Investments cars are not what you think they are

When thinking of classic cars, many immediately picture icons from the 1960s and 1970s—the Ferrari 275, the Jaguar E-Type, or the Lamborghini Miura. While these cars have earned their legendary status, the landscape of investment cars has evolved. A new era of modern classics is emerging, driven by the changing tastes of collectors and investors alike. Cars from the 1980s, 1990s, and even the early 2000s are now gaining attention as potential investment opportunities, and the shift is significant. Understanding which models are poised to become the next blue-chip collectibles can offer excellent opportunities for those willing to invest ahead of the curve.

The Growing Appeal of Modern Classics

The appeal of modern classics is rooted in nostalgia. Today’s buyers, particularly those in their 40s and 50s with disposable income, are often interested in the cars they grew up dreaming about. This generational shift in collector interest means that models from the 80s and 90s, which were once considered ‘used cars’, are now sought-after collectibles. Cars such as the Porsche 993 Turbo, the Ferrari F355, and the BMW E30 M3 are no longer viewed as merely used performance cars but as pieces of automotive history that evoke a sense of longing and passion for a bygone era. These cars have seen significant value appreciation in recent years, and many are expected to continue this upward trajectory. At Autofolio, we emphasise tracking the tastes of the next generation of buyers—an essential factor when selecting investment vehicles.

One of the most important aspects of selecting modern classics is understanding the balance between rarity and desirability. While many models may have been produced in larger numbers compared to older classics, demand often outstrips supply when it comes to well-preserved or low-mileage examples. For instance, the Toyota Supra Mk4, made famous by the Fast and Furious film franchise, was produced in relatively large numbers. However, finding an unmodified, low-mileage example in pristine condition is exceedingly rare, which has driven prices sky-high in recent years. The same can be said for cars like the Nissan GT-R R34 and the Honda NSX, both of which are experiencing rapid value appreciation due to their strong enthusiast followings and rarity in good condition.

What to Look for in Modern Classics

While the appeal of modern classics is growing, it’s important to approach these investments with the same level of scrutiny as any other. Condition is paramount. Buyers need to be particularly wary of modified or heavily used examples, as these can severely impact future resale value. Originality, low mileage, and documented history are essential for maximising the long-term appreciation potential of modern classics.

Furthermore, as these cars age, maintenance becomes a critical factor. Some models, such as the Ferrari 355, are notorious for requiring expensive upkeep, which can erode net returns over time. At Autofolio, we always advise investors to carefully calculate the cost of ownership, including maintenance, insurance, and storage, to ensure they’re getting a good deal from an investment perspective. The goal should always be to acquire the best example possible, as top-quality, well-maintained vehicles will inevitably outperform their lower-quality counterparts in the long term.

Positioning for Future Gains

Investing in modern classics requires a deep understanding of both the cars themselves and the shifting dynamics of the market. The shift in generational tastes means that certain models, once overlooked, are now positioned for significant appreciation as they capture the imagination of a new wave of collectors. By carefully selecting the right examples, managing the costs of ownership, and staying ahead of the market, investors can build a portfolio that not only holds sentimental value but also offers the potential for strong financial returns.

As with any speculative investment, timing and strategy are key. The modern classic market is still evolving, and there are many opportunities for savvy investors to capitalise on the growing demand for these vehicles. At Autofolio, we’re constantly monitoring the market and advising our clients on the best-emerging investment opportunities. By staying ahead of trends and focusing on quality, investors can ensure their portfolio is well-positioned to benefit from the continued rise of these modern icons.