Lump-Sum Payment or Loan?

About three years ago, when my husband bought his first Porsche（981 Boxster GTS）, he had been saving up for it for quite some time. He paid about 70% in cash and financed the remaining 30% with a loan. The reason he didn’t go for a full loan was because he thought “everyone who buys a luxury car like a Porsche pays in full with cash,” so he wanted to pay as much as possible upfront in cash.

However, when he mentioned this to Mr. H, the dealer in charge at the time,

“No, that’s not really the case. Many customers actually buy with loans.”

he was quite surprised and thought, “Really? Is that so!”

So, when he later purchased a Panamera, he financed everything except the order deposit with a loan.

What About Cash Flow?

When I asked him, “But if you take a loan, you have to pay interest on top, so isn’t it actually more expensive?”, he said:

No, that’s not the case.
I used to think the same when I was a salaryman. And I also thought “It’s cooler to buy a luxury car outright with cash.”
But I realized that from a cash flow and liquidity perspective, it’s better to keep cash on hand even if you pay interest.
Also, Porsches tend to depreciate less than other brands, so it’s better to take a longer loan to keep monthly cash outflows lower. When you sell, the car still holds decent value, so some of what you paid might come back to you or even cancel out the loan balance.

To explain a bit more in detail:

① Keep Cash for Cash Flow
Just like in business, if you suddenly lose 10 million yen in cash from your account, you’ll have to come up with money again for annual maintenance, repairs, and inspections. On the other hand, if you pay monthly installments via a loan, you can allocate the saved cash toward maintenance and inspections, or even invest it elsewhere. Also, having cash on hand provides peace of mind in case of emergencies.

If you’re a billionaire with enough assets to comfortably pay 10 million yen in cash without any issues, then paying in full without interest might be fine. But for most people, there’s no real need to pay in full upfront.

② Porsche Has Good Resale Value
Compared to other cars, Porsches depreciate less. Moreover, GT models or rare variants can sometimes sell for more than their original purchase price. In such cases, it’s better to take a long-term residual value loan and pay monthly installments gradually.
On the other hand, cars with high depreciation rates might leave you with a loan balance exceeding the resale value, forcing you to pay extra when selling.

Porsche Loan Services

When purchasing a Porsche, you can also apply for loan services like “Porsche Auto Loan” or “Porsche Power Loan.”

Porsche Loan – Porsche Japan

The Porsche Auto Loan offers a loan program where you can choose the best payment plan including down payment, number of installments (6 to 60 months), and bonus payments. The Porsche Power Loan allows you to defer about 40% of the vehicle price (for 36-month terms) to the final payment after 3 years, significantly reducing your monthly payments compared to a regular auto loan.

So, buying a luxury imported car like a Porsche with a loan is nothing to be embarrassed about—in fact, it’s a smart way to buy. Feel confident using a loan.