Muscle Car prices slowly going down

[mr smith]

Prices seem to be slowly comming down.

Biggest hit seems to be replicars,GT's and GTS coupes.

I think the aussie dollar and the financial situation in the US has led to some absolute bargan US muscle landing here. Go shopping with $40K and there is lots of real nice US cars available.

[zdcol71]

Hope it follows that resto parts may become a little more affordable, but I guess if the cars are cheaper, then more people will be working on them, hence prices dictated by supply and demand .

[Dan289]

Here's hoping they come back down to share the world car prices, we seem to be a wee bit over priced still. Heard a report of another road HO sold to QLD for on seven figures the other week...Totally crazy IMO.

A bigger correction in our local Muscle market would be good so we can then buy some more Aussie cars for the collection!

But for the current money, shopping overseas just is full of bargains comparatively to collectable ones here.

[JAZSXY]

Tell that to this guy

http://cgi.ebay.com.au/ws/eBayISAPI....=STRK:MEWAX:IT

[trippytaka]

Sorry double post, please delete

[trippytaka]

Just like the property market, Aussie muscle cars have been way over priced for a long time. Yes, people are welcome to pay what they want for what ever they want... but like all economic cycles, there is boom and there is bust. We're a bee's d*** from bust.

Muscle cars are a luxury. And because of that, they are one of the first things to get hit by lagging demand, affecting prices.

Put it this way, no matter what the media and the government tells you, the fact is that it's getting tougher for people to afford the necessities, let alone splurge on luxuies. Then you have to add to that the baby boomers who are nervous about what's about to happen to their nest eggs - homes and investment properties with the imminent property crash.

Australia narrowly avoided recession (on paper) but we have growing full-time unemployment (the rising employment figures are temporary and part time positions) and we are, as a nation, way over extended on credit.

A couple of hiccups and we're screwed - no amount of fiscal padding from the givernment will save us from the real recession... it's hte medicine our economy should have taken.

America's economy is pretty much bankrupt. As much as the media will repeat the government lines that our economy is healthy, the fact is that Australia is on a knife's edge. Firstly, don't listen to the reports that house prices will continue to rise... we're the only country on earth that hasn't had its major correction - yet! It's coming.

So muscle car prices? Sure, they're dropping and will continue to do so for a while yet. I'd be more worried about the price of property than a Monaro or Falcon.

[greens_tuf]

Originally Posted by trippytaka

Just like the property market, Aussie muscle cars have been way over priced for a long time. Yes, people are welcome to pay what they want for what ever they want... but like all economic cycles, there is boom and there is bust. We're a bee's d*** from bust.

Muscle cars are a luxury. And because of that, they are one of the first things to get hit by lagging demand, affecting prices.

Put it this way, no matter what the media and the government tells you, the fact is that it's getting tougher for people to afford the necessities, let alone splurge on luxuies. Then you have to add to that the baby boomers who are nervous about what's about to happen to their nest eggs - homes and investment properties with the imminent property crash.

Australia narrowly avoided recession (on paper) but we have growing full-time unemployment (the rising employment figures are temporary and part time positions) and we are, as a nation, way over extended on credit.

A couple of hiccups and we're screwed - no amount of fiscal padding from the givernment will save us from the real recession... it's hte medicine our economy should have taken.

America's economy is pretty much bankrupt. As much as the media will repeat the government lines that our economy is healthy, the fact is that Australia is on a knife's edge. Firstly, don't listen to the reports that house prices will continue to rise... we're the only country on earth that hasn't had its major correction - yet! It's coming.

So muscle car prices? Sure, they're dropping and will continue to do so for a while yet. I'd be more worried about the price of property than a Monaro or Falcon.

This is what I keep telling everyone too... Most other major economies crashed, but here we didn't even stumble. Delayed effect? maybe. The only thing I can think is that stimulus packages kept us rolling.

Anyway... Muscle car prices are going down by the looks of things, I have noticed that XY GT's have dropped a bit, and it looks like there are some good buy's out there.

At the end of the day, it is only worth what someone is willing to pay for it...

[RedHotGT]

Originally Posted by greens_tuf

This is what I keep telling everyone too... Most other major economies crashed, but here we didn't even stumble. Delayed effect? maybe. The only thing I can think is that stimulus packages kept us rolling.

