Is It Time to Sell Your Classic Car? Insights for 2021-2022 Buyers

In the wake of central bank measures against inflation, the era of abundant cash is waning. As a result, spending on lifestyle luxuries is decreasing, with more people weighing the returns on their investments, especially now that bank savings are starting to offer positive interest rates again.

Classic cars represent a unique investment form. Not only have they provided remarkable returns, but they also offer the joy of ownership. However, like many markets, classic cars aren’t immune to fluctuations.

Here’s what to consider:

Hagerty Market Index: This index peaked in December 2022 and has shown a gradual decline over the past 11 months. Check out this graph for a visual representation.

Hagerty Market Rating: As of October 2023, the market rating stands at 67.23, a noticeable drop from its peak of 77.97.

Practically, this suggests lower selling prices and a decreased sell-through rate. According to www.classic.com, the current sell-through rate is 62% – meaning only 6 out of every 10 auctioned cars are sold.

For those who bought classic cars between 2019 and 2020, you likely invested during the market’s last low point. While prices have since stabilized, there’s a good chance you’re still positioned for a profitable return. Plus, let’s not forget the joy and memories your classic ride brought you.

Selling now could protect your investment from further market dips, freeing up cash for paying off high-interest debts or boosting your emergency fund. Alternatively, you might sell while the market is relatively high, place your funds in an interest-bearing account, and wait for a cooler market to upgrade your classic car. Remember those dream cars that seemed unattainable during the price hikes? With patience and cash in hand, your dream car could become a reality.

Whatever your plan, let Classic Dreams Garage assist you. Specializing in the classic car market, we offer valuation, sales, and brokerage services. Plus, we can update and prepare your classic for a top-notch sale.

Contact us at 469-273-1722, email info@dreams-garage.com, or visit our website at www.dreams-garage.com.

We’re eager to assist you in your classic car journey!