Classic cars forum & vehicle restoration.

WilksT · Joined: 12 Dec 2011 Posts: 1

Hi,

Im fairly young, and have a huge interest in modern cars. I've recently been looking at a friends fathers garage, and he has some old Bugatti's, A Brayshear (not sure if thats the correct spelling!), A Ferrari Boxer, and some other cars such as old Bentley's and a Jaguar E Type... That's a lovely car. What are these cars worth approx.?

Anyway, Ive got some money together, and Id like to purchase my own classical car. At the moment, Im not sure what to buy. The girlfriend has given me permission on the basis that its an investment, and Im not going to lose money, like I do with all the modern cars I buy purely because I like them, (I tend to keep them 6 - 12 months then move on!).

I would like to be able to build my garage up with some classical investments (and a few cars bought with the heart!).

Any general advice or words of wisdom welcome, please remember Im a new guy to this but have the ability and the people I need to support me with any restorations needed.

Wilko

peter scott · Joined: 18 Dec 2007 Posts: 7225 Location: Edinburgh

I don't think you'll find any sure fire investments in old cars. If anyone knows of any you can be sure they won't want to go public until they've bought them all.

I think most folk on this forum just buy the vehicles that take their fancy. Buy them because you love them not because you expect to acquire a good investment.

Peter
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1939 SS Jaguar 2 1/2 litre saloon

62rebel · Posted: Sun Jun 03, 2012 4:39 pm Post subject:

invest in a sure-fire return? wishful thinking. besides, that's not a car enthusiast's mindset. we buy what we love, not what we can resell for a profit. even buying a known value-holder doesn't ensure it will resell at a profit, or even maintain pace with inflation. sure, there are those who can fill a garage with classics and enjoy them; they're fairly few and far between. the rest of us get by with one or two cherished relics and enjoy them just as much, without the worry over depreciating value.

there's an old adage; "the fastest way to end up with a million from dealing in old cars is to start with two..."
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buzzy bee · Joined: 23 Nov 2007 Posts: 3382 Location: South Cheshire

MikeEdwards · Joined: 25 May 2011 Posts: 2798 Location: South Cheshire

The problem you'll run into is that classic cars need looking after. I've considered doing the same thing, but you can't just stick them in the garage and never run or maintain them, or they won't keep the value, and of course all that costs money.

Case in point is my Firenza, I bought it when they weren't very expensive at all, at the moment the value is giong up because it's being dragged along behing the Escorts, Chevettes and so on that are all increasing, but unless it goes seriously higher again, it's never going to get back what I've paid in garage rent, MOTs, service items, general upkeep, and I'd be the first to acknowledge that I probably haven't done as much of that as I should have done. And once you get on to higher-ticket cars, that all costs more.

Picking a winner is going to be quite a job I think - as others have said, as soon as you read about a surefire investment, it's too late. That applies to any investment, not just cars.

welshrover · Joined: 09 Aug 2011 Posts: 326

sorry to hear you have an intrerest in modern cars, buy a nice classic drive it and enjoy it. but if you want to make a profit in selling them id stick to moderns. Wink

dalbuie · Joined: 24 Dec 2007 Posts: 408 Location: Gullane

I couldn't agree more with the advice given so far. I do buy and sell the odd car as a hobby (after a bit of TLC) and at the end of the year I hope to break even and have a great deal of FUN.

Thew worst that can happen if something doesn't sell is that I get to play with it longer.

Doing anything for nothing but the investment opportunity or the profit is a route to worry!

john-saab · Joined: 06 Dec 2007 Posts: 341 Location: West Dorset

ukdave2002 · Joined: 23 Nov 2007 Posts: 4326 Location: South Cheshire

I think it's all be said in the above replies, if you want to make a guaranteed profit with cars and have some fun, purchase a new model that will be in short supply; a couple of people I work with bought Audi R8's when they first came out, drove them for 6 months and sold them for a good profit even after the loan interest , this was their intent from the start , and one of the few times I have ever seen someone succeed at making a profit from cars without being in the trade!

Dave

buzzy bee · Joined: 23 Nov 2007 Posts: 3382 Location: South Cheshire

Hi

I think Profit can be made, nothing is sure thing, but it tends to be on high end, or super rare automobiles, probably like your friends Fathers Garage contains by the sounds, hence me asking what your Budget was...

If you have scraped together enough money for a racing Bugatti or such like, you might be in with half a chance, not a sure thing, but half a chance, if not I would say like the above, only buy if you enjoy owning them.

If you can't Afford to loose money, then don't buy a car.

If you can Afford one, buy a Scenic Showman's Steam Engine, half a chance with one of them too, but you will have to find one for sale first.

Cheers

Dave

MikeEdwards · Joined: 25 May 2011 Posts: 2798 Location: South Cheshire

Problem is, the OP's friends fathers garage was probably stocked some time ago, when such cars were just old cars. A friend of mine traded his AC Ace for a new Humber on much the same basis - back then it was just an old car with a big engine that wasn't very comfortable. If he could have predicted the values, he might have kept it, and the DB5, and all the other interesting stuff he owned over the years.

I am surprised the R8s made money, that must have been when the model first came out, taking advantage of people wanting to jump the delivery queue. That's a risky thing to do, you have to put a deposit down way before anyone can test drive the car so if it gets built and then gets bad reviews, you've got a problem. In a way you can do that with anything, as long as you have the budget. Just pick the next 911 special edition and get a deposit down, you're almost certain to end up with something that's worth more than you paid.

But that doesn't really count as an investment in the OPs original sense because, with a few exceptions, it will equalise itself if you keep it. The Audi R8, for example, is more widely available now, I've seen them on dealer forecourts for prices starting with a 5, that's almost a 50% drop from new price and not very old or high mileage.

baconsdozen · Joined: 03 Dec 2007 Posts: 1119 Location: Under the car.

Like a lot of people I often remember the older cars and bikes I had and look at the prices they fetch now and think "What if".
Then,in more rational moments I recall how many were sold on or scrapped because they'd become uneconomic to repair,how many you could no longer buy spares for or were slow,uncomfortable or too thirsty to use at the time as dialy transport.
The cost of keeping any in some sort of sound order over the years and of keeping them under cover and repairing the rust damage that would have still occured no matter how well they were stored would have meant that selling them now,even for a good price would,even without inflation return no real profit.
I don't believe there's a real profit in hoarding cars for the future as an investment,and they should be enjoyed and driven anyway.
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Thirty years selling imperial hand tools for old machinery(Now happily retired).