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Hagerty
Hagerty Employee

6 January sales that smashed the status quo

January is always a critical month for those in the collector car world, with major events in Kissimmee, Florida, and Scottsdale, Arizona. Not only do they come at the start of a new calendar year, but they are also, in terms of dollars and number of cars, the biggest sales, surpassing even California's Monterey auctions in August.
https://www.hagerty.com/media/auctions/6-january-sales-that-smashed-the-status-quo/
63 REPLIES 63
EDawson
Pit Crew

Expensive, out of reach cars get more expensive. Got it.
Punk
Advanced Driver

Right? From the beginning of the article I thought we were going to get some insight into models that were less collectible in the past that are now on the move. Instead we got cars that have been collectible, expensive and out of reach for decades have gotten more so. What a revelation. Not.
billyt
Intermediate Driver

Exactly! Excellent comment.
Bertone780
Detailer

These cars will not be driven much at all on public roads. Sad!
JDull139
Intermediate Driver

Probably not at all.What good is a car that's too valuable to drive.
Punk
Advanced Driver

I put these in the same class as very expensive cars with low miles on them. Why would you pay a lot extra to get a car with almost no miles? The value is in the low mileage, meaning you can't drive it. No thanks.

LarryD
Intermediate Driver

Or garaged/stored in plain sight (or showed off). Talk about a target for a quick grab and off to Saudi Arabia it goes!
OHCOddball
Advanced Driver

How about showing normal cars the rest of us MIGHT be able to buy for maybe $10-20k max?
Sajeev
Community Manager

So you didn't read this article from earlier this week? 

https://www.hagerty.com/media/lists/7-under-the-radar-classics-lurking-below-20k/

PRScott
Instructor

You really want to drive a Pinto?!
MustangJim
Technician

I would like a Pinto. Would be fun. I would'nt even modify it.. just drive it around.
TimK
Detailer

I used to have a 74 Pinto Squire and would like to have another one. They were good little cars and despite the claims, statistics prove they were no more dangerous or prone to fires than any other small car at the time.
MustangJim
Technician

Agreed! Those Pinto Squires we're cool with the wood grain sides...Pinto's we're also very popular in SCCA racing.  They did not deserve the press that they recieved but, who does?

AZDon
Pit Crew

I also agree, and two of them sold at Barrett this year.  One was around $5k if I remember right.  

REJ
Pit Crew

I bought two new Pintos in 1973...a yellow hatch-back with A/C and 4-speed and for my wife, a mustard-colored (what an ugly color) Squire with A/C and auto-trans.  Both Pintos out-the-dealer-door were right at $6,000 w/tax and license.  They were actually great cars.  Although, the automatic transmission Squire, at best, got 18 mpg.  The 4-speed hatch-back did much better at 25 mpg...

SJ
Technician

I had a '74 Pinto Wagon(not squire)nothing bit problems with the engine. Got a '76 Bobcat Squire with the V6, it could burn rubber, great car but a little tight to work on.
1955Mercury
Pit Crew

...I spent a weekend in a Pinto one night...
Rider79
Technician

Pinto Pony MPG!
Zeissmaster
Intermediate Driver

Yes, they are great cars. I owned several 79 and 80's. They were great in the snow. Still love the 2.3L 4 bangers great motors. Sad only place I see them now is the drag strip.

MidntPurpleRain
Detailer

@OHCOddball dude, there are plenty of articles about cheaper cars. Might be good to pay attention to all the articles they post, not just the headliner in the daily/weekly emails.
topside
Advanced Driver

Seems to me that the big money - arguably the smart money - is being moved into hard assets, Fairly typical hedge against inflation. Right now, collectible cars (especially the best examples) are outperforming pretty much every other investment, unless you're privy to some insider trading/legislative windfall.
cyclemikey
Detailer

Yawn. You guys really think this is what we want to see reported? Obscene prices paid by fat-pig hedge fund managers wearing gold chains for cars they will never drive, just to flaunt their money?
Tim
Technician

Your visual sounds more like a '70s Mafia guy. 😄 I think the "fat-pig hedge fund managers" are a different, more modernized kind of skeezy. 🤣
Rider79
Technician

I found it interesting, if only to see what cars the rich are buying.
plus, I never tire of seeing the GT in the Gulf livery.
Iso_Grifo
Instructor

I'm not sure why people would pay so much for a carburettor small block Stingray. Not a lot of sense to that. But then Barrett-Jackson is far from the place to go to find out what a car is worth as everything always seems to be double real world prices.

