New research has found that more women are investing in classic cars, as they look for a better return on their money, as well as something which is more fun to drive.
Traditionally, classic cars are associated with middle aged men and petrol heads, but younger, more financially savvy women are now investing in the market. Low savings interest rates and falling annuity rates on pensions are said to be driving the increase in female buyers who are seeking a way to secure more money for their future.
Over the past two years, the number of female classic car owners has risen by 40%, with female customers now making up 11% of the market, according to research by classic car insurance broker Footman James.Findings
The research also found that women were better at finding models that will appreciate in value in the future. Of the five cars that increased in value the most in 2015 - which were the Fiat Dino (113%), Lamborghini Miura (62%), Peugeot 205 (44%), Land Rover Defender (43%) and Volkswagen Golf Mk1 GTi (43%) – women correctly identified the Lamborghini and the Defender as cars which increased in value, whereas the men only identified the Lamborghini.
The research also found the top classic car makes owned by women are Land Rover, Mazda, MG, Morris and Volkswagen.Sound investment
Classic car values have increased by 161% over five years and by a massive 467% over ten years, according to the Knight Frank Luxury Index report from Andrew Shirley.
They also saw a 17% increase in the year to March, compared to the average rise in value of luxury goods of 5%. When compared to the increases in wine (9%), coins (6%), watches and jewellery (4% each) and even diamonds (1%).
But before you run out and sell your car
to buy a classic model for your future, Shirley has some words of advice. He recommends that amateur investors should buy a classic car for love, not money, saying: “I wouldn't rely on any increase in value to fund my pension.”
The recommendation is to seek expert advice, monitor the market and ask questions before investing your money into a classic car. Everyday classics such as Land Rover Defenders, VW Camper Vans and MGB Roadsters are seen as less risky investments, but they must be in good condition. You should also remember that maintenance costs will sap some of the money from your profits, as it is essential to keep the cars in working order.