The term “modern classic” is as subjective as it gets in the world of car collecting. Most people can agree that somewhat rare sports cars – such as the Honda S2000, a newer Shelby or Cobra Mustang, a Toyota Supra, or a Z06 Vette – definitely qualify as “modern classics.” Furthermore, there’s agreement that discontinued models which had some cachet – like an early 90’s Saab 900 or 2000-era Pontiac GTO – will be collectible someday too.
But the simple fact is, you never know what car, truck, or SUV will be a collector’s item in 40 years. If you’re planning to keep the car you have for a few decades, and you want to maximize your return on investment, there are a few simple rules you can follow to increase your investment’s resale value.
Collect the Right Car
If you want a greater return, you must buy a vehicle that’s worth more to begin with. Start by doing your research on modern collectibles. Some good tips for finding the right car to collect:
- Keep an eye on auction values, especially for vehicles with low miles and/or limited edition packages. Obviously, eBay Motors is a great place to keep tabs on the market – you can even setup email alerts to let you know when a vehicle matching your criteria is listed – but check out BringATrailer.com too.
- Pay attention to critically acclaimed cars with poor sales. The Honda S2000 is a fantastic example – it was a perennial award winner, but Honda struggled to sell more than a few thousand of these vehicles a year. Today, it’s not uncommon to find a low-miles used S2000 for more than original MSRP.
- Don’t overlook “common” cars. Not to focus on Honda, but a low-miles CR-X from the late 80’s or early 90’s that’s in a good shape can fetch more than original MSRP today. That’s shocking when you consider this was “just” a commuter car back in the day. Yet they’re collectible because they became so cheap few of them exist now…and the ones that do are often heavily modified.
- Remember the discontinued models. Saab’s vehicles were known for unique, aircraft-inspired design, especially before the GM take-over. They will no doubt be valued collectibles in the years to come. Same goes for a pre-bankruptcy Pontiac Solstice, a nice little car that never had a chance to succeed.
Again, no one can predict the future. But careful thought and observation can help you discover opportunities in the market.
Keep Things Extraordinarily Clean
A clean car is a well-preserved car, as dirt and grime almost always leads to some kind of damage. Smart collectors always keep their vehicles waxed, avoid driving in bad weather, park their cars during the winter months when road salt can accelerate rust, and go to great lengths to avoid interior dirt that can lead to stains (no food, no pets, etc.).
If your modern classic just happens to be a daily driver, you’ve got your work cut out for you. However, if you’re able to park your future collectible, you shouldn’t have too much trouble following these rules.
Don’t Modify Your Vehicle
If you plan on selling your modern classic one day for a tidy profit, don’t modify it. Modified cars – especially those with “cool” after-market parts – are often worth substantially less than all-original vehicles.
At the time this article was written, there is a perfect example here on eBay. Two low mileage 1969 Camaros were up for sale — one modified heavily, and one restored more closely to factory specifications. The heavily modified one had 6 days left at the time; it had 3 bids with a top bid of $15,100. While the nearly stock Camaro had 7 days left with a top bid of $35,001 and 8 bidders.
This is a generalization, of course, as some highly modified cars can sell for top dollar. However, generally speaking, collectors pay more for all-original cars…so no rims, no drop kits, no nitrous, etc.
Find and Keep Copious Records
Few things really impress a classic car buyer more than copious record keeping. Knowing when and where a vehicle was purchased, seeing the original window sticker, and then having documentation for every bit of maintenance and upkeep…it’s awesome. Not only does it inspire confidence in the vehicle’s condition, it also shows the buyer that they’re making an investment in history.
For many collectors, classics are more than just an investment. They’re a connection to the past, a chance to remember “the old days” with a physical piece of history. Copious records help prove that connection, which helps buyer form an emotional connection with the car. This, in turn, facilitates a purchase for top dollar.
When It’s Time to Sell, Be Extraordinarily Patient
If you want to get top dollar from your modern classic, you can’t be in a hurry to sell. Part of the reason is that the true value of a modern classic isn’t well known…some people might not realize that a car is collectible, while others might not appreciate just how nice your specific vehicle is compared to the rest of the market. Thus, if you can afford to list your vehicle for sale until the right buyer comes along (and wait as long as it takes), it will pay off in the long run.
What’s more, when you decide to sell, it’s absolutely crucial to list your vehicle on a popular website like eBay Motors. Not only does eBay Motors have a nationally known brand name, but the site is particularly suited to collectors searching for just the right car. Considering how affordable an eBay Motors listing is, there’s really no reason to list your car anywhere else.
