With sleek lines and powerful engines, luxury sedans have a way of turning heads. However, they also get noticed for another reason: staggering depreciation. These once six-figure machines now cost less than new economy cars. And even after a decade or more, these high-end vehicles still deliver serious performance and advanced technology.

In partnership with the Backspeed Boys, Endurance has launched a series that highlights underrated models, including fast yet affordable luxury sedans. These cars have a lot in common: German origin, speed, and comfort. Yet, they also share something else: a reputation for expensive repairs. When something breaks, repair costs don’t suddenly become cheap because the resale value has dropped.

The Luxury Sedans at a Glance

Don’t let potential expenses scare you away from these luxury cars. This guide will cover common trouble areas that buyers should be aware of and explain how you can minimize financial risk with an extended car warranty.

Here’s a quick look at the Backspeed Boys’ top choices for affordable luxury sedans with some speed:

*The vehicles in this article are featured for informational purposes and do not represent a guarantee of coverage. Eligibility for an Endurance vehicle service contract varies based on vehicle make, model, mileage, and condition. Contact an Endurance representative or request a free quote to confirm available options for your vehicle.

BMW 750i (2013–2018, F01/F02)

Let’s crunch some numbers to give you an idea about the BMW 750i’s eye-popping depreciation. In 2013, the base model with the twin-turbocharged 4.4-liter V8 engine stickered at almost $92,000. And that was before any upgrades. Shopping for the same car now means spending around $12,000, a remarkable 87% depreciation. Even stepping up to the 2018 model year isn’t likely to cost more than $20,000.

Underneath the hood sits BMW’s mighty N63, which produces 445 horsepower and 480 lb-ft of torque. That’s enough oomph to push this full-sized luxury sedan to 60 mph in under 4.5 seconds. Yet, the engine’s Hot-Vee design (with the turbochargers and exhaust manifolds placed in the engine valley) may increase wear. Replacing one of the turbocharger assemblies costs $4,183–$4,709. Remember, this car has two turbochargers.

The 750i has a reputation for coolant leaks, which can be traced to many problems. Replacing a damaged coolant reservoir will cost $504–$601, while a new water pump can run from $967 to $1,182. The N63 is also infamous for excessive oil consumption, which can be attributed to defective valve cover gaskets ($2,188–$3,140), worn valve stem seals, or a PCV (positive crankcase ventilation) issue, among other problems.

Mercedes-Benz S550 (2014–2017, W222)

Mercedes-Benz’s long-standing rivalry with BMW continues into the flagship sedan arena. When it debuted in 2014, the sixth-generation S-Class redefined luxury transportation with advanced technology and a sophisticated powertrain. It’s a vehicle that the Backspeed Boys describe as “timeless,” as the newer W223 generation bears a striking similarity to its W222 predecessor.

The S550 from 2014 through 2017 features a twin-turbo 4.7-liter V8 that makes 449 horsepower and 516 lb-ft of torque, slightly more potent than the 750i’s setup. Meanwhile, the car’s refined suspension and serene cabin offer an experience that few vehicles can match.

Where the S550 also stands out is in its stunning depreciation. The least expensive version hit showrooms in 2014 with an MSRP of over $98,000. Buying that same car today only requires bringing $15,000 to the table, an almost 85% decline in value. 2017 models with less than 100,000 miles are readily available for around $25,000.

However, the S550 has its shortcomings, which mainly center on its advanced air suspension. While this equipment provides a smooth ride, it can also lead to an expensive trip to the repair shop. Replacing a shock or strut can cost an astronomical $5,596–$5,818. Even a new air compressor can set an owner back $1,361–$1,441.

The S550 is also prone to electrical problems, which can be difficult and expensive to diagnose. Even something as simple as installing a new alternator comes with a premium price tag: $1,133–$2,217. The same repair in a Toyota Camry costs $550–$809.

Audi A8/S8 (2013–2017, D4)

Audi offered two versions of its crown jewel sedan, the sedate A8 and the more sinister S8. Both versions were available with a twin-turbocharged 4.0-liter V8, but output varied by model. In the A8, this engine produced 420 horsepower and 444 lb-ft of torque. The specs were even more notable in the S8, which made 520 horsepower and 479 lb-ft of torque. Both models also came standard with all-wheel drive, which helps with acceleration and all-weather confidence. In a road test of the 2013 A8, Car and Driver recorded an astonishing 0-to-60 mph time of 3.6 seconds, which rivaled many high-end sports cars of the day.

