In our recent post we predicted that the classic car market would slown down in 2015.

Our prediction was not so wrong.

It is much to early to tell and we only had one test so far- but the signs were not encouraging. Scottsdale 2015 just finished and the results were lackluster.

The auctions houses might have done well volume wise and post some records in terms of cars sold but I bet the average lot sold went down (they didn’t disclose that figure yet). There were many disappointing results.

To start with a 250 LWB Ferrari selling only for $7.7m including commission was on the soft side. Perhaps it did not help that the car was originally an open headlight car but then converted to covered headlights. A Ferrari 275 GTB-alloy failing to sell? Surely not a good sign.

But the best indicator that things are softening can be seen with the car above. It was a 300SL Gullwing. But not just any Gullwing. It was THE gulling to own. Rudge wheels delivered by the factory (super rare and desirable). The perfect color combination – silver and red interior – delivered by the factory when it left new in 1956. Recently restored by Gullwing expert Paul Russell – who is known for his expertise on Gullwings.

This car ticked all the right boxes.

But yet it failed to sell and stalled at $1.25m. To make matters even worse – the estimate of the car was very reasonable at $1.5 -1.8m. When such a blue chip car fails to sell – you have to wonder what is going on.

Yes, it is true there were many 300SL both Roadsters and Coupe available which did not help things.

Nonetheless -the Gullwing is an Icon of which there is far more demand than supply. It is a blue chip collector car and a good barometer of how the classic car market is doing. As we also said in our last post – it is the 1990s cars that are selling strong. An F40 was in strong demand  at nearly $1.3m and fetched a strong price as did a Ferrari 288 GTO which broke a record price at $2.75m. Porsche 959 are now securely selling above $1m and not looking back.

These cars that were on the bedroom walls of todays 40+ generation, are on fire.

Lets see if this trend continues.

by Edmond Saran