Assets & Apps

Both the demand for and the prices of vintage and collectible cars have been rising to the point that average values across the marketplace climbed by nearly 40 % just in the past year alone. Auction houses and financial advisors have both recently noted that along with high-end jewelry and Asian art, collectible autos have entered the three most active and potentially lucrative collecting categories.

The market has shown no signs of topping out and prices continue to climb as evidenced by the July sale of a rare 1954 Mercedes-Benz racer that went for a staggering $29.6 million, the highest price ever reported for a car sale at a public auction. With all of the high finance currently attached to the classic car market, vintage cars have understandably become appealing tangible investment assets. Nothing lasts forever though, and some more cautious analysts have warned that they don’t think the demand for and value of vintage cars can continue to rise at the same rate for the next 10 years. However, right now the marketplace is quite healthy and following the recent financial crisis, more people have recognized that tangible assets in the form of vintage cars can be good investments. Classic cars are obviously more fun to own than a stock portfolio because you can drive them and also immerse yourself in the car culture lifestyle that comes along with ownership. While vintage autos might not be perfect for every investor, they can be a good fit for those who appreciate classic cars, and like any good long-term financial tool, they can also be used to pass assets from one generation to the next.

For investors who are also interested in classic cars, the market represents one of the fastest growing and most valuable collectable asset classes available. The strength of the market in this age of the Internet has also resulted in new high-tech tools to make it easier to search and explore the world of classic and collectible cars. One of the newest tools is a free mobile app platform designed for smart phones and other mobile devices that has the ability to help users find values, track valuations over time and to identify new investment opportunities quickly, easily and in real time.

The free mobile application is The Classic Car Guide, created by the Chubb Group of Insurance Companies, and powered by Keith Martin’s Sports Car Market magazine database. The Guide can help take the guesswork out of buying collectible cars by searching sale histories and online markets to provide investors with the real-time data they need to make informed purchasing decisions. Spokesmen from the Chubb Group have said they feel the Classic Car Guide app will help level the playing field for new investors and give them the confidence needed to bid at auctions without the fear of being taken advantage of.

Because the Classic Car Guide app is powered by Keith Martin’s Sports Car Market’s database of more than 100,000 auction entries, users can search the data by vehicle identification number, make, model and year in order to determine the most accurate current market prices. The application will also help determine how much it would cost to insure a particular car and users can search for vehicles on Craigslist and eBay too. The app also permits users free access to 20 years of valuable reference articles and photos from Sports Car Market magazine.

Two versions of the app (The Classic Car Guide for iPad and Classic Car Guide for iPhone) are currently available through the iTunes App Store, and versions for Android-based smart phones and the Blackberry are on the way. For more info, visit www.chubbcollectorcar.com.