What is an average salary required to own a 360?

Those business owners who do that are taking a huge risk for something that a $40k 308 can do. to the "Genereal" public, most cant tel lthe difference between an old 308 and a 360 a 550 and so on. They see Ferrari, and associate it with a $100k car anyhow. I get asked all the time how I can afford a Ferrari. Little does anyone know my SUV cost more.

 

big risk=big rewards!

If you understand how to use this equation effectively you are a successful entrepreneur.

Congrats on the 308 it is a beautiful car as well

 

I don't agree with this at all. I have a Mustang I bought at an auto auction for $5,000 but I work my butt off. You should work hard for the sake of being a good worker and trying to get ahead, not making sure you don't lose the car you can't afford.

 

I disagree completely, but to each his own. In my opinion, getting into a sports car like this will most likely keep you chasing payments for the rest of your life (you'll tire of this car and need the next great thing).

This can be a double-edged sword. People may resent the fact that it appears you are making a lot of money and get turned off by your business. They may assume you charge too much. Your employees may resent you (if you have them) for having a Ferrari. You could be missing opportunities to grow your business because you're loaded down with Ferrari debt. You could be one bad month away from sinking your business just to have a prancing horse sitting on your parking lot.

I'm not saying your aspect is wrong, because the car might help bring success. I just think the risks far outweigh the opportunities.

 

Frankly, if you are not enough of a self starter to work without having to make payments or keep up with the Jones's, you are not likely to ever amount to anything anyway.

Most business owners will keep Ferraris a secret from both customers and employees for the reasons 8 snake mentioned, certainly I don't advertise them to customers. Besides most people think it's stupid to spend so much money on something they consider to be bling or a waste.

Dave

 

I guess it depends on the business too, but I was just posting some thoughts to maybe help conservative people pick the brain of a risk taker. The major reason Miami has had such economic growth lately is because the city is not afraid to risk it. You only live once and if you mess up on this forum there is always www.creditboards.com

 

I thnk this relates to age. Younger the dumber about credit. Im in this age group..so Im not bashing. But it seems even among my peers, there is a "so what buy it anyhow" attitude. "Who cares, if you cant afford it, send it back".

An Experian National Credit Index study found:
The 30-39 age group had the highest number of late payments during the past 12 months, with an average of 1.37.
The average PLUS Credit Score for this group was also the second lowest of the six groups - at 654.

Im 32. I pay cash for everything. I have no debt. If i cant pay cash, i dont buy it. I actually have no credit record in the last 7 years.

I think this affects lots of things, "risky "business practices are just that. They are gambling and risks. If you had a 100k car repoed, youd NEVER be able to get a mortgage. In very rare instances will a ferrari get you business. This is teh exception not the rule.

I have a friend in South Beach. He was 27 at the time. He was making 2 mil per year runing med spas. He decided to "keep up with the Joneses" and bought a few cars (100k plus each), an oceanfront condo, a 50ft boat among other things. He partied every day and blew thorugh all his cash. by "living it up" in south beach with trips,parties, girls, etc. He never paid cash for major purchases, and always borrowed money. That was all 4 years ago. Now, hes flat broke, he lost his business and is now living with his parents in NY.

I'd be interetsed in hearing the ages of those who have different opinions. Im thinking the "so what borrow it" is coming from less experienced younger folks.

 

There is nothing wrong with buying things on credit if it's managed properly. Our economy is strong and we have a big middle class in-part because we have a great credit system here. Yes, it's also caused problems but if you are responsible and can afford it - then by all means, do what makes you happy.

I don't know why so many on here like to pitch financial dogma from the 50's to anyone who brings up financing. Some facts:

Most Ferrari's are leased/financed. Ask any Ferrari dealer.
In some cases, financing/leasing is a better financial move then buying outright.
For some, having financial security makes them sleep well at night, for others, owning one of the most beautiful cars in the world makes them sleep well at night. To each their own!
Some of the wealthiest people I know lease/finance their cars to keep their money working for them in other areas.

I did pay for my car cash but I thoughtfully explored every option. And yes, I do have plenty of money saved up, retirement, etc. I live below my means. I was 29 when I got the car but I have lots to forward to. There are plenty of other cars to desire out there. Plus, Ferrari actually changes their cars every 5 years or so!

I own a business and though I don't advertise it, having the Ferrari has been helpful. In my business, successful people want to do business with other successful people. And talented people want to work for successful companies.

You never know how long you will be on this planet. You should plan for tomorrow but also "dare to be happy!"