With a starting price of $110,000 when new, the 2013 S8 wasn’t a bargain compared to its BMW and Mercedes rivals. However, a same-year A8 looked like quite the deal with a base MSRP of nearly $83,500. Fast forward to today, and the wonders of depreciation are on full display. A8s from 2013–2017, with moderate mileage, sell for $15,000–$25,000 on the second-hand market. Meanwhile, S8s from the same range can cross into the $30,000+ territory.

But before rushing off to buy an A8 or S8, take some time to learn about their weak points, which start with a troublesome air suspension. Repairing a defective system can cost $5,579–$5,773, which can equal a third of the car’s value.

However, that’s not the only trouble known to plague the A8/S8; the cooling system can be problematic as well. The cost to replace the water pump is $871–$911, while a new thermostat costs $1,229–$1,532. Owners have reported coolant leak issues. Like other German luxury cars, these Audis also have a history of temperamental electronics.

Porsche Panamera (2011–2016, 970)

It wasn’t that long ago when a conversation about sedans couldn’t include Porsche, but that changed with the introduction of the Panamera, which launched in the U.S. in 2011. The automaker had already smashed convention with the Cayenne SUV. So, a large luxury sedan wasn’t a total stretch.

While the looks of the first generation may be ungainly to some, used car pricing starting around $13,000 can make Porsche dreams a reality. That’s a notable amount of depreciation for a vehicle that started at about $78,000 when new during the Panamera’s first year. You’ll have no trouble spending more for newer models with fewer miles, but they’ll still be substantially less than when new. Base power came from a 296-horsepower V6, but higher-end trims, like the Turbo and GTS, featured a 4.8-liter V8 that produced up to 542 horsepower.

There’s no getting around the fact that Porsches are sophisticated, which can translate into expensive repairs if something goes wrong. Fortunately, the Panamera was never affected by the notorious IMS bearing problem that impacted some 911, Boxster, and Cayman models.

Nonetheless, owners need to be alert to issues with the cooling system. In addition to vulnerable pipes, the water pump is known to fail, with a replacement costing $1,263–$1,589. The thermostat housing is also known to crack.

The Panamera’s PDK system, a double-clutch transmission, has a history of issues ranging from worn clutch packs to outright failure. Predictably, repairs can be quite pricey. Fixing a clutch at $2,086–$2,280 might not be so bad against a new engine, which can cost up to $25,000.

The Common Thread: Depreciation Doesn’t Reduce Repair Costs

A luxury sedan at a fraction of its original cost may be hard to resist, but the reality is that repairs don’t get cheaper with age. That’s the cold fact of owning one of the cars on this list. There’s also no escape from the fact that twin-turbo V8s, adaptive suspension systems, advanced electronics, and high-end drivetrains require expertise and expensive replacement parts when something goes wrong.

An extended warranty, also called a vehicle service contract or auto protection plan, may help owners manage certain repair costs with premium automobiles like the BMW 750i, Mercedes-Benz S550, Audi A8 or S8, or Porsche Panamera. For models that qualify, having coverage available for certain turbocharger, suspension, cooling system, and electronic repairs can be substantial.

Hit the Road in Style and with Protection

The Backspeed Boys remind auto enthusiasts that luxury, performance, and value aren’t mutually exclusive. Yet, prospective owners should be aware that any car without a factory warranty is at risk of expensive repairs. That’s why an Endurance Warranty plan can bring greater owner confidence, especially when a high-end car is involved.

Endurance offers a variety of coverage tiers, including options for select luxury models. Every plan includes 24/7 roadside assistance with towing, rental car reimbursement, travel interruption protection, and a 30-day money-back guarantee. Equally important is that Endurance customers can choose any licensed facility for covered repairs, including dealership service departments and specialty shops (a bonus with high-end brands like Audi, BMW, Mercedes-Benz, and Porsche).

Discover your coverage options by requesting a FREE quote. Instant plan and pricing details are also available at the Endurance online store. Endurance representatives are also available to discuss custom coverage options; call (800) 253-8203.

Read the Endurance blog for more articles covering maintenance and repair tips, DIY advice, warranty insights, car reviews, and more.

Visit the Endurance YouTube Channel to watch the entire Backspeed Boys series, including the Top 6 Sports Cars Under $25K (That Aren’t Old) and Muscle Cars You Can Buy Cheaper Than a New Honda Civic.