Overall the vintage vehicle market has not only seen a growth in popularity and investor interest, the demand for classics has never been greater. With the demand growing, and the number of classic cars, obviously, not changing, the value of these vehicular throwbacks are increasing, sometimes exponentially.
What the Dow Jones Investment – Collector Car Index by the Wall Street Journal, and other metrics, has shown is that most classic, vintage, and antique cars and trucks have appreciated in value over the last five years. For example, the 1960s VW Van has increased in value 185% over the last five years, and 344% over the last ten.
About five years ago buying a vintage car started to be considered another example of “passion investing”, like an investment into an art portfolio. Passion investing is something a person does when they really care for something or wanted but don’t have, and, that thing has value. Some invest in wine and restaurants, and some in watches and gems. As a result, vintage cars and trucks have become their own asset class, like blue chip stocks or bonds.
In fact, this move to using vehicles as, well investment vehicles, is due in part to the exponential increase in value of A-List vintage cars (like the 1965 Shelby GT350 and 1959 BMW 507 Roadster). According to Hagerty’s Blue Chip: Index of the Automotive A-List this asset class of collector cars has grown from around a half-million to over 2.5 million dollars over the last 10 years. That’s a significant rate of return.
Now, if you found a 1965 Ferrari 275 GBT in some farmer’s field and offered him twenty-grand (and he took it!) your rate of return on this investment would be unheard of. With some decent cash put into a comprehensive, off-body restoration, your $20,000.00 car purchase would be worth millions today.
For those of us not in the million-dollar car investing bracket, there are some great prospects out there. For example, both the International Scout and Scout II has some also seen significant appreciation as well. Even the 1970 Oldsmobile Vista Cruiser (a station wagon) has jumped in value to the tune of over a 100% increase over the last five years. The old Datsun 240Z is another one to keep your eye on. These cars are all less expensive than a new VW, but instead of depreciating as soon as you drive a new car off the lot, these cars are projected to increase in value over the next five to ten years. These vintage cars and trucks are considered “Buy” vehicles, because of this projection. A “Sell” vehicle is considered one that’s reached its value apex. The “Hold” vintage car is one that has good value, and may see a significant increase in the coming years – the idea here is to sell it when it reaches its high point.
The last five years has moved car collecting from a mere hobby to its own recognized investment class in the world of high finance – so much so that there are now exchanges that show vintage vehicle values like your Apple stock on the NASDAQ or mutual fund.
See what other smart investments some of our savvy customers have made in the past by exploring our gallery of Vintage, Classic, and Exotic Vehicles and get inspired today!