Marc Tyler wrote:
>
>
> Seriously though, if prices increase due to increased collectability due
> to stunning examples turned out by the likes of CDM, cool! Great! But if
> our cars become the flavor of the month for those who collect as an
> investment, there goes the party.
Based on the past, I think the likelihood of a "flavor of the month"
problem for roadsters is minimal.
I believe that would be "wishful paranoia". There are only so many to "buy up"
anyway.
I think the more likely problem is that places like Rallye, Dean, Ross shut down
because the business they run is only marginally profitable. They struggle on
out of compassion, but you can only operate a business like that for so long.
A real world scenario is that <insert vendor here> decides to dumpster, item by
item, every part in inventory and take a tax write off on it because it makes
good business sense and he has a mortgage to pay.
THERE goes the party. That is a waste and a shame.
> If the old car market sees fit to raise the value of our roadsters fine,
> but I don't know how we can increase the value of these cars
> artificially. Isn't that price fixing?
No it isn't. No one is establishing a minimum "will not sell below" price
that anyone would adhere to. Promoting and marketing the cars as
collectibles isn't price fixing. Even if everyone added 10k to the
value of there car right now, that would still leave a very broad range of
prices.
Like Roman pointed out, would you buy a house for 50k, invest 100k,then sell
it for 50k? If you did you would be an idiot.
I just went through a cost analysis for a person who wants a roadster restored.
For about 10K you can get a lot done, but still not close to a CDM style resto.
15K+ gets you in the ballpark of a real restoration.
What that says to me is that David's car, priced at 10k is a steal and is
likely worth significantly more than that.
Could you replace it for 10K? probably not.
This also means that the value of these cars has already gone up. 8500.00 used
to
get you a really nice 2L. Now it will get you an older restoration with miles,
(i.e. a nice runner) needing work in places. I rest my case.
Even if you love the work, it provides therapy, and you did it out of
compassion,
the result of all that expense and effort has monetary value.
If someone came to buy your 100k house and said geeze I really love it, but I
only
have 50K, you would tell them to look in a different neighborhood.
If someone can't afford your roadster, tell them to consider a Miata.
my 2c.
Jim
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