Collector car bubble

The bubble will only burst when the people who want these cars are dead. As was mentioned earlier The younger generation don't care about these cars or cars in General..Many teenagers don't even care to get their licence and would rather skype or play video games online than go for a drive

The ones screaming bubble are hoping for there to be one.

 

I hear it in realestate almost everyday, those who scream bubble coming are still renting from me LOL

I hear it in realestate almost everyday, those who scream bubble coming are still renting from me LOL

 

RE is far more important than cars.

Bubble will pop when housing market tanks. Until then, the bubble will stay very real until the generating interested in these cars starts to die off / lose interest.

The bubble will only burst when the people who want these cars are dead. As was mentioned earlier The younger generation don't care about these cars or cars in General..Many teenagers don't even care to get their licence and would rather skype or play video games online than go for a drive

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Nailed it!

RE is far more important than cars.

 

It is, it makes me money so I can buy cars

Theyve been saying its going to pop for the last year.. yet cars continue to sell.. Ontop of that many of these cars going for big money, are going for even higher dollar restorations.

 

I'm sure this will be the case for the really exclusive/historic cars but the less expensive cars will and should take a hit. The market is being flooded with basic 930/964/993's. People should stop paying ridiculous prices for them.

 

Carrera GT's are also coming down. Not by a lot obviously.

The market is being flooded with basic 930/964/993's. People should stop paying ridiculous prices for them.

 

Well who is paying these prices for them ??

 

I find it hard to believe it is the enthusiast who has lusted after a certain marque and is realising a lifetimes ambition.

 

Would you buy a '98 SV for £250K today if you knew that the price 3 years ago was £90K ?

 

Theres 10 x the amount of Diablos listed for sale in EU right now than 5 years ago - hell there's about a dozen for sale just in the UK..

 

I reckon the enthusiasts are cashing out ( or trying to) and the investors are perceived to be moving in - but not to the point where there's a feeding frenzy - theres not exactly a shortage of inventory at the moment.

 

I don't know what it means but I would be surprised if there wasn't a downward correction soon enough.

 

 

 

Well who is paying these prices for them ??

 

I find it hard to believe it is the enthusiast who has lusted after a certain marque and is realising a lifetimes ambition.

 

Would you buy a '98 SV for £250K today if you knew that the price 3 years ago was £90K ?

 

Theres 10 x the amount of Diablos listed for sale in EU right now than 5 years ago - hell there's about a dozen for sale just in the UK..

 

I reckon the enthusiasts are cashing out ( or trying to) and the investors are perceived to be moving in - but not to the point where there's a feeding frenzy - theres not exactly a shortage of inventory at the moment.

 

I don't know what it means but I would be surprised if there wasn't a downward correction soon enough.

 

 

 

I would pay 250k.for a Diablo Sv if I didnt have one already. Looking at Testarossas now that are 3x the price.

I would pay 250k.for a Diablo Sv if I didnt have one already. Looking at Testarossas now that are 3x the price.

please buy a white one

I would pay 250k.for a Diablo Sv if I didnt have one already. Looking at Testarossas now that are 3x the price.

 

250 pounds is 360k.

I would pay 250k.for a Diablo Sv if I didnt have one already. Looking at Testarossas now that are 3x the price.

 

Well that's interesting as I would definitely have you down as an enthusiast rather than an investor!

Well that's interesting as I would definitely have you down as an enthusiast rather than an investor!

As an enthusiast id think youd pay whatever it took to get what you wanted?

250 pounds is 360k.

Whatever it took.. on a flipside.. offer 360k for my Diablo and I wont sell it.

As an enthusiast id think you'd pay whatever it took to get what you wanted?

 

I see your point and I somewhat agree - my point being that an enthusiast would most likely be familiar with the market and be reluctant to be paying 3x the price from a couple of years ago.

 

If they didn't buy a SV at £90K 3 years ago why would they be buying today at £250K ?

 

Personally there is no way I would pay £250K for a SV - they are great cars but just not worth that sort of money - and whilst I would never buy a car as an investment, I certainly would not buy a car with the potential of taking a huge haircut on it in the near future.... which is where I personally think we could be now.

 

Of course I could be wrong, but I just can't get over the feeling that: rapid rise in values over the past 12 months + everything for sale = trouble ahead!

 

No doubt the market is still red hot for certain cars - the SE30 Jota sold yesterday at auction for 600K Euro is pretty astonishing - but to be fair that is an exceptional car, so rare and coveted they will and should always command high prices.

 

It's the bog standard 911 SC's for sale at silly money - that is where the problem lies!

Well who is paying these prices for them ??

I reckon the enthusiasts are cashing out ( or trying to) and the investors are perceived to be moving in - but not to the point where there's a feeding frenzy - theres not exactly a shortage of inventory at the moment.

 

Bit of both. These are cars that sold for 15-25k a few years ago and are now easily going for 40-50k or more.

 

There are a lot of people (not investors) with some money laying around, who aren't really into the car scene and just go with it because of the hype and the price seems fair to them. And it's cool and fun to have a classic car and they think they'll make a killing in a few years. So they are buying it for the wrong reasons.

 

Same goes for vintage watches etc.

