The Stovebolt Site Forums The Shop Area General Truck Talk Stovebolts as an investment?

Hi Everybody

I have past my middle age and am quickly getting into my senior years...so I am investing monies in different areas...had a rough couple of years with projects that cost more than they were worth....so I am on the Howard Knapp project...

So are any of you folks using these vehicles like money in the bank? Interest rates at my local bank are less than 1/10% now...so I am hoping if this projects isn't what I am hoping it would be I could basically put it into dry storage up on blocks and forget about it but keep it as you would money in the bank...

Are you using your Stovebolt as an asset in your financial portfolio ??? I have a buddy at work that has a 1972 Dodge Challenger that he is using like that..

Just wondering if it would be a good idea to hang onto it once it is drive-able...

MikeC

It really depends on what you're looking to get out of it and what you've invested in the truck/future truck.
If you've invested 30k in a complete restoration (I don't know why people do that...), then you'll have to find someone to give you that and more. Harder to do these days when they can probably find one thats pretty darn nice for 15-20k.

These trucks ARE becoming more popular... but that doesn't necessarily mean more valuable. They clearly wouldn't bring as much money as say a 69 Charger for example. (in my opinion)

spent twice as much fixing it..... than I thought

worth half of much...... than I thought




memories................... priceless

SEE BELOW

I doubt most of these trucks are something most would find a good investment, dollar wise. There are no doubt exceptions, but few. From what I've noticed in recent years parts may be a better, but still risky investment. I figure if I were to have say 20k in a project and it took me 4 years to complete I'd need to at least match what a return would be if that 20k were put into a risk comparable stock portfolio. I am certain there as many opinions, options and ways to crunch numbers. I think it boils down to one's own perspective and what they are comfortable with, and what the better half will tolerate.

Not to mention that people who modify these trucks from original essentially have to part them out if they want to get the most money.
In my area, there was a 1950 chevrolet 1 ton dually that had a # matching restoration that sold for about $30,000 in a local car auction. However, at the same time there is a comparable 1952 GMC 1 ton dually that has been restored with a few changes, like 1980s 1 ton axles and a newer steel flat bed, that is for sale in local newspaper for about $5,000 (and has been for sale for a few months now).
If you're looking for security-Go with factory original, the more you modify something, the less likely it is to appeal to someone who may have a different taste than you.
Well thats my $.02, at least.

I never look at it as an investment and I'm working on my 3rd project right now. To be valuable as an asset a vehicle needs to have some special option or just plain rare. Then to make money you have to buy it at a "discount" price. A friend that I use to go to the sales and wholesale cars and stuff once told me "you make your money when you buy it, not when you sell it". Meaning you know what you can sell it for so you have to buy very wisely. That is getting hard to do today because of a lot of factors. Most folks want waaaay to much for a vehicle that needs just about everything.

I have some friends that say to me "if times get hard you will be in good shape because of the vehicles which I can sell and make money. Well, in my opinion it don't work that way. In hard times folks will not pay what you think. They want a bargain if they know your having hard times. Of course in "hard times" there are folks who have money and willing to spend it, but they only want to give you a quarter on the dollar.
Investment??? I say Nay. Not unless your young and can buy, then sit on them, for the next 25 years.
I do it strictly for MY pleasure. Just my 02.

I was involved in banking for over 35 years. I'm glad that I am totally out of it. We always had a saying that "investors get so focused on the return on their investment that they lose slight of the return of their investment". Right now there is a lot of money floating around and lotsa people are paying big bucks for so called investments. There were a lot of bargains around in 2008, but those days are over. Muscle cars are hot right now, but I don't care to be a buyer in a hot market. I also traded commodities for more years than I was involved in banking. It didn't long to learn that its not to be good to be a buyer when everyone else is buying.

I have bought 2 cabover Internationals this year, and I bought about 5 GMC 250s up to 550s last year. But I bought them because I wanted them. I fully expect every one of them to be worth less than what I paid for them because I paid for transportation. If I put money into them, it will be money in a black hole. But as long as my gasoline business and my trucking business earns enough to buy these toys, I do it. It wasn't that long ago when I was sitting on a loan committee and any kind of collectibles were considered fluff.

I am old enough to remember the recession of the 60's, the bust of the 80's, the dot com bust of the late 90's and the bust of 08. During those times, cash in a federally insured insurance was king and old cars sold for cheap.

I've heard of some folks flipping a classic vehicle and making a profit but don't know anyone that has.....

Alot of folks make the mistake of not putting a value on their own blood, sweat and tears. Figure your own labor and you've doubled your investment at the least. And lets not forget overhead.

