Curious on the effects the economy is having on prices. Looking at some of the auction results they seem down but I am not sure that they are a true indicator. Ebay prices seem to be way down as a lot of cars are not even getting close to reserve. Dealers are saying the same thing but seem to be asking way to much for cars. 59's and 60 caddies are pulling a good dollar for well done cars but even they seem to get stuck at a price point. 59 Eldo Conv are astronomical in prices. So who knows. I have been told to wait a while to buy for a lot of people think that like the real estate market the car market is due for a big correction. Maybe I am hoping for a bargin but?
Thanks
Skyrun
I dont personally deal in the upper end cars, only read and see on tv so its hard to tell what is really going on there. The low end stuff still seems to be selling fairly well. What I have noticed is the nice clean 70's-mid 80's cars people seem to be asking more for those and getting little to no interest (based on ebay bids or how long they sit for sale). Perhaps its these lower/middle people that are already feeling the 'pinch' and starting to think about selling stuff but are not yet desperate so they are still asking what they have invested.
I have noticed the new car dealers lots look to be pretty full and have heard adds in our area indicating that several indy dealers have been bought out by larger ones and there are 'select still new 06 models available'. Im thinking if they are paying for air time to mention 06's they must have a bunch and 1/2 way through the 08 model year they should be just about done closing out the 07's.
There also seems to be many 1-3 year old cars for sale by private parties. I suspect these may be cars that people are having trouble making the payments on but are not desperate enough to just quit paying. The dealers are overstocked so they are not making trades like they used to so they are just hoping to sell to get out from under the payments and perhaps pay cash or a more 'economical' model.
I think we are in a downward trend right now. I noticed it beginning when I went to the Kruse auction in Hershey last October. The cars were not getting the money they had just 6 months prior. Most were either not meeting reserve or selling for a solid 40% down from previous years. Good time to buy right now though.
What I've noticed in the auctions is that the overhyped, overpriced muscle cars from
the 60's @ 70's have taken a hit and are trending down (as to be expected). But,
having said that, the true classic and milestone cars from the 30's through 50's are
doing well and even going up in value. I think that the majority of our cars will do well
over the long haul -- as they were not overhyped to begin with. The good, classic cars
with proven long term value will always sell.
Let's face it -- a Hemi-Cuda or Shelby Mustang for upwards of 500K+ is just ludicrous
and people paying those prices were guilty of having more $$ than brains or just
planning on turning them to make a guick buck. Those days are gone. Note
in the recent auctions how these cars have brought about 30% or more less than the
all time highs from a few years ago.
Mike
Prices always have a way settling in to realistic levels after a while. It usually take s some shock to the economy to do it but sometimes people just seem to figure it out on their own and prices drop and then level off.
I was lucky when I bought my car in 2001. I had been shopping for many months when I decided to by my '56. Fortunately for me the seller had cut his price in half by the time I was ready to make an offer - it was a month after 9/11. People were worried and unsure about the future and I guess (rational) people weren't rushing out to buy antique cars.
I on the other hand, being irrational, bought it immediately!
CEC #20099
Mike; I would not be too quick to knock Hemi Cuda`s, as an investment. They are an ultimate car to many people. Don`t forget that Cadillac V16`s were disdaned for many years as impractical gas guzzlers.
What I am more concerned about is the "graying" of the hobby. As these people die off, will today`s young people even want a Cad V16 ??? We are not retaining our youth in the hobby.
I see the same issue in the Lionel Train collectors. The old guys who collected the Postwar "Classics"
are dying off, & the middle-aged guys want the brand new Korean stuff. The kids are texting on their phones.
I took a young couple to their wedding in my 39 Buick sedan. They had no clue what I was doing with that lever on the steering column, as I drove.
Of course, I am excluding "museum cars".
Clarence Chleboun.
I know what you're saying about the graying of the hobby,
Cars seem to go up in value to a point where the people that originally wanted them when they were new are not around to pay the big bucks.
I think this only applies to certain types of cars. For instance, a 1953 Chevrolet is kind of a frumpy car that, in my opinion, is only collectible because of nostalgia, but a 1953 Eldorado is a work of art and a mechanical tour de force. It will always draw admirers.
Just think of the Duesenberg. All of the original owners have long since passed and many of the people who knew these cars before they were icons are relatively old. However, there are still people who want them because they were so much better than the norm of the era.
I am 27 years old and I would jump at the chance to own a V16 Cadillac or a Cord 810/812. I also want a 1957-58 Eldorado Brougham someday.
I think that there are outstanding cars from every era and they will always be collected.
Right now, I think the market is down. I had a hard time selling my 1976 Coupe De Ville for $6,500. I ended up selling it to a buyer in Denmark. He was probably motivated by the strong Euro.
Here is an example of how to keep the classic car prices up high.
The Automobiles of Amelia Island auction by RM Auctions, Inc. was held March 8, 2008. Sold at the auction was a 1939 Cadillac Fleetwood Convertible Sedan (Series 75) which was converted to a V16 by replacing the V8 motor and the front clip. The car was sold for $170,500 including sales commission. Shortly thereafter (within a month), the same car was further modified by the removal of the Cadillac & LaSalle Club medallion from the front grille and is now offered for sale for $265,000, by a well-known classic car dealer, minus the mention of the conversion.
Clarence, I am trying to do my part to pass the hobby interest along. Our two year old can pick a Cadillac (old or new) out of a line-up. He is also proficient at identifying Buicks and Pontiacs. He could say Cadillac before he could say cookie. Our one year old is getting plenty of Cadillac exposure as well.
Jed, a V16 and the 57/58 Brougham are also at the top of my wish list.
Kevin