Brexit, Covid and Bitcoin. It's time to buy a classic car - they're the cheapest they've been in a decade
Tuesday 9th March 2020
Covid has us cooped up. Bitcoin might well be a bubble. Life’s too short to not enjoy yourself. Get a classic car, they haven’t been this cheap in years.
You can tweet about your ‘paper’ profit on bitcoin, but nothing quite delivers the smiles per mile as a classic car on a summer’s day on a beautiful country road. Analysis by TheClassicValuer.com shows the time to buy has rarely been better with prices down over 24% since 2017 and not this low since 2012.
The classic car market is down 27% from 2017
Prices fell 10.2% in 2020 alone
The average classic car price stands at £61,400, the lowest price since 2012 when they stood at £58k globally
Classic car prices still remain double what they were in 2004
Classic cars will remain on our roads for years to come
After the bull market of 2012 to 2015, classic cars dropped down a gear from their 2015 high falling between 5 and 10% per annum since 2017. Despite the price declines of recent years, the average classic car today is still worth twice what it was in 2004(1).
A multitude of factors have driven the recent decline in classic car prices, from fears over petrol availability following the Government’s impending 2030 ban of new petrol and diesel cars, to the generational shift in automobile preferences away from older classics, to the impact of coronavirus, Brexit and more.
However, industry experts believe classic cars are not disappearing from our streets any time soon, petrol will remain available well beyond 2030 and that now is a good time to buy as pent up demand will drive post-lockdown splurges with household savings at their highest since records began.
Giles Gunning, director of The Classic Valuer says about the UK market “Even if from 2022 every single of the circa 2 million cars sold in the UK each year were fully electric, it will be at least 15 years until the 30 million plus cars on UK roads are fully electric. Petrol will be here for a long time yet.
The classic car market is an £18.3 billion industry, employing 113,000 people across the UK(2). Mr Sunak is unlikely to want another 113,000 people knocking on the door of the job centre with unemployment at 5.1%(3) - the highest figure for five years. Legislation outlawing classic cars is unlikely in the short term.
Post Covid, people are looking for enjoyment, freedom and social connections. What better way to deliver on all three than with a classic car.”
COMPANY DESCRIPTION: The Classic Valuer is the authoritative source on the classic car market. It uses highly sophisticated analysis models to analyse over £5 billion of sold classic cars and over 60,000 transactions from around the world. It brings data and facts to a world of hearsay and opinion.