Investment
With the current difficulties facing the housing market, and the fears of recession and then inflation causing the stock market to roller coaster, many are searching for something else to invest in. During the housing boom that dominated the early 2000's up until about 2005, investors were eager to buy homes in order to turn around and flip the property. Flipping homes proved to be very profitable until the sub prime mortgage crises hit the market resulting in the current credit crunch not to mention the fear of recession and now the resulting inflation that only promises to worsen.
For those investors that once made money by flipping homes, they have started to invest in Classic Cars. Classic cars have always been a great way to make money. What makes investing in cars particularly desirable is the fact that it is a little more affordable than other forms of investing. If you are an investor looking for ways to make your money make more money, you have to consider investing in classic cars. If you spend some time, and do some research you could very well be pleasantly surprised at what you find, a lot of these cars are now worth ten or more times there original value, you've just got you think, how many investments you know of can do that.
Back in the day a HEMI 1970 CUDA sold for around $3164 and today you could not touch one of these cars for less then $150,000.00, and that would be an extremely good buy, recently one sold for $1,500,000.00 at auction, and this is not uncommon for this type of muscle car. Quotes David Atkins of Ezine Articles: "If you're an investor and you have an interest in cars, it's the right time to start throwing some of your cash at the classic car industry."
Vintage or classic cars might seem like the province of the rich, but it's a market that has possibilities for enthusiasts with only little money to spare. One of the biggest forces behind the market today is nostalgia. Christie's head of motoring, Rupert Banner, says: "We think the market will maintain its ground because people have bought for nostalgia and recreation; not just financial gain. Having said that, most people who have bought a [classic] car in the last 10 years would have seen a rise on the value of their car."
American sports cars of the 1960s and 1970s are particularly booming in the European market. A 1971 Ford Flacon sold in Australia for $683,650.00, and cars such as Chevrolet Corvettes, Ford Thunderbirds and Pontiacs have probably doubled in value over the last three years. "The great thing about a car compared with other things that people purchase as an asset is that there's an awful lot you can do with it," concludes Banner.
Corvette Market Magazine reports, C-1 corvettes are on the move and C-2's mid-year Corvettes reported up 20%. It's said that any Big Block 427 is still the one to own! Add 30-75% with documentation and options or the desirable color combinations.
Reports from Mecum, Russo & Steele, RM Auctions and Barrett Jackson say private sales report 1967 Red 427/435hp 38,000 miles convertible with documentation sold for $375,000.00 (March 08), 1967 Black 427/400hp restored $350,000.00 (June 08), 1967 Black/Black 427/435hp older restoration $375,000.00, 1967 Maroon small block restored $92,000.00 (Oct 08), and everyone remembers last June record sale at Mecum Auction 1967 Black 427/435hp convertible older restoration sold for $467,000.00. Interviewing him today he still feels his money is safe and he made a wise purchase.
Mecum Auctions reports from this years sales Chevelles, Oldsmobiles, and Pontiacs are up 30% this year. It's not only an investment, but it is the love of the American Muscle that keeps driving this market. " Invest in these cars and watch your money grow", states Forbes Magazine ( Sept 08).
If the idea of making your money work for you sounds appealing; then don't hesitate to give us a call and let us put you in an investment you can afford and enjoy at the same time!