Prices are on the rise......

[shogun32]

Do we really think people in the "stimulus" tax bracket are driving up the price of GT350s with their $1400 windfall?

why not? They gots 2 months worth of payments in hand. Of course they will. /joke

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[shogun32]

Inflation for 2021 is predicted to be 2.1%,

the official stats on "inflation" are such a bald-faced lie it's not funny. But back to GT350/R valuations. If Vroom/Carvana are only willing to pay prices that reflect a 15+9% depreciation, these one-off sells at MSRP or lower (you HAVE to take currency debasement into account) do not a trend make.

 

[xplotus]

I was the owner of the 2019 in question. I already regret selling it. To be fair, that car was a beautiful unicorn. It had all the right options and color and only 385 miles. I think the new owner is going to be very happy! We've reached Peak internal combustion, so cars like this, the GT500, the Gen4 and Gen5 viper have no where to go but up.

 

[lenFeb]

The prices for new and used cars are up in general. COVID-19 contributes for it the most due to factories stop operating globally, which created shortage for about everything. For GT350 it's also hype being discontinued model. And if you look at the gap of 50 year between 1st and 2nd gen of GT350 production, that contribute even more to drive prices up. Oh, and don't forget this car is fun to drive. GT350 being compare to supper cars for the fraction of the price.

 

[GreenS550]

Watch the 10 year treasury. It's a good indicator. But the biggest driver right now will be massive new government regulations making it more expensive to produce goods and services.

 

[GreenS550]

This is true. It's Obama economics on steroids. And it's a typical belief among many in government that if you free up the money supply you can at the same time pass massive government regulation so that negatives on business will be offset by more free cash. But they always miss, and always have missed is individual initiative. Business is reticent to invest money no matter how free if they have no idea what new regulations will be.This is especially true in manufacturing where it takes several years to really ramp up.

 

[shogun32]

I was the owner of the 2019 in question.

I'm guessing the dealer had been demanding ADM which is why it sat? The GM drove it around to 'demo' it I guess?

 

[Demonic]

I was the owner of the 2019 in question. I already regret selling it. To be fair, that car was a beautiful unicorn. It had all the right options and color and only 385 miles. I think the new owner is going to be very happy! We've reached Peak internal combustion, so cars like this, the GT500, the Gen4 and Gen5 viper have no where to go but up.

Ironically my R purchase was a compromise from originally being close to buying a gen5 ACR. But having seen how their engine situation played out, as much as I think it's an awesome car I'm not sure I'd want to own one long term. The R I can't see myself ever selling. If the engine blew outside of the extended warranty I'd have it rebuilt without a second thought.

 

[svttim]

The trend in the collectors market has been on the rise for a while. I'm not a currency expert but there are times throughout history when collector cars become more desirable then stocks. This is not confined to the 350. The 350R is just a participant in the trend (it is well positioned to do so). I do remember the Boss 302 prices dropping then rebounding after production stopped.

 

[newmoon]

Real world. I recently traded in a 2019 GT350 with 2100 miles on it and received $57,500 on trade allowance, considering I paid $61,500 and had the car for well over a year I thought this is great. The Shelbys are holding their values very well.

 

[MNGT350]

Iconic history, naturally aspirated unique V8 engine, manual only, dynamic drivers car, no longer being made.

Every time another "Audi/VW is no longer developing gas engines" story comes out (and they'll keep coming) the value of a car like this goes up. Get your E90/E46 M3 now as well.

 

[oldbmwfan]

Sold mine for just a few $K off what I paid before the election. The trend line in prices has been flat to up for months; this isn't related to the stimulus. Also, all the armchair "economists" in here are focused on $1400 to broke-ass families as a driver of the luxury sports car market (LOL), but ignoring the effect of the equally large ($1.9T) tax cut a few years back that drove up securities prices because 65% of the money went into stock buybacks. Ultimately it's the zero+ interest rates that are driving speculative purchasing in art, real estate, and luxury goods. Capital always seeks a yield. People who care about the stimulus have no capital in the first place.

If you want to see niche markets get really weird, watch what will happen if we get some form of increased wealth tax ... then you'll see people parking liquid assets into all kinds of items. Would be a boon to yacht builders and art dealers.

