Results 1 to 7 of 7

Thread: Supra Investment

  1. #1
    What search button? Club Member formatzero's Avatar
    Join Date
    Mar 2008
    Location
    Scotland - Strathclyde
    Posts
    1,254
    Feedback
    0

    Supra Investment

    Whats the thoughts on Supra values continuing to rise in the years ahead (all models)? or are we now at the top of the investment ladder.

  2. #2
    I can post! Club Member MrGRT's Avatar
    Join Date
    Oct 2016
    Location
    England - Berkshire
    Posts
    65
    Feedback
    0
    Cristal ball time. Will appreciate a touch more I think but not massively

    Sent from my SM-G973F using Tapatalk

  3. #3
    I'm addicted now! Club Member
    Join Date
    May 2016
    Location
    England - Bedfordshire
    Posts
    585
    Feedback
    2 (100%)
    I think they've had their big jump now, but will still continue to rise for a while. Next up will be 90's Evo's and R34 GTR for when they turn 25 and American inflate the market again.... hence why I bought an Evo 6 2 months ago
    1994 Stock TT Supra & N/A 5 soon to be NA-T 6 speed

  4. #4
    Yes, I'm a Moderator Pete's Avatar
    Join Date
    Jan 2003
    Location
    (Top Secret)
    Posts
    24,466
    Feedback
    17 (100%)
    They'll all be minimum of 50k by November 11th...around 2:30PM.
    '97 VVTi Royal Sapphire Pearl Tiptronic BPU

  5. #5
    I'm part of the furniture Club Member j_jza80's Avatar
    Join Date
    Jun 2008
    Location
    England - North Yorkshire
    Posts
    19,516
    Feedback
    13 (100%)
    They aren't likely to be a good investment, if you're expecting some sort of financial gain. Your insurance, running costs, maintenance etc will likely cost in excess of any gains via appreciation. On the plus side you can't drive bitcoins, and at least you're likely to have something left by the end of it. Unless you crash your Supra, in which case the crypto-currency analogy is spot on

    However, as a bit of fun and a hobby, it will be far easier on the pocket than many other cars.

  6. #6
    I'm part of the furniture Club Member j_jza80's Avatar
    Join Date
    Jun 2008
    Location
    England - North Yorkshire
    Posts
    19,516
    Feedback
    13 (100%)
    *my caveat being we are likely on the verge of another global recession, which may have a significant impact on the prices of relatively affordable tangible commodities.

  7. #7
    veteran Club Member AJI's Avatar
    Join Date
    Sep 2001
    Location
    England - Cumbria
    Posts
    4,330
    Feedback
    1 (100%)
    I've been following Supra prices since I sold mine a few years ago.
    Amazing how people (or the market) have suddenly expected them to be much higher value than what they were just 3 years ago.
    (Yes, I know, I should have kept hold of mine ! but it was time for me to move on)

    Its a two-edged sword in my opinion, because although MkIV Supras are, and always will be great cars, and higher prices go to provide some comfort for existing owners, it is however only the pristine original/unmodified examples that will genuinely have the high values that are seen recently. Such cars are the collectibles that will retain their price and even appreciate. As such they'll also rarely get used.

    So I think a lot of people are being ripped off at the moment with adverts stating "appreciating classic" and the like, and many buyers will also be unlikely to sell on for their expected new higher price (profit) once the market realizes that for the money paid you don't really get value for money.
    Considering most MkIVs are up and over the 100,000 mile mark often with tired suspension, bushes, turbos, engine internals, gearboxes etc. that may be hard to source when they eventually go bang.....and when 2nd hand 20 year old plus cars are being sold for prices approaching what they were when they were brand new.


    The rise of 2nd had car prices across the west has mainly been driven (excuse the pun) by low or non-existent savings interest rates.
    With no interest rates for savers, there is pressure to put one's wealth in to assets. Which, as the flow of wealth transfer pours in to assets, this drives up asset prices as demand grows.
    However, when saving interest rates come back to normality (whatever that could be deemed as), with a meaningful positive rate, then the flow of wealth will quickly drain from assets and back in to bank accounts.
    This is because bank account savings are the most safe method to store wealth - assuming you divide your wealth across various banks that guarantee the 85,000 FSCS protection.

    Assets are not considered "liquid", whereby one can not simply go to a bank and hand over an asset and have it replaced by the amount of cash that you want for it. An asset is only converted to "useful" money if and when a buyer is interested and hands over the money you want for it - which is no guarantee to say the least.


    Governments and central banks are very much under pressure to push the global trend back towards meaningful positive interest rates as this gives governments a useful 'lever' to control national financial policies.
    So when that time comes, there will be a whole load of people sitting on assets that they will not be able to sell anywhere near the price they paid for them.

    Its just something to bear in mind when currently looking at the market at inflated car asking prices. Don't be too tempted by the line of thought "you only live once", therefore I must buy it. The best purchases are those that you patiently wait for, whereby the old adage of "good things come to those who wait" can ring true.


    My reply sounds a little negative and apologies if it does. Having taken a step away from Supra ownership and currently looking to buy a V10 R8 I'm being very patient to see what prices are doing.
    I think brexit may have an effect if things take a down turn for the UK economy, because that will push up certain asset prices even more.
    However, if brexit goes without major issues then I think the UK economy will pick up quite quickly and the bank of england will be in a position to roll out a program of interest rate increases. Which will then see people turning away from many assets and back to bank accounts (and financial products) for wealth storage and investment. When this happens it is expected that 2nd hand car prices will drop as the demand will significantly drop away.


    So coming to the question of the OP (at last!) - its quite a hard thing to answer at the moment.
    I think the months after brexit will be a turning point. Can the UK economy pick up, and especially pick up at a faster rate than the EU? - as this will drive investment in to the UK in this part of the world.
    Then will the bank of england look towards increasing interest rates to curb people's spending rates?

    In the meantime every car seems to be sold on the promise that it is an "appreciating investment", but I would just say "buyer beware" on this - and then look at just how much money is being asked for the condition of the asset that you are buying.
    If the car is to be bought as an "appreciating investment" then you'll likely be under pressure to not put any additional miles on it and leave it in the garage all year.
    But if the car is to be used, then you'll have to consider how to treat it as it continues to age etc.

    One thing that does help MkIV Supra prices is the total failure of Toyota to bring to market the MkV as a successor to the MkIV Supra. Instead of producing the FT-01 they made a Z4 hard top instead.
    -saving up for something special
    -MKiv TwinTurbo UK-spec 6-speed (400+bhp) - now sold
    -Lancer EVO6 RS2 (300bhp) - now sold


    Favourite quote : "Don't act like you're not impressed" (Anchorman)

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •