The Finer Things – Investing In Classic Cars – Part Two
As noted in part one of this investigation into investing in classic cars, the market for the premier league of collectors’ cars – Ferrari, Jaguar, Lamborghini, and Mercedes – has gone stratospheric.
But what if your desire far outstrips your bank balance? Is there a less expensive way to play?
Absolutely.
Just like the stock market, where one can invest in highly-valued blue chips as well as in penny stocks, and everything between, so the classic-car market offers a range of choices.
For less than £50,000, one can still find interesting, more-or-less rare, and desirable machines.
Here are ten models that have been selected as most likely to offer, at the very least, a ‘store of value’.
That is, they can be expected to maintain their current value over time, after allowing for the general rate of inflation.
And, who knows? Some might even make a killing for you. The basis of selection was demanding.
First and foremost (apart from that £50,000 limit), the cars had to be good-looking.
The 1960s Daimler SP250 ‘Dart’ (below) and BMW 2002tii are, beyond doubt, exciting machines, but the former looks like a deep-sea fish, while the Beemer just seems a little prosaic.
Second, they had to be technically interesting or otherwise significant in the history and development of the motor car.
Third, they had to be sporting in character, if not actually sports cars. If they have also had an association with motorsport, so much the better.
In this respect, the rise in popularity of international rallying since the end of World War II has been a godsend, in terms of desirability, to a number of cars that were designed initially as family runabouts.
The cars are shown in alphabetical order, by manufacturer’s name.
Alfa Romeo 2000 GTV
It’s been said that one cannot be a true motor enthusiast unless one has owned an Alfa.
This model was built from 1971-76, with over 37,000 sold.
One can expect to pay £25-45,000 for a really good example.
The all-alloy, twin-cam, four-cylinder engine and five-speed gearbox form one of motoring’s most-revered drivetrains, while the bodywork, designed by Giorgetto Giugiaro for Bertone, has become an icon.
Austin Mini-Cooper 1275S
The BMC Mini, first sold in 1959, is one of the most significant car designs ever.
Walk along any city street: how many cars under two litres can you see that don’t have a transverse engine driving the front wheels in a two-box body shape?
The most collectible version is the Mini-Cooper 1275S Mark I, sold from 1964-67 and four times Monte Carlo Rally winner.
More than 14,000 were built and prices range from £30-50,000, but beware of fakes.
BMW M3 CSL
The M3 CSL has been long-renowned for the smoothness, power, and response of its straight-six engines.
In 2004, BMW produced just 1,400 of this ultimate version, which boasted 355 bhp from its S54 3.2-litre, driving through a six-speed semi-automatic gearbox.
A good one can be had for about £50,000.
However, for half that sum, one can get a standard (E46) M3, which is 110 kilos heavier and has ‘only’ 338 bhp, but is less track-oriented and, therefore, a more comfortable road car.
Citroën DS23 Pallas
The accolade as one of the most distinctive-looking classics surely belongs to the innovative Citroën DS, of which nearly 1.5 million were sold over its long production run (1955-75).
The DS23 (1972-75) is the last and most powerful version and, in Pallas form, the most luxurious.
Expect to pay £35-45,000 for an immaculate example and don’t be put off by its mechanical complexity: these cars have a reputation for reliability and strength, earned through many wins in the toughest rallies
Ford Escort Mark 1 Mexico
One of the most successful rally cars of all time.
And the Mark I Ford Escort’s outright win in the 1970 London-Mexico World Cup Rally led to a commemorative version being sold to the public.
About 10,000 were built in 1970-74 and, with persistence, a really good one can be bought today for about £50,000. As with the Mini-Cooper, however, beware of fakes and recreations.
Jaguar 3.8 Mark 2
The villain’s favourite getaway car in many a British crime movie of the 1960s, the 3.8 Mark 2 also won many touring-car races during its 1959-67 production run.
It was powered by the XK-series twin-cam straight six also found in the legendary E-Type and one of the greatest automotive engines of all time.
With patience, one can find an excellent manual-gearbox example for £45-50,000.
Mazda RX-7
Thirsty for petrol and oil and noted for unreliability, this rotary-engined coupé is nonetheless an engineering tour de force.
Buyers need to be wary, however, as many were modified by owners with more enthusiasm than skill.
Prices vary widely, but £35,000 should secure a desirable third-generation (FD) model, of which over 68,000 were sold between 1992 and 2002.
MGA Twin Cam
One of the prettiest British sports-cars, the ‘Twink’ was a failure in its day, damned by reliability issues with its special twin-OHC 1,600cc engine.
Only about 2,100 were sold in its short life (1958-60).
The engines were rebuilt with modern materials and using today’s much-better oils and fuels, and so the problems have been resolved and good examples fetch £35-50,000.
Porsche 944 Turbo S
The 944 was Porsche’s most successful car until the arrival of the Boxster and some 163,000 were sold between 1982 and 1989.
The Turbo S (later versions dropped the ‘S’) is the rarest and most desirable, with some 25,000 sold from 1986.
Budget around £35,000 for a good one, but avoid the cabriolet.
Triumph TR6
With a throaty-sounding fuel-injected straight six and bodywork by Michelotti, the photogenic TR6 roadster was a huge success, with almost 92,000 sold from 1968 to 1976, mostly in the USA.
With 150 bhp (UK version) and weighing just 1,100 kilos, it goes well. Best of all, you can get a mint example for under £25,000.
Any short list is necessarily subjective, but any one of these ten classics will bring enormous pleasure.
If you’re considering a purchase, you should first join the relevant owners’ club, where you will have access to the best examples and can rely on the membership network for guidance, spares, and tips on maintenance.
Also, if you’re unsure of your ability at finding the right car in the best condition, you can have a club expert examine it.
Above all, as emphasised in the first part of this guide, buy for love of the machine, not just to make money.
That way, you cannot be disappointed.
Paul Connolly
Paul Connolly has been a journalist for more than 20 years, as a reporter and editor for Argus Media, Reuters, The Times, Associated Newspapers and The Guardian. He has covered Islamic Finance for Reuters in the 1990s. Paul has since helped launch three newspapers, as well as reported from Tokyo, Los Angeles and Stockholm.
