Laughter is the Best Medicine

Porsche Cracking Down On Car Flipping

It’s the worst tree ever What’s up everybody, Rob Ferreti here, and today I want to talk about something that sorta has me hopeful and has me smiling which is Porsche’s GT Boss announced that they are going to crack down on people buying and flipping cars. They unfortunately enabled that scenario with the 911 with the 918 program where they sold the GT3 RS’s to people to reward them for buying the 918’s. Cause the 918 was a high dollar platform They wanted to make sure they sold them all so to speak. So they had to incentivize some rich people to buy cars. That unfortunately brought them into the world of.. Like now we control the demand, and not Porsche, but they allowed the customers to control the demand. And when the customer controls the product, [Counter right-hook] Price goes up and I’ve been saying this forever, cars should not be bought as investments they are not, they are depreciating assets. you go out, they were designed to be enjoyed, and not produced in limited numbers, for any reason other then we think we can only sell this many, not lets make it so our customers can go buy cars and hoard them for a long time and they’ll go up in value And that’s essentially what happened Uh, case in point, I mean my 488 is probably still worth more than I paid for it. And that’s cool, I mean that’s a very cool thing Ferrari has been known to generate cars for decades that are worth more than they’re ultimately sold for. Porsche, that’s sort of a new thing most of their old cars go up in value but they’ve been driven, there’s not a lot of Porsches that sit around for decades and that’s starting to become the pattern with the new GT cars. cause when you start introducing the words scarcity, people get really really giddy about it. And you get people buying cars that wouldn’t otherwise buy cars just because they think they’re going to double their money or they look at it as more of an investment than a purchase for a toy and cars are ultimately supposed to be toys. Porsche’s GT boss is like “We’ve had enough of this, ” “if you guys are planning on flipping cars.” “We’ve got your name” “and we’re not going to sell you anymore cars” And that’s going to end up helping if they implement this the way he talks the thing that sort of kicked this on was the 911 R was supposed to be the last manual transmission Porsche And everyone is like “Nooooo” So then these guys bought them and sold them There were sales in the millions Over a million dollars for a car that was $190,000 What the original window sticker was Maybe 220 with options that’s an $800,000 delta And Porsche didn’t get that, that’s the guy who bought it and says “Thank you very much” and right out the door cause there weren’t many available. So now you’ve got the guys buying it, say “Wait, wait a second” “you’re now going to make manual GT 3’s?” “That’s essentially this car” “With a wing on it” “and you’re selling it, like what’s going on?” You spent a million dollars on this, and his response was.. “We’re not a hedge fund” What are you doing? I didn’t tell you to spend a million dollars on a car So, ultimately he’s saying we don’t produce cars for you to flip and make money and to park and to try to manipulate the value over time We produce cars for people We’re a car company We see demand, we fill the demand. And we saw that there was a demand for a manual GT car, we built it. People are excited about it they’re going to buy it but, don’t think you’re going to buy it and flip it to make money Cause they see that They see that the dealers are looking the market up I’ve said it, other people have said it Nobody likes that, nobody likes to go into a dealership and be like “Show me the money, ” “what are you going to give me, over sticker? We’re going to ask you to sign something that when the car comes in you’re paying market price for it instead of the sticker price Nobody wants to do that, as a customer you feel that you’re being taken advantage of and then, what’s going to happen? I’m going to order a car It’s going to come in You’re going to tell me I have to pay 50,000 over window for the car that I spec’d out and ordered or you’re going to sell it to somebody else for market price? That doesn’t work So how is Porsche going to track this? Well, there’s not a lot of people buying GT cars, there’s only so many of them out there. When they see these cars changing hands, they’re going to remember. They’re going to see the car move with no miles Guess what? Congratulations, that’s the last car you’re getting. It’s alright, I’ve got my wife, She’ll buy one, cause the dealers going to take care of me. cause I’ve been a customer for so long. She’s going to get blacklisted, then the dealer. If they start seeing the dealer sending a lot of cars to a lot of different people and these cars keep turning over the dealers going to take crap from Porsche and thats the way it’s supposed to be It’s not going to be an overnight success, it’s not going to instantly weed out all of these people buying cars to flip, but it will allow people like me, who my order for the 991.2 GT 3 isn’t even in yet but i’m going to place the order i’m just trying to find the right dealership that’s willing to like put me on the list on a fair order If I have to wait a year, i’ll wait a year if I have to wait 18 months I just want a car that I can buy and drive I don’t care what it’s worth in the end I’m going to buy it, and put 20 or 30 thousand miles on it and sell it and order another one That’s what’s going to happen and there will luckily be more than enough GT 3’s out there The thing that you get when you restrict the market, and you limit the number of vehicles out there is you have all of these guys buying and speculating none of the cars ever move You’ll see it with like baseball cards and everything else. People are hoarding stuff as it comes in, and then it turns out there is a lot of people that have bought it just cause they wanted to see it go up in value and when it doesn’t, you’ve got a lot of people dumping them onto the market and the market ultimately comes down Think of pogs Think of cabbage patch kids Think of baseball cards Baseball cards use to ohh, limited edition cards lets go buy the boxes of unopened cards just so we may have it in there all of this happened, baseball cards were up here now baseball cards are worthless they’re worth paper, there is very few cards that have an actual value all of our childhood collections are garbage for the most part if you own a lot of baseball cards, send me an email [email protected] I’ll hook you up with a great deal But, those are the problems that you run into everybody sort of, hoards it and when they realize the value is going down then they are trying to sell it, sell it, sell it you’ve got a lot of stuff on the market and more sellers then buyers and then all of a sudden the value goes down and ultimately will level out and if you make it where Porsche’s producing as many cars as people will line up to buy that, you’re going to get a lot of people speculating and a lot of people buying I don’t know if they’re going to limit the number of GT 3s but you’ll have a whole bunch of people buying and speculating for GT 3s which will mean there are more $180,000 GT 3s out there than there are buyers for them the market will level and there will be a influx of second hand market cars eventually, which will drive everybody’s price down, but, That’s just supply demand economics. And i’m excited to get mine I don’t know when my order is going to go in but i’ll figure it out And I will bring that car to you guys and you’ll see me drive it you’ll see it every adventure I drive you see what I drive, I drive a GT3 it’s why I sold the last one, to get the new one probably going to be a little bit more of a gap in ownership than I was expecting it to be but when I get one, you will see it, thank you for watching and Porsche GT Boss, I don’t remember you name, but you’re awesome thumbs up, good luck with that, if you need any help designing the program to get these guys to stop flipping cars, shoot me an email. I’m on your side. Thank you guys, catch you next time.

