I just started this again. Started with the time trial events in arcade mode. The Handling feels very different. You don't need to brake as much, you can get on the power much earlier, and the steering isn't as responsive as it is in GT4.
The Rally races events seem much harder too, in GT4 it's kind of like slow and steady on the rally = fast, but on here you have to take a lot of corners (Including hairpins) flat to beat the gold times.
I'm onto the final complex String trial with the RUF RGT, wish me luck
EDIT: I did the final Time Trial, it was easy, did it in 3 tries.
Onto the racing, and now I remember... This game has epic rubberbanding, to the point where I can pit on the first lap of a 3 lap race in a similar car to the opposition and still win, with a margin of 1-2 seconds. But If I don't pit they still finish 1-2 seconds behind
This is the reason I didn't buy GTPSP. It's also the reason i'm going back to GT4 now...