What are monthly payments on exotic cars? (Ferrarri's, Porsches, Lamborgini's, etc.)?

Question

(everytime I see one, I'm curious what the owner does to afford them-buisness owner/doctor/or?)

Answer 1

A $250,000 car typically comes with a monthly price tag of around a $3,500 or $4,000 a month payment. This is in addition to a hefty luxury tax and another several hundred a month for decent insurance coverage. This is for a new exotic of course, a lightly used one can be found for 1/2 to 2/3 of the original monthly payment.

The majority of people who drive these cars are business owners, some are doctors, a few are lawyers. Being in business for yourself, even a small business, can easily generate 20-25k a month in profit, so 5k a month on a car worth as much as many peoples homes isn't a huge deal.

In my opinion I'd rather take my money elsewhere. For a fraction of the cost I can restore an old classic that'll run 9's, and have all the latest amenities. I've driven a few of these supercars in my lifetime, the most memorable was a 2002 Viper GTS (I believe that was the tag), it had nearly 1,000HP and hit 110MPH in 2nd gear. The price tag on that car? $140,000.

It really helps to put things into perspective...can you really feel good about yourself spending more than most people make in a month on a car that's going to wear out and eventually be worth nothing? Some people can and some cannot. I drive an expensive vehicle but it is certainly not equal to a massive mortgage payment.

Hope this helps!

Answer 2

The payment on my fiance's Jeep is $300 a month, so I'd expect the payment on exotic cars to be in the neighborhood of several thousand ($2000-$3000) a month. Based upon that, I'd expect the owner to be pulling in a few hundred thousand ($200k-$300k) a year. Not that that deserves any special respect that is usually demanded, I'm quite happy with my Civic.

Don't be fooled though, I've met people that just rent them for special occasions when they want to feel rich and want others to think they're rich.

Answer 3

Don't forget there is a big difference between buying and leasing.

If you buy a $225K car (say you put $25K down) and pay over five years you are paying $3600-$4000 a month depending on interest rate.

If you lease a $200K car for three years and the residual (it is worth after 3 years) is $125K then you are spending $75K over three years, around $2400 a month. But you never "own" the car. Leasing is like renting.

Many business owners and executives get a tax deduction for business use of their car. A business might pay for the car entirely as a perk of the job.