The popularity of classics within the exclusive vintage car segment is declining. De Volkskrant reported this last week. Among other things, the newspaper held an interview with trader Robert Huttert of Smiths Veglia in Zeist. Huttert reported that the market was "overheated". "I am talking in particular about the absolute top of the market, in which millions are paid for exclusive cars."
The conclusion may be premature, but the exorbitant price increases seem to be leveling off. In recent years, exotics have become particularly popular with investors. According to de Volkskrant, the interest in the exotics segment flattens mainly from February. “From that moment on, people are leaving the investment. That means that the supply on the market is increasing again. "
"Supply is increasing, prices are falling"
In fact, the development has already started since 2014, after a price increase of more than 2013% was noticeable in 40 within the exclusive segment. That starts according to car market researcher Dietrich Hatlapa at € 90.000. It has since become clear that asking prices are still rising compared to 2015, but the increase compared to last year is only 2,2%. Hatlapa confirms Robert Huttert's reading. "The supply is increasing again, so that means that prices will automatically be put under pressure."
"Credit crisis was important for price increase"
The historical price increase of exclusive vintage cars was due to the credit crisis. From 2008, stock prices fell and interest rates fell. Investments in real estate also turned out to be less profitable. Alternative investment forms were sought. The wealthy sought refuge within the exclusive classic market. With exorbitant price increases as a result.
Market development is to be welcomed
Although it is not possible to say whether the development has a structural character, the first signals are to be welcomed. The combination of the exclusive classic investment object put the image of the exotics in a different light for years. The car became an object, a business model that increasingly seemed to take the place of wealthy car enthusiasts. Now the market seems to be correcting itself somewhat.
"Mercedes-Benz benefits from market correction"
According to Hatlapa, market developments show new relationships. "The classics from Mercedes-Benz prove to be a safe choice at a time when prices are coming under pressure." Where Mercedes-Benz generates an increase in value of 6%, the prices of neighbors from "Stuttgart" are falling. Porsche has experienced a significant decrease in value. This development is at odds with the findings that InterClassics Maastricht director Eric Panis unveiled in January. He then noted that "in particular the Porsche 911 from the end of the sixties had undergone a major price development."
Source: de Volkskrant
Edited and supplemented: Auto Motor Klassiek