Why are Classic and Modern Classic Cars increasing in popularity so fast in Australia ? (part1)

Why are Classic and Modern Classic Cars the next big thing in Australia ?

There are several reasons for the rapid rise of interest in Classic Cars in Australia, some obvious, and some less so. Naturally there is the significant rise in value year on year, although when we look deeper into it, there is far more behind this movement of change.

Let's look at the reasoning one by one :

1) These cars are different, and ALWAYS exciting. In a world where 56% of the new cars sold in 2014 in Australia were white, grey or silver, people want change. Within this article by News.com.au from 2014, the FEAR behind doing something that everyone else is NOT doing is highlighted, and the statistics that back the article are simply staggering (and concerning!).

Click here to read the 2014 article on car colours

In addition to half the cars all being of the same colour, they all look the same !. A Hyundai SUV looks like a  Mazda, a BMW like and Audi, and Toyota's and Nissan's are inseparable in appearance. No wonder people are wanting some change. Donald Trump has just won the U.S.A election which for us was a no-brainer, as he represents change and of leaving the "old" behind in the past. Whilst there is uncertainty of how this will play out, one thing is for certain...... things will be different. It is change that is critical here, with people voting out the old establishment, and ringing in change. And so it is with cars. After all, who wants to drive a boring white car that is the same as everyone else's, and devalues IMMEDIATELY !. We are now seeing that this fear of doing new things is dissipating. The new car may have an exhaust that sounds racey, although that is a computer manufactured sound, and sounds completely rubbish compared to a genuine original V8 or V12 where the exhaust is connected to the engine !. 

2) The values of Classic and modern Classic Cars RISE in leaps and bounds, and so there are the new investment class that people are running towards now. Why would you ever buy a house that goes DOWN in value !!. That is what occurs when a person purchases a new car. If they keep the car for 25-30 years, then it MAY go back up. Will they keep it that long ?. Very unlikely.

3) These cars are fun to drive. There are no useless traction control systems, ABS, reversing cameras, fly-by-wire throttles and electric steering that make the driver feel completely removed, and when the pedals are depressed, they actually connect to something !. In short, the cars are FUN to drive, and the driver has to possess some skill in order to explore the limits of adhesion, which is after all, what cars are for. Whilst some people use cars just for convenience, once they have been shown what that car can do, and how much fun it is, they never look back. A mid to late nineties car with 350-600 bhp and NO traction control or ABS is a load of fun. BMW and Porsche are just learning this now, with the much sought after 911R, which has not flappy paddle gears shift (yes. a REAL gear lever!), traction control that is normally "off" as well as loads of others goodies from when cars were fun.

4) The colours of the Classic and Modern Classic Cars are always exciting and are very rarely....White !!. Whilst some of the 1970 colours were rather ordinary (pastel colours), by the time the 1990's came, they were VERY exciting with a whole range of bright and vivid metallics that changed the landscape. It is true that Mazda and Toyota have brought out some really cool metallics lately, although........nobody in Australia buys them, and so we are back to square one !.

5) The considerable investment of the Gosford Classic Car Museum in New South Wales did also assist in reminding people just how great these cars were and now are, and that coupled with the massive movement in Europe that caused such immense rises in the values of these assets has made this subject big news.

6) These cars are not being built any more. Unlike houses and apartments, which are being constructed all over Sydney and Melbourne (there are over 400 cranes in the two cities now, more than anywhere in the world), these cars are only available in finite numbers. When they are all sold, they cannot be bought.........until another one pops up. That is why we have people in three countries chasing cars every day, 7 days a week, which means that we get there first. When the apartments currently under construction cause the forthcoming over-supply issue in two states of Australia, the markets there will simply follow Western Australia and Queensland.........down, whilst Classic Cars will continue to boom because 86.5% of them are owned with cash, and NOT massive debt. In addition, when interest rates rise, and they will, what will all of the over-leveraged people do, if their employment status changes as we move rapidly into automation  ?.

Let's remember that Donald Trump became the 45th President Elect of the United States because he does things differently, and because in that country there want change. They are sick of the old "normal" way of doing things, and are hungry for something fresh, not the white, silver, or grey of life. Finally, people are finding ways to empower THEMSELVES to do what they want to do, and not run with what society tells them is the way to do something. They have stopped believing the rubbish that they have been fed. Finally there is a movement of people that realise that they create their reality, not some other person.

So there are 6 of the many reasons for the movement in this industry. Have a Great Day !