Investors should be ploughing their cash into the classic car market after figures revealed values have increased over the last decade – by almost 400 PER CENT.
Classic car prices have exploded as people look for physical assets they can enjoy.
Wealthy enthusiasts have been queueing up to get their hands on the most sought after models from Ferrari, Aston Martin, Mercedes and Bentley.
This has led to values increasing over the past ten years by 395 per cent, according to Historic Automobile Group International, which monitors the sales of certain models.
One dealer revealed he had just offered more than £30 million ($45m) for a Ferrari 250 GTO – and was TURNED DOWN.
This comes after one 250 GTO, which cost £6,000 when it was new in 1962, sold last year for £22.7 million.
John Collins, who runs classic Ferrari specialist Talacrest, has sold more than £500 MILLION worth of classic cars over the past 20 years.
He said: “The increase in prices is pretty bloody high. The Ferrari market is red hot and I am finding it hard to get stock.
“People with lots of money are looking for another investment but people don’t want to sell, so they’re having to pay top prices.
“In 1989 it was similar but that was driven by greed and speculation, this time it is by people who want to enjoy the cars.
“I recently offered $45 million (£32.1m) for one of top ten Ferrari 250 GTOs and the owner turned me down.
“Since April last year I’ve sold £75 million of stock and I wish I could buy it back at the same price.”
Only gold as an asset has risen in value more than classic cars during the same period, increasing by 434 per cent, according to The Financial Times.
Rare coins increased by 248 per cent, Hong Kong property shot up by 221 per cent and stamps rose 216 per cent.
The high end property market in London, meanwhile, has increased by 103 per cent during the same period
Cars appear to be the current investment of choice for people looking for a impressive, decent return.
A 1966 Ferrari 275 was sold by the auction house Gooding and Co at the weekend for £1.6 million – twice as much as the owner paid last year.
And a Ferrari 250 GT Berlinetta which was worth around $1.2 million in 2003 sold last year for $6.7 million – an increase of over 400 per cent.
Chris Evans, the radio DJ, is one of the sharpest collectors around and his purchases have paid off handsomely.
In 2010 he paid £11.5 million for a Ferrari 250 GTO before selling it last year for a rumoured £6.5 million profit.
The top ‘passion’ investments and value increase since 2002
1. Classic cars – 395 per cent
2. Rare coins – 248 per cent
3. Stamps – 216 per cent
4. Fine art – 199 per cent
5. Fine wine – 166 per cent
6. Jewellery – 140 per cent
7. Watches – 76 per cent