FML Pricing and options for 550?

The latest FML issue lead article is "JUST THE FAQS, MA'AM" which answers your questions regarding their index......in short it is a trailing average of asking prices taken from multiple sources, and it does not provide granularity between model years, mileage, options, condition, service history, colors, etc. which ALL matter when determining true market value. Search the FerrariChat archives to get a sense for the value and mechanical issues with 550s. Talk with knowledgeable dealers and owners, get additional valuation data from N.A.D.A., CPI Value Guide, etc. Ultimately, the Ferrari market is so "thin" that a instantaneous market valuation is only determined when a buyer and seller close a deal.....

Lastly, the 550 is a phenomenal car and a bargain at today's valuations......mine is now dearly missed.....

 

Ask NNO

 

The short answer is that there does not exist "one" resource on 550s, but this forum is as good a place as any to piece together the info you will need to make an informed decision. There are also a few 'buyers guide" type periodicals out there you can locate for little $$ that make good primers to what you will learn on this forum.

One can get tied up in knots on accumulating minutiae on these vehicles. Rather than worrying about things that won't have much bearing on getting a good price on a well-cared for 550 (like knowing how many types of blues there were or how many came with Daytona seats, etc) I would encourage you to spend your time understanding what to look for in a good example, figure out what you really want from the vehicle (usage patterns, lifestyle, etc) and go from there.

Since there are so many variables - condition, miles, color combos, options, add-ons and mods, model years, etc etc - focus on what aspects are most important to you and then jettison those examples that don't match those parameters. Otherwise, i think you will find yourself overwhelmed with all the vehicles in the market and the possible permutations. You can very easily end up chasing your tail and wasting a lot of time.

Also, research some Fchat threads that discuss "typical" flaws in the 550s and/or things to look out for. Motor mounts, wheel leather shrinkage, and weatherstripping "peel" are just a few things that come up a lot on these vehicles. Understanding what service bulletins were issued and what items should have already been addressed on a 550 you are considering will give you a lot of insight into whether the previous owner(s) were diligent about maintaining their 550s and/or appreciated some of the hidden costs of ownership of these fine motorcars.

The rest is pretty commonsensical and will come with time.

Enjoy the hunt. Keep us posted.

ketel

 

It's very simple - make a list of all the 550's you can find and compare them for options etc. Then go and visit a couple. You'll quickly discover what is a fair price for which vehicle. There is a spreadsheet in this section which I created when I was looking for a 550 last year. You may find it helpful, although it was made for the European market.

When you finally make your selection my recommendation is that you rather pay a bit more for a really nice car than go bargain hunting.

Sorry to be a bit 'unhelpful', but in my experience you can't really learn this stuff other than the hard way. The market is also constantly changing. If you spend a month or two looking and talking to dealers, you'll get a real good sense for what is going to be the best buy. I'm not an expert on the US market but I suggest you look in the $90k - $110k bracket for a very nice car. Be warned: there's plenty rough 550's out there and they are not cheap cars to fix or keep in great shape.

Enjoy the hunt. I know I did!


Onno

 

+1 to what JazzyO said.

i searched for quite a while for my 550. it ultimately fell in my lap locally, but that was just dumb luck.

do be careful about buying the cheapest car you find .

also make sure you search the archives here re: recalls and TSBs.

as to original prices, there is a site somewhere (?) where folks enter in their window stickers. but not sure what the win of that info is. if your interest is re: options, there are detailed threads on FChat about that sort of stuff.

finally, i'd suggest that (IME FWIW) the FML pricing index represents high numbers. whether that's 'cuz folks only list the creme-de-a-creme in there or whether folks just ask high prices in there - i dunno. but don't be freaked out by cars that vary from those numbers. build your own spreadsheet and come up with your own averages.

g/l!

it's a STUPENDOUS car.

doody.

 

I don't want to raise any undo concern, but 550s have a reputation accumulating high milage (>50K) without needing a clutch.

Maybe 100% city driving with lots of stop-and-go??

 

Although reputation is important, it's not all important, in the sense that unless the dealer gives you an ironclad warranty, it will be important for you to get a pre-purchase inspection (PPI). This step should not be optional if the dealer is unwilling to stand behind the car being sound- in writing.

Another thing you should look for is a complete set of maintenance records. If those don't exist I would pass even if you are tempted. There are many very, very fine 550's out there in private hands who are willing to sell and you should resist the temptation to snap up one of the first ones that tempt you- unless the above conditions are met.

Happy hunting!

 

Well said!

 

I've acquired cars though all of the methods you listed. My 550 was purchased from the inventory of my local dealer.

The key is for you to become comfortable with the condition and history of the car prior to purchase. As previously noted in this thread, the "word" of a dealer or broker who has no warranty obligation is worthless and the consequences of an undiscovered problem are substantial. When I sold my 550 I had no hesitation to drive over 100 miles round trip for the PPI and the buyer flew into my city......twice! In the mid-1990's I paid my mechanic to fly from California to Oregon to PPI car. If your are nervous about buying the car, it kills the fun!

 

The Ferrari market is truly a national market. As a serious buyer in this market you do hold a lot of cards. But you should be willing to do a day trip to actually see the car. There are many perfectly good ways to find a car. If you want a labor free process then you'll need to be willing to pay for the labor, eg pay a broker or pay retail (dealer) prices in return for a warranty and peace of mind. This will add anywhere between 10-25,000 to the price.

