Whether you’ve got your heart set on a brand-new model or a vintage classic, buying a car is always a big deal. From practicalities to aesthetics, there’s a lot to think about throughout the process.
But the most significant considerations should be the financial ones: not only do you need to be able to afford the car, but you might want to make a bit of money on it. While many cars lose value quickly, certain models become cultural and collectors’ favorites – and so appreciate over time, especially when they’re kept well.
New to investing or want to learn more about how to choose, buy, and maintain a car to help it increase in value? We’ve got you covered with a quick guide below.
Which Are The Best Cars To Invest In?
Unless you’ve got an exceptionally large budget to play with, it can be difficult to pinpoint which cars will hold their value. This is because investment trends do change unexpectedly, especially for models that might not be the rarest. But if you’re looking at a vehicle from an extremely limited line of production, the chances of it being valuable are much higher.
A few of the cars known for holding their value include:
- Audi R8 Mk1: The original Audi R8 is known for being a super car suitable for every type of journey. Pristine manual examples could fetch at least £35,000. If you’re thinking of buying an R8, be certain to conduct your own inspection, paying careful attention to its history.
- Porsche 911 997 Carrera S: There are several versions of the iconic Porsche 911 to choose from. The 355hp Carrera 2 offers a top speed of 186mph, and rare models are equally desirable and valuable. Even with a mid- to high mileage, these cars could come in at more than £23,000 and quickly appreciate.
- BMW M3 E92: The E92 is the only M3 with a V8 engine rather than the typical straight-six engine. Prices for used models are still reasonable, with high-mileage models sitting at around £15,000. If they’re properly maintained, tidy E92 examples should appreciate rapidly.
How To Spot A Future Classic: A Quick Guide To Car Investments
Investing in cars is slightly different to traditional methods like stocks, shares, and property. It’s a much more hands-on approach to preserving value, especially since you’ll be undertaking a lot of research yourself.
But your efforts won’t stop after you’ve bought it. Once you’ve secured the car, you’ll need to put your own time and money into maintaining, keeping the mileage as low as possible, and protecting the bodywork from dings and scratches. This could involve time in storage – or just scarce and safe outings.
To make it all worthwhile, you need to know what to look out for. A few green flags for car investments include:
When it comes to cars, the rarer the better. Look out for limited models, cars with unique or rare specifications, or specific extras added by the manufacturer.
If it’s a future investment, buying a car you can’t afford is a bad idea. However, it’s easy to build your credit score to secure reliable financing in the meantime. Once you’ve finalised your payment, you could make a surprising profit.
- Maintenance and care
Different cars have unique maintenance requirements. Try not to be too swayed by the potential return on investment if the vehicle is likely to cost a fortune just to keep roadworthy.
Attractive cars make the best investments. Try to look for models with neat and tidy paintwork, no rust at all, and all external and interior features working as they should. Checking the vehicle’s service history is also essential.
Try to consult vehicle specialists or a trusted friend throughout the process of looking for your next investment. If things start to get too expensive, do not hesitate to seek support or advice on debt and money.