus, “The Price is Wrong!” Yes, you can make money on anything if you buy it “low” enough. And Steve did a good job explaining the pitfalls of owning an exotic vehicle. All of which makes the word “investment” a bit of a massive lie.

What Steve forgot to mention is that you’ll be a tool for owning a flashy, 100% Not A Classic, not a current body style Exotic with mediocre performance. If someone in a new V6 Mustang challenges your stunt and floss…well, you see where I’m going with this. And your snotty yuppie friends will agree, if one of them has the balls to call you out. Or say it behind your back.

That’s because you have to really like a DB7 to own it. And as the inherently cooler DB9s and V8 Vantages drop in price, so does the DB7. This isn’t a Ford GT, it still has another good decade or so before the depreciation curve hits rock bottom. Then again, if you buy it for pennies at a police auction…

So keep the Focus if you get a DB7. And be ready to spend a lot of money on upkeep, none of which you will get back when you sell it for the car you really want: the DB9. Or sell the Focus, get a normal sports car (cough, Corvette) and deal with the lack of prestige while owning a real performance vehicle without the excessive maintenance costs. More to the point, LS7-FTW.

Need help with a car buying conundrum? Email your particulars to sajeev@thetruthaboutcars.com , and let TTAC’s collective wisdom make the decision easier… or possibly much, much harder.