Ferrari Financing

Respectfully, "F" a loan.

Pay cash. I did a year ago and do not regret it one bit.

The car is MINE and mine alone. I'll live in it before I HAVE to sell it.

 

I *think* Chase does...but with the way things are that may have changed.

If you go to the Lambo section of this site and look up Roy Cats I bet he could tell you.

 

I have used these folks - a friend recommended them, he financed his cars through the same company with zero drama.

http://www.jjbest.com/

 

I financed my first one ONCE with a Credit Union and a current appraisal..those days are long gone.

Most other banks laughed at the idea!

The others I leveraged against my 401K, or paid cash.....

Maybe buying from a dealer would get you financing, a private sale will be tough!

 

That boat has mostly sailed. It used to be that CapitalOne would finance older cars, or you could get a home equity loan, but most of that has dried up. Grab a Hemmings Motor News and see who is still advertising loans in it --those companies are used to dealing with unusual cars.

 

CapitalOne used to be the place to go, they would finance any year, make or model whether purchased from an individual or a dealer if you had good credit. I used them twice in the past 4 years for bridge loans to buy "hobby" cars before I could liquidate some assets... But now I see this on their web site:

Effective 4/15/2008, Capital One Auto Finance does not provide financing for the following vehicles: vehicles older than 7 years, vehicles with more than 70,000 miles, auto purchases from individuals (private party or person-to-person auto sales), motorcycles (dealer or private party), or lease buyouts. Vehicle must be purchased from a franchised dealership.

 

You can give Woodside Credit a call. They can do financing up to 144 months! As always make sure you have some extra funds around for servicing or repairs!

www.WoodsideCredit.com

 

In all honesty, i'd say one can't afford the car if financing is needed for a 3x8. Pretty much any lender is going to chuckle if asked about it. If they have to repo it, an auction would only bring pennies on the dollar.
It simply doesn't make sense on either side.

 

Obtain a line of credit on your home. Not only will you obtain a lower interest rate, but the interest is tax deductible. If you don't own your own, or have zero equity in it, maybe an exotic isn't the right thing to be buying.....

 

This is your best bet in todays market.

 

I annoys the heck out of me when these types of comments are made ( if you can't pay cash don't buy it etc) some people have a dream and whilst they can not pay cash have the opportunity to get their dream with finance. Some people are perhaps not as lucky as the smug buggers who make this kind of comment. There are in some cases opportunities for some tax incentives if the purchase is set up in the right way, not only this but perhaps not tying your cash up in a car and keeping it available for other market related opportunities may be a better idea.
With regards to how to finance, which was the question in the first place, you may be able to utilise equity in your home or another property and therefore reduce the interest paid on the loan.

 

Perfect situation would be to have the money to purchase the car but invest it and then finance the depreciating asset.

 

I agree. The OP wasnt asking "daddy" for financial advice. he was simply inquiring on WHERE one can acquire financing.

Personally if someone has no financial responsibilities to a wife or child I feel he/she should do whatever makes them happy. If that means living on ramen and having a Ferrari then so be it. You only live once. (not saying the OP is in this position).

As for repoing and selling for pennies on the dollar ? I would think a Ferrari, especially if its 10+ yrs old is one of the safer vehicles to finance. They have done much of their depreciation and they have a diehard fanbase.

 

I agree. I have bought and sold a few F cars, 308gt4 bought for 49k sold for 59k, TR bought for 149k sold for 149k, 360 bought for 272k sold for 270k 355gts bought for 185k sold for 185k. All owned for 3 yrs + except the 360 which I owned for 8 months (did not like the F1) All sold in no time flat, longest period was 2 months for the TR. Did ok with repair costs as I had thorough PPI'S done on all before purchase so in my mind I enjoyed them all for around 8% of the cost ie the interest paid.Pretty inexpensive in real terms. I would also say that a 20-30 year old car if well maintained and driven will appreciate over the years, just look at how the 246"s have appreciated over the last 5 years, in Australia they have almost doubled in value. The gt4"s are starting to appreciate as are the 308's

 

I also paid cash for my QV, but I do know that Qualstar credit union in Bellevue Wa.will finance these cars as long as your credit is strong, you open an account ( probably need to bank with them a min. of 6 months) and if purchasing out of state (washington) the purchase must be made through a dealer. I bank with them and asked about it last year. Their # 800-848-0018 Good Luck!

