WHILE some Invest their time and money in the financial markets, and others in bricks and mortar, there are other those amongst us that would like to see our money put to a more practical and enjoyable use.
Buying a classic car can be a sound long-term investment, and if common sense is used and a few key rules are adhered to; collectible vehicles can provided a better yield than art, wine, coins or jewellery.
In addition, there is the fun factor. I can’t ever remember anybody telling me they’d been stopped in the street and told: “Wow! That’s a beautiful bottle of wine,” or they had just had a wonderful experience; racing through the country lanes, wind in their hair, listening to the burble of their V8 oil painting.
However, an investment is exactly that, an investment, and great care should be taken in buying the right car. If you let your heart rule your head when choosing, you could well lose money in repairs and restorations.
To avoid the ‘Money pit motors,’ and to ensure you have the best chance of a return on your investment, it’s best to stick to the popular marks, and even then only the best spec and condition on offer.
For example: The market (and people with money to buy) for a pristine top spec Jaguar XJS convertible in 10 years’ time, will be far greater than the many tempting cheap rusty old “Do’er up’ers” that will be available.
If you were to pay €15,000 for that pristine convertible now; you’re likely to have 10 years of happy classic motoring every weekend and probably make €5,000 when you sell it with a smile on your face.
Alternatively, to buy an average Coupe with cloth seats and no history that needs ‘a little catching up’ for a bargain €8,000, then spending €4000 repairing bits as they break, and getting everything perfect and running right. Then in 10 years when you sell; you would be selling a pristine average spec coupe without history in a market of hundreds the same… You would be lucky to get your 12,000 back.
In essence: the cream always rises to the top. Given the option of driving around in a beautiful and perfect XJS convertible for 10 years and being paid €5000 to do so, for me, is a far better option to 10 years of car trouble for no reward.
The only hurdle in this principle would be the initial cost. But if you don’t have the €15,000 for that pristine top of the line 40 year-old Jag, don’t settle for second best… Go buy a pristine top of the line 20 year-old XK8. Just as much fun, and everything becomes classic one day!