Nadia Khalifeh takes a peek into the world of vintage cars.
Only a lucky few can dream of owning a vintage car. But were you to get a windfall tomorrow, how would you go about acquiring one?
James Knight, International Head of Bonhams Motoring Department, gives us an overview of the market and looks at the options available here and abroad.
For those who aren't familiar with the collectors' market, Bonhams is the largest fine art auction house. Established in the UK in 1973, it conducts some 25 auctions of classic and vintage cars plus car memorabilia every year around the world.
Knight says the earliest types of cars available are Veteran Edwardian. An example of this is the 1904 Rolls Royce. Then there are the post-war classics such as the 1954 Austin Healey and modern cars such as the Ferrari F40 from the 1990s or the super Koenigsegg CC85 from 2004. Knight also mentions the Vintage period known for iconic cars such as the 1920's W.O. Bentley and the 1930 Alfa Romeo 8C.
Bonhams also auctions historic racing cars such as the Jaguar-D Type.
But how do you choose a classic car? What are the things to look for before investing in such a costly venture?
When you are looking at classic cars, Knight says you should look at the following criteria: demographics, time-period, style, budget and running costs. You should look at the vehicle's condition, originality and provenance as this affect the car's value and your investment.
Collectors' cars also become more valuable if they have a record of race success and famous owners. But how expensive can a car get? And most important of all, how expensive is it to maintain it?
Knight tells us that there are cars for every budget. With over 30,000 to 60,000 classic cars in the world, there is a car for everyone's need.
One of the most expensive cars is probably the 1963 Ferrari which could cost up to $25 million.
Maintenance (if we talk about the UK), might not be difficult or expensive. Knight tells us there are several classic car specialists who will fix your car cheaply and in a short time. Besides, classic cars have good spares back-up so there shouldn't be anything to worry about.
Of course classic cars require special insurance. The vehicle should be in good condition, it must be kept in a fully enclosed and locked facility, and it must be at least 19 years old and should be primarily used in exhibitions, club activities, historic racing and other such activities. While collector auto insurance is relatively inexpensive, the coverage offered is very specific to the car and changes from country to country.
Knight says, "For too long the world of classic motor cars has been the domain of Europe, America, Australasia and Japan, and it's refreshing to see collectors from the Middle East becoming passionate about vintage cars".
However, no auctions have taken place in the UAE yet. Probably because the trend here is to have high-performance luxury cars and not classic vehicles. "It's a modern country and people are still looking forward, not back," says Knight. With no stock to sell, it's impossible to have an auction and the cost of shipping the cars here is way too expensive.
Another reason is the climate. The hot weather makes it very hard for owners to drive a vintage car here. Just think of 40 degrees Celsius and no airconditioning.
However, diehard collectors will never say no. Knight says such collectors should participate in international historic race events such as the Royal Automobile Club's annual London to Brighton Veteran Car Run (LBVCR). They should also participate in tours, rallies and concourse d'elegance events like the one held every year on Pebble Beach in the US.
- For more info check out www.bonhams.com/cars