I see your point and I somewhat agree - my point being that an enthusiast would most likely be familiar with the market and be reluctant to be paying 3x the price from a couple of years ago.

 

If they didn't buy a SV at £90K 3 years ago why would they be buying today at £250K ?

 

Personally there is no way I would pay £250K for a SV - they are great cars but just not worth that sort of money - and whilst I would never buy a car as an investment, I certainly would not buy a car with the potential of taking a huge haircut on it in the near future.... which is where I personally think we could be now.

 

Of course I could be wrong, but I just can't get over the feeling that: rapid rise in values over the past 12 months + everything for sale = trouble ahead!

 

No doubt the market is still red hot for certain cars - the SE30 Jota sold yesterday at auction for 600K Euro is pretty astonishing - but to be fair that is an exceptional car, so rare and coveted they will and should always command high prices.

 

It's the bog standard 911 SC's for sale at silly money - that is where the problem lies!

 

Just random thoughts..

Correct me if I'm wrong. There is no capital gain tax in UK if you sell a car for more than you paid. Same with other places outside of the US.

 

The 911 thing has been going on for longer than 12 months. Yes, I'd agree many are stupid money, especially considering how much they used to be. Back in the early 90's I had a 68 911 that was converted to look like a 86 year model or so. No one at the time thought that was a bad idea. The Porsche / Ferrari value increases come from a much larger group that want *only* that car. A really stupid example in the collector market is the vintage VW bus. Crazy money for even a rust bucket. There was nothing special in the one I rode around in as a kid.

 

Car prices have gone up ahead of real estate prices from what I can tell. Certainly in my area. The last recession, I think it was the other way around. People were borrowing money to buy that z/28, Vet, Cuda , etc with lines of credit.

 

 

 

2:53:00 - Diablo SE30 Jota

 

Sold for 600.000 euro - 678.000 USD.

Imho SE30 Jota is Lambo equivalent to Pagani Cinque in rarity and style. Will never lose value imho.

^^ and even at 670K EU - still about half the price of an F40 - a bargain!

i think SV diablo are still cheap today.

as you said the problems are the 911 SC, 964 or 993 built in thousands...

 

i do not see bubble on lamborghini vintage cars.

 

but sure i see on some porsche or ferrari.

 

 

Just random thoughts..

Correct me if I'm wrong. There is no capital gain tax in UK if you sell a car for more than you paid. Same with other places outside of the US.

 

The 911 thing has been going on for longer than 12 months. Yes, I'd agree many are stupid money, especially considering how much they used to be. Back in the early 90's I had a 68 911 that was converted to look like a 86 year model or so. No one at the time thought that was a bad idea. The Porsche / Ferrari value increases come from a much larger group that want *only* that car. A really stupid example in the collector market is the vintage VW bus. Crazy money for even a rust bucket. There was nothing special in the one I rode around in as a kid.

 

Car prices have gone up ahead of real estate prices from what I can tell. Certainly in my area. The last recession, I think it was the other way around. People were borrowing money to buy that z/28, Vet, Cuda , etc with lines of credit.

 

I have a CGT and did discuss capital gains tax with my CPA....short answer = yes.

U.S. Dips there hands in every cookie jar and sometimes many times over.

I am bumping this thread as I just came across the following article.

 

http://www.dallasnews.com/business/autos-l...-be-cooling.ece

 

Maybe the classic-car economy really is beginning to cool -- a possible boon to anyone in the market for a special car.

 

Hagerty, a major insurer for classic vehicles, predicts sales of $370 million at the prestigious car auctions in and around Monterey, Calif., beginning next week.

 

That would be a 7 percent reduction in sales from a year ago, suggesting that fewer deep-pocket buyers may be at the auctions.

 

However, Hagerty expects 11 vehicles to be offered at the auctions this year that will likely sell for more than $10 million -- up from 10 in 2015.

 

That total will include several Ferrari 250 GTs, a 1932 Bugatti Type 55, a couple of 1930s Alfa Romeos, a 1955 Jaguar D-Type Roadster and a 1962 Shelby Cobra 260.

 

Two trends to keep in mind if you're thinking about jumping into a classic car, according to Hagerty:

 

"Modern Classics" -- not traditional muscle cars -- continue to be the biggest growth segment and represent 24 percent of all the cars being offered in Monterey. Modern Classics are cars 1980 and newer.

 

In addition, fewer vehicles from the '50s and '60s will be for sale at the auctions. The number of '50s vehicles at Monterey peaked in 2009 at 29 percent and is expected to fall this year to 16 percent, Hagerty said.

 

Sixties vehicles will probably drop from 34 percent in 2014 to 27 percent this year.

 

"This year's Monterey auctions will put the market dynamics to the test," said McKeel Hagerty, CEO of Hagerty. "We have a confluence of factors -- including several important and rare cars on offer and the emergence of a new generation of collectible vehicles -- all being balanced by an overall market that is experiencing slower growth."

 

 

I said back in May that I thought there was a bit of a bubble and I still believe that to be the case.

I am not predicting a crash however as I stated I believe there will be a 10% - 20% correction over the next couple years.

Hell if Hagerty's prediction is correct there is a 7% reduction from last year.