If you’ve been around the collector car hobby long enough, you have heard the canned response that most of us give to the above question and that is…Buy What You Like!!…not what you think you can make money on. If you don’t buy a car for the enjoyment, then what’s the purpose?
Buying a car as an investment changes the dynamic of ownership. Want to head to the shore for the weekend in the investment car? Better not as something could happen on the way. If buying as an investment, do you really know and understand the market and its changing tides? What if a major component fails? Is that factored into the potential selling price, or does it put you under water? Old and older cars usually require upkeep and maintenance and if doing it for the love of the car, doesn’t nearly factor in as much as it does when you’re in the “profit” mindset. It is not free to own a classic even if you pay cash. You still have to transport it, store it, insure it, keep it running and maybe do a few minor upgrades to the car. If profit is your only motivator, it will certainly have an effect on how you approach all the aforementioned items and when you have to factor all the costs in, including interest on your money, did you really even make a profit?
Truth is…buy the new golf club, eat the cake, have another glass of wine, enjoy your classic car…the point is to enjoy the few times we get to take around the sun (birthdays) and don’t make your hobby a burden! Most people find that enjoying a particular car for an indeterminate amount of time and then selling it for close to what you paid is all the satisfaction they need. Then it’s on to the next treasure to enjoy…not make a business out of.
If you happen to make a profit when you do sell your classic, then you are required by the Classic Car Regulatory Committee (doesn’t exist) to immediately go out and find another treasure to celebrate your good fortune. Provided complements of Classic Auto Mall. Located in Central PA less than two hours away from most Collector Car Guide readers, Classic Auto Mall showcases a variety of classic and specialty vehicles of various makes and models. For more information, see ad at: Classic Auto Mall or call 888-227-0914 to schedule a free tour today.
Check out the follow-along notes, transcript and more details for this episode at GTM
[Editors Note] I’ve been honored to be a part of the Break/Fix team and several of their What Should I Buy? series of episodes. One in particular deals specifically with the items mentioned in this article, and focuses on the first time classic and collector car buyer. If you have the time, take a listen using the player below, or search for “Break/Fix” or “Gran Touring” on your favorite music streaming or podcast app.
