Nice 72 T for sale

[neilbardsley]

i completely agree with the cost of this versus the cost of doing the work argument

having said that, its always the case. the vast majority of cars sell for less than the bills in the history file if the resto is recent

eg. the Phil Raby one

so that in itself is nothing new

but I guess whats different here is its a brand new fresh resto that looks v well done, so if there is someone out there that wants a yellow T its a no-brainer

if you dont want a yellow T well, on the assumption buying a classic 911 is a matter of choice, taste and passion, rather than cold hard maths...this car is no more attractive than plenty of others I think

tempting to do the arb but as others have said, after costs of currency (hedged or otherwise), insurance, logistics, the cost of the capital (could be doing something else with the £50k), bake in a discount to the selling price to achieve a sale on the day at Essen...the profit opportunity probably isnt quite as good as it looks

but, lets take the £15k on £50k outlay or a 30% return, annualise it, thats pretty spicy, even risk adjusted

So. money talks. Im in for £5k. are there 9 others for a consortium??

dan

the cost of the capital = about 0% haven't you seen interest rates recently!

Hence people are looking at things like this. However, I agree that given where this car sits on it's cost v potential sale price scale is it doesn't seem like the one offer a great return for the risk involved.

[squirdan]

please tell me where I can borrow at 0% then?

anyway thats not the point...the point is the opportunity cost. I could have that money in a cash ISA paying 2.5%. Or buy some Halfords shares yielding me 7.58% gross

[left4dead]

A silver RHD T sold for £50k three weeks ago and is now at MP&P having a strip down & repaint so that'll be another what, £15k on top? More, most likely. OK, it is a rarer RHD but this one's restored top to bottom (assuming the interior is now complete?) and if it looks as good in real life as it does in the pics I don't see anything wrong with the price. £50k is the asking so I'm guessing there's some wriggle room for someone with cash? Wish I had some as I'd be tempted!

[Mike]

Still 4 months away, I'd be more concerned about the bubble bursting between now and Essen than exchange rates

[neilbardsley]

please tell me where I can borrow at 0% then?

anyway thats not the point...the point is the opportunity cost. I could have that money in a cash ISA paying 2.5%. Or buy some Halfords shares yielding me 7.58% gross

2.5% * 0.5 * 50k lets asumme you get the interest semi annually (I suspect annually) so that is £625. As Mike said not your biggest worry.

I must admit that I had no idea that halfords shares where yielding 7.58% from dividends! Next high street retailer to go under!

[Vic Cohen]

Yer ..but who do we get to fix libor ..even Eibor ?

[chris hak]

Can we get back to cars? My head hurts - PLEASE MAKE IT STOP!!!!!

[Bootsy]

Just thought I'd post this...



A little reminder why the thread was started

[speedy]

do people see the bubble bursting in the near future.Looking at aston martins the db6 that used to be around 60k 3or 4 years ago,your now looking at least double that.Whos paying that is it new money from abroad or people here looking for somewhere to put their money.Is there much more scope for early 911s to rise?I remember thinking a 911S at 50k was crazy money.Does anyone see them reaching 100k in the next couple of years?

[IanMcLeod]

That is a stunning looking car.

Ian.

[scalino65]

do people see the bubble bursting in the near future.Looking at aston martins the db6 that used to be around 60k 3or 4 years ago,your now looking at least double that.Whos paying that is it new money from abroad or people here looking for somewhere to put their money.Is there much more scope for early 911s to rise?I remember thinking a 911S at 50k was crazy money.Does anyone see them reaching 100k in the next couple of years?

I was at the RM auction a few weeks back and theyhad two DB6s that went for silly money. The message seemed to be "oi, fabulously rich people, you need to park some cash in something called a classic car to sit alongside your other assets in anticipation of "everything" going horribly worng, diversification will help preserve your cash". Which of course is all very logical and all that but what was rather sad was that it wasnt about selling cars to people who loved them,lusted after them, had pictures of them on their wall as small boys,etc. The answer to "which one shall I buy?" seemed to be given as "how much do you need to put into a diverse asset class and we'll find one at that "price"/"cost"/"value" for you".
The bit I really dont get is what happens when these new owners/investors start to incur the huge maintenance costs that go alongside keeping a lamborghini miura in fine fettle, or if they put the rod through the block of a ferrari 250 lusso,etc. I think that would take the shine off your "diverse asset class" pretty quickly. Are they just bought to look at? to stick in storage?

