Investing in the "FAST LANE" Alternative investments built to be driven.
People often ask me WHY? why should I spend my hard earned dollars on some old car or classic truck or motorcycle. "Usually the wives of potential customers"! Why good question while some of us think of old cars and trucks as "old junk" or some far fetched attempt at reliving old memories from times gone by others see this a little differently. The real answer to WHY some one else should I cannot answer, I can only point out some market data and highlight some personal reasons why someone may want to consider classic/custom autos as an alternative investment. The best argument that I can make is very simple if you love cars and bikes and love riding and driving them why not invest some of your hard earned dough in something you can use while it hopefully appreciates in value? If you are already holding on to some old vehicle that currently cannot be driven and or rode why not get it in running order so that it can be used and enjoyed while you wait for the value of the investment in question to increase. It is true not all old cars are going to give you a return and for sure some are just a labor of love "Money Pit". On the other hand if one takes the time to research the market, look at history, and look at trends it is not too hard to make an educated guess on a custom or classic that could put a smile on your face driving around the neighborhood on a sunny Sunday afternoon and still provide some kind of a positive financial return on your investment. Just take a look at these reports below for some market info on this subject.
"This year, vintage cars were the best-performing alternative asset class tracked by Bloomberg, returning 13 percent through June 30 and an average of more than 25 percent a year for the past three years, according to London-based Historic Automobile Group International (HAGI). It’s pretty much been that way since the 2008 financial crisis, as investors have piled into the market looking for hard assets with reliable returns. Indexes that track classic car values have recorded double-digit returns every year for seven years."
While the above chart expresses some general information about the current investment market this is only one report based on returns for the Auto Industry. If an individual is looking to Automotive or Motorcycle industries as alternative investment options it is our advice to do your research before jumping in. We advise that you understand the differences between original, restored, custom, resto mod etc. It is a good idea to understand that if you are only looking to this industry strictly as an investment you may not want to drive the vehicles and there are proper care techniques necessary to maintain value. Here at Lemke Industries we love to build, drive, race, and some times even wreck so we are not just looking at anything we do personally for just an alternative investment. However some of our bikes and vehicles are card for differently based on their perceived potential future values. If you are interested in using our brokerage services for acquiring a custom or classic vehicle or motorcycle, or have a custom or classic that you would like to speak to us about getting back on the road feel free to contact us over at Lemke Industries (www.lemkeindustries.com) or by phone 503-867-6293