topic Re: My new Ferrari 296 GTB in SmorgasBoard

My new Ferrari 296 GTB

Creditplz — Mon, 12 Jun 2023 04:11:46 GMT

My new Ferrari 296 GTB has come in! I am #49 in CA to receive theirs! I also have a GTS coming in but it will be a mid 2024 production. Ferrari Financial Services is super easy to work with and have great rates, does not report on CR.

Re: My new Ferrari 296 GTB

Thomas_Thumb — Mon, 12 Jun 2023 05:24:09 GMT

Very nice.

A sweet 3.0 liter hybrid from Ferrari.

Ferrari 296 GTS or 812 GTS?

Re: My new Ferrari 296 GTB

Creditplz — Mon, 12 Jun 2023 05:13:12 GMT

296 GTS

Re: My new Ferrari 296 GTB

Creditplz — Mon, 12 Jun 2023 08:22:37 GMT

Why was this moved to smorgasbord? I financed it with Ferrari FS,

EX was pulled at 819 auto, was not auto approved, took about 30 minutes. They do verify income and assets.

MSRP was $479,920 (full carbon interior) and loads of packages added but they gave me a free shirt and maintenance stuff. Beats a GT3RS in my opinion,
since dealers are asking 500k for RS.

Re: My new Ferrari 296 GTB

JoeRockhead — Mon, 12 Jun 2023 11:18:35 GMT

Beautiful car, congratulations!

Re: My new Ferrari 296 GTB

coldfusion — Mon, 12 Jun 2023 13:15:22 GMT

@Creditplz wrote:
Why was this moved to smorgasbord? I financed it with Ferrari FS,

You can click on the 3 buttons on the upper right on the first post in this thread and select "Report Inappropriate Content" to ask the moderators for their feedback on why the thread was moved. The title is kind of misleading IMO as while it's a common way that the option is used but as been pointed out on the site before it's also how the moderators can be contacted if you have questions or need their help.

Re: My new Ferrari 296 GTB

Creditplz — Tue, 13 Jun 2023 05:31:27 GMT

Eh it's okay, no big deal.

My SA actually sourced me a Pista I wanted really bad.. Ferrari FS will be the leasing company for that car too! I'll post it in auto approvals with the terms when it comes in.

should be here EOTW from FL. Lots of cup of noodles in the foreseeable future.

MF is standard for all Ferrari models but RV is actually higher then the 296 on a % basis.

Re: My new Ferrari 296 GTB

Thomas_Thumb — Wed, 14 Jun 2023 01:06:22 GMT

Fwiw - this is the last year for the Audi R8 v10 beast. A limited edition GT version is being offered for 2023.

Another last hurrah is the v6 turbo hybrid Acura NSX. Acura ends the nsx era with a limited edition type S version. It's a winner.

Re: My new Ferrari 296 GTB

Creditplz — Wed, 14 Jun 2023 05:33:26 GMT

I was actually offered a R8 GT for like 250? No markup.. whatever it was!

it's a letdown for me... the whole R8 was a letdown for me, at first it was fast then they never did anything to it and it just slowly became outdated.. a friend of mine has one, funny enough his previous car was a NSX when they had 30-40k off MSRP and his lease was like sub 1500.. haha

for me I think Ferrari is a good!! I did consider a STO Huracan and even a SVJ over a Pista but idk something about the prancing horse!

Re: My new Ferrari 296 GTB

Thomas_Thumb — Tue, 20 Jun 2023 01:21:36 GMT

Agree on the R8 GT. I prefer the nsx type s with its all wheel drive. However, it is not suited for taller people.

The limited edition 2022 type S is a tuned up nsx. A more engaging ride. I wouldn't judge its performance based on prior iterations. I prefer the instant torque offered by gas/electric hybrids and electric only cars.

For $250k, check out the all electric Lucid Air - Sapphire edition. Stunning acceleration.

Re: My new Ferrari 296 GTB

NoMoreE46 — Wed, 14 Jun 2023 23:30:03 GMT

Wow gorgeous.

I love blue on Ferraris.

Congrats @Creditplz .

Re: My new Ferrari 296 GTB

iced — Mon, 19 Jun 2023 14:39:33 GMT

@Creditplz wrote:
Why was this moved to smorgasbord? I financed it with Ferrari FS,

EX was pulled at 819 auto, was not auto approved, took about 30 minutes. They do verify income and assets.

