The ever-increasing cost of borrowing and living should theoretically have led to a reduction in demand and prices for classic cars, yet as our colleagues at Classic Car Buyer have discovered, the market has managed to stay remarkably resilient in the face of stormy conditions.
A look at recent auctions results indicate that overall sales have fallen behind slightly in recent months. Historics’ sale rate of 63 per cent of at Windsorview Lakes was down on the 75 per cent of its previous sale in May – not helped by poor weather and demand at the premium end not being as strong as previous sales. In a similar vein, Anglia Car Auctions’ August sale boasted an impressive 80 per cent sale rate, but its November 2022 sale recorded 88 per cent. Likewise, SWVA posted an impressive 90 per cent sale rate at the end of July, but its April sale saw a rate of 94 per cent. We’ve also seen a greater number of sales tied up after the auction following further negotiation, suggesting deals have needed a little more work to get them over the line.
However, it’s been far from outright doom and gloom according to those at the heart of the industry. “There are plenty of stats pointing to the market slowing down but I don’t think it’s as bad as it is being made out,” WB & Sons’ James Wray-Brawshaw told CCB. “We are just coming off the back of our biggest auction to date with a very good overall sale rate and even a couple of auction records set.
“The wider world outside of classic cars is turbulent now but I believe we are past the worst of that. We are lucky our industry is for most people a hobby or a passion. That means people don’t always act purely down to facts and figures.”
James feels that any slowdown is down to a ‘market correction’ that was always due post-Covid. Indeed, market expert Hagerty has tracked seven indices since 2018, covering everything from Ferrari to Fiestas, that have been compiled using data from auctions, dealers and its own insured values. They all dipped in value before the pandemic, and almost all peaked after the lockdown was lifted.
Dale Vinten of specialist sales and auction website Car & Classic also warned against trying to label the current situation. “We see a lot of discussion with regards to the market but it’s too simplistic to look at it holistically. One thing remains true; good clean cars with low mileage and a strong history continue to sell well.”
Mathew Priddy, Historics’ Head of Auctions, acknowledged the current financial concerns but similarly warned of makin
