After the many years, the classic car market has thrived, it is now slowing down after car collectors are now focusing more on the rarity and conditioning of the classic vehicles. This is stated by a classic car expert to CNBC.
According to the Knight Frank Luxury Investment Index, 17 percent increase in the value of classic cars is experienced in 2015. This is the highest growth in value when compared to other luxury properties such as jewellery, watches, art, and even wine.
Despite the increase in value, it is still very fortunate that the classic car market is not anymore the trend due to the possible interest rate increase that will be spearheaded by the U.S. Federal Reserve, as well as other unstable factors in the auto manufacturing industry.
Tim Schofield, the head of cars in Bonhams U.K. tells CNBC, "For certain areas in the classic car world, you could say so (the market is decelerating)," He also adds, "But I think that is really down to supply and demand for certain makes, models, and types within the quite large area of our world."
The sales in an auction in Scottsdale dropped by 15 per cent with only $251 million last January, despite the place being the largest U.S.' auto auction in relation to the volume. This is the first sales drop since 2010.
The Historic Automobile Group International has an index that looks at the situation of the class car market. It shows an increase of 2.21 percent. The HAGI P index that observes the marketability of rare Porsche vehicles also decreased by 2.61 percent in the first half of 2016.
Today, Bonhams is the world record holder of the car with the highest value that is sold in an auction.
The 1962 Ferrari 250 GTO Berlinetta is the sold vehicle here, which amounts to $38.1 million. Based on the Guinness World Records, the most expensive record for a car that is sold to a private collector is a whopping $52 million.