Cheap Vehicle Insurance, Classic Cars, Profit or Pitfall?
Recent episodes of Wheeler Dealer have taken us on a stroll down memory lane: from the classic Ford Fiesta XR2 (circa 1983) to the breath-taking green Lamborghini Urraco! Many of the recent episodes have featured a different classic vehicle.
This has begged the question, just how practical it is to buy, restore and own a classic car? While we can agree on the potential pleasures of tinkering with, and driving a classic car. What are the pitfalls of ownership? Is it all too easy to fall into the trap of endless months of shelling out good money after bad?
It’s easy to point out that had you purchased an Aston Martin DB5 25 years ago, you would haven taken great pleasure in seeing it’s value increase almost ten-fold! However, before you rush to pick up the phone and advise your accountant that you are now going to be investing in classic cars, it is wise to remember, as with property or shares, the value of a classic vehicle can go DOWN as well as UP. Most of us would agree that to actually make a profit on the purchase and ownership of a classic takes considerable knowledge and foresight.
Buying a classic car for purely speculative reasons seems at odds with an object of desire – that is supposed to actually move! Potholes excepted, there is nothing better than to cruise through town in a classic, feeling the glow of vehicle history as heads turn on the pavement. Yes, driving a classic car – and maintaining it in a fit state to be driven – are the chief pleasures of ownership.
If you are lucky enough to be in the market to invest some of your hard earned cash then, whatever you do, take your time and resist the temptation to fall in love with the first one you see. In the world of classic cars you can be certain of two things: 1. You will eventually find a better example. 2. It will be worth waiting for.