Anyway... Muscle car prices are going down by the looks of things, I have noticed that XY GT's have dropped a bit, and it looks like there are some good buy's out there.

At the end of the day, it is only worth what someone is willing to pay for it...

Last line - SPOT ON...

The XY GTs are an interesting thing to look at over the last couple of years (particularly the last couple of months...)

There is one listed on Australian Muscle Cars at the moment for $68k (genuine car, barn find)...
and you can get GOOD cars for under $100k now (given that they were mid $250k about 18months ago)...

The funny thing is, that replica's seem to be the biggest variant with the XY's... I've seen 3 cars in the past 3 weeks that SOLD for less than $30,000 (one that had actual GT running gear in it)... all three were good cars, not great... but certainly a solid base to start with...

Yet, there are reps advertised at the moment in the $60k-$70k area... that are great examples... but you could get a GENUINE car for another $20k...

I know what i'd prefer...

[gcg2503]

Originally Posted by loftie

Yet, there are reps advertised at the moment in the $60k-$70k area... that are great examples... but you could get a GENUINE car for another $20k...

I know what i'd prefer...

Bear in mind Loftie - the replicas commanding $60 - $70k are full blown nut and bolt restorations

Sure you may get a genuine GT for another $20k but you will need to spend $30-$50k to get it to the replica standards ...ie paint, trim, engine detailing, under-body detailing....etc etc

[galaxy xr8]

Originally Posted by greens_tuf

The only thing I can think is that stimulus packages kept us rolling

The key word my friend... when talking about the GFC,
I am not getting into a debate about muscle car prices falling but I know a little about the finacial side of economic's and what we have to look forward to in our future..

[xy500]

Originally Posted by trippytaka

Just like the property market, Aussie muscle cars have been way over priced for a long time. Yes, people are welcome to pay what they want for what ever they want... but like all economic cycles, there is boom and there is bust. We're a bee's d*** from bust.

Muscle cars are a luxury. And because of that, they are one of the first things to get hit by lagging demand, affecting prices.

Put it this way, no matter what the media and the government tells you, the fact is that it's getting tougher for people to afford the necessities, let alone splurge on luxuies. Then you have to add to that the baby boomers who are nervous about what's about to happen to their nest eggs - homes and investment properties with the imminent property crash.

Australia narrowly avoided recession (on paper) but we have growing full-time unemployment (the rising employment figures are temporary and part time positions) and we are, as a nation, way over extended on credit.

A couple of hiccups and we're screwed - no amount of fiscal padding from the givernment will save us from the real recession... it's hte medicine our economy should have taken.

America's economy is pretty much bankrupt. As much as the media will repeat the government lines that our economy is healthy, the fact is that Australia is on a knife's edge. Firstly, don't listen to the reports that house prices will continue to rise... we're the only country on earth that hasn't had its major correction - yet! It's coming.

So muscle car prices? Sure, they're dropping and will continue to do so for a while yet. I'd be more worried about the price of property than a Monaro or Falcon.

Your dreaming buddy, things are exactly as they normally are in the recovery cycle. You guys just want cheaper muscle cars for yourselves! Well the harsh truth is nothing good is cheap.

[trippytaka]

Originally Posted by xy500

Your dreaming buddy, things are exactly as they normally are in the recovery cycle. You guys just want cheaper muscle cars for yourselves! Well the harsh truth is nothing good is cheap.

Dreaming about falling muscle car prices, or the every increasing reality of a property plunge, which will affect everyone who has used the equity in their over-inflated house value to purchase luxury items like boats, and muscle cars? Or worse... a handful of investment properties in order to negatively gear?

I know that a good muscle car is worth good money... sure it's only worth what people are willing to pay for it, but this is dictated by what people are ABLE to pay for it, and by how much competition there is in the market for the limited commodity.

Sure, I know that collectors cars like the Phase 3 will never drop to $50k again, but the cars on the periphery will take a big hit. If an increasing number of people hit financial strife and have to sell off a bunch of their assets, it goes to reason that prices will fall.

[galaxy xr8]

Originally Posted by trippytaka

Dreaming about falling muscle car prices, or the every increasing reality of a property plunge, which will affect everyone who has used the equity in their over-inflated house value to purchase luxury items like boats, and muscle cars? Or worse... a handful of investment properties in order to negatively gear?

