If your heart is set on owning a specific model car, there’s nothing going to distract you from acquiring it, and quite frankly, if it’s a sentimental buy the market trends may seem irrelevant.
If you are looking at a car as an investment, however, trends matter.
Trends can also matter if the car you desire turns out to be on the rise as a collectible. That can be great news… if you buy it just before the surging upswing of the trending curve, that is!
Bottom line, knowledge is always good.
Here’s a current list of trends. Some may surprise you!
American cars from the 1950s have slowly been suffering. This is especially the case for vehicles that aren’t in mint condition, as these have slipped as much as 30 percent in value since the past year. Examples of this vehicle category include the 1953 Cadillac Eldorado convertible, the 1959 Cadillac Eldorado Biarritz, and the Continental Mark II.
Blue chip cars have remained stagnant for the most part over the past few years. Stability, it seems, has become the new norm for vehicles that sit in the uppermost echelons of the collector car market. Despite this, as of 2018 blue chip cars still sit at an all-time high. Examples of blue-chip classic cars include the Ferrari 250 GTO, the Aston Martin DB4 GT Zagato ‘2 VEV’, and the McLaren F1.
British cars have most definitely been suffering when it comes to value. However, the British market has been making a comeback. The comeback is slow (there has only been a 4% increase in value since 2014 for specific vehicles), but at least the market is trending in the right direction. Examples of British cars that fall into this category include Jaguar E-Types and the Sunbeam Tiger.
Ferrari hasn’t seen much change over the course of the past year. As we’ve discussed, collectors aren’t as interested in purchasing higher-end vehicles right now. Cheap classics seem to be the way to go for the vast majority of the market and Ferrari has fallen into a catatonic sleep that it hasn’t experienced for more than a decade. A prime example of a classic Ferrari is the 246 GTS Dino Spider.
German collectibles have been enjoying a slow, yet steady upward trend in value. Many German collectible cars, such as the 1986-89 Mercedes-Benz 420SEL and the 1986-92 560SEC, are shining examples that collectors are more interested in vehicles that are affordable, stylish, and reliable than any other category of classic cars.
It’s safe to say the muscle car market has grown stagnant. Three years was the last time the market even made a one percent movement in any direction. Thus, muscle cars have been sitting rock steady for quite a while now. Only time will tell where this market will go.
Affordable classic vehicles have seen the most significant rise out of all of the vehicle categories. This highlights one fact for the collector car market as a whole — during times of unease people are more interested in cheap fun than more expensive and risky investments. Examples of affordable classics are the Porsche 914 and the Volkswagen Beetle.
Old vs. new collectors
One aspect that’s often overlooked in the classic car market is the habits of old vs. new collectors. For example, the older generation is more interested in buying classics they can showcase at their garage or during car shows.
On the other hand, younger collectors are more interested in using their vehicles as daily drivers. With social media being so prevalent, the younger generation is more interested in being seen in their vehicle as they post pictures to Facebook, Instagram, Snapchat, and other social media platforms.
Despite their obvious differences in taste, every generation of car collectors have one thing in common — they all tend to purchase vehicles they grew up with. For example, younger collectors tend to prefer 80s and 90s vehicles. Older collectors tend to favor vehicles from the 50s, 60s, 70s, or earlier.
Frankly, what may interest to a 32-year-old collector may not appeal to a 50-year-old collector.As a new generation of collectors takes to the stage, the types of vehicles sold will begin to shift slowly, thus causing waves in the industry.
How does the market trend look for 2019?
Cheap and safe seems to be the trend ( for 2019). However, this trend may change depending on the strength of the economy. If the economy is strong more collectors will feel at ease when considering big ticket purchases. If the economy feels uncertain then more affordable and safe purchases will continue to prevail. Only time will tell.
Trend info taken from an original post: http://classiccars.lelandwest.com/listing.asp?2018/12/collector-car-market-trends-2019