Porsche 718 Boxster
Do you have your eye on a new Porsche 718 Boxster or 718 Cayman, but aren’t able to afford one? What if the car literally paid for itself? We recently saw an article on The Drive that showed how to get a free Tesla Model S. This opened our eyes to an entirely different way of thinking.
Here is how you can own a Porsche 718 Cayman or Boxster for free. We’ll use the 718 Boxster S for our example as it is the most expensive of the current Boxster / Cayman lineup (outside of the sold out Boxster Spyder / Cayman GT4). This technique can be used for just about any car, but one that out the door costs under $90,000 is the best way to guarantee that you can get back the monthly payment.
The Porsche 718 Boxster S has a starting price of $68,400. Add in a few options and that will easily get you to a $75,000 price with the mid-eighties being easy to get to depending on what boxes you tick. You’ll also need to figure in tax and license which will vary depending on where you live. For an out the door price we’ll estimate $85,000 which could be more or less depending on your options and where you live.
Let’s figure that your credit rating is just OK, so you get a 5% interest rate and have $3,000 to put down on the car. Now let’s figure you do a 6 year loan and you roll tax and license into the loan with an 8% sales tax rate. On the $85,000 car price your monthly cost would be about $1,400 and we’ll up that to $1,500 for our estimating purposes. These numbers are fairly rough, but are close enough to give you the general idea.
Now for most people $1,500 for a car payment is quite a bit. I know a few people in California (although not in LA or San Francisco) that pay about that for their mortgage. Now how does the car pay for itself, because it obviously has some work to do.
Enter TURO to pay for the car. TURO is a service that allows car owners to rent their cars, similar to vacation rentals. Since Uber is not an option if you don’t have four doors (although we have heard of some people lying about having a Prius and instead using a supercar), renting out the car is best.
We’ve done some research and a 2014 Porsche Boxster is currently getting about $150 a day for a rental service. Of that money 25% goes to TURO for providing their services. A brand new 718 Boxster S should be able to command a premium, but as it ages what you can rent it for will go down. Because of this we’ll use $150 as an average price.
Providing you can rent the car for $150 a day you need to rent it out about 14 days a month to have it make the entire payment (after we take out the $37.50 that is taken by the service). Obviously, if you rent it less days, you are on the hook for the difference in price.
All this comes down to about 168 days a year that you would need to rent out the car in order to have it pay for itself. If you are good with saving you could potentially rent it for months at a time to various people and use that to pay for the months you decide not to rent it.
Using this technique you would potentially rent it during vacation periods, such as the months of June, July and August as well as November and December. Add in a few three day weekends during the year and your payment for the year is made.
There is an elephant in the room, which is what people will be doing to my car when they rent it. After all the fastest car is a rental car. TURO tries to provide peace of mind to owners by requiring that renters purchase $1 million liability insurance. Plus you are more likely to have more responsible people renting from you with the higher price for a rental. Having said this, you would still need to figure some cost for added wear and tear.
So, there you go. You can own a Porsche 718 Boxster or Cayman (or just about any other expensive car) for free. While there is some risk involved, namely that it won’t get it rented enough, it is possible to have it pay for itself or at least cut your payment considerably. Now all of this works much better if you live in a high tourist area, such as Los Angeles. We can’t guarantee that you can get a free Porsche, but if you get everything just right you could.