I know that a good muscle car is worth good money... sure it's only worth what people are willing to pay for it, but this is dictated by what people are ABLE to pay for it, and by how much competition there is in the market for the limited commodity.

Sure, I know that collectors cars like the Phase 3 will never drop to $50k again, but the cars on the periphery will take a big hit. If an increasing number of people hit financial strife and have to sell off a bunch of their assets, it goes to reason that prices will fall.

Not a truer word spoken.

[HO 3]

Originally Posted by trippytaka

Dreaming about falling muscle car prices, or the every increasing reality of a property plunge, which will affect everyone who has used the equity in their over-inflated house value to purchase luxury items like boats, and muscle cars? Or worse... a handful of investment properties in order to negatively gear?

I know that a good muscle car is worth good money... sure it's only worth what people are willing to pay for it, but this is dictated by what people are ABLE to pay for it, and by how much competition there is in the market for the limited commodity.

Sure, I know that collectors cars like the Phase 3 will never drop to $50k again, but the cars on the periphery will take a big hit. If an increasing number of people hit financial strife and have to sell off a bunch of their assets, it goes to reason that prices will fall.

Well said......anyone dumb enough to use home equity to purchase a toy such as a muscle car or boat deserves what they get at the end of the day if and when values fall over.


Cheers Mick

[x series]

Originally Posted by JAZSXY

Tell that to this guy

http://cgi.ebay.com.au/ws/eBayISAPI....=STRK:MEWAX:IT

i think some one got rip off the cap is the real deal with the numbers but the inside locking bit looks to be a repo part. :

[gcg2503]

not always - but for good quality XY GT replicas they command it

this doesnt hold true for other marques though

[CobraJet351]

Im real happy about this. I just purchased my dream muscle car, 1972 Mach 1 351cj with a factory 4 speed. I would of just settled for any 72 fastback then mock it up, next thing you know I own a very well optioned matching numbers Mach 1, all purchased for a price I never would of imagined. :

[Franco Cozzo]

Prices of those cars won't last forever, when my generation hits the middle ages and they want the cars of their generation, you'll see things like GTR Skylines rocket in price I reckon.

To me, I couldn't really justify spending $70K on a car from the 60s/70s, the only reason you'd spend that money is the nostalgia of that period if you where around back then.

[Hardtopxb]

Give it another 2 or 3 years and Muscle car prices will be right back up there.

[Auslandau]

Originally Posted by Hardtopxb

Give it another 2 or 3 years and Muscle car prices will be right back up there.

Yep agree ..... its a cycle and will always go up and down for the 'right' cars. (Think I have said that before ... bit of deja vu)!

Originally Posted by HO 3

I would recommend that they do it the old fashion way....be patient, work hard, save their dough so they can genuinely afford these luxurys!

If you can afford it on borrowed money .... go for it! Bugger the wait. Only around once.



| [/url] |

[gcg2503]

Originally Posted by Auslandau

If you can afford it on borrowed money .... go for it! Bugger the wait. Only around once.

Totally agree with the above

Some people consider borrowing against equity in property as a bad thing

For example, if you have close to $2m equity in properties is it still considered a bad thing to draw down $60-$100k for a dream muscle car?

It all boils down to whether or not you can service the debt in my opinion.

[Chopped]

Houses and Muscle cars are both subject to "Market Values".

Markets can change rapidly, both ways, NOTHING is set in stone.

When selling, you will only get back what someone else is willing to spend.

[HO 3]

Originally Posted by gcg2503

Totally agree with the above

Some people consider borrowing against equity in property as a bad thing

For example, if you have close to $2m equity in properties is it still considered a bad thing to draw down $60-$100k for a dream muscle car?

It all boils down to whether or not you can service the debt in my opinion.

Now that is funny!


Cheers Mick

[gcg2503]

Originally Posted by HO 3

Now that is funny!


Cheers Mick

What do you find so humourous Mick?

:

[trippytaka]

Originally Posted by gcg2503

Totally agree with the above

Some people consider borrowing against equity in property as a bad thing

For example, if you have close to $2m equity in properties is it still considered a bad thing to draw down $60-$100k for a dream muscle car?

It all boils down to whether or not you can service the debt in my opinion.

