Those who appreciate the performance, luxury and exclusivity of supercars He’ll be happy to explain why owning one is an exhilarating experience, to say the least. An eye-catching body that turns heads, along with the pure adrenaline rush of accelerating from 0 to 60 in a matter of seconds, and let’s not forget, the sheer sense of pride of owning an exotic car!
The glitz and glamor of exotic car ownership is something that keeps many aspirants up at night. Perhaps this is why no one can look past these features and consider the practicality of owning one sports cars. People usually underestimate maintenance and repair costs, but this is only the tip of the iceberg. It goes without saying that before making the investment, car enthusiasts should be aware of some hidden costs that can quickly outweigh the fun of owning an exotic car. Let’s dive into these!
Insurance for exotic cars is high
Exotic cars are known to be great value with specialized parts and engineering. Unfortunately, this means they have a higher risk of theft or damage, and as such, insurance costs tend to be significantly higher for exotic cars. If you look at the most expensive cars to insure, you’ll usually find that the list is full of exotic cars.
Before insuring their supercars, owners should take all possible safety measures, including installing tracking devices and keeping the car in a safe place. These are some necessary steps that are required by insurers, and thanks to these, you can see the cost of insurance increase as fast as the speed of your car.
Storage problems can be annoying
Most people may not know that exotic cars must be kept under specific environmental conditions. You can risk damaging your supercar if you don’t keep it somewhere below the specified temperature and humidity levels, or if you protect it from direct sunlight with adequate ventilation. For this, suitable climate-controlled storage facilities are required. And as you might have guessed, these facilities don’t come cheap.
Storage costs for exotic cars are very high as owners often need to invest in specialized storage such as private garages, car storage facilities or even heated shipping containers. These facilities must be paid for each month and their costs may increase further depending on the area. Also, let’s not forget that even if you keep the car in storage, it will still need specialist maintenance from time to time, or else it will probably be discovered by someone as one of those expensive rides buried in storage units in the future
Maintaining an exotic car can cost a fortune
Owning an exotic car is very likely to ruin you with maintenance. These vehicles require specialized knowledge and equipment during service, such as scissor lifts or specific jigs to hold the engines. Even regular maintenance such as oil changes and brake pads can be considerably more expensive as these cars are high performance.
The fact that exotic cars require maintenance more frequently compared to standard vehicles doesn’t help either, and this of course adds another hidden cost. This is also non-negotiable, so if you’re thinking of skipping some services, it’s simply a bad idea. Ensuring the longevity of your exotic car requires strict maintenance checks, and this includes regular detailing as well as specialist services such as engine tuning.
Spare parts for exotic cars are extremely expensive
Exotic cars don’t sell for millions, so their parts aren’t made as often as typical cars. In fact, supercars are produced in very short runs and are discontinued quite quickly, so getting new parts is usually an expensive ordeal. While aftermarket parts can give a typical vehicle a whole new life, exotic cars are a different story.
The parts for your supercar also go hand in hand with the service. How much a dealer charges to exchange a part is one thing, while the actual cost of the part itself is something entirely different. For example, replacing the brakes on a Bugatti can cost you upwards of $18,000. And that’s just for the front rotors! Not to mention, brakes are the most commonly replaced parts, so you can imagine what it’s like with more complex ones.
Cleaning and detailing an exotic can burn a hole in your wallet
All those unique materials and finishes aren’t going to stay clean now, are they? You’ll likely need specialized cleaning products and techniques, and if you don’t have enough time to do it yourself, you’ll have someone else do it for you.
Exotic car cleaning and detailing is a growing market, and that’s mainly because many owners have their supercars professionally detailed. And it makes sense too. If you get an expensive toy, why wouldn’t you want to keep it shiny and new all the time?
Taxes and registration fees
Be sure to check your state’s registration and taxes on high-end vehicles. Exotic cars tend to be more expensive to register and hold great value. Some states also have a luxury tax on these cars. New Jersey is one example, as the state imposes a one-time 0.4% surcharge on vehicles priced over $45,000. So that’s around $400 for a $100,000 vehicle.
While this may seem like a small hidden cost, keep in mind that you’ll also have to pay other state sales taxes and fees. Some states also require additional inspections and emissions testing for exotic cars, which add to this hidden cost. It goes without saying that this is an area where you should definitely do your homework. Be very careful if you are buying the car from a dealer because some dealers are known to sell unregistered exotic cars.
Exotic cars have some of the highest depreciation rates
High-end luxury cars tend to lose a large portion of their value in a relatively shorter period of time. This is due to a number of factors including limited demand, technological advances and high maintenance costs. In fact, if you really consider depreciation and what it can mean, you’ll probably want to buy a cheap depreciated luxury car.
That said, exotic car owners can have a hard time recouping their investment, so if you plan to buy one and keep it for a long time, you better be mentally prepared because most of your investment will be lose because of this hidden cost.
Some exotic cars are big gas guzzlers
You’d be surprised how many cars run on premium gas these days, and supercars are certainly among them. These vehicles run on high-performance engines and therefore premium gasoline is an absolute necessity. We all know how expensive premium gas can be compared to its regular counterpart. But adding insult to injury is the fact that most exotic cars tend to have relatively poor fuel efficiency. Powerful engines don’t just work alone, of course. And this is another hidden cost.
Another fact not commonly known is that sports cars have smaller tanks, so owners tend to visit the gas station more often. In other words, fueling your exotic car is definitely a handful, and if you plan to drive frequently or over long distances, this is one aspect that might make you think twice.
Higher financing rates for exotic cars
Some banks have been known to charge up to 10% interest on exotic car financing. At that rate, you can expect to pay $25,000 more on a $100,000 exotic car loan, depending on the overall term of your loan. This is significantly higher than the national average for traditional vehicles. So, if you’re thinking about how much it costs to finance a Bugatti, it’s safe to say that it costs a lot more than you’d expect.
Limited resale market, high purchase price and higher risk perception among lenders are some of the reasons why exotic cars tend to have such high financing rates. It’s also important to mention that most lenders only offer short-term loans, which will increase your monthly payments even more. Generally, a higher financing rate will result in a significant hidden cost added to the total cost of ownership over time.
time
As they say, time is money. When you own an exotic car, you expect to entertain numerous enthusiastic onlookers and their questions wherever you go. Of course, most exotic car owners will enjoy the attention, but over time this tends to become a nuisance.
Daily tasks like visits to the gas station or grocery runs in your exotic vehicle will take much longer to complete. People will drive by, take pictures, and ask you the same four out of five questions, like how fast, how much, how did you pay for it, etc. The questions will always be the same and will never end. So be prepared to spend twice as much time as usual for everyday things if you plan to take your exotic car.
