This is a guest post from Alice Brown of Automotive Bros.
Are you an automotive aficionado? I guess you are. Most of us who love automotives find the usual every everyday car extremely boring. All I use my usual car for is taking my little ones to school, pick groceries, run personal errands and haul stuff from Home Depot. These cars are reliable, utilitarian, practical and in my case, incredibly boring.
However, I also have in my garage one of the rarest automobiles, a classic model that provides me with much more than just transportation. A nice quality classic car can cost you thousands of dollars. If you have in your collection the most expensive classic cars, you are financially safe. For this reason, I find Classic Cars the Best Collectable Investment Ever.
It is without a shred of doubt that the world most expensive classic car ever sold on auction is 1962 Ferrari 250 GTO Berlinetta, Chassis 3851GT. Bonhams auctioneers sold this car at auction for a whopping $38,560,000 making it the most valuable car in the world. Ferrari 250 is a grand touring (GT) car produced by the Italian firm Ferrari from 1962 to 1964. However, what makes this classic car so valuable?
Why Is Ferrari 250 GTO So Expensive?
So many contributing factors determine the overall value of a classic car. Here are the most important reasons why Ferrari 250 GTO is so expensive.
1. Low Production Volume
One of the most important determining factors in the valuation of a classic car is its volume of production. A very low volume of production means only a few of those cars will be there and this means increased demand amidst low supply. Combined, these factors will increase the value of a product. Only 39 units of Ferrari 250 GTO were ever produced.
2. Extremely Rare
As mentioned, only 39 units of this Ferrari classic car were produced. The latest news in car collectibles is that only three of these were available for sale in 2016. Private owners of two of these cars are asking for a price tag of $57 million while a British luxury car specialist Talacrest has one, which goes for a price of $55.8 million. Should anyone buy this car at such asking prices, Ferrari 250 GTO will break its own record yet again.
3. Aesthetic Design and Desirability
If a classic car is well designed and well maintained then it is inevitable that classic car collectors and automotive aficionados will seek to buy it. The design of Ferrari 250 GTO was well ahead of its time. Being a grand touring (or Gran Turismo in Italian), this Ferrari is designed to provide maximum comfort with the Best Car Seat Cover (which you can replace), powerful Ferrari’s Tipo 168/62 V12 engine and an aerodynamic body for maximum travel distance.
It offers comfort and style, which is desirable for many classic car aficionados. The Ferrari 250 GTO is a luxury and performance car capable of achieving very high speeds and long distance driving with no problems at all. The car is three decades old but it still capable of achieving top speeds of up to 300 miles per hour.
4. High Demand
It is a common knowledge that where the demand for a product is high and supply limited the value of such product will definitely be higher. Because of its rarity, design and perceived value among other reasons, car collectors around the world would like to have the car and this increases demand. Since the current owners of Ferrari 250 GTO have already mentioned their desired selling price, many collectors have already expressed their interest and are looking forward to the auctioneering period.
5. The Condition of the Car
The prevailing condition of this car is what makes it a very pricey collectible. If you look at any of the three Ferrari 250 GTOs currently available for sale, they look as good as new. All of them have completed documentation including evidence of restoration. It clear that these cars have undergone restoration work in the past costing several hundreds of dollars, if not millions.
6. Originality and Strong History
The Ferrari 250 GTO has strong originality thanks to Historic Technical Passport as well as FIA (Federation Internationale de l’Automobile) Heritage Certificates in force. In fact, this car was developed for homologation into the FIA’s group 3 GT car category. Originality means the car must always retain the mechanical systems that belonged to it at the time of manufacture in order to prevent undue advantages.
When it comes to history, Sports Car International placed the Ferrari GTO at the eighth position on their list of Top Sports Cars of the 1960s in 2004 and nominated it for the prestigious award of the top sports car of all time. In a similar manner, Motor Trend Classic placed this wonderful car first on the list of Greatest Ferraris of All Time. To add to those titles, Popular Mechanics named the Ferrari GTO the Hottest Cars of All Time. These endorsements add to the desirability of this classic car.
7. Global Economy
The global economy is an important influence on the value of this classic car. This is because classic cars are now regarded as an alternative investment. If the global economy improves, the price of the car will go up and this is true with Ferrari GTO.
For instance, the 1973 oil crisis reduced the price of Ferrari GTO, which at the time only cost around $4000 but the price increased several folds after recovery from the crisis. As long as the world economy is healthy, Ferrari GTO will always be one of the most expensive classic cars.
Imagine how wealthy it would be for you to store one of the Ferrari 250 GTO Berlinetta currently on sale. One of the best ways to preserve the quality of your classic car is to ensure you maintain it well by following a few tips as the ones you will find in 25 Car Tips Every Car Owner Should Know – With Beautiful Car Pictures! If you give these cars the best restoration, modeling, and structuring with the best car seat covers then you can be certain your classic car will always look as good as new. You can find out more by checking out automotivebros.com.