Go on, take the money and run!
The last time I wrote you all was close to four weeks ago mostly due to me struggling with what to write about. Plus, I have been slammed at work, you know the market collapse and all? Plus plus, I am getting ready for a huge marketing push for the site. And I know many many many of you have emailed saying what gives? So with that, I am sitting here at home on a Saturday night wondering what to write about. Then I started to read my Hemmings Muscle Machines Magazine and flipped to the back of the book about the recent car auctions. As I’m reading, I’m thinking…look at these idiots…here’s another idiot…and WOW, he’s the biggest idiot of all. Let me explain.
At the end of the magazine they spotlight a bunch of cars that run over the auction block in recent auctions. In this case, it was the Russo & Steele Auction in Monterey, California on August 15th. I will start with the first car that caught my eye, a 1969 Camaro SS 396 L78 car. These cars have been averaging a $50k price tag and this particular car got up to $90k and NOT SOLD. According to the write up, this car had “doors like a barn” and “hood release was jammed.” I know, I know this is a very rare care, but this seller still has to be reasonable. I mean, he got $40k over the average and he didn’t have the car perfect. Dumb.
I am going to illustrate two other cars before getting to my point. The second is a 1984 Buick Grand National, not a GNX, a regular old run-of-the-mill Grand National. Average selling price, $15k, bidding up to $17k and NO SALE. His reserve was $29,800…give me a break. The seller claimed a 23,000 mile car, but Grand Nationals are not that rare of a car. Buddy, go on, take the money and run.
The third car is my favorite, a 1969 Corvette L88. Again, I know there are not many of these around, but come on! The average price is about $260k and this car bid up to $280k. This body style of Corvette is not as popular as the Stingray’s or the 50’s Corvette cars and this car got $280k? If it were me…Sell! Sell! Sell!
“Why would you sell a car like that Joseph? You will never be able to find another one!” Here comes my explanation. First, if there’s one, there are two. I will guarantee that another L88 car comes up for sale this year. And, I’m willing to bet that the seller will be able to buy it a lot less than the bid his car got up to. Second, there are market cycles. RIDE THEM. If you have a car that’s hot right now, SELL IT. I will guarantee that if you wait a while, the market will turn cold and you can buy the car back cheaper. I think it was Rockefeller that said, “I don’t want to be the first one in, and I don’t want to be the last one out!” That auction was in August, before the market turning and I bet he wished he would have taken that bid now. And finally, the car will be back. I’m going to tell you a story now. I was at the local car show and was amazed to see a real ’71 Hemi Cuda Convertible. It was white with a black interior and I looked inside and noticed the speedo was in kilometers. I turned to the owner and asked if this was the car I read in a blah blah magazine (can’t remember the magazine) and he said “yes”. This car is the car that was sent to France and was fitted with a kilometer speedo. The owner was offered $4 million for the car and he TURNED IT DOWN. “I think it’s worth $6 million.” Idiot, idiot and idiot. Not only will I guarantee that this car will never be worth that much again, but I’m willing to bet that if he sold this car for $4 million, it would back up for sale within the next 5 years and he would be able to buy it back for $1 million. Remember the Ferrari’s of the early 90’s? Now, again, I know that there are not many of these, and if the seller of that Cuda had 10 to 20 buyers at $4 million, then yes, maybe it may be worth more.
Either way, I’m selling it…I don’t want to be the last one out!
“Go on, take the money and run.”
Car Club Members
