Has the 550 market bottomed out ???

Robert,
The answer is YES, and the winning lottery numbers for this coming weekend are 7, 14, 21, .....
Everyone with a 550 answers yes.
Every investor wanting a 550 answers no, and delays their purchase.
Anyone who does not have one won't know what they are missing.
I have mine and don't give a damn about the market.
By the way, comparing a 400 to a 550 is like comparing a 70's Chev to a 2000 Vette.
Best of luck with your decision.

 

Good question.
I think the answer has more to do with the overall economy than the car itself over the next 5 years or so.

If the economy starts to improve and we get increased inflation, then 550's will go from the $65k - $75k level today to over $90k fairly quickly.

However, if the economy sinks deeper into a recession, then we could see the 550 prices sink to $50k or so average.

 

I think the 550 market has pretty much bottomed out. And I don't think it will ever go below $50,000. I do think the true value of the 550 will hang out somewhere in the 70s for the time being.

The 575 market, in my opinion, has not bottomed out. I think the 575 will settle in the 70s-80s within two-three years.

 

I agree. I also think that, in about 20 years when these cars are true collectors cars, the 550 will be worth more than the 575.

 

OH crystal ball...

550s still have a little more to go before bottoming. But nothing goes straight down. There are always pauses and/or bounces.

The economy will determine if the 550s pause or bounce, but they will eventually drop further.

I think the majority of examples will fall into the $60k's

 

The 575 market, in my opinion, has not bottomed out. I think the 575 will settle in the 70s-80s within two-three years.[/QUOTE]

Where do you see 2004 575s at in two-three years?

TIA!

 

Bas- That would be a first if the later, improved model was worth less than the original model, especially when they built 50% more of the early version, 3083 vs 2064 . You might try and find me an example of that in the Ferrari world or car world in general to make it believable. 1967 Corvettes are worth more than 1963 Corvettes, two headlight 330 GTs are worth more than the four headlight version, five speed Superfasts bring more than the four speed versions, late 300SL roadsters with disc brakes more than earlier drum brake, pure swing axle cars.

In the far distant future, condition will mean more, but in general I do not believe the 550 will be worth more than the 575M. History would seem to agree with me.

Taz
Terry Phillips

 

IMHO, 575M's with 6-speed shifters will be worth the most.

550's and 575M's with F1 trans will be priced about the same (trade off of classic shifter vs. better technology).

 

I generally agree with this although the ultimate value difference might well be very very small because the 575 and the 550 are essentially the same car. Broad brush but fair IMHO. Some people might prefer the 575 grille and others the 550's. The electronic improvements/features of the 575 won't seem like such leaps 20 years from now when all our cars are electric Some might prefer the 550 exhaust note versus the 575's. Some might prefer the 575's wheels vs the 550's. Point is that none of these differences would amount to a huge difference in value 20 years from now, so my opinion to an inquiring person would be to buy the best example you can find, of either variety, and at the best price point suited for his/her situation. I am very happy with my recent acquisition of a 550 and although I've seen some very nice 575's around not once have I thought that I need to "upgrade", not yet anyway. And I'm sure that happy 575 owners have the same sentiment re the 550. Overall, I will say that based on the reaction of neighbors, friends and people on the street when I drive by, that the 550/575 is very highly regarded by enthusiasts, collectors and in the community at large.

Zedtt

 

Ron- 575M HGTCs will be worth the most in my opinion. Carbon and I only have about 25 serial numbers worldwide. I do not think three pedal or F1 is going to make much difference in the future. As newer Ferraris are introduced, nearly all have two pedal transmissions, so more and more owners are used to driving that way. F1 maintenance issues have been minimal for the 575M and more and more solutions to potential problems are being produced as time progresses. Plus, I do not see any premium for 6 speed 575Ms or see those that become available have multiple buyers competing for them. Lots of smoke on that subject, but not much fire. Many claiming to want a 6 speed can never seem to find just the one they want.

Funny thing is the 550 actually has at least as many ECUs and sensors as an equivalent three pedal 575M. Not a widely understood fact, and F1 only adds one ECU. No fuel cooling or ASR exclusion ECUs on the 575M. Plus the coil on plug ignition on the 575M is a whole generation improved over the single coil per bank ignition on the 550 and tends to make the ignition wiring last longer.

Taz
Terry Phillips

 

my v12 has no bottoming out issues. may want to check shocks and ride height.

 

Henry- HGTC springs will do that for you.

Terry- I agree with you. Find the best condition Maranello you can afford and that will still be the case in the future. The HGTCs will be at the top of the scale because of the CCM brakes, but condition will be the big determinate in the future for all the rest. I do disagree with Bas that 550s in general will be worth more than 575Ms. Historically has not happened.

Taz
Terry Phillips

 

Rob,

I know you are kind of a buy & hold guy (unlike me!!! ) so I would suggest you might want to think of your purchase in the same context as the old 911's you have owned.

If you hold either a 550 or 575 for the long haul, I believe a key contributor of value will be having a car with really cool options. Perhaps the color, FHP, modular wheels, leather shelf, power daytona seats, shields, etc are today's equivalent of sport seats, sunroof, lsd, airport gears, full leather, rally kit, etc on an early 911?!?!?!

