Guess how long it will take for delivery... 296GTS

A few months before his replacement... realize the stupidity of the situation...
You're going to take delivery of an obsolete car !

 

You’d be surprised… people still want to flex…. my Central London dealer told me a staggering 80% of car they sold were financed before the sharp rate rise in the UK from late 2022 and even now the figure is still around 60% with Ferrari rates ~10%

 

Can’t even remember when my deposit went in, have no idea when production will start….
Ferrari seem to like it this way [emoji6]


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Crazy to finance what will ultimately depreciate

 

That's any new car purchase... I would think most all new cars are sold on lease or finance

People that can pay all-cash for a new car is a low percentage

 

Why is that? There is a school of thought that Someone that has 500k cash may prefer to take that cash and invest it in the market and finance a car at 6.9%. Last year they would have earned 14% in the market and been able to enjoy their car, which was financed. The rate of return in the current market outweighs the finance rate. Of course there are risk associated with everything but there are many people that would prefer to use their cash in other ways rather than owning a car out right.

To put it into perspective if you take out a 500k loan at 6.9% interest you end up paying 92k in interest and total payments of 592k after 5 years. Now, Assuming you take that exact same 500k and invest it in the market and only earn 10% that 500k turns into 805k after 5 years. The person who financed their car and invested the money comes out over 200k ahead.

Again, lots of variables at play (and my example was only for illustrative purposes) but saying it’s “crazy to finance” is a broad mischaracterization of some people’s investment strategy. (For the record I prefer to pay cash for toys).