Whether you have just inherited a vintage car, or you are getting ready to buy your first classic vehicle, there is no doubt that classic cars are a good investment. And, of course, they can offer a lot of fun as well as capital gains!
Nonetheless, if you are a vintage car first-time owner, you might not have the right skills, knowledge, or experience to make the most of your asset – and this can cause you to set unrealistic expectations and even lead to a loss of money!
Luckily, with the right tips, you can make the most of your vintage car and ensure that your investment will offer the returns you are expecting!
Set Your Expectations Correctly
The first step is to have a clear understanding of how much your car is worth and how much money you’ll need to spend on it. Whether you are looking to invest in a car or you have just inherited a vehicle, the chances are that you might have researched the market prices for that specific model and maker.
However, there are other costs worth considering, including restoration costs, which can be as high as $40,000-$60,000, running costs, and repairs. Don’t forget that all of these expenses are likely to be higher for vintage cars compared to normal vehicles!
Know What Qualifies as a Collector Car
Before investing in a vintage car, it is important to understand what you are dealing with. Indeed, some vintage cars, usually the ones that are at least 20 years old and of historic importance, are considered collector cars and, as such, they are collectibles. While collectibles can be a great investment, you will need to be prepared to pay a 28% tax on your gains when selling your car!
Work With a Qualified Dealer
If you have limited experience in the world of classic cars, it is crucial for you to find and work with a specialized dealer. A specialist will be able to guide you through the process of buying a classic car and ensure that you are driving it safely and legally.
Partner With a Specialized Mechanic – And Have the Right Manuals at Hand!
When investing in a car, a specialized dealer can help. But once you become the owner of your vintage vehicle, its upkeep will be your responsibility!
That is why it is crucial for you to partner with a specialized mechanic or vintage car repair specialist who can help you keep your car in tip-top shape. And don’t forget to find classic car service manuals to learn more about maintaining your car and honing your investment.
Join a Club or Circle
Whether you have classic car knowledge or not, it is recommended for all vintage car owners join a club or circle as soon as they gain ownership of their vehicles.
While clubs vary in terms of benefits and membership fees, prominent associations such as the Classic Car Club of America can grant you invitations to exclusive events and put you in touch with other classic car experts.
Keep an Eye on the Value of Your Car
Vintage cars have been a stable investment over the past years, and they have helped their owners ride out two economic crises without losing value. However, as with all other investments, it is recommendable to keep an eye on how the value of your car fluctuates over time.
And, above all, don’t forget that vintage cars are created to be driven! So, get on the road and have fun!