By James Ulysse - expert classic cars & youngtimers at Catawiki
It proven over and over again: classic cars are doing well with regards to sales. But what are the trends in this market? How to best sell and buy classic cars? Our classic car expert answers some questions and gives his best advice.
Q: Is the classic cars market doing well?
Ulysses James: Yes, very well. Each year, more and more successful automobile auctions attract an ever growing audience.
Q: Are there any differences between decades or car types (old, youngtimers, sports, etc.)?
The current trend shows that youngtimers (like the GTI & Turbo 80's) are gaining in value by renewing the market and its audience. Italian and English prestigious classic sporting brands are still popular and continue to be fascinating no matter what, whereas pre-war models (apart from certain exceptional brands) suffer from the demographic decline of their admirers.
Q.: Have some vehicles become investments in the way of works of art? If so, which ones ?
Automobile as an investment long has and still does pay out better than art, wine or watches, while offering the pleasures of a useful item one can use to travel. Many Ferrari or Porsche vehicles have reached record high values in recent years, attracting many investors to this ever growing market. One must however be mindful of speculation. If market growth seems to have slowed down in 2016, it is still dynamic and has offered many opportunities for all amateurs. Beside, as someone who favours the use of vehicles, I think buying pleasure is more important than trends.
Q.: Are there differences in sales proceeds from one country to another depending on the origin of the car? Can we get better deals by buying abroad or does the internet regulate the market?
At the local level, availability and awareness impact value, each vehicle has a particular perception and estimated value which very much vary depending on where it is sold. The Internet facilitates exchanges and information access which partly regulates a market where culture and trends can become international. While there are interesting deals to be found, import regulations also impose limits.
Q: Can auctions be enjoyed at all prices?
Auctions offer a wide variety of exciting opportunities to acquire a classic car. It is very easy to find a good match regardless of budget limitations, and contrary to popular belief, the sales offer many interesting vehicles at affordable prices. Beware, however, of vehicles requiring extensive work; except for the sought-after models, restoration costs are rarely earned back at resale.
Q: Does buying at auctions offer better protection for possible hidden defects?
Even en excellent bottle of wine can turn out corked, the same is true for classic cars. However, this is exceptional and in most auctions, the experts present an objective assessment of the vehicles they have selected. The expert's experience is a key asset in avoiding certain traps on cars where falsifications and counterfeiting are possible. This does provide vital additional security for buyers.
Take a look at Ulysse James’ weekly selection within our Classic Cars auction or ask him for a valuation of your own car! Sign up as a classic car seller here.