MSRP was $479,920 (full carbon interior) and loads of packages added but they gave me a free shirt and maintenance stuff. Beats a GT3RS in my opinion,
since dealers are asking 500k for RS.

I always thought that once one got past the mainstream cars ($150,000 or so) that financing was a rarity because the usual reason people have to finance goes away (ie, they don't actually have the money to buy the car outright) and in most cases the rates aren't going to be attractive enough to justify. This leads to my question: what did you find was the advantage in borrowing versus purchasing?

Re: My new Ferrari 296 GTB

Creditplz — Tue, 20 Jun 2023 16:46:18 GMT

@iced Oh I'm a geek when it comes to saving money, I leased it because of the tax deductions I take on these vehicles. I will obviously buy it at lease end cause of the appreciation in Ferrari.

Ferrari was not bad at all in terms of rate, 5k/36m lease the MF was 0.00249 which is under 6%. Considering I have 7 HYSA at Pacwest earning me 5.15% it's not bad!

also Ferrari NA heavily vets their clients and what they order and previously have driven, the SA when placing an order had me send pictures to him of previously vehicles I've had, friends I knew who frequently buy Ferrari etc..

also when they verify assets they want to see 10x the cash reserves to buy the car for approvals, Ferrari is much more tailored then say Lamborghini or Porsche especially in the financing.

they just approved my Pista loan @ 72 months 6.4% car will be registered in Montana, the only weird part about Ferrari financial is they won't finance the full amount on used vehicles.. they will only finance up to their MSRP, the rest must be paid in the form of a down payment, so Pista is 559, MSRP 362, so I need to pay a down payment of 197k to the dealer before TTL

but yeah overall lots of my friends to have been buying Ferrari and even Lamborghini all lease then buy. Ferrari more so since they tend to retain value more then others

Re: My new Ferrari 296 GTB

iced — Tue, 20 Jun 2023 17:32:14 GMT

@Creditplz wrote:
@iced Oh I'm a geek when it comes to saving money, I leased it because of the tax deductions I take on these vehicles. I will obviously buy it at lease end cause of the appreciation in Ferrari.

Ferrari was not bad at all in terms of rate, 5k/36m lease the MF was 0.00249 which is under 6%. Considering I have 7 HYSA at Pacwest earning me 5.15% it's not bad!

also Ferrari NA heavily vets their clients and what they order and previously have driven, the SA when placing an order had me send pictures to him of previously vehicles I've had, friends I knew who frequently buy Ferrari etc..

also when they verify assets they want to see 10x the cash reserves to buy the car for approvals, Ferrari is much more tailored then say Lamborghini or Porsche especially in the financing.

they just approved my Pista loan @ 72 months 6.4% car will be registered in Montana, the only weird part about Ferrari financial is they won't finance the full amount on used vehicles.. they will only finance up to their MSRP, the rest must be paid in the form of a down payment, so Pista is 559, MSRP 362, so I need to pay a down payment of 197k to the dealer before TTL

but yeah overall lots of my friends to have been buying Ferrari and even Lamborghini all lease then buy. Ferrari more so since they tend to retain value more then others

The question I'm asking though is why lease and then buy instead of just buy? What are you gaining by paying 6% in MF or interest for something that is only earning you 5%? What is the advantage to you of signing a lease rather than just agreeing to a price and wiring the money?

Edit: saw the mention of tax deduction snuck in there. Can you elaborate on that? I've never had a purchase or lease become something tax deductible. It's never affected excise tax, either. Am I missing a loophole here?

Re: My new Ferrari 296 GTB

Creditplz — Tue, 20 Jun 2023 18:48:05 GMT

https://www.irs.gov/taxtopics/tc510 Business expense deductions. Also to add to that 99% of people that buy Ferrari... don't keep it the full term. I already have another order for a 296 GTS.. I doubt I'll keep two 296. So the rate is cheaper on the lease vs the finance even if I skip the tax registering it in Montana.

Another reason I'm leasing then buying is cause the 296 is brand new, Ferrari does open end leases and the RV/MF is good. The key to me is to keep as much money in my pockets as possible, I can pay via wire for this car 18x over, Ferrari verifies assets & income on every loan app.

Knowing 30+ people who frequently buy Ferrari, I've asked all of them before placing orders, all lease then buy if they really want the car.. although rarely do they keep it the full term.

