Profit from collecting??

It won't happen with me since I just have one car and drive it often. I run a budget of $100 per month for purchasing, parts and upkeep. I keep a record. The first years were brutal until the car was sorted out and now, after 10 years I am on nicely the plus side and saving credits for paint. I know folks who try to keep ahead of the market on a 5 year plan and buy more than one cars at their low point. They do a nice restoration and have them ready when their value rises. These generally break even in the long run and sometimes make a kill. Remember when big money for Dinos was $19,000.

Cheers Ron

I've sold more than a few cars I wish I hadn't, such as the Boss 302 I owned in the early '80's. They weren't all that pricey then. But you never know.

Not all cars rise in money though, at least not that much. I can still remember looking at a Daytona Ferrari for $20k, a DB4 for $6k, etc., but I could have never afforded to keep them running for any length of time, or for that matter, to have insured them then.

My personal philosphy is just to buy and drive what I like. I usually do not make money on them though, so maybe I'm not the best person to be posting here!

I think your best bet to make money collecting cars is to put your parts budget into buying parts for a time machine. Once machine is ready buy some back issues of R&T then use time machine to go back and purchase cars. I have a back issue listing two Ferrari 250 GT's for sale. Both for under $10,000. So far I can't get my time machine to do anything but move forward at actual speed.

Other than that cars are like art, Buy what you like to look at. You might get lucky and see a price increase but at least you'll enjoy owning it. There is however an excellent chance that your grandchildren will do very well with your collection. Maybe they'll even use the time machine to come back to today to thank you for the good cars you left them.

Steve R

Bah!

I am not in this mess to make money. I am in it to learn and have fun. I never want to own a car that's too valuable to drive. It defeats the purpose.

I might make some spare change on parts, but that's about it.

It's nice to have a car that appreciates in value, but it's nicer to have a car you can drive on an autumn day with the top down.

Did someone say autumn day with the top down? I'm ready let's go! <a href="">

Making a profit is for speculators and car dealers.

As a hobbyist, my only goal is to break even. If I can own a car, drive it regularly, and eventually sell it for what I have in it I've enjoyed an interesting car for FREE for several years. Vehicles are a huge depreciating "asset". Collector cars can generally negate the usual loss. The key is to buy a good car up front and not 'restore' one unless the restoration process is really the aspect of the hobby you enjoy the most. I get enough wrench time from just regular maintenance and upgrades to keep me happy.

I also don't buy fully restored cars. They offer me no joy, since I'm not into collecting trophies at shows. I have far more fun with a good 5 footer that I don't have to worry about stone chips and dead bugs on the windshield.

I don't concern myself with turning a profit at it, I just have fun with it. I have too many friends and co workers who do silly crap like betting heavily on football etc and then drive themselves nuts over the outcome, meaning they can no longer really enjoy it. I don't want to be that way.

That doesn't mean I haven't made some money at it; I've parted out cars etc, it's just that a profit is not my end goal.

If you were to actually work buying classics as an investment, you certainly can make a profit at it. As with all investment strategies, you need to be knowledgeable.

Many of us in this forum end up failing as investors because we drive the cars too much, modify them, and don't property store and protect them.

I answered yes to the poll question, but only because it will likely happen on accident if I ever sell. I usually buy very smartly, or with a lot of luck, whichever, and if I were ever to sell my GT, for example, were I to get a fair market value for it, I would be a bit ahead.

I think I may be waiting for the Boxster to depreciate enough and the GT to appreciate enough so they match, and I can get a Boxster S for a few bucks and my GT sale, if I'm willing to part with it. This may sound silly, but late 90's Boxsters are going for just under 10K right now. It can't be too far away when an early and decent 00's S starts to hover around 10 - 12K.

But will a 90's Boxter ever be collectable? Anything built from about 1985 onwards is just an appliance, they're not really rebuildable once the NOS parts run out.

I've made small profits out of buying restorable cars loaded with spares, keeping the good items and selling off the rest. I can do this consistantly, but profits are in the $100's, not $1,000's. The big money comes with the big boys toys - special bodied European machinery of the 50's and 60's - but you've got to have the contacts and the money to start with.

Doesn't worrying about a profit take the fun out of the hobby? I was given a good Fiat 850 for free - I'm building an Abarth engine for it and the bills are now up around $2,000. I'll never get my money back, but I'm having a blast!

Degruch said: I was given a good Fiat 850 for free - I'm building an Abarth engine for it

Not the best, but:

Forgive my ignorance but is that rear engined? (edit) Never mind I Googled it.

That's awesome.

I should have never sold my 850 Spider.

Aw, I would have loved a Spider - unfortunately, they never came to Australia, although a few crept in during the 1990's as US imports. I used to have Sports and a nice little Special (same as above only with a blue roof) when I was a kid in uni, and they always saw me good service. I wouldn't have picked this one up if it hadn't been given to me. However, a master cylinder, air filter, brake hose, fluid, window rubbers, lowering block, new rear springs and one exhaust system later, it's suddenly a $2k project! So much for profit. Of course, all that is my own doing.

degruch said "But will a 90's Boxter ever be collectable? Anything built from about 1985 onwards is just an appliance, they're not really rebuildable once the NOS parts run out".

Maybe so, but MGB's aren't exactly setting the world on fire either, expecially GT's, as much as there is an enthusiastic fan base. I'd like to go with a Boxster for the driving experience, not for collector's sake. I want one in white, retrofitted with phone dial wheels, too!

That's very true...and as we all know, Miata's have the kind of following that will see them mirror the MGB going into the future. It will be one of the few 'future classics' that will, In my opinion. Most breakers yards are gearing up to be recycling yards, with little thought to parts resale beyond 10 years.

Also, and MGBGT would fetch a darn sight more than my 850, so they're nothing to be sneezed at in the collector's stakes. You'd stand a better chance of converting a free MGB into profit than my Fiat.

In the context of this thread, I'd be more enthusiastic about putting an MGB in the garage as an investment for the future, but would go a cheap Boxter if I just wanted to have some fun before crushing it. Sadly, I can't really afford to do either!

The way I look at it, the "profit" is spent in the driving of a (collectible) sports car. If you paid $XXX for a car, and hated every moment until you sold it....no matter how much you "made"...very little profit.

BTW, when you bring the word PROFIT into any discussion, it no longer is a "sport" or hobby. For example, does a deep sea fisherman say to himself, "that Marlin on the wall fought me for 12 hours....absolutely no profit though". Or does a scuba diver say "loved diving that wreck, but we brought up no salvage...absolutely no profit".

I am on the same page as ddavidv. If I added a buck an hour for my time, this would be a losing proposition most of the time. Once in a while I may have a chance to make a buck or two on a car, but promptly spend it on another. I never have to worry about depreciation though, haven't spent over 2 grand on a car in 15 years. Just having fun cars to drive, and some play time in the garage is my reward.