100 thoughts on “Porsche Cracking Down On Car Flipping

  1. Can we publicly shame that man who paid 1 million for a 911R lmao

    What a tool. Don't get me wrong….i'm a Porsche Fan boy… but what a fucking toooooooool.

  2. What if we need to sell a car due to financial circumstances……do we need to call them and tell them why we sold a car now?!!!

  3. kinda hypocritical talking about cars 'arent an investment but a toy' because of what you're doing with your Supra

  4. So this is great news for people who are not so rich. Porsches are going to be driven, more miles=lower price! Whats there to be upset about, sounds like a win win.

  5. the manufacturers are the biggest assholes in this. I don't get the idea of limited editions. take the opportunity from more people just for the handful of owners to brag about ?!? if there is a demand, produce it and don't Fk about. in the end they suffer themselves coz they could produce more of them for same price and get more profit. in the end, I don't give a Fk about being only one driving particular car, I just want to enjoy it ! and it makes spare parts more limited too and that's never a good thing.

  6. tomorrow vlog Rob Spaghetti say he's saving his supra to keep it mint, Rob Spaghetti also say he'll 'sell the supra for a lot of spaghetti sauce and then buy another for half a can.'

  7. Who else thought this was about new tech to stop people flipping (rolling) their cars?
    I know I'm tired, but surely I can't be the only one who read it wrong.

  8. I thought this video was about people who buy Porsche to prove they can handle it, then can't lol kinda how lemans cracked down on Mercedes after a few backflips haha

  9. The way Porsche can easily stop car flipping, is to make enough fucking cars! You don't tell your clients you are making X of this RS! You say "We will make as many as people are prepared to buy".

