Imperials as Investment

[Jim Gathmann <jim_gathmann@xxxxxxxxx>]

The problem of putting money in an old car as an
investment is the chance of unforeseen problems i.e.
crashes, theift, etc.- which is also the case of the
stock market.

Remeber, the insurance companies almost never pay back
what you'd have put into it.

Also- look at how much $$ can go into a project.

My dad's R/T Charger was restored from the frame up.
Every part with any level of rust or problems was
replaced by real new-old stock Mopar parts when
possible, or from a yard as a last result.

The job, if done completely by shops (my dad did a lot
of it) would have been around $80k. Car sold for under
$50k

You almost never get back what you put into it.

Look at the costs of keeping up a car (normal ware and
tare stuff like filters and such).
Now add stuff that brakes with use,
stuff replaced during a rusteration job
body work (often the biggest $$ part- say you strip
the car at a factory with a drop-tank, have every
single dent and sctrach repaired, a professional
primer and paint job with the car completely
dis-assembled, rechrome of chrome parts, replacement
of glass with imperfects or discoloration, etc.),
Any customized stuff
Plus the $$ for all your hard work. Say you're work is
only worth $5 an hour.

At $5 an hour- for going to yards to locate and pull
parts, locating yards in phone books, driving around
for parts, installing and removing stuff on the car,
anything you do with/to the car, plus the time
involved with designing any modifications, etc.


All that added up gets big- real big. I've seen people
pump over 100k into a car project.

Now if a fire came and took out a storage garage in a
winter, or a theift striped the car, or a crash
occurs, even with insurance (which will not pay for
everything you put into it- reminds me- an other cost-
insurance its self- big $$ if you never need it...)
you are down a lot.

Now with the stock market, lose it and then you get
big tax credits (often).

Car prices will vary a little, but go up about the
price of inflation these days (unless owning a certain
model or era car becomes a new fad....). Its a gamble
like anything else in this area.


'course, that's just my 2¢....
--- Mark McDonald <tomswift@xxxxxxxxxxxxx> wrote:
> I'm not sure where this would be most appropriate,
> so I'm sending it to
> both.
> 
> A friend of mine and I were talking about the
> economy going South
> recently, and how much money we've lost in the stock
> market, and he made
> the comment that he should have put his money in
> Imperials instead.
> 
> I was just wondering: what do people feel about the
> old car hobby as an
> investment?  I have always heard it's not a wise
> place to put your money
> (old cars); that the only real reason to do it is
> because you enjoy it,
> but not to expect a big financially gain.
> 
> On the other hand, once these cars start going up,
> they're only going to
> continue going up.  An old Imperial's value can only
> increase . . .
> assuming, of course, you keep it up.
> 
> Anybody have any thoughts on this?  (It would
> probably be better to
> respond in the Salon, I guess.)
> 
> Mark
> 
> 
>