Absolutely. If you have $2m EQUITY (as in, own that portion), then $100k for an XY GT isn't going to sting. But most people don't have that much equity. In fact, a lot of people have just been treating their mortgages like an ATM, based on the "rising valuations" of their home... some extending an originally $250k to $400k because their property is now "worth" $450 or 500k.

When the prices crash, a lot of people will be left debts that are worth more than their assets. When you're talking 300k more than your assets I can only imagine how uncomfortable this would feel... especially if you lose your job.

If property prices take the hit most (non-real estate funded) economists are expecting, then a lot of people will be looking to offload assets like Muscle cars and boats etc to try and close the gap between their debts.

If unemployment goes up to 8% then there would be a firesale on property and assets, like we saw last recession. The market would flood and muscle car prices would feel the reverse sting of the supply and demand cycles.

Australia is the only country in the world to have dodged this bullet so far. Just look at what happened to the house market, and the muscle car market over in the US.

[xy500]

Originally Posted by trippytaka

Absolutely. If you have $2m EQUITY (as in, own that portion), then $100k for an XY GT isn't going to sting. But most people don't have that much equity. In fact, a lot of people have just been treating their mortgages like an ATM, based on the "rising valuations" of their home... some extending an originally $250k to $400k because their property is now "worth" $450 or 500k.

When the prices crash, a lot of people will be left debts that are worth more than their assets. When you're talking 300k more than your assets I can only imagine how uncomfortable this would feel... especially if you lose your job.

If property prices take the hit most (non-real estate funded) economists are expecting, then a lot of people will be looking to offload assets like Muscle cars and boats etc to try and close the gap between their debts.

If unemployment goes up to 8% then there would be a firesale on property and assets, like we saw last recession. The market would flood and muscle car prices would feel the reverse sting of the supply and demand cycles.

Australia is the only country in the world to have dodged this bullet so far. Just look at what happened to the house market, and the muscle car market over in the US.

pessimistic much?
your about 2 years behind where things are economically.
Yeah we got it better than most, but we did JUST have a recession, historically speaking we shouldn't expect another for 7-14 years from now.
Job openings are on the rise, and so are wages and house prices. Were back in the boom side of things.

If your going to carry on about economics like your a doctorate in the matter, you've got to base it on some truth, and what you're saying is holding on to no factual values.

[irish2]

Originally Posted by trippytaka

Australia is the only country in the world to have dodged this bullet so far. Just look at what happened to the house market, and the muscle car market over in the US.

We are different to the US. There you can walk away from the bad debt, the bank takes ownership and you have no more legal obligations on that asset. All it takes is a local industry to close and the houses in a certain area drop like rocks. If Mt Isa mines closed tomorrow you would be able to buy houses there for loose change. We are experiencing population growth which drives demand for everything.

If you are such a knowledgable economist why don't you understand about stimulus spending? The idea is to stop the big drops to in turn stop the big highs. Central control of lending interest rates is also key to this. America and Britain reacted too slowly and were the worst hit. During the great depression governments all around the world stopped spending and it was only goverment spending that ended the depression in the form of WW2.

[aussie muscle]

Originally Posted by trippytaka

Australia is the only country in the world to have dodged this bullet so far. Just look at what happened to the house market, and the muscle car market over in the US.

talking to the guys on dodge charger forum, prices have come down a lot on the highest priced items and only a little on 'average' muscle cars. suggests to me that the only ones affected were those who were buying muscle cars as an investment. :togo:

[GT0132]

Originally Posted by gcg2503

Totally agree with the above

Some people consider borrowing against equity in property as a bad thing

For example, if you have close to $2m equity in properties is it still considered a bad thing to draw down $60-$100k for a dream muscle car?

It all boils down to whether or not you can service the debt in my opinion.

Damn true that....Most of the rich have only become rich through sensible borrowing. Borrowing for a classic car in a rising market makes perfect sense and is no exception in order to secure it at today's price....Better still - use it for weekend weddings occasionally and claim the interest and car depreciation as a business tax write off

[max_torq]

Why would prices go down significantly, they haven't for the older vintage cars have they? You used to be able to find 30's cars for hot material everywhere but they long disappearred and now these post-war cars are doing the same. One thing that doesn't change they get older year by year. The thing is that in this economic situation some individuals that own these cars are in a position where they are may have to sell rapidly for their own reasons, and won't make the market price. This is where bargains are to be had.