Sales debate: Are investors good for the Porsche 911 market?
Over the last few years, the stratospheric rise of the Porsche 911 market has been driven predominantly by the influx of investors choosing to buy classic cars rather than keeping their money in the bank.
Greig Daly, sales director of RPM Technik explains how collectors often “make the market”, pointing out that “if there is a car that is priced a little more expensively than anything else and they buy it, that then dictates what that car is worth.”
Surely, these blue-chip buyers are good news for specialists? Both Daly and Mikey Wastie of Autofarm believe that the situation is not that simple.
At a simplistic level, collectors are good for the sales side of the business because, as Daly bluntly puts it, “they buy cars.” Wastie agrees, explaining that these buyers have been good for Autofarm:
“Originality is key and specialists such as our own, Josh Sadler, are in demand and are vital in determining provenance and correct specification,” says the esteemed independent specialist’s co-owner.
Collectors are not just good for the sales side of Porsche specialists’ businesses though, with both Daly and Wastie agreeing that investors’ penchant for perfection often means that their cars are well looked after.
What’s more, the price hikes driven by collectors’ involvement in the market means that even enthusiasts with 911s are now more willing to carry out major mechanical work.
“You’ve got these lads that paid £8,000 for 3.2s 15 years ago and now they see them up at £40,000, they’re quite happy to invest in the car, which, besides the business, is good for these cars. In 100 years’ time, that will have been done properly and will keep the cars on the road,” RPM’s sales director explains.
Daly does concede that these price rises can also negatively affect true 911 enthusiasts, pointing out that they know of many GT3 owners who originally bought cars to use on track but are now put off using the cars “as Porsche intended” because “they didn’t want to have what was a car they could never afford being chucked around on track.”
Wastie agrees that it is a shame that many cars (both enthusiast-owned and bought by collectors) are being kept in their garages away from the eyes of specialists and the general public.
However, the proprietor of Autofarm does end optimistically. While those investing in cars at the very highest levels do tend to ferry cars out of sight, many of those looking to tie their money up in Porsches “tend to be buying more usable 911s,” in Wastie’s experience.
With these investors actually using their cars, “this has got to be positive for the Porsche market as they, hopefully, will enjoy the ownership experience and look to upgrade or buy another car.”
For market advice on any generation or style of Porsche 911, check out our full selection of sales debates, where we ask the 911 experts the pertinent market questions so you don’t have to.