 

Let me give my answer to the OP. My advice for getting that Ferrari on your salary is to start by studying credit repair forums a couple hours a day and build your credit score, while at the same time stack as much in the bank as possible for your eventual downpayment. Yes, financing is the only way to go since your goal to have a 360 is a short term one. Next, really pick the brain of the finance guy at your local exotic dealership and find out what (with your financials and credit report) you COULD finance and make sure to mention you want to put down a really big downpayment, which you should have saved up by now, and also tell him you them to install LO-JACK and that they can put the dealership or whomever you get financed by on the LO-JACK trustee sheet. It wouldn't hurt to even bring your downpayment in with you in cash and even show it to him.. To all the other posters who say this is risky and you will end up living with your parents or in a van down by the river and never get a mortgage, let me say this: The purpose of the big downpayment is that this is your exit strategy from the deal if need be. This would only happen of course if a Ferrari is not enough incentive for you to work the extra hours to afford to pay the bill. Regardless, with the large (shoot for half) down payment you will never go upside down on the loan and so you can get out if you have to without any penalties on your credit. In fact, the exact opposite is true. However many months you are able to make those huge car payments and drive the Fcar will be reported to all 3 credit agencies and that you were extended a lot of credit (think half of the price of the exotic you finance). This is huge for your credit report in a good way! You, no doubt, will use these lines in your credit report to get approved for the mortgage somebody with the same salary could not get approved for and you, with hard work, will have the Ferrari paid off and in the garage, if you wait until you are old and can pay for it in cash it may never leave the garage and get driven like it was meant to be.

If the finance guy laughs at you there is always the co signer.

Just my .02

 

Excellent post.



Tool is a band, listen to them.

 

You've got me scratching my head again. So you stretch your budget beyond your means to get into a Ferrari for a while, so that you can build up your credit to buy a house that is beyond your means as well? Doesn't seem to be a winning formula to me.

 

Leasing is dumb. Work hard, invest, and save your money then buy it cash. It's the only way to go imo.

 

So far, it has taken 62 posts (now 63, working my way up to catch up with Big Tex)to debate how much money it takes per year,like it has anything to do with owning a 360!!!

 

Actually I had a conversation about this with our local Fstore sales manager. He told me the subject often comes up at national meetings and they compare notes. Southern FL and CA have very high rates of financing, but their store almost never finances a new Ferrari and this is typical of stores between the coasts. Some people could be using home equity or other source they don't know about, but the contrast between regions is dramatic. He went on to say that business owners are especially reluctant to finance their toys even though they use credit for business purposes. I would fall into this camp.

Dave

 

I have been dealing with very wealthy folks for 30+ years. The common thread I see in achieving very high net worth is to keep personal debt as close to zero as possible so that credit resources can be maximised when needed for making money in their business/investments. The failures I have witnessed (there have been many) were almost always by people who were overextended. The most common scenario was they let their personal lifestyles and debt loads rise with their incomes when business was good and then get killed when things slow up. You do not have to be a business owner for this to happen, it happens to wage earners as well.

I don't advocate living like a pauper, but I will restate that living a life with one's debt load maxed out is a lousy way to live and very risky as well.

Dave

 

Nothing is beyond my means.

 

I'm sorry if you interpreted my post as being directed toward you personally, it was not. The "you" in my post was just in a generic sense. It's more of the logic that I don't follow. Stretch some to get a Ferrari, then use that credit history to stretch even further into a higher mortgage. Seems like a recipe for stress and heartache, but to each his own.

 

Even for most people with 7 fig++ incomes...6K+ a year to just keep a middle of the pack performing 360 in good shape is borderline annoying. So in many cases it's not about affording it....it's about do you really want to spend the $$.

Especially when you can purchase cars like the Ford GT, Viper, Porsche, or dare I say it...Corvette (yuck) for a heck of a lot less and out perform the 360 or even the 430 in most cases too.

I guess it's the price you pay for the brand.

 

For less money you can get one of these
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I don't advocate maxing out on debt.

What I'm dismissing are people who just say "financing = you can't afford it." It's a tool and sometimes, a smart option.

I got my "most Ferraris are financed/leased" from Ferrari of New England.

 

^^^^^ you are correct most Ferraris are financed. The other guy is also correct in that most Ferraris are "claimed" to be paid for in cash.

 

This ridiculous, pointless thread appears periodically. Can't the administrator pre-empt such drivel????????

 

How true this is!

Maybe if we had a standard "10 bucks a week" answer these would stop!

So much for free speach!

 

Hey Robert Kenton...If you have a problem with it then don't participate. There are many other treads in which you can participate. Take your insulting comments there.

 

I honestly couldn't have said it better myself, although my goals are to have a business by the time I am in my high 20s or low 30s, a Ferrari is a luxury and therefore its better to live comfortably before spending money on expensive luxuries.