Classic Car prices

[Nereus]

Classic Ferraris, Bentleys soar in value as gold price sinks

http://au.news.yahoo.com/thewest/a/-/br ... ice-sinks/

LONDON (Reuters) - Classic cars such as Ferraris, Bugattis and Bentleys soared by 28 percent in value in the year to June, outstripping gold, art and luxury London property thanks to rising demand from wealthy Asians.

Property consultancy Knight Frank, which publishes an index tracking the performance of luxury goods, said the world's wealthy were putting more money into tangible items that they could enjoy as the world economy looks to be recovering.

In July, a rare 1954 Mercedes-Benz W196 in which five-time Formula 1 World Champion driver Juan Manuel Fangio of Argentina won two grands prix, was sold at auction for 19.6 million pounds , making it the most expensive car ever sold at auction.

It's an asset class that's very rare and it's very aspirational," said Andrew Shirley, editor of the report. "A lot of Asian high net worth individuals have acquired classic cars...They keep them in their garage in the UK or Europe and they come over and drive them in rallies."

This is in stark contrast to gold, seen as a safe haven investment in difficult periods, whose value has slumped by 23 percent over the same period following a 12-year bull run.

"The thing about gold is that it's tangible in the sense it's a physical thing but there's no great enjoyment to be had from gold...Whereas a classic car, it's still a safe haven play but it's something you're going to enjoy," Shirley said.

After classic cars, the next biggest gainers in the index were coins and stamps, up 9 and 7 percent respectively. Art, which had surged in value in the run-up to the credit crunch, fell 6 percent over the period as buyers become more cautious and selective, he said.

[STEVE G]

"A lot of Asian high net worth individuals have acquired classic cars...They keep them in their garage in the UK or Europe and they come over and drive them in rallies."

I was reading a German classic car magazine a couple of days ago and it showed several Chinese entries to a classic car rally. I did wonder what was going on as they were driving European registered cars.

[sandemb]

If Thailand could recognize Classic cars as a duty free import, i.e no import duties on cars over 30 - 40 years old, life would be a lot more interesting. Love my old cars, but in TH seems to be a rich man's hobby only. (unless you have friends in customs!)

[dvolante9]

It seems to be similar for the old American cars, the price for a 1970 Chevelle SS has skyrocketed in the past few years. I actually saw a thai who had completely brought back to life an old 1972 Chevelle on my way to BKK and if it had a new paint job it would have looked fantastic

[Rob W]

There was an old Desoto in the garage at the U turn for MV a while back. was a bit rough and had been used as a dragster but I thought it might have been worth a punt but boy was it expensive.

Rob

[a10ams]

I remember the old red Desoto. I looked at it but it certainly didn't have that 'one careful elderly lady owner' look about it. There is still a few cars lying out the back of that place.