Driving a luxury car is one way to reap the reward for years of hard work, but not all high-end vehicles age gracefully — or affordably.
According to the Federal Reserve Bank of St. Louis (FRED), it takes an average of $5,000 a month to live comfortably in your golden years and transportation costs are $9,033 per year, which could easily skyrocket with the wrong vehicle.
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For retirees living on a fixed income, certain used luxury models can become money pits, thanks to costly repairs, expensive parts and declining reliability. Before you splurge on that dream ride, take a look at the used luxury cars experts say retirees should steer clear of to avoid taking a serious bite out of your savings.
7 Series from BMW
While it’s famous for its luxury and performance, it’s also famous for being expensive to repair and maintain. According to CarEdge, the 7 series will run around $15,991 for maintenance and repair costs during their first 10 years of service, which is $4,007 more than other luxury brands.
In addition, there’s a 47.1% chance that a BMW vehicle will need a pricey repair in that time frame.
“The electronics, air suspension and various parts of the drivetrain can be costly to repair, and common issues include both engine and transmission woes that can develop into very expensive issues over time,” Rob Dillan, automotive expert and founder of EVHype said.
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Land Rover Range Rover
The Land Rover Range Rover has a luxurious interior and off-road ability, but high maintenance expenses.
“For models from 2002 to 2012, you can face $19,000 in repairs over 10 years for things like air suspension failures and electrical issues,” Dillan said.
CarEdge also puts the amount of repairs around that figure. The site estimates $20,136 for maintenance and repairs during its first 10 years of service, which is $7,642 more than other luxury SUV models. Plus, there’s a 51.26% chance a Land Rover Range Rover will need expensive repairs within the first decade.
Mercedes S-Class
Mercedes S-Class is known for luxury and features, but it can be expensive to maintain, particularly for older cars. In the first five years of ownership, expect to shell out $12,406 for maintenance and repairs, per Edmunds.
“Air suspension and electrical repairs can add up and make it a less dependable option for retirees,” Dillan explained.
Audi A8
The Audi A8 is a sleek design and high performing full-sized sedan, but it puts a dent in your savings.
“High repair costs are another common complaint with the otherwise solid-performing Audi A8,” Dillan said. “That air suspension, in particular, can be a nightmare and costly to retrofit. Even the technology systems in those cars typically need to have repairs done after several years, further contributing to the expense.”
In the first 10 years of service, CarEdge estimates it will cost owners $10,618 for maintenance and repairs, which is $828 more than the industry average. In addition, there’s a 27.7% chance of a big repair needed in that time period.
Jaguar XJ
It may not be very reliable, which is bad news for retirees and car owners, but the Jaguar XJ is a beautiful and stylish car.
“Maintenance costs — especially for the engine and the electrical systems — can be expensive. Older ones in particular may be in need of frequent repairs,” said Dillan.
According to CarEdge, in the first decade of ownership, Jaguar models typically average $15,662 for maintenance and repair costs — that’s $3,678 more than the industry standard. There’s also a high chance — 44.9% — that something major can happen in the first 10 years.
Porsche Panamera
The Porsche Panamera delivers world-class performance, but ownership costs are quite a barrier.
“The repair and maintenance costs can easily reach the thousands, especially with your transmission and suspension,” said Dillian.
It’s not cheap to take care of a Porsche and the brand doesn’t hide it. According to Porsche West Palm Beach, it’s here’s what owners could look at cost-wise:
- Routine service: $300 to $800
- Major service needs to be done every 40,000 to 60,000 miles: $1,200 to $2,500
- New brakes: $1,500 to $3,000
- Transmission service: $800 to $1,500
Before purchasing a luxury car, or any car, research what the associated costs are like insurance, gas, repairs and maintenance to ensure you won’t blow your budget and can still live prosper in retirement.
Editor’s note: Photos are for representational purposes only.
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This article originally appeared on GOBankingRates.com: 6 Used Luxury Cars Retirees Should Avoid
