When Allan Moffat won at Bathurst in 1970 in a red Falcon GTHO, he could hardly have imagined that decades later the racing car would be the same value as a Sydney apartment.
“This particular vehicle is one of a kind,” says Muscle Car Warehouse co-owner Perry Bitsikas, at his showroom south of Sydney.
“Back in the day these cars were worth noting practically, as race cars. Yet now these cars are worth anything from $1 to $3 million.”
The Ford Falcon with personalised Moffat plates has pride of place on Perry’s showroom floor, polished to perfection among the shiny Toranas and Mustangs.
Allan Moffat's racing car is now worth a small fortune. Source: SBS Sandra Fulloon
“These muscle cars, I actually get a kick out of looking at them,” he says. “It’s like some people when they look at art, they love art.”
Perry stocks around 30 vehicles on consignment. Many priced at few thousand dollars back in the 1970’s, are now selling for more than $100,000.
“Prices are still rising,” says Muscle Car Warehouse co-owner Billy Boutouridis. “We are still all in shock about where prices are.’
Private groups, super fund managers and shrewd investors have bought into the classic car craze sending prices sky high this year.
“There is a lot of money in the economy and people who would otherwise maybe have travelled abroad or used that money on other luxuries, are buying luxury cars or in this case classic cars,” says James Voortman Chief Executive Officer at Australian Automotive Dealer Association.
It’s not just classic or muscle cars that are fetching eye-watering prices. The value of decades old and even more recent four-wheel drives rose by up to 50 per cent this year, with more Australians heading outback.
“Regional locations are probably more attractive [for holidays] because there's a perceived lower risk from getting caught up in a COVID scare,” Mr Voortman says.
Getting these off-road vehicles ready for an outback trip has kept Spiros Xenos busy in recent months, at his workshop in the inner-Sydney suburb of Redfern.
Mr Xenos tells SBS he is ‘flat out with repairs' amid a shortage of qualified workers.
Spiros Xenos is busy servicing off-road vehicles. Source: SBS Sandra Fulloon
“In my 20 years here at Centennial Park Automotives, I haven't had this many 4WD’s come through the shop at one go. So it's getting hectic.
“At the moment, we are turning customers away. If it goes on for another two years, I don't know what's going to happen!”
The used car price rises are due in part to delays importing new cars.
“There is a global shortage of microchips, and that's a very key component in the modern day motor vehicle,” AADA’s Mr Voortman explains. "And it is affecting almost every brand of car in every market in the world.”
As well, during the pandemic many people have shunned public transport.
Vintage cars are now a popular investment. Source: SBS Sandra Fulloon
“So they are more likely to buy a second car for the family, and use that to fulfil their transport needs,” he says.
For anyone with retroe wheels gathering dust in the shed, Perry Bitsikas has this advice:
“If you do want to sell it, this is the right time!"
