I think it depends on your background. I'm on PC and other than a Wii have never owned a console. There have been racing sims on PC for 30 years and its pretty much established what features they have. A game where your tyres never wear out, you fuel lasts for ever, your tyres are always at the optimum temperature and act as both slicks and wets , there is no qualifying session, no practice session, no pit-stops, not even a pit-lane, and no damage does not qualify as a racing sim. These are features of arcade racers such as Mario Kart.
We sort of take driving physics for granted. I appreciate on console that if you don't have a good range of racing sims with realistic driving physics then a title which offers good driving physics even if it misses out on all the racing simulation aspects may be considered a sim.