Mass Market Classic Cars Tank
Analysts tell the Wall Street Journal that the low end of the classic car market is getting hammered (so to speak) by sagging real estate values. "Home equity was the ATM out of which a lot of people were withdrawing money to have fun," says McKeel Hagerty. The CEO of Hagerty Insurance Agency says the market for mass produced "enthusiast cars" in the $30k to $50k range has tanked by two-thirds in the last two years. Another factor: age. Apparently, the people who pined for cool-but-not-collectible American iron of the 50's and 60's during their youth are getting older and less interested. The president of Hyman Limited Classic Cars claims the high-end of the market remains unaffected by the credit crunch; as collectors who buy hand-built, limited edition classics don't need to mortgage the mansion to pick-up a toy or twelve. Wordsmith Dan Carney would like to leave you with the impression that today's depressed low-level market makes it a good time to buy a classic, but we remember the price crash of the late 90's and reckon the down economy will sink the market even further.
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I do think the time is right for 1980's-vintage performance cars to increase in price, although still staying relatively inexpensive compared to 1960's muscle cars. A few interesting ones that come to mind: 1984- Ford Mustang SVO and GT 1985- Chevy Iroc-Z 1983- Mitsubishi Starion/Conquest Turbo 1984- Dodge Daytona Turbo 1984- Dodge Omni GLH & Shelby 1983-1988 Ford Thunderbird Turbo Coupe 1987 Pontiac Fiero GT 1985-1987 Merkur XR4Ti 1983- Porsche 944 1982- Mazda RX-7
Steve-O: Let's not forget some still relatively affordable (and in some cases dirt cheap) '90s machinery, as well: -Ford Thunderbird SC -Dodge Spirit R/T -VW Corrado SLC -Olds Cutlass Calais Quad 442 -Olds Achieva SCX -Ford Taurus SHO (Gen 1 or Gen 2) -Mitsubishi Galant VR4 -Mazda MX3 -Ford Contour SVT -Toyota Celica All-Trac Turbo -VW GTI Mk. 3 VR6 -Chevrolet Impala SS -Subaru SVX And this of course isn't counting the Japanese iron that is currently trading for stupid(ish) money (e.g. FD RX7, NSX, Supra Mk. 4, Eclipse/Talon, Integra Type R, 240 SX, etc.)
Still waiting to buy that 68 roadrunner I should never have sold in 81. Classic cars online.com has a nice selection, but the prices people want for junk is ridiculous. The party is over quite obviously as the equity blitz is over, the credit cards are maxed out, ( the media said suspiciously little about Christmas sales, unlike every other year) and now 401k's are being attacked. After retirement money nothing is left. Oh, yes, the pink slip coming later this year for many. If you have been waiting for the classic car market to tank, your wait is about over! Pick your toy out now as many realize a muscle car cant be lived in, eaten, drank, or used to heat your soon to be foreclosed home.
most of those cars are crap in my eyes anyways. As someone born in 1981 I lust after 3rd gen F-bodies (You rock? No, IROC), Carrera 3.2s (THE 80s yuppie icon) and rotary power. And that, I feel, is how the market is headed - as those guys get older and my generation gets money we're going to be interested in what we drooled over as kids, not something our grampa fondly remembers driving.