 

Clearly you are not a Ferrari owner...or related in anyway to the auto industry by the thought that you can own a Ferrari and after 4-5yrs get 75 to 100% of your purchase price!!!!!!!

I won't even get into the maintance requirements during ownership....just the fact that you made that statement dilutes anything further. The 360 market has taken almost a 25% decline in the past year!!! I hate to say it, being a 360 owner looking to sell, but its true!!!!

 

You are quick to jump in and perhaps put your foot in your mouth.... perhaps he is in fact talking about a second hand ferrari... not a new one.... you arrogant a'hole. How do you know he is not a ferrari owner.. too many assumptions are made in error. He simply asked a relevant question and expected a polite and sensible answer... some of you guys need a reality check.

 

You do not NEED a Ferrari, you want a Ferrari, therefore unless you can buy it with cash you should not buy at all.

 

You, "WANT IT NOW," wieners.

I am a civil servant. I make peanuts comparied to many (most) people here. I have total net worth less (and I save a lot %-wise) than a great many here make in a year, perhaps two. Granted I chose my own career path, but I scrimped, saved and cut corners and at times lived like a rat, for 25 years to OWN my car. I HAVE to wrench it myself to afford to keep it running.

The WORST thing you could possibly do for your future is buy a car, hell no A TOY, as a Ferrari is NOT a car, on credit. There is only one exception but I will not even cover it here.

You want to call me smug. You are Da&m straight I am. I EARNED it.

Rant Off. Hate to see anyone make a financing mistake but if you feel you must, Enjoy it when you get it!!!!

Cheers!!!

 

First of all, everyone's situation is unique and it depends on what you can borrow money for, and what you can do with your liquid cash.

Assume that you can acquire the 150k needed for a Ferrari @ 4% interest. If I have 150k cash, and can invest this money and obtain 6%...why wouldn't I? Can't say in today's market, but money used to be cheap....so it made sense to borrow.

Now what I would suggest is paying a portion of that car in cash to cover your future depreciation. Nothing is worse then being upside down in your car, and most likely you will be in the near future. Therefore, if you are buying a 150k car, put 50k down, finance 100k. Therefore, if things get tight you can still sell the car and it won't cost you money to get out from underneath it.

Nothing is worse then having to write a check to get rid of an asset...and anyone who has been involved in the boating world has done this!!!!!!

 

Interesting thread. I'm a community banker and I've financed many FCars. I also own an FCar. I've financed 308's to 430's. I've also financed other high end marques, such as Bentley, Maserati, etc.

Owners have various reasons for financing these cars. Just because someone desires a car loan for an older classic or newer high end car doesn't necessarily mean they can't afford to maintain it or that they don't have other means to pay for the car. I look at it comparable to a boat loan, where many owners prefer to spread the cost of ownership (and the associated depreciation hit) over a longer period of time.

In my experience, most of my customers have been pretty astute regarding their purchase and have done a fair amount of research. Financing can make a lot of sense right now, especially considering the fact that most people are going to take an immediate loss if they cash in Wall Street assets to make their purchase.

I would suggest talking to your local bank or credit union and go into the discussion prepared to a degree greater than you normally would with a regular car loan. I would take in a financial statement, a couple of years tax returns, and some recent market and valuation data from FORZA or other sources. I also think you need to research if your bank has a Private Banking department. You may find them to have much more liberal terms than the manager down in the lobby.