296 Values and Used Market

From my research, it looks like the auto tariffs have not increased the price of used 296s. This is probably because Ferrari did not increase the price of new 296s (hard to say if overall market worry is playing a part too, but other used car prices have increased so I don't believe this is the case). I suspect these will fall even harder once the 296VS gets released.

In my opinion, a used 296GTB is turning into one of the best-value exotics right now in terms of price to performance. A McLaren 720s was (and is still definitely up there), but those are up a bit over the last year. Keep in mind, that best value and exotic sports car is a real loose and relative term for sick people like us, lol.

EDIT: To source some of this information, I used CarGurus nationwide search for used 296 GTB and filtered by recent price drops only. 16 results for a 296 GTB. For a McLaren 720, you have 4 results. Ferrari F8, 5 results (much higher prices as well). Ferrari SF90, 6 results. You get the picture.

 

Yes!

 

I've been eyeing a 296 and keeping a pulse on this as well, They're definitely coming down.

 

Well, it’s only been one day, so.

 

Prices started going up the day the news was announced. Someone here posted a Pista at an official Ferrari dealership and they increased the price 90k between 3-26 and 3-27.

Someone else posted this picture that same day. Prices went up on the news, not date of effect.
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Taking any opportunity to raise asked price is good marketing, but it does not tell anything about the actual market.
Whoever has money invested in the stock market currently will probably wait before selling stocks in order to buy a car at an increased price.

 

I heard from our local dealer that Ferrari is basically going to eat the tariff on selected new models, including 296.

 

That's been already mentioned (based on a Ferrari press release), IIRC the models for which Ferrari will do that are 296, SF90 and Roma.
These are models for which no or very few new orders are going to be taken, as replacements (or new version like 296 VS, for which the new price is not known) are on their ways.
For other cars (currently PuroSangue and 12Ci) Ferrari will limit the price increase to 10% (meaning they offset some part of the tariff, which is not exactly known because 25% does not apply to the original MSRP but to the custom value of the car arriving in the US).

 

From my experience Ferrari dealers are still not being realistic about 296 GTS prices. I've been toying with buying one - I just like to try everything. But many Ferrari dealers still have one-year old 296 GTS listed at or above MSRP. When I make an offer they say they can't go that low and yet the cars just sit there unsold. Too many of these models made (more than demand) which isn't the Ferrari way. There are so many out there but it seems like the dealers are all holding out for some irrational situation to arise. There isn't really a price at which I'm not going to lose money should I buy a 296 GTS.

 

I guess that now, most cars at Ferrari dealers are on consignment; so it's not frozen capital for the dealers, they do not care if they do not sell and they prefer to continue to display flattering high prices. An offer at market price would only be accepted at the time the actual owner really needs to sell (e.g. when he receives his next car) and so the real selling price is never advertised, maintaining the illusion of high market prices.

 

My 296gts is brand new and sitting at 40 under at Wide World (tdf blue with stripe) and it’s crickets, make me an offer, I’m looking to blow out of it lol.

 

it would make sense that interest rates decrease soon and 296 etc car sales increase as a result.
Tariffs. The 296 is in a very competitive niche. Mac/ Lambo aren't eating the tariffs, right? If so, that means those cars will cost more vs 296.
If I were a dealer I would sit tight and not drop prices. Market is coming to them.

 

Unfortunately, so it the recession. Anything is possible and I’m not optimistic. All boats that take on too much water… sink.

 

recessions never last long and don't have the same effect on everyone. I would suggest that many build wealth during recessions....every market condition creates opportunity. Bring on a recession...who cares. Smart people pivot and keep winning. Especially for Ferrari level folks.

 

To build wealth, they may need to be active and not spend their cash in a Ferrari - I would argue that cash should be ready for the stock market now (looking for opportunities), and the benefits could be put in a Ferrari later (at a still unknown date).
So buying a Ferrari could be put on hold for some time.

 

There’s a lot of truth to that. On the other hand, I lived through enough recessions to see plenty of people lose their cars.

 

there are always opportunities for cash to be deployed. people with the means don't stop buying luxury items just because the stock market goes down. in fact, I would guess there is a not an insignificant percentage of buyers that will deploy cash into Ferrari's while they wait for the market to finish correcting.

 

smart people or lucky people. I’m an idiot so I’ll just try to be lucky on a couple of plays when the market goes down

 

that is a great point...in certain parts of the US (SOCAL) when the economy farts the financed cars always hit the market, at a discount...thus creating opportunity. That is my point. There is always opportunity. You guys know this...when others are greedy be fearful and when they are fearful be greedy. ANY sort of hard asset is discounted when others are fearful.

 

that makes you smart...because you were 'smart' to deploy. A less than smart person wouldn't have done what you do. A smart person has the mindset to buy when others are fearful (and be in the position to do so).

 

The biggest fortunes of man are always made during the greatest times of change. don't get pulled into the BS main stream media talking points. Fact is, everything is always improving. We are in a historically significant period in history. Perhaps only second to the industrial revolution.

 

Without being so emphatic, my view is that a stock exchange downturn presents good investment opportunities - far better than buying cars at inflated prices.
So, in the short term, I think smart money will go to the stock market (this is a simplification, more evolved financial instruments are also possible), leaving less support for prices of used or new cars. Particularly when these cars are not actually needed, and are rather a way to spend excess money.
Of course the market recovery will generate this kind of excess money, but that's in a next step, not right now.

 

assets. Stocks are assets. But are they the asset class folks will go to? Look at Gold....and other asset classes.

 

Only if the stock market doesn't crash first, and wipe out over 5 trillion in paper wealth in two days.

Oh wait, nevermind. Carry on.

 

So, you're saying I should sell my Ferraris and use the proceeds to buy stocks?

Got it.