Years ago, having a luxury car meant having to endlessly drain your wallet to keep the thing on the road. This was especially prevalent with European luxury cars, which were often less economical than their Japanese rivals. However, nowadays this is simply no longer the case, with plenty of luxury cars made by manufacturers the world over being far more affordable to run than ever before, and more often than not the finest examples are German.
Thanks once more to depreciation in the used car market, many luxury cars that were once priced over $100,000 as new can now be found for 1/5 of that, if not less. Fuel and maintenance may still be an issue, but if you offset that against the cost of buying the car, you’re still up on the deal.
To help you decide which luxury car to take a punt on, we’ve put together this list of 10 used German luxury cars that are cheap to own and maintain.
10 2016 Audi A3 Sportback e-tron
One of Audi’s first plug-in hybrid options, and one of the first plug-in hybrids on the premium car market as a whole, the A3 Sportback e-tron (bit of a mouthful) still holds up as a great small luxury car. If you add in the fact that its plug-in hybrid capabilities mean that you’ll be getting a very economical car, it really is a good deal.
Considering you can pick up one of these for $13,500, before adding in the fact that yearly running costs are just $1531, you won’t be able to find a recent, small premium car with plug-in hybrid technology for less.
9 2004 VW Phaeton
The Phaeton was a wonderful, but ultimately pointless, big luxury sedan. In terms of power, you’re looking at a W12 engine or a V8 as it was only sold with these motors in North America, between 2004 and 2006. Somewhat unbelievably, the Phaeton was still in production until 2016, largely on account of it being a stronger seller in China, South Korea, and its domestic German market.
Given the fact the Phaeton was in many ways a dress rehearsal car for the Bentley Flying Spur with which it shared a platform, you would expect it to be much less of a car given that one is a Volkswagen and one is a Bentley. You’d be surprised that the differences are so minute that they actually don’t amount to a lot, other than the badge on the front and the looks.
That, and the residual value. A Flying Spur is still worth a fair amount of money but a Phaeton, with the W12 engine, can be yours for just over $12,000. Of course, with annual running costs of $4651 just for the V8 you can be sure that what you do save with the initial purchase price will be spent at the gas station. Don’t be put off by this; however, as the Phaeton is still one of the best luxury cars when it comes to value on the second-hand market.
8 2012 BMW 7 Series
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Any generation of the 7-Series is guaranteed to serve you well, be it from the polarizing E65 to the latest G70 with equally polarizing looks. To save time explaining why your 7 Series isn’t a terrible-looking car, we recommend going for the fifth-generation car, specifically one of the 2012 model year cars.
To buy a 2012 7 Series, you’re looking at anywhere from $13,500 to $20,000 based on condition, mileage, and trim level, so somewhere in the middle of that price range will deliver you the best value for money. Average annual running costs come out at around $2171, which is pretty good for a car of this size and quality.
7 2011 Mercedes-Benz S65 AMG
Amazingly, you can buy an S-Class for just over $30,000, let alone a top-of-the-range S65 AMG with a twin-turbocharged V12 that cost $200,000 brand new. Of course, a 2011 model for this money is going to be a high-miler, but cars earlier in the generation will routinely get sold for prices even under $20,000 if you settle for a 2007 or 2008 model year example. Each generation of the S-Class is pretty good, so model years don't really amount to much in terms of real-world differences.
Running costs of a twin-turbo V12 aren't exactly going to be cheap, with an annual average of $5074. That is a lot, but if you consider you’re getting the ultimate combination of power and luxury for an initial outlay of less than most new family crossovers, the hit you take on maintenance will be worth it.
6 2003 Opel/Vauxhall Omega
Sold in the US as the Cadillac Catera, you may be familiar with the Omega as a pretty terrible car. We’re here to tell you that this isn’t the case. Whilst they suffered from high depreciation, they were incredibly strong sellers in the United Kingdom, where they were badged as Vauxhalls. Loved by taxi drivers and the police alike, the V6 variant was in fact stockpiled by many British police forces when the car ended production in 2003.
To buy a V6 Omega, it will cost you just over $1000, and average annual running costs will be in the region of $3834. Not the cheapest car to run, but you’re buying a car with a V6 for just over $1000, which is pretty crazy. Of course, the build quality on these cars isn’t brilliant for what is supposed to be a premium sedan, but what it lacks in luxury it makes up for in charm and surprisingly effective power.
5 2019 VW Arteon
The Arteon seems quite a heavily underrated car. Much like the Phaeton, it feels like Volkswagen is making a great car that typical luxury car buyers will pass over based on the badge. A four-door coupe/sedan, the Arteon is a better-looking version of BMW’s 8-Series and a cheaper version of Audi’s A7.
Of course, it doesn’t have the performance of either of those cars, but it doesn’t have the price either: under $30,000 for a 2019 model and half that if you pick a high-miler. Running costs are good too, with an average annual bill of $1665. You can also have an R version, with the power that the regular Arteon can sometimes be lacking.
4 2013 Audi S8
If you want a classic European sleeper, the S8 is almost unbeatable. Every version of the S8 has been an unbelievable drive and looks unbelievably sinister to boot. A whopping 4.0-liter turbocharged V8 in a package that comes with such wonderful interior refinements and exterior looks is absolutely great value for money whichever way you look at it.
Speaking of that, a 2013 S8 could be yours for under $25,000. Again, with such a huge engine, your running costs aren’t going to be the cheapest, with the annual average coming in at $3588. Balancing such a desirable drive with fuel economy is obviously going to be a challenge, but it’s worth it just to look so incredibly cool as you cruise around town.
3 2010 Mercedes-Benz E-Class Coupe
One of the best-looking coupes derived from a sedan, the E-Class Coupe was just as much fun to drive with the more affordable trim levels as it was with the 5.5-liter V8. The E-Class Coupe did have a midlife cycle refresh in 2013, improving the infotainment system and giving it a more angular front end. Most E-Classes are very good second-hand cars, but none more attractive than this generation's coupe variant.
In terms of how feasible it is financially, a decent pre-facelift car will cost less than $10,000, even for the aforementioned 5.5-liter V8. That particular variety will cost more to run, with an estimated cost of $3879 per year, but lower capacity engines will cut that by about $2000, so the choice is yours.
2 2006 BMW Z4
The Z4 is such a modern classic now, especially the first-generation cars from the early 2000s like this one. Controversial when it was launched on account of Chris Bangle’s then-current design language at BMW, it is now correctly seen as one of the cars that further reinforced BMW’s particular brand of cool for the 21st century.
Most of the early Z4s are proper bargains nowadays, but we’re recommending the 2006 model year in particular. If you settle for a 3.0-liter car, you’ll be paying just over $7,000 for the purchase and approximately $3063 to run every year. This is pretty decent for what is such an exciting roadster that has aged incredibly well to boot.
1 2000 Porsche Boxster S
If you want a cheap Porsche, the Boxster has been the way to go for some time now, whether you’re buying brand new or used. Despite this reputation, depreciation isn’t particularly severe, and they do hold value remarkably well.
You can get a 2000 Boxster S for a shade under $20,000, which isn’t as cheap as you might be expecting. Annual running costs of $3805 aren’t particularly cheap either, certainly not if you compare it to the Z4 we just looked at. That said, the Boxster is a more premium sports car and probably a nicer drive on balance.