Anyway, if someone wants to say "policy x caused change y," it's incumbent upon them to demonstrate that "y" wasn't already happening before "x." In the case of GT350 prices, the change didn't start in January or February or March.

 

[Postal Bob]

Iconic history, naturally aspirated unique V8 engine, manual only, dynamic drivers car, no longer being made.

I agree. And I think the whole auto industry moving to EV, is also driving the demand for these type of cars, for fear they may no longer be made again.
I think all of this was reflected in the recent Barrett Jackson auction. My casual observation was the classic American muscle cars were bringing in the big money. Sure, the foreign sports cars(Porsche, Lamborghini, Ferrari) brought in big dollars, but their original price were 6 figures already. Older GT350/500 were selling big, along with many Mustangs. And the Chevelles were bringing in crazy prices up to $300K+.
People are grabbing these cars, and willing to pay good money for them. Because under the current Government administration, they are pushing to do away with these type of cars. And that creates demand. The fastest way to create demand for something in this country, is to say you will no longer be able to buy such an item.

 

[PP0001]

I agree. And I think the whole auto industry moving to EV, is also driving the demand for these type of cars, for fear they may no longer be made again.
I think all of this was reflected in the recent Barrett Jackson auction. My casual observation was the classic American muscle cars were bringing in the big money. Sure, the foreign sports cars(Porsche, Lamborghini, Ferrari) brought in big dollars, but their original price were 6 figures already. Older GT350/500 were selling big, along with many Mustangs. And the Chevelles were bringing in crazy prices up to $300K+.
People are grabbing these cars, and willing to pay good money for them. Because under the current Government administration, they are pushing to do away with these type of cars. And that creates demand. The fastest way to create demand for something in this country, is to say you will no longer be able to buy such an item.

In addition to your great comments I suggest that because of COVID-19 pandemic there is a pent up for automotive enthusiasts therefore we are seeing supply and demand at it's best with respect to HP and collectible automobiles.

Here are some of the takeaways that I have observed regarding the Mecum Glendale auction and the Barrett-Jackson auction in Scottsdale.

Mecum - Glendale

* $42 Million in sales over a 3 day event in just their 3rd auction year in The Valley of the Sun.
* 7 of the Top 10 cars came from overseas namely Italy, England or Germany.
* 3 of the Top 10 cars were Ferrari's.
* 7 of the Top 10 cars came with manual transmissions.
* 1 Ford in the Top 10 not including the Saleen S7 which came with a Ford 427 TT therefore seems like their Kissimmee and Indy auctions are where the high end Ford's gravitate to.
* 1 Chevrolet in the Top 10 list.
* Not one Mopar was able to crack the Top 10 list.

Barrett-Jackson - Scottsdale

* $105 Million in sales over 5 days and believe they started in the Valley of the Sun 50 years ago.
* 2 of the Top 10 cars came from overseas namely Italy.
* 2 of the Top 10 cars were Ferrari's.
* 4 of the Top 10 cars came equipped with manual transmissions.
* 5 Ford/Shelby American cars in the Top 10 list.
* 3 Chevrolet's in the Top 10 list with all of them being "Customs".
* Not one Mopar was able to crack the Top 10 list.

Some initial thoughts regarding the above:

* Pristine and well documented HP automobiles are bringing big money such as the L88 Corvette at Mecum and the Ferrari 275 GTB/4 at BJ (aside from the '66 Cobra Super Snake).

* It looks as though many owners of high end European/British exotics seem to be gravitating to the Mecum business model.

* With both Craig Jackson and Steve Davis being enthusiasts/collectors of the Blue Oval Brand along with their long relationship with Dearborn certainly helps attract many high end Ford's.

* Manual transmission automobiles still seem to be the transmission of choice including the likes of the Ferrari and Porsche brand which bodes well for all of us GT350/R owners.

* Suggest that the selling price of Carroll Shelby's '66 Cobra Super Snake would have been somewhat higher had it been a 4 speed transmission car.

* Lastly, where are all of the high end Hemi Mopars both coupes and convertibles?

 

[Postal Bob]

* Lastly, where are all of the high end Hemi Mopars both coupes and convertibles

Like they say in the latest Dodge commercial: "If you ain't first, your last".

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