was just wondering how difficult it is to finance a ferrari these days compared to before. Thanks.
not what it used to be just from ur great credit score .now most of the time they want tax returns with a great score.
In my view if you have to borrow money to own a ferrari you canot afford one. The maintenace is expensive at best and can be frightening at worse. When I traded in my 360 Modena for the F430 I had $14.000 of maintenace due on the 360. The older cars are worse. buy a vette and beat the hell out of it and enjoy. Ferraris are better cars but the vettes at least 2008 or newer are not bad cars. Good luck whatever you do. Lee
Give the guy a break! I'm sure a significant proportion of Ferrari owners finance or part finance their cars and there's absolutely nothing wrong with that.
If you purchase the car through a Ferrari dealer they may be able to arrange financing through Ferrari Financial but you probably wont get more than 80% of the true value of the car. Good luck
Why not finance? If he can get a higher ROI than the borrowing cost, wouldn't it be smarter to borrow 200k, pay the 3% rate (made up), and enjoy a higher (than 3) return on his invested 200k? If financing is needed because it might not be feasible otherwise, then it might not be such a good idea.
I don't know if I would go out on a limb to buy a Ferrari just now. Ferrari's are easy to buy and hard to sell right now. If we have a market correction they could get harder.
I don't know about previous years but I just financed my F430 through Ferrari financial this month. My credit is immaculate, I have $0 debt, showed last 3 years tax returns of $150k+ a year and they made me put about 30% down.
I think it is always better to be able to buy the car outright instead of financing it. Especially w/ the way things are going now.
I financed 50% of my car through my credit union for 5% 7 yrs fixed. Now they ask for tax returns with excellent score. that I think should be a given. And who on earth would even consider buying a Ferrari with a bad credit history any way.
Nonsense. If the guy wants to finance his dream car, let him do it. Corvette is not even comparable in this equation. Everyone's neighbor has one these days. With a very good credit score, you can finance ANY Ferrari of any year with a required 20% down if purchasing, zero down if leasing. Not only is it a good option, but that allows you to drive and enjoy a car at a good price (today) that you can probably re-sell in a couple of years for not much less, or who knows, maybe even more if the market re-stabilizes. That's how I've parked my funds for over 20 years and got to own the best cars in the world with the help of good exotic car financing companies like JJ best, Premier Financial, etc. Most banks however won't finance exotics. My point is just do it, life is too short.
If you know of a way to get a better after tax, risk free return on money than the interest rate on a used exotic, please share it with us. Dave
From expirence, if the car is only 1/4 of your montly income, sure why not. But if you are trying to buy a car and will be in 50%, don't do it.
Oh, wow! A thread on a new topic that has never ever been kicked to death! I'm sure many facts will be set out, and many minds will be changed. There is, of course, ONE RIGHT ANSWER for EVERYBODY if only we KEEP THIS GOING FOR ABOUT 2,000 POSTS. Now I'm going to read about when you really do have to change belts, whether Enzo really had anything to do with the road cars, which is the ugliest Ferrari ever, and of course, should you have six on the floor or flappy paddles.
The OP's question was whether or not financing is more difficult today than in previous years. He did not ask anyone's opinion on whether he can afford it or not or what he should do. Yes, it is more difficult. Banks want at least 2 years of verified income via your tax returns, list of assets, very low debt to income ratio (estimating around 20% or less) and excellent credit.
What kind of rate were you able to get through Ferrari Financial and did you work with Steve Harris on the purchase? Just wondering since those guys are right down the street from me. Thanks!
agreed to answer the question.... I aquired financing on a 06 430 that I purchased in July. I borrowed 60K through Ferrari Financial and all I had to do was fill out the simple credit app, no other documentation. I had no prior purchase history with the dealer. My credit is excellent. The rate was 8% and its simple interest with no pre-payment penalty.
+++++++++1 ...then you have guys like carcommander telling you not to buy Ferrari because they won't sell soon (as if the guy is buying to flip it or speculating on the Ferrari market) and hardtop asking for RISK FREE investments above financing costs. Alot of "smart" people on here but too much ego. JUST ANSWER THE QUESTION! It is tougher to finance but companies like Woodside Credit are offering competitive pricing. Probably 6% money on $100k + in borrowings (creditworthiness depending). LTV will be 70% MAX depending on the year of the car. GOOD LUCK!
Exaclty!! We live on BORROWED TIME!! Enjoy it any which way you can afford it. None of it is going with you in the after life(if you know what I mean). PS
thank you for all the replies, I just wanted to get a feel of the credit markets. leead1 just because you have money doesn't mean you put it all down into a depreciating asset. You have to consider opportunity cost. I have money but I prefer to leave it invested in the markets where its appreciating, and I have more then 10K per month cash flow after all my living expenses . agent thank you for the reply and that was exactly the kind of answer i was looking for. Joe youre right there are so many people here who like to get smart. I was just curious because i know the markets are much more tight now. I want to put down little money as possible and finance as much as i can get. I was wondering what % that would be..so i suppose that is 20-30% which is still a good amount... and I think agent did a good job answering that for me. Even though i have an excellent credit score i know its different then it used to be. There are many people with above 720 credit score defaulting on their million dollar homes. Its hard to get credit with just a good score...as a matter of fact i don't think a great score helps you that much at all these days. Also I would never consider a corvette as my second car or even my first car. I would rather get something else. My daily ride presently is an M6 so im looking for something with a more passionate feel to the second car. I know ferrari will fill that gap. Again i want to thank all those that gave me the answer i was looking for.
I've spoken to a friend that works at a dealership and going through Ferrari is a little more difficult than before. There are many other avenues that might be a little easier depending on credit. I was told about a guy who had no debt, owned his house free and clear and Ferrari Financial wanted 50% down because he had never financed a car for the such a large amount. The problem was he had paid cash for everything so that was held against him. Ferrari Financial seems to look to see if you have a history of financing an expensive vehicle. If the largest car loan you've done before is $75k and you're now looking at $175k you might be required to put down more money.
that last message sounds like my experience - I was going to finance part of my car, and on my credit report, the last thing that I financed was a car w/ ford credit over 10 years ago. no other debt whatsoever and I didn't qualify for the lowest rate - It did kind of piss me off a bit.