Just chiming in from the cheap seats. Can't wait to see how you do.

Wolf

P.S. I promise I will send you pics of my RS this weekend!!!

 

there are alot of high hopes here -

the 550, the TR - the 575 - the 355 all these new ferraris will all be 50K cars....including the 430 and on and on and on - ferrari has spoken, they are building as many cars as possible.

couple this with all the sports cars that compete and beat the ferraris - vipers, corvette,slr, m5s - jag r's - audis r8 and on and on and on - too many good cars , at cheaper price points with less maintence.

all this new stuff is a destiny to end up at a local kia dealership - its already started....and will only continue look at the 10,000 plus 348s built, and the 18,000 plus 360s built .... too much choice in the market.

expect lower prices. 45k for the 550

 

NO.

They might temporarily flatten if the economy pulls off a miracle but they have farther to go.

 

Prices may stabilize for a while, but not forever. Fiat-era Ferraris aren't rare, and maintenance costs will increase as they age and gain mileage. I agree that a 6 speed manual 575 may be more valuable than most, but only time will tell.

 

While people are waiting for the market to bottom they are missing out driving the cars. Those hording for value should stick to stocks and bonds. Cars are units that should be enjoyed and flogged at every oppertunity. The most fun ferrari I ever owned was my converted 348 challenge racecar that I raced until I wrecked it and just scraped it off the track and went home. The wreck was worth every moment of joy scaring myself on the race track in a ferrari. When I finish scaring myself in my Z06 racecar I'm going to turn the 550 into a trackcar. You all should be happy because when my 550 goes to Ferrari heaven your 550 will be worth more as the numbers of 550's dwindle. But ask yourself who is having more fun? One of these days when some of these people hit about 50 they will realize time is a wasting better get to living.

 

365BB vs 512BB? 250 PF Cabrio SI vs SII? 250GTO Pre-'64 vs '64? 308 vetro vs 308 carb? I'm sure there are a few others.

Personally I find the 575 an aesthetic downgrade to the 550 and the technical improvements on the car are not enough for me to make a switch. And I would still buy a 550 if I didn't own one yet unless the 575 was seriously cheaper (and only if it was a manual, the biggest shortcoming of the 575 is that F1 box - not technically but I don't like it in a GT). I have heard other people thinking along similar lines. Therefore I also believe the 550 will be worth more eventually, closely followed by the 575 manual, but it's academic to me since I'm never selling mine. Seriously.

I have "lost" EUR40k on my 550 in almost 4 years (incidentally about the same what the previous owner lost on my 2006 BMW 335i Coupe). I do believe that they won't go that much lower, and I also believe there will be more and more a chasm in the market between good examples and bad ones and little in between. By far the most of 550's I encounter are not very nice cars. It's getting hard to find a good one and people who own one know that. So I do believe prices of those cars are strengthening whilst the rest is still falling in most markets. In the UK, 550's seem to be on a very slow rise, even the lesser ones, but this may change again since a second recession seems on the horizon.

I agree with some other posters here - although it's good to be prudent with your money and be informed, don't forget to have some fun too. If you buy a good 550 now you are not likely to lose a lot of money on it. They are a great buy and have been for the past 15 years, just be thankful you get to experience them at a fraction of the price previous owners have had to cough up.


Onno

 

I have been keeping half an eye on 550 prices here in the UK over the last year, and there is no doubt they have risen.
A guy in the local FOC club bought a blue 550 a year and a half ago for £33,000 with 11,000 miles on the clock, a similar car, if you can find one, is £50,000 plus http://pistonheads.com/sales/2413606.htm

Barchetta have gone from £70/ 80,000 in 2007, now they are advertised for £ 140,000 http://pistonheads.com/sales/2231556.htm SOLD
Grant

 

I really enjoy driving the 550. Even short trips to work(1 1/2 mi.) is such satisfaction i cannot describe. I had no understanding about making money on Ferrari. Sad to value enjoyment

 

I can't think of another performance car, for similar money, that will hold its value better!!! If I had kept the Porsche that I traded for the 550 18 months ago, it would certainly have lost more value than the 550. And it wasn't anywhere near as fun to drive!

If they're worth 50 - 80k now and worth zero in ten years, that's only 5 - 8k of depreciation a year. We probably spend more on food!! Haha.

Best, Paul

 

Whether 550 or 575, gated or robot-shifter, all are great cars to drive. Twelve-cylinder screams will become rarer as the world becomes greener, but nothing made in quantities of over two thousand will ever be a collectible first, and a great car to drive second. Ask all of the Ducatisti with Mike Hailwood MH900E's in their living room-- I know, I'm one of them. Maintenance of all modern Ferraris will become a significant problem down the road because of inevitable parts issues... some engine internals for the 360s are already in short supply. Remember, no one gets out alive... we should all strive to use our cars the way they were meant to be used, and time their passing to coincide with our own. Invest in bargain-priced Apple, but enjoy your car.