The collector car market is on fire. It seems like every great car is going up in value. In doing so dream cars have appreciated out of reach for many of us. What’s an enthusiast to do?
Why didn’t I buy that car when it was a third of today’s price?
Who would have thought your favorite car would increase in value ten fold. Crummy, unrestored cars appeared to be overpriced back then. And at the time they were. Buying old cars requires careful thought, instinctive vision, and guts to pull the trigger. Or does it?
Today we realize what a great bargain they really were.
Speculating on a handsome return is like picking red or black on a roulette wheel. The secret of success in purchasing a collector car is to buy it because you love it. That way if you are stuck with the car, you’ve still come out ahead. That is what collector cars should be about anyway.
The concept of buying a collectible with the expectation of profit is missing the point.
“Collecting” is deriving enjoyment out of having the object, observing it, using it, etc. The addition of it to your “collection” should bring you joy, a sense of accomplishment, improving one’s collection, and on and on.
If the profit motive is paramount, is one truly a collector or a speculator/dealer ?
My view, from the perspective of 44+ years of collecting, is quite simple: buy precisely what you love and brings you pleasure. The ownership, alone, is it’s own reward. If, at the end of that time, one happens to derive a profit, it is a bonus as you have had years of enjoyment.
I practice what I preach and share this philosophy with my clients.