Are you an enthusiast looking to buy your dream car for a reasonable price? You may draw some inspiration from the Hagerty car market predictions for 2022. The classic vehicle insurer recently published what they call the “Bull Market list,” which forecasts the prices of cars getting the most attention on the market. These “hot sellers” may be worth the investment now before their market value increases, providing an opportunity for owners to flip and cash in.
How Hagerty Compiled the 2022 Car Market Forecasts?
The carrier has been tracking car market trends for years now. They have a massive database with 10 years of valuation data on more than 40,000 used and classic vehicles, including vans, SUVs, and trucks. They used their in-depth car market insights to highlight 10 cars that enthusiasts can purchase and enjoy driving today. The company believes that people don’t “have to drive boring cars,” and it’s providing information to help you own an enjoyable classic car for a reasonable price.
Hagerty anticipates that the cost of the vehicles on the list will increase over time. However, you can enjoy your dream ride for a few years if you buy now as you closely follow valuation trends. Then, at the right time and for a reasonable price, you could sell the car to another enthusiast and move on to your next dream car.
Generational Shifts in the Collectors Market
Unlike in the old days, baby boomers aren’t the only enthusiasts that can afford classic vehicles. There have been generational shifts in the collectors market, with millennials increasingly claiming some of the hottest old school cars today. They’ve come of age, both physically and financially, and can now afford models that trended in their youth in the 80s and 90s. As a result, these classic vehicles aren’t depreciating anymore. Instead, their valuation is bound to spike, buoyed by growing interest among millennials and Gen-Xers.
The latest Hagerty car predictions include new niches and models you wouldn’t traditionally see on a vintage collector’s list. Here are the top 10:
- 1965â€“70 Cadillac DeVille
- 1969â€“74 Ferrari 246 Dino
- 1983â€“97 Land Rover Defender
- 1979â€“85 Mazda RX-7
- 1963â€“67 Mercedes-Benz
- 1966â€“67 Pontiac GTO
- 1992â€“95 Porsche 968
- 1985â€“95 Suzuki Samurai
- 2008â€“12 Tesla Roadster Sport
- 1975â€“93 Volvo 245
How Reliable Are the Car Market Price Predictions?
These predicted car valuations offer no guarantee as with any other scientific projections. Unforeseeable dynamics related to the current pandemic and even the post-pandemic era can dramatically alter the direction of the car market. That said, previous predictions by Hagerty have been reasonably accurate. For example, from their 2018 to 2020 Bull Market lists, only one car depreciated, and that was only by 4%.
Forces Behind Skyrocketing Auction Prices
As a car enthusiast, you may be concerned about the sharp spikes in some online auction prices, including vehicles similar to those on the Hagerty list. According to the insurer, these valuations aren’t an accurate portrayal of the general car market trends. The auctions account for only about 10% of collector car sales. With 90% of transactions occurring privately, there are plenty of affordable classic car options for enthusiasts. Hagerty believes that there isn’t a shortage of enthusiast car models on the market. Instead, pandemic-inspired demand for pleasure driving may be triggering price hikes for some collector vehicle models.
As always, any substantial car market value hikes can trigger an increase in auto insurance costs. However, suppose you’d like to insure your classic car at an affordable rate. In that case, the experts at CAV Insurance Agency can help you obtain quotes for some of the most cost-effective coverage options on the market today. So contact us right away to learn more!