2016: PREDICTED TO BE THE YEAR OF THE ENTHUSIAST
Insurance company Hagerty is forecasting fantastic news for lovers of traditional classics such as Triumphs, Austins, Rovers and Standards
A global market analysis has revealed the latest classic prices – and it’s good news for buyers of traditional classic cars.
Marcus Atkinson, marketing director of insurance company Hagerty, has just completed a report that indicates that ‘workaday’ classics such as Austin, Morris, and Rovers are cooling in price, meaning that costs are likely to remain low for the foreseeable future.
Marcus says: ‘The market is complex, to say the least. People who are looking to make money are going after modern classics and high-end Ferraris – although to a certain extent they always have been after Ferraris.
‘What we’re finding is that the cars that are selling best have these attributes: quality, originality, unusualness and a story. Find a car that has all of these features and it’ll probably sell well.
‘Overall, classic values are still heading upwards, however, especially with fashionable brands such as Ford. One remarkable example of this is the Ford Escort Mexico. In 1999, an excellent condition Escort Mexico was valued at £1850, according to Hagerty. In 2016, excellent condition Escort Mexicos were swapping hands for £20,000.’
However, while ‘workaday’ classic values remain static, and in some cases are actually decreasing, the overall classic market is still heading upwards, with some performance modern classics from the 1980s and 1990s increasing in value.
Among the cars that Marcus highlights as showing a strong increase include Lancia Delta Integrales, Subaru Imprezas and BMW E30 M3s, which have been on the rise for a while.
‘The best thing about these cars from the 1980s and 1990s is that they have turned a whole new generation into classic enthusiasts,’ says Marcus. ‘And although we’re seeing the biggest growth in this part of the market, there are still plenty of bargains there. Generally, although people find the big money sales of Ferraris interesting, it doesn’t affect them.
‘We find enthusiasts aren’t too concerned about value when it comes to selling their cars – they’re more concerned about enjoying their cars.’
Auction analyst Richard Hudson-Evans says that 2016 is likely to be the year for the enthusiast, with one proviso: ‘It’s a great time to buy, as long as the buyer is buying for themselves and not as an investment. There are perfectly good 1950s, ‘60s, and early ‘70s cars going for not a lot of money at the moment. Many cars from this era are unfashionable and lots of people don’t want to buy them. The other good thing about cars like this is the parts – they may be hard to source, but with the prices the way they are, you can get a donor car for a good price too.’