These other results don't seem to really upset any status quo I'm aware of. These highly desirable cars and their appreciating value is no shock. I would be much more interested in knowing who exactly was paying so much more in the past few years. What sort of people are driving these prices up so fast? Where did they get all that money? What's motivating them to spend like drunken sailors? Likely we'll never know, but it would be interesting to know. Perhaps that's where any status quo is being broken.
Tim
Technician

Money is relative. $500K to a hundred-millionaire is like $500 to someone making $100K/year. It's just not a purchase you would have to give much thought to. And eventually, when you get to the point where you are making so much money that you don't know what to do with it, it doesn't even matter if a purchase makes any financial sense. For example, you could spend $20-$40K per ticket for 50-yard line Super Bowl tickets and arguable have a better view on TV. But if you've got nothing else to do with the money, you don't think twice about it. At some point, even using the money to make more money doesn't really have "value."
Inline8OD
Technician

Right you are.  Easy come, easy go to most of these characters.   There are no million-dollar cars.   Only million-dollar fools.

 

 I know an uber rich fellow, nice guy, but his family had assets, and he merely rode the booming real estate market since 1970.  On his third Duesenberg, but uses a butter knife as a screwdriver, and couldn't begin to tell you why a Duesenberg is night and day better than a concurrent Chrysler Imperial or Stutz DV32.

 

 Such folk  have a right to enjoy as they will.  But the rest of us retain the right to roll our eyes.   Traditionally in England and the US, the middle and upper-middle class have been better, more broadly educated than the upper crust.

This extends to automobilia, too.

DT
Advanced Driver

I hate to say this because I'm pretty sure it's not true, But if you don't know why someone would pay that much for a Split Window Corvette you must be pretty new to the game !!! They are an Iconic Car In The U.S. and elsewhere. As for who is paying these prices, Do a little research. It's not all that difficult if you are really that curious.
JonJonzmhfm
Pit Crew

Well, I enjoyed seeing this summary of the special cars. So, count me as one who is interested both for the car’s info and the trend in prices ( likely reflecting the fiscal policies of big time government debts and over extension).

I don’t have to be able to afford the Mona Lisa, to enjoy seeing a photo- news report on its current status.
FloridaMarty
Instructor

I second the yawn. Really? I bet these fat cats that buy these cars have never turned a wrench. Collectors ARE what's wrong with our hobby.
JDull139
Intermediate Driver

They probably wouldn't know which end to pick up a wrench.
DT
Advanced Driver

How about Leno. I've seen him wrenching quiet a few times and he has quite a collection 🙂
Inline8OD
Technician

You've seen this,  or heard or assume it?   Perhaps it's like Katharine Hepburn telling an interviewer she "cleaned her own windows."

 

 To his credit, his Leno's Garages are often interesting, well done, he about as genuine a gear head as imaginable, his tribute to Phil Hill, previous owner of his '32 Packard Twin Six coupe,  a class act.  Leno's columns in Hagerty Magazine refreshingly thoughtful and ranging.  Better still, Leno appreciates old,  even  ancient cars, the sort Hagerty ignores,  while not living in the past nor sneering at environmentalists,  which many of us, like Hemmings Motor News' late publisher and arborist, Terry Ehrich,  were and are.

 

   Too bad it took 25 years of OJ,  Michael  Jackson nose job, Bill and Monica jokes to pay for the collection.

OldFordMan
Advanced Driver

REALLY? Has Hagerty now gotten in bed with the auction houses to promote their businesses?
And another really? Is any of this mega-price car exchange in any way related to the customer base at Hagerty (us, the insured)?
We know the big boss can include this in his taste and that is fine.
BUT US?
Inline8OD
Technician

It's cheap filler that appeals to the masses, and Hagerty is preparing for a future competing against State Farm, Liberty Mutual, Geico, Farmers, USAA,  Allstate insuring EVs,  while placating i.c. fans with fluff like the above.

Tim
Technician

Cars are not investments. Even these seemingly meteoric rises in prices really don't show the whole picture. First, you'd have to be incredibly lucky to time the buy and sell transactions to take best advantage of the most price movement. But you'd also have significant costs: insurance, transportation, auction fees, etc.

Let's compare a Ford GT bought new:

$150K in 2005 (ignoring any optional features or dealer markup)
$798K in 2022 (ignoring any costs and fees)
452% gain over 17 years, or 26% average annual gross gain (net after sales commission, but no other expenses included). True gain after estimated costs is more likely closer to 20%/year.

The same money invested in AAPL (not a sandbag pick, as I've been invested in AAPL, but AMZN or several other companies could have been chosen here😞

Stock price June 30, 2005 (adjusted for splits😞 $1.32
Stock price today: $171 (+/-, price has been higher often recently)
12,954% gain over 17 years, or 762% average annual return.

AMZN would have returned 549% average annual.
TSLA would have returned %1033% average annual since June 30, **2010**

Yes, those stocks might be considered outliers, but they weren't exactly hidden finds. They've been very much in the public mind and press and were easily accessible to investors.

For those who say, "but that's investing all in one stock, which is not a wise investment strategy," I say, the same money was invested all in one other investment (a single car), which is equally wise/unwise.

Even investing in the NASDAQ composite index would have netted 40% average annual return, or double the return on the car.

