Is your car investment grade?

Is your car investment grade?

Harry Edworthy

Today we go into greater detail about what makes a car ‘Investment Grade’. In this newsletter, we use Autofolio's investment process to showcase distinguishing factors that make a car an investment. These can be cross-referenced to any car to determine if it is investable and has the potential for future appreciation. 

This article aims to answer the 10s of messages we get a day that go along the lines of: “Hi, Do you think my 130,000 miles Skoda Fabia vRS will be a future classic??…”

📈 Investment Car Attributes

This summarises the ‘Vehicle Selection’ segment of the Autofolio investment process:

Inefficient Pricing - Cars that are priced incorrectly and are under-appreciated by the market.

Future Market Demand - Opportunity for future demand. Buyers who previously could not afford to buy their ‘dream car’ now can.

End of an Era - Cars that are unlikely to be made again.

Brand Equity - Significant brand history and heritage.

Historical Price Performance - Other models from a brand have proven to appreciate over time.

For a car to be deemed investment grade under the Autofolio investment process 4 out of 5 of these investment attributes must be met.

In addition to this, it is fundamental that examples are of the highest quality. Being original, low mileage examples, and are accompanied by significant history records. 

Example: I-G 📈

Ferrari 550 Maranello 

✅ Cars still trade ~£100k 

✅ Growing market of buyers who now can afford the car which they could not in the late 90s/00s

✅ Last of the V12 manual Ferrari’s

✅ Significant brand equity from the success the brand has had on both race track and road 

✅ Proven track record of appreciation from similar models from the marque 

Example: Non I-G 📉

Bentley Continental GT

❌ Cars trade at a fair market-determined value of ~£100k

❌ Supply of cars is too high to see any significant move in price driven by potential future demand

✅ Possibly the last Continental GT to feature the W12 engine

✅ The brand carries a racing pedigree and luxury allure 

❌ The model has a proven track record for continued depreciation through its lifecycle 

Interested to learn more about investment cars?

Access our investment car guides here 

Join our Investment Cars 2025 Webinar here

Book a Investment Car Consultation here 

Sell your car here

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