Luxury cars are often seen as a status symbol, a testament to one’s success and taste. However, owning one can come with a steep price, both upfront and over time. As the definition of luxury evolves, so does the list of cars that can quickly become financial burdens. Here are some luxury vehicles that experts advise against if you want to keep your finances in check.
The Bugatti Veyron: The Million-Dollar Dream
The Bugatti Veyron is a marvel of engineering and speed, but it’s not for the faint of heart — or wallet. With a starting MSRP of over $1 million, the Veyron is one of the most expensive cars on the market. But the high purchase price is just the beginning. Joe Giranda, director of sales and marketing for CFR Classic, highlights the exorbitant maintenance costs associated with the Veyron.
“Annual maintenance alone can exceed $20,000,” Giranda says. “And tire replacements can cost upwards of $30,000. Plus, every few years, there’s a special service required that runs around $100,000.”
Owning a Bugatti is a commitment to both luxury and financial sacrifice, making it accessible only to those with deep pockets.
Rolls-Royce Phantom: The Epitome of Opulence
The Rolls-Royce Phantom has long been synonymous with luxury, elegance, and class. With a starting MSRP of $505,750 for the 2024 model, it’s a significant investment. However, as Giranda points out, the costs don’t stop there.
“Maintaining a Phantom can easily cost $5,000 annually,” he explains. “The parts are specific and rare, making repairs costly. And don’t forget about insurance, which can exceed $10,000 per year.”
While the Phantom offers unparalleled luxury, it also demands a substantial financial commitment that can drain your bank account over time.
Range Rover: Luxury Meets Frequent Repairs
Range Rovers are known for their blend of luxury and off-road capability. But according to Geoff Cudd, a consumer advocate and automotive expert at FindTheBestCarPrice, they’re also notorious for frequent and expensive mechanical issues.
“Air suspension, electrical systems, and engines often require repairs,” Cudd says. “The five-year cost to own a 2024 Range Rover is estimated at $169,621, with $60,604 in out-of-pocket expenses.”
While owning a Range Rover might make you feel ready for any adventure, the financial toll can be significant.
BMW 7 Series: The Cost of Sophistication
The BMW 7 Series sedan is a symbol of high performance and luxury. With a starting MSRP of $97,395 for the 2024 model, it’s a considerable investment. Cudd notes that the real costs come with maintenance and depreciation.
“This flagship sedan has expensive maintenance needs, from routine services to major repairs,” Cudd explains. “The five-year cost to own a new BMW 7 Series is more than $128,000.”
For those looking to enjoy luxury without breaking the bank, the BMW 7 Series might not be the best choice.
Maserati Quattroporte: Luxury with a Steep Depreciation
The Maserati Quattroporte is more affordable than some other luxury cars on this list, with a starting MSRP of $140,995. However, it comes with its own set of financial challenges. Giranda points out the high maintenance costs and rapid depreciation.
“Owners can expect to spend around $2,000 annually on maintenance,” Giranda says. “Major repairs can cost up to $6,000, and the depreciation rate is quite steep, leading to a significant loss in value.”
While the Quattroporte offers an exotic appeal, it can quickly become a financial burden.
Audi A8: Technology at a High Price
The Audi A8 is known for its advanced technology and comfort, but this comes with frequent and costly maintenance. The 2024 model starts at $91,995, and Cudd warns of the ongoing expenses.
“The A8’s complex systems often lead to expensive repairs,” he says. “The five-year cost to own a 2024 Audi A8 is about $124,000, with nearly $61,000 in out-of-pocket expenses.”
For those who love high-tech features, the A8 is appealing but financially demanding.
Mercedes-Benz S-Class: A Sophisticated Money Pit
The Mercedes-Benz S-Class is often considered the pinnacle of luxury cars. Starting at $118,450 for the 2024 model, it’s packed with advanced technology and luxurious features. However, Cudd highlights the financial downsides.
“The S-Class suffers from rapid depreciation and high maintenance costs,” Cudd explains. “Annual maintenance and minor repairs can easily cost thousands of dollars.”
For many, the S-Class represents the ultimate in luxury, but it can quickly turn into a financial drain.
Understanding the True Cost of Luxury Vehicles
When considering a luxury vehicle, it’s crucial to understand the long-term financial impact. Kelley Blue Book defines the five-year cost to own a vehicle as the total amount you’ll spend in the first five years, including depreciation, repairs, insurance, and other expenses. Knowing these costs can help you make an informed decision and potentially save a significant amount of money.
While luxury cars offer unparalleled comfort and prestige, they can also come with hidden costs that add up quickly. Before making a purchase, it’s wise to consider all the financial implications to ensure that the joy of owning a luxury car doesn’t come with unwanted financial stress.
