8 Ways to Increase the Value of a Classic Car
We offer ways to increase the value of a classic car without breaking the bank.
In the past 12 months, the value of the classic car market has ballooned worldwide. Here in South Africa, prices of certain makes and models have skyrocketed by as much as 40%.
As a moveable investment asset, classic cars are in demand – but if you are the owner of a classic car, it’s important to protect its resale value.
1. Retain authenticity
Collectors typically pay more for cars with the original parts, interior fittings, paintwork and patina. A car that shows age without compromising integrity is considered the “real deal”.
A good restoration job returns the vehicle to its former glory but takes the passing of time into account.
2. Invest in original replacement parts
When repairs require replacement parts, choose the original components manufactured for the particular make and model.
They may be more expensive, but OM parts preserve, and can increase, the value of the car.
If the original parts aren’t available, the next best option is “new old stock” – parts manufactured for the vehicle when it was new, but have never been used.
3. Accumulate a provenance paper trail
Maintenance records, restoration certificates, payment slips and other documents amassed over a vehicle’s lifetime can increase its value.
Similarly, manufacturer and auction catalogues, press clippings and photographs featuring the car can contribute an extra 15 to 20% to its resale value.
4. Avoid component or tech upgrades
Modifying or updating a classic car by installing improved safety systems, mod cons and a more powerful engine may be tempting.
However, upgrades can compromise the look, feel and performance of the vehicle, rendering it unappealing to collectors.
The real worth of a classic or vintage automobile is its originality. Any tech upgrades and aesthetic or mechanical modifications automatically shave a percentage off the resale price.
5. Use suitable vehicle storage
A classic car is an expensive asset. Ideally, it should be stored in a clean, dry and lockable garage with at least one electrical point to provide a trickle charge to the battery.
If that’s not an option, companies like Auto Storage Lab, Carvault and Vehicle Vault specialise in supplying short- and long-term storage for luxury cars and vintage vehicles.
6. Take the car for a spin
If a car isn’t driven regularly, fluids and oils deteriorate and pool in places, tyres deflate and form flat spots, and seals dry out and crack. The battery doesn’t charge and moisture can build up in the fuel tank.
To retain its value, a classic automobile has to be in perfect working order. That requires taking it for a spin at least two to three times a month.
7. Protect the integrity of the car
Whether it’s parked in a garage or at a specialist storage facility, there are easy ways to protect a classic car and its components, including removing the battery and putting it on trickle charge, raising the car onto blocks and cleaning it by hand, inside and out.
Applying paint protection or a ceramic coating to the exterior paintwork is also recommended. Products like Shine Armor and Ceramic Nano Guard are affordable and easy to use.
8. Show it off
Entering a classic car in a show, such as the George Old Car Show, Classic Car Show and Knysna Motor Show, is a fun way of flaunting a high-worth asset and enhancing its provenance.
If the automobile comes in the top five or 10 or is judged the winner, its monetary value may surge. It’s the clearest indication that the vehicle is well maintained and the ideal addition to a classic car collection.
Use a classic car to secure a short-term loan
These tips will help you increase the value of a classic car, but you don’t have to sell it to unlock its value. You can use a classic car to secure a short-term, asset-based loan.
Pawn My Car offers loans against a wide range of classic and luxury vehicles, with competitive interest rates and no hidden costs or penalties.
No credit checks are conducted and loans are approved within 24 hours. Pledged assets are insured and securely stored.
For more information, contact us on 0861 112 866 or simply complete and submit our online application form.