[Ferry Man]

what happens when these new owners/investors put the rod through the block of a ferrari 250 lusso?

I was at a petrol station last Sunday. It was a dry, bright and sunny day. And a guy pulls up in a Ferrari 250 Lusso. I've never liked the Lusso myself.
Anyway, it became obvious the only driving this car did was down to the garage for another half gallon of fuel. I could see through the chrome wire wheel spokes and the callipers were spotless, even the discs were spotless. No brake dust, not a mark on it anywhere.
I checked out the paint and it was flawless, the interior like new, the whole car was superbly well restored. Wonderful, like a Faberge egg but bigger and better for your ego.

And, do you know what, I found myself thinking, God that's beautiful. I'd love to own that. And never use it.
It was just special. And I don't count myself as a fan of Ferrari's. Yet those sixties italians....
It's nice to be able to indulge yourself sometimes and if you're very wealthy, then yes, they might just be worth what they are fetching.


PS. I do feel a market price correction is in order.

[Ant22]

Given the cost of restoration it is a good thing that prices are rising across T, E as well as S. There is some logic to investing time & money to do it properly. Where will it stop, a crash, a plateau or more 'capital asset appreciation'? That probably depends upon whether the new wealthy Chinese move on from watches & wine to classic cars. After the Chinese the Indian market & fast emerging South East Asia markets will follow with new wealth to be exercised. Despite current condition of the roads, I think the will be demand for classic cars ... LHD of course! That said, they may not have had 60s & 70s Porsches on their walls / Facebook pages!

[neilbardsley]

what happens when these new owners/investors put the rod through the block of a ferrari 250 lusso?

I was at a petrol station last Sunday. It was a dry, bright and sunny day. And a guy pulls up in a Ferrari 250 Lusso. I've never liked the Lusso myself.
Anyway, it became obvious the only driving this car did was down to the garage for another half gallon of fuel. I could see through the chrome wire wheel spokes and the callipers were spotless, even the discs were spotless. No brake dust, not a mark on it anywhere.
I checked out the paint and it was flawless, the interior like new, the whole car was superbly well restored. Wonderful, like a Faberge egg but bigger and better for your ego.

And, do you know what, I found myself thinking, God that's beautiful. I'd love to own that. And never use it.
It was just special. And I don't count myself as a fan of Ferrari's. Yet those sixties italians....
It's nice to be able to indulge yourself sometimes and if you're very wealthy, then yes, they might just be worth what they are fetching.


PS. I do feel a market price correction is in order.

Bit like this?

[964RS]

do people see the bubble bursting in the near future.Looking at aston martins the db6 that used to be around 60k 3or 4 years ago,your now looking at least double that.Whos paying that is it new money from abroad or people here looking for somewhere to put their money.Is there much more scope for early 911s to rise?I remember thinking a 911S at 50k was crazy money.Does anyone see them reaching 100k in the next couple of years?

I was at the RM auction a few weeks back and theyhad two DB6s that went for silly money. The message seemed to be "oi, fabulously rich people, you need to park some cash in something called a classic car to sit alongside your other assets in anticipation of "everything" going horribly worng, diversification will help preserve your cash". Which of course is all very logical and all that but what was rather sad was that it wasnt about selling cars to people who loved them,lusted after them, had pictures of them on their wall as small boys,etc. The answer to "which one shall I buy?" seemed to be given as "how much do you need to put into a diverse asset class and we'll find one at that "price"/"cost"/"value" for you".
The bit I really dont get is what happens when these new owners/investors start to incur the huge maintenance costs that go alongside keeping a lamborghini miura in fine fettle, or if they put the rod through the block of a ferrari 250 lusso,etc. I think that would take the shine off your "diverse asset class" pretty quickly. Are they just bought to look at? to stick in storage?

Typical of recession buying and asset diversification.

Look at price of Art over last 5 years.

Sadly it puts most things out of reach of the normal enthusiast though.

Until the bubble bursts of course, which it will at some point to some degree.

Clever thing is knowing when to cash in.

I feel some of the uber rich are buying at prices that have already flown currently and they typically will hang on to long in the long run if they are buying for pure investment.

It is true though, money comes to those with money.