  10. Isn't this the same guy that rents exotic cars to make a profit? Ummm and you don't see cars as an investment? Super Hypocritical. Haters gonna hate I guess.

  11. It's all a big game with manufacturers and customers wanting to feel they have something unique. Supply and demand. Limiting the numbers in production is part of the fraud. If all of the people buying these bought them with no regard of investment it wouldn't matter what production numbers wound up at to meet demand. The manufacturers understand the limited demand for some vehicles and intentionally keep production limited slightly below the demand to get top dollar out of their builds.
    Even so it's just an assembly of materials and parts in the end and manufacturers have a limit on how crazy they can mark this up and still make sales.
    Once it leaves the manufacturers circle and enters the public sphere it can take on new values the manufacturers could not have received. This is due to the limited production.
    This whole game is a struggle between manufacturers limiting production creating a false rarity to keep sales prices high and customers that want something that's supposed to be collectible but just couldn't buy into the whole contrived scam at the right point. I would fault the manufacturers more than anything. If your cars are in that demand then put them out there. If they are really about something they will find there way into hands of people that appreciate them, this is what makes a true collectible.
    Your limited production game is one both the manufacturers and people that think they have something like playing. Quit crying.😢

  12. What's your take on the ways cars are being sold at auctions like Barrett Jackson? $100K-$300K muscle cars for instance. I find this completely ridiculous also.

  13. Great. I've bought several new Porsches. When I tried to buy a 911R I was told that I didn't qualify. But the dealer said that they could put me in contact with a person that would sell me his upcoming delivery for over double what he paid for it.

  14. I get what you're saying but if they aren't a hedge fund and don't control your money then they shouldn't be trying to control what happens with a car they sell. They make expensive cars if you can afford one you should be able to sell it, save it, destroy it or anything you want with it. They got their premium price for their premium car.

  15. Of course as a car enthousiaste car flipping upsets me BUT if I could make half a million by flipping a fucking car and buy it again one year later on the used market of course I would !!!!
    Edit : at the moment you must be seriously stupid to buy a 911 r even slightly over sticker with the arrival of the new GT3 which is better in every possible ways !

  16. Why on Earth would Porsche stop producing manual transmission automobiles… that sounds like a preposterous idea.

  17. More manufacturers need to get involved. When Nissan brought back the Z with the 350Z Nissan USA warned dealers to not mark up the cars. They were told if they get caught they wouldn't get more Zs.

  18. Rob always on point with reality 👌🏼 it still crazy to me how all used f12s, even while the car was still in production, cost more than the MSRP

  19. You said it all , cars are made to be driven , I'm glad Porsche is steeping in on this , people are tired of these inflated prices !

  20. It's called supply and demand, just because you don't see cars as investments doesn't mean that's the correct thinking. If I purchase something and willingly pay over sticker, I have every right to sell it for whatever I want. they sell a product, we live in a capitalist society. Love your videos and generally agree with you however, I don't think you can be more wrong about this subject.

  21. I like cars/trucks, I also like wrist watches. I see Rolex in the same situation. Good example is the new Rolex Daytona with a retail price of about twelve thousand at the dealer. Rolex restricts production, so it's said, and in the flipping market that same watch sells for seventeen or up to twenty thousand. I'm sure this shits off Rolex, as they build watches to wear and enjoy not to be used as "hedge funds." I'm sure Rolex has it's control over this flipping market in how it works with the authorized dealers. As a side note, car and watch guys can be obsessive and perhaps not always the best people on the planet, but they sure are fun to hang out with.

  22. If I buy a car for 200k and someone offers me a million because it's rare how have I done something wrong? The guy who wants it the most gets it. It's up to the car company to sell something cool enough that people want it more than used for the price point.

  23. They just need to allow manufacturers to sell direct to consumer. That way THEY set the prices, and they wouldn't have to gauge sales demands as they could just take orders. This would drive out the markup considerably. Probably won't happen tho, Tesla showed that.

  24. They say they're cracking down on it but then when you go to ask them for one they then say, oh you need to buy (& blow your brains out on) 2 Panamera's a bog standard 911, 3 Macans & a Cayenne just to make sure you're totally bankrupt before you can have a GT3, GT4, R, RS etc etc

  25. When someone says "Buying a car and flipping it" all I can imagine is someone buying a brand new car and then going Hulk Smash mode and flipping it onto its roof.

