Classic Ferrari or buy to let?

[Scaf]

Let’s see if the tenant comes up with the goods and buys the house - interestingly in the area I live smaller houses are going up in value faster than the larger houses so splitting the equity may well be an option, but even then I will be trying to buy a car that is on the way up and not down, in terms of depreciation, we shall see.
This really is investment / pension money, I do get the you only live once argument ( I really do ) but I also want to retire early and live comfortably.

 

[lifes2short]

go for it if you can afford it, you'll regret you didn't when thinking back in your old age, you still have your bricks and mortar and enjoying a classic motor that could possibly increase in value, if you lose a tad on it years later so be it, at least you have some great memories

 

[lifes2short]

a lounge to kill for

 

[Corranga]

Thankfully never an issue I'll have, but £365k for a Dino seems complete insanity to me. I can't help but think they've done the majority of their appreciating already - I guess that's all part of the game mind.

I'd imagine the allure of classic car investment is the potential for bigger gains in shorter times, but then it's all a gamble. I read people are investing in things like rock music memorabilia now with good gains in value. I can't help but think as the car markets change, classic cars will become less usable and possibly less value.

I'd be going for property, or as others have suggested, some sort of property / car split, allowing you to spend less on the car and get something you can enjoy / use.

I guess the other question that hasn't been asked yet.... what are you investing / saving for on the longer term?

 

[Scaf]

. what are you investing / saving for on the longer term?

My early retirement !
I want to retire at 60 and not drop my standard of living ......... and it would be nice to give the kids a “leg up” whilst I am here to see it.

 

[conaero]

Scaf you are mental...keep it up fella!

 

[Lavazza]

It's all so hard to second guess.
Property is sensible, but if you can afford to buy things you enjoy that might retain or create value, that's a win-win.
I like watches - by happy coincidence some have tripled in value in less than a decade and are cheap/hassle free to own. Fine art (old and new) and antiques are fun too (to me) and can realise quite a bit of value.
It's all a bit of a first world problem, and if you have a good pension it's a nice safety net that allows you to take a chance now and again.
Whatever you do, have some fun!

 

[rivarama]

I guess I knew the answer but I really fancy a classic Ferrari and the only way I am going to own one any time soon, would be to access that equity - oh well ...........

If you want a classic Ferrari - get a 550 - they are well under 100k these days, and keep the rest to invest in real estate or funds. That’d be my strategy

 

[empzb]

Can you secure a mortgage against the house and get the car? Still have the property and a person paying off the mortgage for a while as well as a decent car fund?

 

[Scaf]

Yes I could do that but it still out the equity that I release at risk .........

I think on balance my money will stay in property but I may release some equity for a sensible purchase with limited risk.

I really wanted everyone to tell me I could get better or at least equal return on a considered purchase of a classic Ferrari or even Aston (mainly because I want a new car ) !

 

[rockits]

I'm sure it is possible you could get a great, same or better return on a car for sure. Just with an increased risk I would say also choosing the right car as well as there are soooo many.

When you look at a McLaren F1.costing 850k when new and now.the worst one is what 6m+. Not a bad return!

Take even more modern stuff like a La Ferrari. They were circa 1m new now 2m+ aren't they?

 

[conaero]

On a sensible note I would say the classic car boom is ending.

ok, Ferrari seem to be in their own bubble but it will have an affect.

 

[philw696]

A little bit of sensible advice.
Get a Classic Renault with very low risk they have two ways to go.
For Matt rust away.
For me go up in value

 

[lifes2short]

On a sensible note

A little bit of sensible advice.

I'm just flabergasted, i didn't join this forum to get sensible advice, get plenty of that with the bloomin wife

 

[philw696]

I'm just flabergasted, i didn't join this forum to get sensible advice, get plenty of that with the bloomin wife

Not much sensible advice from me as I'm here to entertain

 

[rockits]

Of course you could just take a trip to Vegas and risk it all on red while blowing the rest on booze and women

 

[lifes2short]

Of course you could just take a trip to Vegas and risk it all on red while blowing the rest on booze and women

nah forget red, just booze and women sounds good to me

 

[Vampyrebat]

nah forget red, just booze and women sounds good to me

Are you Prince Andrew's Advisor??!!

 

[zagatoes30]

The more people you ask for advice the more opinions you get. Like everyone else I think the classic car bubble is cooling but these things do tend to go in cycles. In my opinion the right classic car has the potential to turn a profit but probably there is a higher risk. I doubt a £60-80k Fezza 550 is going to plummet, it might lose or gain in the short term but over a period I suspect the move is more likely to be upward. Would I invest all my money in classic cars, no way but a bit of a speculative investment wouldn't do too much harm. The challenge will be picking the right car.

 

[azapa]

I don't know about you lot but the 308, 348, 355, 360 generation look prettier every day, and thier prices seem payable. Look at that lovely manual 360 on Richard Grace's website. That would look tremendous next to the strad.