Market Watch: Supercars in 2024

After a rocky year in the car market during 2023, Tom Jaconelli from Romans International ponders whether we’re making our way over the hill to more stable times, and discusses more importantly, is now a good time to buy?

Supercar season is upon us. Whilst there is of course excitement and anticipation for all the events and trips ahead, where this continually tumultuous supercar market is concerned, I believe there is reason to be cautiously optimistic after what has been a challenging period for the majority of dealers and owners. If 2023 was the year of a re-alignment in the market, 2024 feels like it could be a year of stability where the dust seems to be settling somewhat, and there are early signs that we could see the return of a more buoyant market in the not too distant future. This does beg the question, could now prove to be one of the best times to buy?

Timing is so important when trying to make the right decisions about what to buy and when to sell but it’s nearly impossible to get it right every time, there are just too many external factors. I know many people are getting stung currently including ourselves having bought at the recent peak, but I think you’ve got to take the rough with the smooth, and unless you are taking a long-term view, now is the time to take the medicine and move on.

Let’s remember supercars are not stocks or shares and unless you class yourself as a supercar business, you shouldn’t beat yourself up if you bought your dream car at the wrong time, especially if you’ve managed to create some epic memories with the car. Very few, if any, could predict the likes of Ferrari 296 owners losing £100K in less than a year, especially with how well that car has been received by enthusiasts. It’s no surprise so many have cancelled their 296 GTS orders and I know plenty of Purosangues are being cancelled as well despite the fact they are making very good premiums currently.

As for Porsche, those long order banks have nearly evaporated and main dealers are now discounting pretty much the entire model range, barring the special editions, and there is a glut of unsold brand-new cars sitting on the floor. The same can be said for Range Rovers. Who would have thought that 18 months ago? It seems that the bravado of ordering brand-new production model cars with the confidence that you should get back fairly close to what you paid or perhaps even make something on it is a thing of the past.

Whilst finance interest rates remain high and insurance premiums have gone up, the drop in values has more than counteracted these increased costs and it’s becoming much easier to justify that next purchase, especially when buying second-hand. Even if you are buying cars just to get further up the list for something special, the pills are becoming a bit too big to swallow for most, and buying brand new just seems a bit scary unless you are getting an amazing deal. There are of course exceptions especially where new and exciting models are concerned like the Lamborghini Revuelto or the Ferrari SF90 XX.  No doubt if you want to buy one of those second- hand you will likely be paying six figures over list price for an early car, but how long will that last? You only have to look at the Porsche 992 GT3 RS which went from being £200K over list to £100K over list in a matter of months.

To be fair it’s nothing new for the biggest premiums to only be for the first handful of cars but the shifts in value do seem more extreme than ever before. I think this is partly down to VAT Qualifying cars which can save overseas buyers 20%, creating a bit of an illusion that higher prices are being achieved than what UK buyers are actually willing to pay, so that is something to be wary of when navigating the premiums of newly released supercars.

Before I round up, I must also touch on the EV market. I’ve lost count of the amount of brand- new Porsche Taycans I’ve been offered from prospective S/T and GT3 RS owners who don’t want them but are being forced into taking them. Now there is the even more expensive and even faster Porsche Taycan Turbo GT coming out, as tempting as it is, who is going to be putting their hand up for that potential stone drop? The demise of the EV takeover has begun, the mainstream press is littered with negative articles about them and we’re beginning to see manufacturers scaling back their EV plans.

Yes, EVs have a place in the market, particularly hybrids, but it’s clear that combustion engine supercars are far from being dead. By the time this article goes out, we should see the 812 Superfast replacement revealed in all its V12 naturally aspirated glory, and Bugatti has just announced the Chiron replacement will house a V16, much to the surprise of many who thought it would have a heavily-downsized engine or even all-electric powertrain.

I’m sure there will be more positive and exciting news to come, we are starting to see values firming up again, and once interest rates start coming down, this is going to give people even more encouragement that now is a great time to buy. This is a cyclical industry after all, and the good times will always come back around!

Written by: Tom Jaconelli

Exclusively for Supercar Driver Magazine