It is a fact that the car industry has been having a tough time in the present recession. Many companies are having to approach their various governments for extra cash to keep businesses afloat and preserve jobs. This has had a knock on effect in the second hand market. Buyers are simply deciding not to buy at the present time, meaning also that they are not selling either. The flow from buyer to seller has slowed immensely and the industry faces worrying times. However one area that seems to be bucking the trend in certain areas is the classic car market.
Classic cars are being seen as an investment opportunity at a time when the banks and financial institutions are seen as being unreliable. An investment in something that may realise a profit in future years is being seen as a worthwhile bet. Cars that once seemed out of reach financially have had to be sold in a very competitive arena and that has driven some car prices down significantly. There are other reasons why people are turning to older cars at the present time. Increasingly, people are taking the opportunity to do their own car maintenance to keep costs down. Modern cars are much more difficult to maintain at home, and often require specialist equipment. Modern cars parts are often prohibitively expensive. Assuming the parts are available for older cars, and they can often be found in scrap yards, it makes the cost of car maintenance much more reasonable.
Insurance for a classic car can often be much less than newer models, but it is wise to shop around on the many comparison web sites available. However, it may mean trying to find a specialist insurer. It is also worth considering that the owner`s valuation of the car may not match the insurance companies. However there are two sides to every story and there as many tales of people having to sell their pride and joy in an attempt to keep their heads above water financially. In any family, when times get difficult, luxury items are the first things to go.
The usual contenders for the title of best classic car are still popular. Aston Martin and Porsche are ever popular, as is the ever popular Corvette, however some of the cars that we often used to see regularly on our streets have now become classics in their own right. The Morris Minor and even the Volkswagen camper van are now firmly in the classic arena. Sporty cars like the Jensen Interceptor are vying for attention with the Hillman Imp and the iconic Ford Anglia. Turbo cars are also big business, such as the MG Metro Turbo and the Lotus Esprit turbo. These are cars with a certain character which have worked their way into the British buyers psyche, and appeal perhaps to people who in their younger days could not afford a particular model. Either way, the market for classic is still managing to hold its own. It is though that in Britain alone there are around two million classic cars.
Once the recession is over there is likely to be a further repositioning of the market as it returns primarily to market for collectors willing to pay top prices, but in the present recession, there are more people willing to consider an older model to help them keep costs down, but with the added bonus that somewhere along the line, there may be money be made when the worst is over. For more information, go to Car insurance.