Quote:
Originally Posted by AutoInsane
BM 1969 Corvette Phase III $105k Sold
BM 1973 Camaro Phase III $82,500 Sold
Wow... what happened here’s? Two documented cars from the prominent Todd Werner collection sell for 1/2 of fair market value???
Pries do not include 10% premium
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This response will sound like a rant it isn't its just an opinion.
I think the reality of the current market for collector cars is well reflected in the two instances you mention.
I do not mean for my comments to reflect on these two cars their condition, their authenticity, etc., my comments are about the collector car market in general reflected I think by these sells.
In the collector car world when there exists other avenues to, grow or advance your portfolio that are returning better results than a tangible asset, many look to that opportunity. Many consider pruning there tangible assets if you will and attempting to recover their personal short fall from the investment in that tangible asset with the above mentioned opportunity.
When this starts happening the great cars stabilize, indeed may not grow in value at all, everything else falls and retracts. You have to define great cars here as the best of the best in each category, that may mean in reality there are only 150 cars nationwide possibly growing in value. The 32,500 cars being offered per year via online auctions typically include very few of these prime cars. You end up with a situation where the true collectors are looking to prune their collections or for only the best of the best, in that mode, these two cars gain no traction, seldom do any cars gain any traction.
The result, great cars are still great, but in truth they are few and far between, the others simply can’t cut the muster and the result is the overall market appears to be soft.
I’m not sure the strength of the collector car market will return until tangible assets are considered growth assets. Disposable income grows the collector car market for sure, but even disposable income in a general growth market may not look to tangible assets and in particular when the presence of tangible assets are impacted by the number of on line streamed auctions currently available offering 32,500 cars per year for sale.
Bottom line, I think the current economy and collector car auction environment are both working against cars like these two. The other side of this and again this is not directed at these two cars for sure, the online collector car auction model presents cars that are described with wording that is not accurate or identifiable as accurate and for everyone of those cars that sells to a potential new member in the collector car world which ends up with that individual burned, the collector car world has lost another potential new participant, most will not stick around and participate once a mistake like this is made.