How to build a classic car collection

You’ve bought a classic car, you’ve got the bug and now you want more. Building a collection of automotive wonder can be very satisfying but there are key considerations before you start

Finance – set budgets and try to stick to them

Nothing comes for free and buying cars can be an extremely costly business, so you need a set a budget, not only for the outlay, but also ongoing costs such as insurance, maintenance, storage and tax because things can easily get out of control. Also consider depreciation and appreciation, but be realistic. You may think prices of your target car will shoot up in the next 12 months but do some research to get a handle on what future prices might be.

Storage – where to put your vehicles?

If you live in the city with on-street parking only, collecting cars is problematic, particularly if your area is subject to ULEZ and parking permits. It may be that you are able to store your vehicles at a location well away from your home where these costs will not apply, but then you have to consider that you’ll have to travel just to drive the cars in your collection. There are plenty of storage facilities but they can be pricey depending on the service offered.

What kind of collection do you want – does it have a theme?

Sometimes you will find yourself drawn to a particular type of car – perhaps you can see a theme develop rather than just a random selection of vehicles. Invariably, collectors buy cars that evoke childhood memories, or vehicles that were part of their ‘heyday’. We know of one collector whose garage is full of ’70s French cars because every summer as a child his parents would take him on camping trips in France in a Comma campervan. We also see a lot of collectors in their fifties whose collections comprise ’80s classics (Fiesta XR2s, Renault 5 GT Turbos, Peugeot 205 GTis, BMW E28s, etc) alone.

Establish a collection ‘strategy’

Once you have established the type of collection you want it’s usually better to have a few well-maintained, high-quality classics than many in poor condition. You’ll need to think about rarity – this is a crucial aspect in terms of future values – as well as desirability. Even though a model might be ‘desirable’ some variants are more sought-after than others. For example, some cars with auto boxes might be worth more than those with manual gearboxes.

Time

Do you have enough time in your schedule. Buying cars, selling cars, maintaining them and driving them should all be factored in. Time is an expensive commodity and if you have a stressful job with long hours, a family and other commitments, there may not be enough time to fully appreciate your collection. Having cars sit around in garages doesn’t sound very onerous, but there will be paperwork to do, there will be bills to pay and there will be maintenance to do. All this will demand your time.

Connect with like-minded people

No man (or woman) is an island and this applies to people who have classic car collections. There are many collectors clubs out there, often with local members who you can talk and meet with. This is vital because it does give you access to resources and contacts that can help you if issues you are not initially familiar with arise. Also, joining a club enables you to be part of a ‘community’ that will give you different perspectives to technical ideas whilst gaining new leads for where to find rare or discontinued parts.

Insurance – what kind of cover do you need?

You might think that if you are not driving your vehicles and are simply storing them that insurance is not necessary, but make sure you get the necessary cover for your vehicles. You might need ‘laid up’ insurance, for example, if your vehicles are on SORN (Statutory Off-Road Notification). Laid-up cover protects your vehicle while it's off the road and stored, such as in a garage or on a driveway. It typically covers risks like fire, theft, and accidental damage while the vehicle is not in use. Of course, Footman James offers a range of policies to suit your needs including:

• Flex – collection of up to 5 vehicles, able to combine modern and classic vehicles on one policy
• Multi-vehicles – collection of predominantly classic or prestige vehicles valued at £150,000 or less
• Private Clients – vehicle collections or single vehicles valued over £150,000
  
  
  

Buying – don’t cut corners

When purchasing a classic car, it’s important to thoroughly inspect the vehicle and verify its authenticity and condition. And, most importantly, take your time to research and inspect before making a decision. Be patient – sometimes it is best to walk away even though your heart is telling you that this ‘golden opportunity’ will never come around again. It will, though. Here are three golden rules when setting about buying a classic vehicle:

• Vehicle Inspection: conduct a detailed inspection or hire a professional to do so. Check for rust, mechanical issues, and any signs of previous accidents or repairs.
• Documentation: verify the car’s history and documentation, including the VIN, service records, and any certificates of authenticity. This information can impact the car’s value and desirability.
• Test drive: whenever possible, take the car for a test drive to assess its performance and handling.
  
  

Get help and advice from professionals

Knowledge is power and so it’s vital that you connect with professionals in the industry who have often had years, or even decades, of experience in the classic car industry. These are the sorts of people that will be able to help particularly with buying and selling:

• Dealers and auction houses: Build relationships with reputable dealers and auction houses who can help you find quality vehicles and provide advice on market trends.
• Restoration experts: Having a trusted restoration expert or mechanic can be invaluable for maintaining and restoring your collection.
• Appraisers: professional appraisers can help you determine the value of your collection and provide documentation for insurance purposes.
  
  
  

Keep records and document everything

Bits of paper are like gold dust. Keep all the stuff that is associated with the car because provenance is everything. Keep old tax discs, manuals, and brochures, because it contributes to a story, and classic car buyers love a story. Documentation detailing repairs, restoration work, and parts used gives buyers reassurance, and that will all add value to your vehicle when you come to sell.

Ask yourself: why am I doing this?

Life is not a rehearsal and there may be all manner of reasons why you have decided that you want a car collection. It may be that you just want to make money, which is fine, but if that is your motive then you’ll need to be on top of your numbers, establishing values, buying strategies and restoration costs. If you want to start a collection because cars are your ‘thing’, think about what you will do with that car collection and what will be the purpose of it. Some people ‘stumble’ into car collections and before they know it their driveways are jam full of cars that they have acquired, almost by accident. We do know of a ‘collector’ in Cambridge who thought he would buy an old Merc, then saw a Citroen Visa and quite liked it and he just kept going. Before long he had 21 cars and didn’t know what to do with them.

Drive your car – get out there!

Cars sitting in storage for years on end seems like a lost opportunity. Of course, if you are buying a vehicle for investment purposes, there is sense in that – keeping mileage low, not exposing it to the elements, etc. But cars were designed to move people from A to B, and the pleasure you get from a car is when you get behind the wheel and take it out on the open road. Also, don’t be shy: show it off if you are proud of it. Go to Footman James’ Coffee & Chrome events and talk about your pride and joy. Visit Goodwood, go to club events and let others enjoy your car, too.

Tell us about your car collection and why you started it in the comments section below.