The value gap, between popular and unwanted vintage automobiles, is becoming more pronounced. Modern collectors are educated and...

ΘΕΟΔΩΡΟΣ ΧΑΡΑΓΚΙΩΝΗΣ



   The value gap, between popular and unwanted vintage automobiles, is becoming more pronounced. Modern collectors are educated and selective · evaluating rarity according to the history of a vehicle. This lead to an unattainability for rare and historically significant vehicles. Can there be a middle ground, between classic car investors and those involved in the classic car community, so these vehicles can be accessible to everyone?



   Of course not. The only cause for augmenting or reducing any price is demand and offer. Of course, as usual, demand is driving offer and demand in classic cars is based on desirability. That is why luxurious limousines are so cheap (given that nobody is willing to feel like a chauffeur), on the contrary to sports and racing cars. Especially racing cars eligible for the most popular historic racing or regularity events like LeMans classic, Historic Monaco, Mille Miglia etc are more desirable.





   A large part of modern investors are people, who are not interested in cars and automobile history and are just involved in investment, can this create a market oversaturation?



   Investors who care only for value augmentation, will always exist, but there are reasons that keep them close to only very expensive cars. At first, an expensive car needs a correct and safe place to be kept in security, an insurance and strict service program, even if it does not move at all. Farther to this, investor needs too much knowledge to decide a purchase and extremely thorough initial survey for originality and especially, continuous history etc. With prices for significant racing cars between five and thirty-five (for the time being) million euros, a car can be totally reconstructed today in case somebody can prove specific chassis ownership, but then comes the question of continuous history. Further to complications above, liquidation of a car is not as easy, compared to stocks and bonds.





   Baby Boomers, are responsible for the creation, of the Classic-Car Nostalgia Market. Recently, there is a looming fear, that they could crash it. All the auction houses have been subjected to a drop-in sale rates, following the declining interest in automobile investing. Can this be attributed, only to a lack of interest and the present state of the world economy?



   What is happening with car price today, is the correction which quite rationally is occurring in classic car prices, after a period of strong rise which ended in 2016. Contrary to the above, prices of extremely desirable and relatively expensive sports cars, have not eased at all, while prices of very expensive sports cars are still going strong but with a slower pace, while baby boomers from evolving economies are still entering a market where the number of items for sale is almost fixed.





   Millennials have their own idea, of the vehicles that are worth owning and preserving. The trend, of collecting contemporary vehicles, can decline the interest in vintage automobiles?



   This is a good sign, concerning classic car market, showing that millennials have already an interest for collecting cars, which has been adapted for the time being in their budget.




   Organized societies have a thriving, self-organized Vintage Car Scene. Can state intervention, create inevitable consequences, in the ownership and maintenance costs, for classic car owners?



   Culture sensitive states, which might have some reservations on classic car ownership, maintenance and use on the roads, since 2016 have got UNESCO’s clear position, protecting classic cars and resolving issues above. Concerning states with mentality of the “Edebe” period UGANDA, there is a matter of time to be educated in historic cars culture.





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