UK CLASSIC CAR VALUE GROWTH SLOWS

UK CLASSIC CAR and valuation specialists Hagerty has reported a one per cent overall growth of the market since April, the smallest periodic growth since 2012 with 52 per cent of values rising and 26 per cent falling.

The fabled Hagerty Price Guide tracks over 40,000 individual values of over 2,000 classic car models, using data collected from auctions, insured values and private sale prices.

Some of the biggest retreats were in cars that were relatively cheap for a long time that rapidly rose and have now settled back.

Examples include: Aston Martin Lagonda Series I: -11.9%, Ferrari 308 GTB Standard: -10.7%, Ferrari Testarossa: -7.6% and the Willys MB Jeep: -8.6%

On the other side of the ledger the cars that rose the most combined sensible values with practicality. Examples of these include: Lancia Fulvia Sport Zagato 1.6: +5%, Mazda MX-5 1.6i: +8.5%, Fiat 500 F: +4.3%, Aston Martin DBS Vantage: +1.6%, MGB-GT V8: +0.4%, VW Beetle 1200 (oval window): +0.9%

Interestingly some cars that had risen rapidly over the past years have plateaued and include, Ford Capri Mk III 2.8i: no change, Mini Cooper 1275S: no change, Porsche 911 (930) Turbo: no change

Hagerty International Managing Director Angus Forsyth made the following observations:

“It’s clear the market is currently in a state of flux, although we believe prices are correcting rather than anything else. The biggest percentage drops are in those cars that rose rapidly in value over the last few years: early Jaguar E-Types, classic Aston Martins and 1980s Ferraris have all been particularly affected. For example, the Aston Martin DB4 Saloon has dropped by around 3.5 per cent," said Forsyth.

“We’ve also seen some of these models struggle at auction. For example, we’ve noted six no-sales at auction since August of early ‘flat floor’ Jaguar E-Types (including two desirable ‘outside bonnet lock’ cars).

“We’ve also noted a disparity between sold values and advertised values for those cars that have dropped. For example, the average price of a Ferrari Testarossa sold at a major UK/ European auction this year was AUD$150,000 with the most expensive being a car that sold for AUD$193,000 including commission (Artcurial). In the US, these figures are similar with an average of AUD$147,525 and a top value of AUD$208,760 (RM Sotheby’s) and fall in line with the HPG Condition 3 (good) and Condition 2 (excellent) values of AUD$135,000