Re: My new Ferrari 296 GTB

iced — Wed, 21 Jun 2023 14:54:08 GMT

@Creditplz wrote:
https://www.irs.gov/taxtopics/tc510 Business expense deductions. Also to add to that 99% of people that buy Ferrari... don't keep it the full term. I already have another order for a 296 GTS.. I doubt I'll keep two 296. So the rate is cheaper on the lease vs the finance even if I skip the tax registering it in Montana.

Another reason I'm leasing then buying is cause the 296 is brand new, Ferrari does open end leases and the RV/MF is good. The key to me is to keep as much money in my pockets as possible, I can pay via wire for this car 18x over, Ferrari verifies assets & income on every loan app.

Knowing 30+ people who frequently buy Ferrari, I've asked all of them before placing orders, all lease then buy if they really want the car.. although rarely do they keep it the full term.

I'm confused now. Business deductions? Was this not a personal purchase for personal use?

If I were to make a similar purchase -- for personal use, not business use -- it seems then the only benefit to leasing and paying 6% versus simply wiring the money is if I'm unsure I actually want the car for more than a few years?

Re: My new Ferrari 296 GTB

Creditplz — Thu, 22 Jun 2023 07:29:50 GMT

The car will be registered to my business, will be a business use car the rate is essentially what I collect on one of my HYSA at Pacwest and lower then their 13 month CD, I can easily wire the money.

Ask any Ferrari dealer or anyone who buys 500k+ cars if they wire the money for them, answer will almost always be no, lease is the way to go.

if the car appreciates, I buy it and sell it (as most Ferrari customers do via consignment). Instead of having half a million dollars tied up for a few years.

and yeah most people don't keep these cars long, I just signed a "right of first refusal" 16m on the 296 and 12m Pista even though the Pista is a 2020 (limited run). The second the GTS comes this one gets shipped to Ferrari Beverly Hills. Pista is here to stay

Re: My new Ferrari 296 GTB

iced — Thu, 22 Jun 2023 13:58:31 GMT

I've not once questioned if you have the money, so I don't know why that keeps coming up. Also bear in mind the entire reason I ask is because I do know people who buy supercars and none of them lease, so your experience was different to what I'm used to.

It's a depreciating asset so the money isn't tied up for a few years -- it's spent and spoken for. The decision becomes how that money is disbursed: over time if there's a high likelihood of earning more back than the additional put in for interest/fees, or immediately because it's the lowest cost option. Again, in my social circles, the answer is overwhelmingly the latter.

Maybe it's a regional thing, I don't know.

I got the answer to my question, so I'll leave it there.

Re: My new Ferrari 296 GTB

NoMoreE46 — Thu, 22 Jun 2023 17:53:30 GMT

@iced wrote:
I've not once questioned if you have the money, so I don't know why that keeps coming up. Also bear in mind the entire reason I ask is because I do know people who buy supercars and none of them lease, so your experience was different to what I'm used to.

It's a depreciating asset so the money isn't tied up for a few years -- it's spent and spoken for. The decision becomes how that money is disbursed: over time if there's a high likelihood of earning more back than the additional put in for interest/fees, or immediately because it's the lowest cost option. Again, in my social circles, the answer is overwhelmingly the latter.

Maybe it's a regional thing, I don't know.

I got the answer to my question, so I'll leave it there.

Yes, I would say 99% of all cars sold are depreciating assets.

However, I think this is different. Many are willing to pay whatever markup to get ahold of certain item be it a vehicle or watch.

Looks like OP is experienced in that he can purchase at the lease end and sell for a profit if not, then he enjoyed the ownership for a few years.

Re: My new Ferrari 296 GTB

iced — Thu, 22 Jun 2023 19:04:35 GMT

@NoMoreE46 wrote:
Yes, I would say 99% of all cars sold are depreciating assets.

However, I think this is different. Many are willing to pay whatever markup to get ahold of certain item be it a vehicle or watch.

Looks like OP is experienced in that he can purchase at the lease end and sell for a profit if not, then he enjoyed the ownership for a few years.

This particular case with this particular buyer may be different, but in general even at the supercar tier they are depreciating assets if bought for any real level of consumption. The collector who drops it in a garage or showroom and only takes it out for the occasional car show will be more likely to see appreciation than someone who puts 10-20k miles on it, even on some of the rarest and most exclusive models.

Out here you'll see an Urus or Purosangue taking kids to soccer practice or to the grocery store. Those aren't going to appreciate, so the person buying one shouldn't be thinking resale value or investment, but rather enjoyment of use.