Poll - how will Brexit affect UK classic car values?

[northo]

Will Brexit make a difference?

[andyman_2006]

northo said:

Will Brexit make a difference?

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Personally I'm not sure it will make a huge difference, my reasons for this:

-Supply of classic cars wont suddenly increase
-Demand will likely stay the same, and for some cars like modern classics 80's and 90's cars demand may still increase.
-If we are buying and selling in UK then exchange rates shouldn't affect the sales, unless importing US/EU cars or exporting UK cars, but this may increase their value to the EU..?
-Most private non dealer people who buy and sell classic cars or who are in the market for one are less likely to use finance plans (which most use for new car sales)
-Generally owners of classic cars are in no rush to sell their cars, and often dont 'need' to sell, unlike a modern car where there is 75% chance it'll have a PCP finance plan attached, suppose there will always be a small % who's circumstances change and thus sell a car quickly and cheaper, but the majority are only selling to buy something else different or more expensive and often many classic cars are owned outright and the seller puts savings towards to help fund the next one.
-most of the classic car owners i know would rather leave the car sat in the garage than sell it cheap and devalue it.
-Maybe the dealers will be more worried than private owners, they will use finance for their stock supply i guess, but then they have mostly done very well from the market in the last 10 years, and I've never been a fan of selling cars to the trade when so many genuine private buyers are around.

I'm sure its going to be an interesting subject for which we are all just guessing at the moment, but i wont be in a hurry to sell mine whatever its value ends up being.

Andy

[spookly]

andyman_2006 said:

---

Personally I'm not sure it will make a huge difference, my reasons for this:

-Supply of classic cars wont suddenly increase
-Demand will likely stay the same, and for some cars like modern classics 80's and 90's cars demand may still increase.
-If we are buying and selling in UK then exchange rates shouldn't affect the sales, unless importing US/EU cars or exporting UK cars, but this may increase their value to the EU..?
-Most private non dealer people who buy and sell classic cars or who are in the market for one are less likely to use finance plans (which most use for new car sales)
-Generally owners of classic cars are in no rush to sell their cars, and often dont 'need' to sell, unlike a modern car where there is 75% chance it'll have a PCP finance plan attached, suppose there will always be a small % who's circumstances change and thus sell a car quickly and cheaper, but the majority are only selling to buy something else different or more expensive and often many classic cars are owned outright and the seller puts savings towards to help fund the next one.
-most of the classic car owners i know would rather leave the car sat in the garage than sell it cheap and devalue it.
-Maybe the dealers will be more worried than private owners, they will use finance for their stock supply i guess, but then they have mostly done very well from the market in the last 10 years, and I've never been a fan of selling cars to the trade when so many genuine private buyers are around.

I'm sure its going to be an interesting subject for which we are all just guessing at the moment, but i wont be in a hurry to sell mine whatever its value ends up being.

Andy

Yes and no.
Supply will not change, but demand is led by a large number of factors.
One factor is people having the money to spend on things they want - disposable income going down could have an affect - people who purchase a classic as a luxury/frivolity.
Another factor are investors who buy classic cars with the aim of making money. All it takes for these guys to desert the market and cause a big crash in values is sentiment. As soon as a few rush for the exit it can become a deluge....

Whether it will happen is another thing, but Brexit can't be a positive for the classic car market. It might not be straw that breaks the back of the classics market, but if it does have an impact surely it can only be on the negative side.... unless Brexit somehow magically results in a stronger economy.

[northo]

The number of people "investing" in classic cars has dwindled over the last 12 months a we certainly don't believe there are enough of them - let alone enough who will start cashing out of their cars - to make an impact on the market.

We've written a blog about this but the link was deemed to be advertising. I think this is an important and interesting issue and we're keen to get as many respondents to the PH poll as possible.

[leginigel]

As above the top end market has slowed down in main because high prices where bringing more cars to sale with a faster turn round i.e cars coming back for sale after two to three years.The £ against euro could have the biggest effect but that may help buyers in this country.

[Finlandese]

I thought about this when I saw the haircut that the pound was getting post vote. I think the uncertainty that the Brexit brings to the world economy, will keep people looking for alternative investment opportunities, and therefore classic cars will continue be regarded as an intresting alternative to the traditional investment tools.

So the madness continues... :-)

[jamieandthemagic]

I don't care, I drive them

Might make a drive to Italy a bit prices though at 25mpg

[marshalla]

Short term or long term?

[KarlMac]

Its already had a noticeable impact on Japanese classics (fresh imports anyway) due to the weakening pound.

Edited by KarlMac on Friday 8th July 23:26

[crankedup]

Going back some months to the television documentary featuring Vintage & Prestige car dealership. The owner purchased in a number of high value cars and immediately sold them on for a modest profit, stating that if the market turns I don't want to be left holding these. Uncertainty creeping in?

[finishing touch]

I don't quite understand options 1 & 3.

Is it beneficial if prices escalate, or plummet?


Depends on what side of the fence you sit I suppose. Do you already own a substantial collection, or do you one day hope to be able to purchase
your dream machine ?


Paul G

[Welshbeef]

Was Chris Evans super lucky or played a blinding hand?
If today he sold all he cars he did would he have had a higher or lower return?

[bbob]

According to this it looks like only a 15% sale rate was achieved at The Chateau Impney Hillclimb Motor Car Auction last weekend:

https://www.proxibid.com/asp/catalog.asp?aid=10621...

With some post auction deals improving the sale rate slightly:

http://www.handh.co.uk/auctions/results-2/196/chat...

Edited by bbob on Tuesday 12th July 09:26