Almost every old car or truck we have now, I gave scrap value or below for them at public auctions.
The fire trucks are a good example. Bought them at way less than scrap value and really enjoy them and the comments we get.
Can I sell them at a big profit, no, will I lose money, no.
Lucky, I have a wife that told me when I got the first fire truck but did not tell her until it was in the driveway. She trusts my judgement!
Like Alvin said, keep it original and you make your money when you buy it.

If you like it and can afford it, do it also.

Don

Wow you guys gave me some more food for thought....

So I am hoping this truck will not be a total lost cause. I am only upgrading the braking system and putting a new 12 volt electrical system and seat belts but try and keep everything else in stock form (6 cylinder 4 speed). That way it should appeal to both restorer guys and also the resto-mod guys too....keep it all looking the way it was when it came from the factory but keep the patina like it is...

MikeC

The good news is, there is absolutely no "cap" on how much you can invest in a Stovebolt.

The bad news is, you can forget about ever getting much of it back out.

I've spent a lot of money on booze, broads and BillyBob and I've squandered the rest.

I think you can make money investing in cars, but you had better be an expert in the market. For a while there, muscle cars were appreciating like crazy, but the bloom has gone off that market. Right now, certain models of the European exotics like Ferraris' and Mercedes are going thru the roof. The "average " guy would have a hard time being in the right place at the right time.
Another factor is that the guys who have a little money to invest in cars are getting older in the tooth. Their vehicles are coming into the market at the same time the younger guys are strapped for cash. Who is gonna buy these ?

I can only answer for myself, no and hell no. The VAST majority of people with old car/trucks find just the opposite to be true. They'll never get the money out that they put in. Unless your buddy is doing ALL of the work himself and/or has a rare car (celebrity owned, limited production, one of one, etc.) he'll be in the same boat. I don't know him so I can't say this about him BUT if a friend of mine was doing that I'd tell him he's a fool.

If you want better return talk to a financial adviser. Mine has me in investments with a guaranteed minimum return of %5 annually. If the return is higher than that, the higher amount locks in. Last year I got 10%.

Mike,

I really think I can get what I have spent back but probably not much for labor, if any. But the payoff for resurrecting a truck that would not have been saved had I not had the desire and whatever else it takes [I certainly don't have much money] cannot really be calculated. Bolters' are all the time saying things like, "If you want to do it - do it!" And that wisdom is right on the money for me. At almost 68 and an understanding wife the little things like finding parts on e-bay or refurbishing the tiniest little nut or bolt or part are a real adventure and as much fun as anything I have done in my life. My ride, which is in a thousand parts, is a 46 chevy pickup. Here's wishing you the most fun and enjoyment possible with yours.

Lane

Only way I can think of making a profit on these trucks would be to steal them.

As to the "old car (of any type) as an investment" line, I think there's an old saying that pretty well sums it up:

It's better to be lucky than good.

IOW, no matter how good you are, not matter how much research you do, you cannot predict the Future Consumer.

I have bought several cars in my life with the intent to restore and something always happened to get in the way. I ended up selling because of the kids college or something.Six years ago I found a 58 apache. It was a wreck, everything was shot and worn out or missing. I figured this was my last shot in life so I bought it. The PO told me it would be worth $30.000 if restored.When The wrecker came down the drive with it my wife said to me, if you can fix that mess you can do anything.So here I am on the road with everything from front to rear repaired ,replaced and rebuilt. Now its only in red primer but to me it,s worth a million bucks just like it is with all the imperfections. The only way I can get a return on my investment is if I can find someone that thinks it,s worth a million ans one dollars. I gave $600.00 for the truck and have no idea how much I have invested. It,s a labor of love.

I say do it if you love it, but not to make money. It's a hobby, not an investment (various TV shows to the contrary).

David

Hi Everyone

I always look at the bottom $$$$$ line when ever I do anything with vehicles...One place I have been also watching is the vintage VW market and it appears to be a pretty strong market...especially older VW bus's are fetching crazy money...even in recent years the older split and oval windowed VW's are really strong...my biggest deal with that is I would rather have an American made GM truck than a German made Volkswagen.

I am hoping getting my Howard Knapp truck up and running and be at least worth what I spent for parts on it...as far as my time goes...my time is free...I dont count that end of things at all...I guess I am not in this truck rebuilding for fun as most of you guys are...I just need something to work on at night to keep me busy and my ADHD in check...

MikeC

I am 23 years old and i bought my truck from my dad. Maybe for a bit to much money, and i am throwing money at it every month, but i want to keep it until i stop working. And I guess even longer because the more time that exceeds, the more I'll get fond of it..

Im planning on fixing my truck up and then maintaining it until im old and grumpy. I guess that in 50 years from now my truck will be worth a lot of money, but its not the reason why i bought it. Even though its a plus!

The reality shows of late have given profit making in cars and trucks a false sense. Larry

The only profit I want, is my daughter and her offspring having/wanting my trucks. If they do not want them, I have a plan-B for who will get them (and enjoy them).