Classic Car Shared Ownership

[Keep it stiff]

With classic values on the rise and recognition that if picked wisely they are an asset class with scope for continued reasonable growth it strikes me that shared ownership would be a good solution.

With aircraft, and to a lesser extent boats, shared ownership has been an acceptable route to ownership for many years. I'm not aware of anyone buying into classic car ownership in the same way.

In the £50k -£100k range there are some fantastic classics, this value range is out of my individual reach but the idea of putting in say £10k - £20k for a 20-25% share seems very appealing. I'm not suggesting wrapping up a classic in an air-chamber and just leaving it there, what I have in mind is an arrangement where share-holders have access to use the classic on a rota basis, share in the cost of it's upkeep and have clear rules of engagement.

I would be very interested to receive feedback on the legal structure that would be required and the practicalities from those with first hand experience of shared ownership of aircraft or similar. Also comments on the potential upsides/downsides would be welcome and perhaps even feedback from anyone that might be willing to explore the potential of seeing if this idea could be developed into a reality.

[fourfoldroot]

I share ownership of a TR4 with a friend. He has shared ownership of a boat so it did not seem such an unusual prospect for him. It lives in my garage and we split all bills down the middle apart from personal fuel usage. We did draft a legal agreement based on a boat sharing contract but we never got round to formalising it. The main relevance was the procedure of terminating the share, basically buyout based on market value, or outright sale and split the value.. Because it lives at my house I use it more,in fact he has had 2 days use in nearly 2 years. He does have a key for the garage but says he will ring whenever he wants to use it and has done. I do all the maintenance and at the end of the year tell him the amount owed for parts,mot,ins etc. The car is in my name as is the insurance with him as a named driver. Yes, I can see that may be a problem....

[anonymous-user]

There are already shared ownership schemes for classics. This one started as classics only:
http://www.fantasyfleetclub.co.uk

[tortop45]

Don,t do it.Go it on your own..........