Check on the maint records.
Here is an article I borrowed from a Ferrari forum for reference.
Originally Posted by MikeR397 View Post
First, let me say that I am not trying to make buying a Ferrari only about the financials. This is just a fun post to share some useful info I've collected from the threads here, and an opportunity for others to correct any mistaken assumptions on my part. I realize buying a Ferrari is about emotions, but your $ needs to be able to support it still. The following is a writeup for my estimations on the cost of owning a 2005/2006 F430 F1, purchased now with cash at $130k with 8k existing miles.
Purchase Price: $130k
Sales Tax (7%): $9,100 one time cost (adjust as needed for you)
Annual Miles Driven: 4,000 annual, for 5 years = 20,000. (This estimation does not include expenses/maintenance associated with track use; If you are concerned about financials and want to track a car, then buy a Porsche, not a Ferrari (or better, buy both!)).
5 year holding period depreciation: Sale with 28k miles in 2016 = $50k estimated depreciation, sale at $80k. This is just a rough guess based on where a current 11 year old (2000) 360 is priced.
Loan Costs: Pay in cash, so none here. If you finance/lease, remember to add these in.
Annual registration fees: None for me in Ohio, but if you are in CA or another state that does this, I think it could be as high as $2k annually, which would add over $10k to your 5 year cost. Ouch.
Clutch: Est. life of 15k miles, one replacement needed at $6,500
Tires: Est. life of 12,000 miles, two full replacements over ownership costing $3,000
Annual Service/fluids: Oil/filter and brake fluid: Est. $1,000 annual, perhaps can do DIY if so inclined for $300. Total = $5,000 over 5 years.
Front Brake pads (steel brakes, NOT CCB): Not too sure about this, but I thought I've seen that front pads can be done for $1k? If so, probably need at least new front pads over course of ownership.
Belts: F430 is chain driven, so no cost here (compared to $3k per 3 years for 360 I think; In the big picture not that big of a deal when comparing the two models).
Misc annual maintenance: $400 annually planned, $2,000 cost over 5 years - This includes things like power window motors, alignment, ect.
*I'm not including any of the repairs costs in the cost of ownership as they cannot be planned for. You may have no problem, or you may have a significant one, but a $15k side fund for repairs is advised.
F1 Pump: Not common problem, but I've seen numbers from $3.5k to $11k depending on the acutators as well.
Full Brake or Rotor Replacement: For street driving, I've read all you really need is front pads. While CCM brakes seem to cost about $35,000 for all four corners, I think steel is perhaps $7k? I'm not too sure about the details here, but this will mostly depend on if you track the car (in which case maintenance will be much higher too).
What else to add here as considerations of possible/likely repairs during 5 years of ownership?
Assuming this is your 3rd car with 4k miles driven annually: $750 annual - total over 5 years = $3,750 . This could be higher for some driver's, but it is what Geico quoted me.
20,000 miles at an average of (hopefully!) $3 per gallon at 15mpg average = $4,000 over 5 years.
This isn't going to be included in the total either, since it varies so much from person to person, but is still a significant financial impact considering the six figure price tag. In fact, opportunity cost is perhaps the main reason I personally am likely to hold off on buying until next spring, considering I have a extremely high opportunity cost of capital right now which will likely be much lower next year.
In total, the costs over the course of 5 years, ignoring unexpected repairs and opportunity cost of your money, as well as ignoring loan/lease costs and annual registration fees if your state requires this, total: $50k (depreciation) + $9.1k (sales tax) + $6.5k (clutch) + $3k (2 sets tires) + $5k (annual service) + $1k (front brake pads) + Misc. maintenance ($2k) + $3,750 (insurance) + $4k fuel = $84,350.
So $84,350 of actual costs to own a $130k F430 for 5 years with 4k annual miles driven is my estimation. Again, keep in mind you should have an extra $15k fund for potential major repairs, but these seem to be rare on the F430 model. Note also that at only 5% return on your cash, opportunity cost of $130k over 5 years would add over $32,500 to your real cost.
This might hurt then: 20k miles driven at $84,350 cost = ~$4.25 per mile. Assuming my numbers are close, and how this ignores opportunity cost and major repairs, and is on a 6 year old Ferrari, I think the "$1 per mile ownership cost" is way off. So, driving 15 miles each way to dinner; that'll cost you $127.50 before you pay for your dinner. . Of course, this also ignores the "artwork value" of staring in awe of your Ferrari while parked.
I look forward to comments, and will be happy to tweak things if my assumptions are mistaken or I've left out major items. I hope this gives a decent picture to those wondering if "I can afford a F430." Plan on $85k-$120k of overall costs including repairs/opportunity cost right now. Personally, I think its definately worth it, and am just waiting for my own optimal timing to match up, but in no case do I think I'll be able to wait longer than next spring .
Apexes are a lot like relationships. So tough to get right, so easy to see where they went wrong.
The secret to a long life is ------- not dying.