Over the last few years classic cars have become a very popular alternative investment. Especially makes like Porsche and Land Rover. Sadly, there are very few that the dealers haven’t already snapped up and you will find car dealers who spend most of their years travelling around from Japan to the USA to snap up all the best cars out there.
There is very little chance of finding the lusted after barn find here in the UK, but with communications and travel being so simple today, you can head off on the ultimate car buying holiday and bag yourself a brilliant car which could make you a great return here in the UK.
You only have to switch on the TV to see the likes of Richard Rawlings, Gas Monkey Garage and The Diesel Brothers, turning up old forgotten cars and turning a pretty king profit on them. So, what do you need to know before setting off to another country with a suitcase full of cash?
Firstly, before you even leave the UK, get to grips with all the paperwork and rules of how you bring cars into the UK. There are various different rules depending on where you are and it could help to talk to a car shipping company. It is very simple if the car is coming from Europe. However a car from Japan or America has different safety regulations and and American car won’t pass the UK MOT. Without that, you wouldn’t be able to register the car in this country. Talk to some companies about how much it costs. If you are keeping the car for yourself then you will be paying custom fees etc, however if you are looking to sell the car on, then you will have to declare the profit as income etc. Making sure you know all the steps before you commit to the search will give you a head start, should you find an amazing car and need to negotiate on the spot.
If you are looking to make money on a classic car then you need to remember that your flight costs, hotels and fuel all need to be factored into the price. If you make 3k selling but spent 3.5k on travel and food, then you have actually made a loss. Have a good idea of what is rising in value both here in the UK and in Europe. Then research the brand and marque as much as you can to ensure you know what you should be paying for it and what you could be making for it. Nearly all American cars will be left hand drive and most air cooled Porsches in Japan will be left hand drive too. This could reduce the value a little if you sell in the UK but increase it if you are selling into Europe.
Make friends with as many dealers as you can both at home and abroad. This will help you seek out the best deals and may get you a buyer before you have even left home soil.
Preparation is everything, so get it right. Then, shopping road trip! Wooooh.