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INVESTMENT IN ‘GARAGE GOLD’ The market for classic cars is booming. These cars are not just cool, they are also considered an investment. PH OTO: RENÉ


umerous classic cars have sold for millions in recent times but what is so striking is that the prices for expensive classics that change owners at auctions has risen over the years. This can also be seen even with the less exclusive vehicles. According to a report by the VDA (Association of the Automotive Industry), classic cars grew moderately in 2017, by 1.4 per cent but reached a peak of 2,552 compared to 2,516 in the previous year. The increase thus lay below the rate of inflation of 1.8 per cent. This index sets a clear signal that the strong price increase of the past years for classic cars has calmed down - this development having already been hinted at in the results of many big auctions of the past year. To determine the index, 88 vehicles are selected that represent the German market on the basis of their specifications, their country of manufacture and their prevalence. The respective registration figures are also taken into account. The basis of the index is formed by data from the Bochum Classic Analytics valuation experts. In the long term, the German Oldtimer Index for classic cars is showing a positive upward trend.



Viewed long term, classic cars prove to be a stable investment. This development is also noted by Karl Ulrich Herrmann, founder and initiator of Retro Classics, the largest classic car trade fair in the world. “In the past five to six years, the prices for classic cars have risen across the board.” The explanation is simple: “Money is currently cheap to come by and many investment opportunities are no longer attractive.” Those who have a lot of money do not know where to put it. This immediately poses the question, ‘which car offers the greatest increase in value?’ With a VW Beetle or a 2CV for example, no money can be made. But more importantly “One needs to enjoy the vehicle and drive it.” All the other stuff is missing the point of a beautiful vintage car. Cars also depreciate in value. Bernhard Taeschler is also of this opinion. This car enthusiast from Sarmenstorf is a board member of the Swiss Historic ­Vehicle Federation, the umbrella organisation of around 120 classic car clubs in Switzerland. “Vintage cars are vehicles, not museum pieces,”

says Taeschler. Beautiful old vehicles need to be maintained and occasionally driven on the road. “What is not driven, goes bust” and thus requires constant maintenance. Generally, the question about value does not come first. Taeschler remarks, “Petrolheads who cherish and care for their vintage cars do not pay attention to the rise in value but if they do rise, that is just a nice by-product.” ALL EYES ON THE PURCHASE OF CLASSIC CARS

“What criteria should investors use for selecting their personal investment?” Dr Philipp Herzog von Württemberg, Sotheby’s Chairman for Europe says: “The most important criteria are rarity value, quality, and solid and traceable provenance, that is, origin.” Furthermore, one needs to keep a cool head and it is imperative that prospective buyers contact a vintage car expert before a purchase.


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R2M one combines style and elegance with a touch of Rock ’n’ Roll in its own special way. Neither stuffy nor sophisticated. Rather cool, mys...


R2M one combines style and elegance with a touch of Rock ’n’ Roll in its own special way. Neither stuffy nor sophisticated. Rather cool, mys...