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Will the car you buy today be a desirable collector car someday?
The Barrett-Jackson classic car auction ended in mid-January, and some of those who watched the massive live coverage on the Speed cable channel -- or who were at the auction in person -- are asking whether some new cars will bring many times their current value in the future.
The answer is that there are no guarantees.
Consider the 1976 Cadillac Eldorado convertible, thought to be the last American convertible when it was new because of fears that pending safety legislation would ban soft-top cars. The Wall Street Journal was filled with ads offering to sell new 1976 Eldorado convertibles for $25,000, twice the sticker price.
More than three decades later, even perfect examples of '76 Eldorado convertibles struggle to reach $25,000. Factor in inflation and what $12,500 -- the Eldo's sticker back then -- invested conservatively would now be worth, and it's hard to see the Cadillac as a good investment.
Fast-forward a bit to the limited
edition 1990 Corvette ZR1, which stickered for
nearly twice that of a standard Vette coupe. Many
buyers went beyond the ZR1's sticker, paying as
much as a $25,000 premium to be among the first
owners. Today, ZR1 Corvettes routinely sell for
little more than $30,000.
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