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8 Things to Do Before You Buy a Classic Car
Every car enthusiast dreams to buy a classic car like a Rolls Royce or Bentley. Whether you are a car collector or seller, you must have a checklist before buying a classic car. This blog lists the 8 things to do before buying a classic car to help you make the right decision. Read on!
A car falls under the ‘Classic’ status if it was popular in the automobile market during the 90s or earlier. We often refer to these old and popular cars as vintage vehicles. Unlike your usual old car, owning or buying a vintage car is still a status symbol for many people.
Ford Mustang, Premier Padmini, Mercedes Benz 300 SL, Bentley, Porsche and BMW M3 E30 are some of the well-known classic cars in India.
The answer to why buy a classic car over other vehicles might attract different schools of thought. Few people might consider owning a classic car, they possess a superior taste of style than a contemporary car can reflect. They will always prefer driving a Ford Mustang or Rolls Royce 1933 as a sign of royalty over the current technologically advanced vehicles.
Owning a classic car from a particular period can also be a nostalgic journey down memory lane for some. Buying a vintage car can also be a profitable asset for investors. Several people invest in these vintage automobiles, as their prices tend to rise every year. This introduces a prospect of financial growth for such investors very much like stock or real estate investment.
Before, making the final decision of purchasing a vintage car, you must:
To have a detailed knowledge of popular vintage cars in today's market, consider visiting car shows and exhibitions. Here, you can communicate with experienced classic car owners and have a detailed idea of a classic car. These car owners can also provide you with valuable advice on which cars you can opt for with your budgets and other associated costs attached to them.
Joining a reputed classic car club in your locality or online can also help gain insights on different vintage cars before purchasing one. You can gain first-hand experience from the members of this club regarding vintage cars. They can also provide you with authentic contacts of car dealers who might offer better deals during purchase.
Besides dealers and sellers, you can also come across contact details of mechanics in your locality who can help with the proper maintenance of the car.
Buying a classic car is like an investment. These are more expensive than regular cars, hence, if you are opting for a loan for used vintage cars, lenders can charge higher interest rates.
It is important to have a clear idea of whether you are buying a vintage car for investment purposes or as an addition to your vintage car collection. If it is for the former purpose, you must be patient to own and maintain the vintage car for a long tenure to resell it for profit again.
Once you have shortlisted the vintage car as per your taste and preference, consider collecting the original bill of purchase from the dealer or automobile owner. Through this bill, you can learn important details regarding the car like its original price, insurance details, accessories cost, terms and conditions, sales tax and more.
To shortlist a classic car before making a purchase, consider checking the car's present health. This includes the status of the car's tyres, engine, exhaust pipes, sensors and other parts. Looking into a vintage car's health will help provide an idea of how frequently the automobile needs maintenance.
While purchasing any second-hand car, you must ensure the vehicle is in working condition. This is also important when buying a vintage car. Whether the vehicles run smoothly or not, a test drive is necessary. Therefore, ask the dealer or seller for a test drive of the vintage car before finalising the purchase.
The vintage car hunt can become overwhelming after a certain point. Making a checklist will help you to keep the variety of features of each vehicle in mind. Keep a checklist of questions ready while meeting different vintage car dealers. Frame these questions keeping your budget, purchase goals and other requirements in mind. After considerable research, you can analyse the answers and buy the most fitting vintage car.
As a buyer, you can conduct a basic inspection to have a rough idea regarding the car's health. However, a professional inspection can provide detailed knowledge regarding the vehicle's health. According to this report, you can decide whether buying a vintage car is a worthy investment or not.
The following factors influence the price appreciation for classic cars in the Indian market:
Unlike new or contemporary cars whose prices depreciate, the value of vintage cars tends to increase over time. This means prices of older car models can increase more than their purchase price.
Usually, the growing demand for goods or services in a market of scarcity tends to increase their price. This also happens in the case of vintage cars in India as well. As demand for a particular vintage car among automobile enthusiasts increases, the price of that classic car will increase more than its original price. This tends to make buying a classic car an expensive affair.
Brand image and its influence also play an essential role when it comes to determining price while buying a vintage car. Certain vintage car brands are associated with a regal status. These can be more expensive than other brands of cars. Therefore, the price and loan for a used vintage car will be higher than regular ones.
Owning a classic or vintage car also involves high maintenance expenses. Furthermore, it is also hard to find replacements for certain car parts as automobiles have evolved drastically today. Thus, a vintage car's maintenance and restoration also play an important role in determining its price.
Buying a classic car is a great investment option similar to stocks or real estate. However, investing in classic cars also involves looking after the vehicle’s restoration and maintenance requirements. Proper maintenance of a vintage car will help you earn a significant profit after reselling the vehicle.
Also Read -Difference Between New vs Pre-owned Car Loan
Before you buy a classic car, consider inspecting the following points.
Before purchasing a vintage car from a seller, verify if the registration certificate is under their name. This precautionary step can help prevent fraudulent transactions, as individuals in possession of stolen cars may struggle to provide this certificate.
The edges of every car can narrate a tale of its journey or its original age if you observe closely. Therefore, before buying a classic car, consider inspecting the car frame to have a rough knowledge about its health. This will help you steer clear of sellers’ intention to set a higher price than its actual worth.
Before you buy a vintage car, consider checking the vehicle's interior. For this, you must check whether car parts like locks, music systems, ACs, wipers, sensors and lights are in working condition or not. You must also learn how frequently they require maintenance. Also, check the car's body for worn-out paint, scratches or dents. Missing them can increase your maintenance cost or reduce its resale value.
Also Read - 5 Things to Know Before Borrowing a Pre-Owned Car Loan
Vintage or classic cars are those rarely available cars which dominated the automobile market during the 90s or earlier. Car enthusiasts love buying vintage cars to add to their automobile collection or as an investment. The prices of classic cars tend to rise every year as compared to cars of today whose prices depreciate. Therefore, to buy a classic car, you must have your goals clear like investment in stocks and real estate.
We take utmost care to provide information based on internal data and reliable sources. However, this article and associated web pages provide generic information for reference purposes only. Readers must make an informed decision by reviewing the products offered and the terms and conditions. Pre-Owned Car Loan disbursal is at the sole discretion of Poonawalla Fincorp.
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