You can look on the auction sites but buyer beware- you MUST be willing to go out and see the car and get a PPI. Do not actually place a bid on a car unseen and uninspected!!!!

I first heard of my car through Ebay. Cars rarely sell: the seller uses Ebay as a cheap advertising site with national exposure. I contacted the seller after the auction ended, asked a number of questions: the answers satisfied me to the point where I flew out to Seattle for the day (from Ohio) and had pre-arranged a PPI through the local Ferrari club with a trusted independent mechanic. I saw the car, drove it and had the PPI in hand before I left for the day.

This Board is invaluable for advice and help. Often, it can provide "eyes on the ground" to actually check a car out before you commit to travel. More often than not it can also recommend a trusted mechanic.

I'd suggest you think about what kind of colors, etc you might be interested in, post that here and you may get some leads on a car. Otherwise, start looking in the Ferrari Market Letter to get an idea of what's out there. The prices are asking prices and invariably higher than true market price but I would not go searching for a low ball car as it may come back to bite you.

You should be able to get a beautiful 550 that has been completely sorted out and with mileage below 20K as well as a recent major for under 100K, perhaps WELL under depending upon how anxious the seller is.

 

Do not forget that there is a "wiggle room" factor for services and belt jobs. That alone could very well explain a $5-7K difference. Like others have said, it takes some time on the ground (or air) to visit a few and drive some. It will then become apparent to you what a good car really is, and what other people are asking for cars with similar options and condition. Older 550s are, after all, 11 year old automobiles that have likely seen a couple previous owners who may or may not have kept the services up to date.

Happy hunting, half the fun is in the search

 

Your statement Lencap: "It's just my nervousness and the lack of backup money if anything goes wrong that is causing me concern. "


Therein lies the problem, perhaps a Ferrari is just not in the cards at this moment. You really need to be prepared for the things that could happen. Nothing could be worse than having a beautiful car in the garage that will not run because you did not have the money to fix it or service it properly. Then think about how hard it would be to sell.

 

A perfect 10 year-old 550/355 could easily serve-up a $5-15K surprise; its just part of the deal.

 

Heck, you're looking at almost a couple grand for a set of tires. Those are things you really need to think about.

 

As everyone else has said here - don't buy a 550 unless you're comfortable with the costs. It should be source of enjoyment, not agony. If your budget is a bit tight, buy a 328 or something similar and use the money saved on the purchase to start a Ferrari fund that you can run the car on for the next 10 years.

Believe me: you don't have more fun in a 550. A 3x8 is a fantastic car as well with just as much kudos. Just a different experience, that's all. It's more of a sporty drive in a V8 - the 550 has stupendous torque, you don't drive it on revs as much.

And as teachdna said: go and look at cars yourself, and if you like one have a PPI done.


Onno

 

Hmmm...lencap, could you PM me with more info on this car? What dealer has it, etc? I might know the car already...

ketel

 

Hmm, backup costs are a concern... You should pause for a good long while before you pursue a car. Maintenance for thee cars is key and you can't skimp. In terms of depreciation, I think the worst is over and you're not going to lose 75K in 5 years as car depreciation follows a well defined curve that flattens as the car gets older.

There are a number of threads where the annual costs are described. A "major" which Ferrari NA wants you to do every 3 years is costly. I would say that many, probably the majority of people who own 550's believe that's ridiculous and do majors every 5 years (myself included). I've never seen any undue wear. A major can vary from 5-7.5K so that's not a minor expense for a lot of people on this board. Year in and year out you should budget an average of 1500-2500 for yearly costs if you're really going to keep the car up.

My guesstimate for a '97 car with less than 15-20K on it and a recent major done, with all records, keys and complete servicing each year, with all updates and fixes done, would be in the range of 85-95K from a private owner, depending upon their motivation. That same owner, if s/he sold to a dealer, would be lucky to be offered 72-78K so that gives you an idea of the profit that the retailer needs to stay in business.

Where are you located?

 

I have been a stealth member of FC for a good while- terrific Board. This is my first post.

I, too, have looked at the 2001 Grigio Ingrid/ Sabbia 550. Great (though rare- especially in a 550) color combo- had a 360 spyder done the same way. The car was orogonally sold in FL and spent a while in SC.

I was told the clutch problem was a throw-out bearing and while in there, they replaced the clutch disc.

If anyone has information on the car, I'd appreciate a post or PM.

Many thanks.

 

The first flight in was great in the opportunity to meeting Roy and seeing that the car was exactly how it was being represented. The second flight was 2 days later to drop off the big check and roll the 550 onto the trailer for the trip home.

FYI, the car is running great. Last week I did break down and change out that good old stock stereo deck for a Pioneer.

 

When I began looking for our 550 I compiled a list of all 550's on the market and narrowed the list down to a couple in San Diego and a couple in San Francisco. At the same time I was doing my research, Roy (Fchat Nerd) was kind enough to assist me with answering questions and pointing out items to be concerned with on the 550 model. After the 2 San Diego cars fell through, Roy and I spoke and just so happen to he was thinking about selling his 550. Some, photos and a couple of calls resulted in a PPI and ultimately purchasing the car.

If you are looking at a car, you might want to post a note on the Fchat board for the region the car might be in to see who they recommend for a PPI. Also, if the distance between the car and the PPI is considerable, you might want to see if the transport costs for the PPI could be considered in the purchase price.

Whether you buy the car from the dealer or a private owner, having a any previous history on the car should be considered a plus. This will also help you in determining the extent the PPI is conducted.