Skip to main content

Older cars see demand drop relative to supply, but newer classics show that the market doesn’t tend to fall completely

Content of the article

Believe it or not, classic cars are a lot like real estate in major Canadian cities: asking prices are always high, but sales are much slower than you might think. The fall auction held in mid-October in Toronto by Collector Car Productions shows both the strength and the weakness of the market.

Advertising

Content of the article

For example, a 1956 Ford Sunliner convertible that appeared to be in good quality condition to the driver sold for $ 17,600 with the purchase charge of 10%. A much better restored Sunliner with plenty of options and upgrades including power steering and upgraded disc brakes didn’t sell for a high bid of $ 46,000.

I have seen cars similar to this same auction going for up to $ 85,000 in recent years. The market is changing. Ford Sunliner sales tell the story.

People who loved these cars when they were both younger are taking the plunge. Many collectors in their 70s and 80s are reducing the size of their garages. Some sell all of their vintage vehicles. Collectors who still buy these cars have become extremely price conscious. There are some great bargains to be had.

Advertising

Content of the article

At the same auction last weekend, a rare 1954 Canadian-built Meteor Rideau Sunliner convertible took the plunge selling for $ 15,900 – it’s unheard of. Ford of Canada built about 400 of these all-Canadian convertibles, and only a handful remain.

A 1954 Meteor Rideau Sunliner that sold at auction in Toronto for $ 15,900 reflects the drop in prices of classic convertibles of the 1950s.
A 1954 Meteor Rideau Sunliner that sold at auction in Toronto for $ 15,900 reflects the drop in prices of classic convertibles of the 1950s. Photo by Collector Car Productions

I don’t know if it was a good car or a car made from other people’s parts. But it certainly sounds like a good deal for a lucky buyer.

On the other end of the auction results, a hugely collectable 2006 Ford GT in red took the auction hammer down to $ 352,000. And a well-restored, highly optional 1957 Chevrolet Bel Air convertible won a winning bid of $ 74,800.

I think they are always good business, as the above mentioned top sellers at Canada’s most recognized vintage car auction would likely make the same money at sales south of the border – in US dollars. Buyers could earn up to 30 percent on their money just by adjusting the geographic location for the next car sale.

Advertising

Content of the article

However, you have to take into account the freight, auction fees and other costs. So a big profit is not a slam dunk.

  1. Millennials love these cars Baby boomers can't stand

    Millennials love these cars Baby boomers can’t stand

  2. Here are the 9 classic cars millennials want to buy the most

    Here are the 9 classic cars millennials want to buy the most

As a keen observer of the hobby over the past four decades, I have never seen a more difficult market for classic vehicles in Canada. They are still selling, and a lot for decent money. But there are fewer buyers, cars stay on the market much longer, and some owners must have been extremely realistic as to why they would sell their vehicles.

One example is a recently sold 1937 Buick Special four-door convertible. The Ontario owner made a very nice restoration on the classic, which had been completely dismantled and reassembled with rebuilt mechanics, genuine leather upholstery and wide radial whitewall tires.

Advertising

Content of the article

At the spring auction, the auction fell short of the owner’s expectations of over $ 50,000. Certainly a lot more money had to be spent on the car. The rare Buick then sold privately for $ 36,000 – a very good buy.

This restored 1937 Buick Special convertible sold privately for $ 36,000 after garnering little interest at the Spring Classic Car Auction in Toronto.
This restored 1937 Buick Special convertible sold privately for $ 36,000 after garnering little interest at the Spring Classic Car Auction in Toronto. Photo by Collector Car Productions

This illustrates how much interest in cars of this vintage is decreasing, as there are fewer enthusiasts who like these cars.

Auctions are an excellent valuation tool for establishing the values ​​of collector vehicles. It shows why the buyer will sell the vehicle and what someone will pay for it, at that time and place. Owners cannot expect high prices in US dollars when selling their cars in Canada unless the vehicle is spectacular or has extremely high salvage capacity.

It is very difficult to set values ​​by looking only at advertised asking prices and auction results. Many desirable collector vehicles change hands through word of mouth. They never officially arrive on the market.

Advertising

Content of the article

What’s hot and what’s not? European performance cars, including classic Mercedes-Benz and Porsche sports cars and convertibles, continue to gain in value.

“One of the hottest cars on the market today is the air-cooled Porsche 911, especially the 1997, the latest air-cooled model; and the Carrera convertible offered until 1998 ”, explains the expert and judge of the Concours d’Elegance John Carlson.

Advertising

Content of the article

Japanese collectibles, including any Acura NSX model, as well as Datsun Z sports cars from the 70s and early 80s, have seen prices double during the last years. There are others.

“If my friends and family had listened to me, they would have bought every Acura Integra Type RS,” says Nigel Matthews of Hagerty Insurance. “This car was sold new for $ 27,000. Today they are ordering north of US $ 60,000.

Any collector’s item with the Carroll Shelby name on it is a big seller, especially the big-block fastback and convertible models from the late 1960s.

Complete classics, including open Packard and Cadillac cars, continue to be traded as rare works of art and maintain or increase their value.

This fully optional 1957 Chevrolet BelAir convertible won a bid of $ 74,800 at the Fall Vintage Car Auction in Toronto.
This fully optional 1957 Chevrolet BelAir convertible won a bid of $ 74,800 at the Fall Vintage Car Auction in Toronto. Photo by Collector Car Productions

But restored 1950s Chevy and Ford convertibles and 1960s muscle cars, with a few exceptions, are plentiful and have been overvalued in the past. The market is flat for these cars, although some very special models will always attract the most money.

The project vehicles really took a hit. It might be a beautiful vehicle once restored, but if it’s a basket, unrestored, or current collector’s item, it will be very difficult to sell.

Collectors are timid – with skyrocketing labor and material costs – to rebuild vehicles at a time when restoration standards have risen dramatically.

Great vintage vehicles always sell – a lot for a good price. But owners are experiencing an evolving market with fewer enthusiasts to buy their cars, and not as many young people taking the hobby.

We apologize, but this video failed to load.

Advertising

Content of the article

comments

Postmedia is committed to maintaining a vibrant but civil discussion forum and encourages all readers to share their views on our articles. Comments may take up to an hour of moderation before appearing on the site. We ask that you keep your comments relevant and respectful. We have enabled email notifications. You will now receive an email if you receive a reply to your comment, if there is an update to a comment thread that you follow, or if a user that you follow comments. Check out our community guidelines for more information and details on how to adjust your email settings.

Source link