  26. I don't see GT3s being purchasable at list anytime soon.
    All the dealers I've contacted have limited allocations and won't sell to people who don't have an extensive Porsche ownership history.
    If given first priority on a car that demand is > supply, people will just jump at the opportunity. they won't drive it either, I know I wouldn't if a 100% return was on the table.
    The only way to truly sort the problem, is to produce more cars!

  27. Rob, you are getting better and better at creating and editing very interesting content but you need to learn how to do some basic color, contrast and white balancing with your editing software because those images looks bland af.

  28. Rob, you are getting better and better at creating and editing very interesting content but you need to learn how to do some basic color, contrast and white balancing with your editing software because those images looks bland af.

  29. after a factory tour at ferarri in maranello this past month i can guarantee that your 488 is basically a mass produced product by ferrari standards and will depreciate in value like no tmrow……. They pump out about 25 of them a day and in Europe they are already saturated across the market …… Plus , it has no distinguishing features considering it is turbo charged and looks like the 458…..

  30. A slow clap isn't a good thing! Not sure about America but I'm pretty sure a slow clap is a sign of disrespect, universally?

  31. the problem is the buyer and it always is. Whether it's drugs, car flipping, house flipping, ridiculous dlc prices in games, the problem is ALWAYS THE BUYER.

    Don't pay, price comes down, everyone's happy.

  32. "If we see a demand, we fill the demand" The problem is that they're not filling the demand if its being produced in low, limited numbers. They're shooting themselves in the foot by producing a desirable vehicle in a very limited and set quantity. Not everyone can get ahold of one who wants one which skyrockets the price. Econ 101. Porsche is trying to have its cake and eat it, too. If they really wanted to fix their problem, either produce more to put an ease on the whole supply/demand aspect or remove the set production number, produce them to order, and incentive the first X amount of orders required to turn a profit on the model. As it stands, they're just inflating the value of their cars even further.

  33. I have many issues with your logic, but will only point out that from March 2011 until December 2014 (almost four years) you also had an your opportunity to put down a deposit and secure your allocation of a 918 Spyder and ultimately, your allocation of these limited edition Porsches.

  34. If they want to crack down maybe they should start by not producing sought after cars with such limited production numbers

  35. Today speghetti makes a video belittling people who buy many new cars and sell them. Then flips his brand new ferrari

  36. LOL; So they wil have their MOM, or their buddy by the car … Yet Porsche makes about 540 version of the 911, so … yeah ….

  37. Yeah , it’s dumb you don’t like people who flip cars.. smh 🤦‍♂️ so dumb… NOTHING WRONG with flipping .. first come first serve

  38. As much as I still wish I could someday buy a Ferrari; Porsche makes me so proud with this statement. Keep making manuals Porsche!

  39. Doug Tabbet had the wrath of Porsche headquarters come down on him for flipping cars by basically pre selling them for over MSRP. They threatened to take away dealerships franchise for selling him the cars and for selling outside their region. Now, their VIP program was designed to eliminate flipping but now it’s just people who wait 6mos and 1 day to sell it and it’s all doctors and lawyers so, they didn’t Elsinore the problem they just had the hands of flippers change.

  40. yes but i have read that saab dealers do customers dirty ! lots of horror stories fr owners on porsche forums about new car sales games on legit buyers

  41. Absolutely the worst time to be a GT3 manual car enthusiast and trying to buy a car at MSRP this is crazy I just want the car to go back down to MSRP.

  42. Where as I agree that what's the point of buying a nice, fast car if you're not gonna actually drive it for what it was built for, by the same token, it's MY hard earned money and I'll do with MY car as I please. Whether I drive the shit out of it, or let it sit untouched in a temp controlled garage for a couple decades, it's MY choice.


  44. Baseball cards aren’t worth the money they’re written on… ay who wants my basebal cards I’ll give ya a great deal

  45. Sounds like Rolex.
    Go and buy a submariner from rolex.
    Now go and get one second hand for double the retail price.

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