Bottom line: buy the car if you want, but at least ENJOY it. DRIVE it.
ed
Advanced Driver

Actually, for 150K to 789K over 22 years, the annualized return is less than 8% after compounding the return. I know you were comparing gross percentages, but that inflates everything. For the AAPL example, the annualized return is about 29%, which is still a whole lot better than 8%, which as you said, does not include insurance, storage, maintenance and for the big boys, security.

KYColonel
Detailer

I'd like to hear what Nancy Pelosi has to say about it.
She appears to be doing quite well with her investments.
drhino
Technician

Good Heavens folks; this isn’t the only content on Hagerty. If you don’t want to read about the trends at the high end of the market— move on to something else. If they didn’t cover this; there would be folks that complained about the lack of discussion of big money transactions.

Like Iso_Grifo said here, it would be interesting to get the story behind these purchases. What motivated them? Speculation or simply passion? I would like to see that backstory on any purchase that seems to go beyond the norm. Like someone paying $20,000 for a ‘75 Pinto on BAT. (I made that up, but it probably has happened.)
50s60s70s
Intermediate Driver

Not to dog Haggerty and Jeff (to much) but I would consider this article more about art than cars. Cars are intended to be driven, the static sculptures in your article seem to only have an engine and drive train as a means to transport them from the garage to the trailer to the auction house.....not actually to be enjoyed as a a (real) car would be...
Just saying
REJ
Pit Crew

What percentage of your readers and customers (I insure my self-restored driver American classic cars - Chevys, Mopars, and Fords with Hagerty), really care all that much about continual articles on multi-million dollar 'Museum Queens'. How about some focus on your 'dirty fingernail' $8-$20K project readers and insurers which are likely the vast majority of Hagerty's business!?
MustangJim
Technician

This is all way out of my league ( I'll go for that Pinto) but I do like seeing it. There is an event in New Caanan Ct. a few times a year called Caffeine and Carburators. Not your run of the mill C&C although everyone is welcome and everyone shows up, its tremendous. Anyay, my point..to get to New Caanan I have to drive through some very weatlhy areas. There is one house that I have past both commuting and of course on my way to this show.. Its one of those where you can see the mansion far off the road and closer to the road an old stable that is now a multi car garage. Very cool on many acres of beautiful land. Anyway, going home from C&C there is a 300SL following me and sure enough, thats the driveway he turns into. I think stuff like that is cool and seeing the car.. well if the car is a million bucks or so, why not, the house is probably 10 milliion. I wish I was his insurance agent but I am stuck in a raised ranch honda acord community :)...Its all good though. Keep these articles coming please
TimK
Detailer

I agree with the critics of this story citing the out of reach prices for the average car enthusiast, me included. But I open the articles to look at the pictures, sort of why many young men claim they didn't do when buying Playboy magazines.
okfoz
Advanced Driver

Cars which I cannot afford, are becoming more expensive.

How about doing a watch on some cars, which in some cases can be had for cheap, BUT a few have gone for really good money at Auction. The 65 Riviera GS, 150K a few weeks ago, when you can still get a GS for in the 10-20K range... Since my brain is on Rivieras, Also the 2nd Gen (66-67, 68/69) Riviera, I have noticed they have gone up considerably in recent years. The 1st gens have already started to really appreciate, at least really nice ones. Then after the 2nd gen, it seems the Big Boat Tail Riv (71-73) have also began to rise.
Gary
Detailer

So what do these have to do with true car guys?
Meporsche
Pit Crew

Well....... I think those cars are going to be a lot cheaper in the not too distant future. Not cheap enough for most people but a hell of a lot less than they're selling for now. Hold onto your hat, it's going to be a hard landing. The higher you go, the farther you fall. YMMV
HotRodGTO
Intermediate Driver

I enjoy reading about the high-dollar cars. I'll never own a $1M car, but fun to read anyway. Hagerty puts out nice articles every day. Some I like, and some I don't give a Sh*t about, but maybe you do? You knew what the auction article was about before you clicked on it. If you don't want to read it...don't. There will be another post tomorrow. I may, or may not click on it, but I won't complain about free classic car articles in my in-box. I'm a hard-core car guy and don't wine about what others like. We don't know if the rich guys are car guys or not. Money doesn't change a classic car lover.
Pilott
Intermediate Driver

"Your ability to afford any given car is inversely proportional to your desire to own it."
Assenheimer's Law (Robert Assenheimer, Engineer 1978)
DougL
Detailer

Back in the olden days, around 1975, I could have bought a OK used gullwing for about $8500. Thanks to an inheritance from my grandfather, If I gathered every dime I could get my hands on, and financed what I couldn't get my hands on, I could have possibly bought it. It is nice to think I could own a 2 million dollar car, but I probably would have drove it into the ground, then sold it. I would have been happy to get what I paid for it. Young and naive.