Owning a Classic Car - Pros and Cons | DetailXPerts Blog (2024)

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Owning a Classic Car - Pros and Cons | DetailXPerts Blog? ›

Classic cars can be a risky investment. Even if you purchase a model that significantly increases in value after you buy it, you may still put more money into it with repairs and maintenance costs. Additionally, collector trends are unpredictable, so you can't bank on a specific model dramatically increasing in value.

Classic cars can be a risky investment. Even if you purchase a model that significantly increases in value after you buy it, you may still put more money into it with repairs and maintenance costs. Additionally, collector trends are unpredictable, so you can't bank on a specific model dramatically increasing in value.

What are some of those risks? Well, classic cars are unique, which means the risk of theft or scam is higher. For example, after participating in a vintage car show, you will want to take necessary precautions to make sure your car gets safely put inside the garage and not in the hands of a thief.

The “Classic” Classic Car Collector

For instance, the average age of today's classic and collector vehicle owner is 54 years old. No longer reserved for the wealthy one percent, more women are buying collector cars than ever before, too – and she's typically a 52-year-old.

“Regular maintenance from specialists who understand these specific models can mitigate some issues, but a higher frequency of breakdowns should be expected compared to more modern classics.”

Improper storage of a classic car

Avoid dirt and gravel which can create excessive moisture resulting in rust which may degrade your car. Instead, opt for solid flooring with good drainage. Additionally, you're going to want a secured space that is insulated.

Before daily driving a classic car, you'll need to make sure the car is roadworthy with regular inspections and preventative maintenance. Certain steps might help lower your risks on the road, but a classic car may still carry significant safety concerns because of its age.

No, classic cars don't cost more to insure. This may seem surprising based on their age and value, but because classic cars are generally driven less and are well taken care of, they cost less to insure.

The most significant con is the maintenance of classic cars. The cost of maintaining an old-timer, including insurance and maintenance, can be up to 20 percent of the classic car's value. Spare parts or even simple consumables may be really difficult to buy in auto parts stores, so you have to 'hunt' for them.

For instance, if you purchase a vintage car that has 50,000 miles and you end up adding 25,000 before reselling, that will likely significantly reduce its value. On the other hand, if you purchase a classic car with high mileage, adding more miles won't impact its value nearly as much.

Who is the target market for classic cars? ›

Most classic car owners are white males aged 35 and above, with the majority in the 55-64 (250) and 45-54 (200) age range.

There are currently about five million classic cars in the U.S., and Baby Boomers own most of them. Most individuals who own classic vehicles were born between 1946 and 1964, and older members of this generation are starting to sell their cars or gift them to family members.

Cars over 10 years old can still be reliable. Most vehicles can last well over a decade with proper care and maintenance. In fact, the average car on U.S. roads is now 12.5 years old, according to a study from S&P Global Mobility. Furthermore, a car doesn't really stop depreciating until it hits that 10-year mark.

Mileage holds an important place in valuing classic cars, as it provides vital information about the car's usage and wear over time. Generally, the lower the mileage, the more desirable and valuable a classic car becomes.

The most significant con is the maintenance of classic cars. The cost of maintaining an old-timer, including insurance and maintenance, can be up to 20 percent of the classic car's value. Spare parts or even simple consumables may be really difficult to buy in auto parts stores, so you have to 'hunt' for them.

A used car is a good choice if you are trying to save on your initial purchase. But you'll need to consider the cost over the life of ownership — including maintenance and repairs. Depending on how you want to use the vehicle and your overall finances, you may find that buying new is the better choice.

Many people purchase collectible cars as investments because they can appreciate significantly in value over time. Many classic cars from the 1950s and 1960s, such as the Shelby Mustang, Chevrolet Corvette, and Porsche 356, are sought after by collectors.