The landscape of car collecting is shifting as a new generation of enthusiasts gravitates towards modern supercars and sports cars, particularly those manufactured from 2005 onwards. This trend has significantly influenced the auction industry, with Bring a Trailer (BaT) experiencing a record year in 2024. The company conducted 45,000 auctions, encompassing an array of cars, trucks, motorcycles, memorabilia, and parts. Attracting over 1.3 million bidders worldwide, BaT achieved remarkable sales figures despite an overall decline in classic car auctions.
Total sales at live classic car auctions saw an 11% decrease last year, amounting to $2.18 billion. In contrast, BaT set a new benchmark by selling $1.5 billion worth of cars. The most expensive vehicle sold through BaT was a 2022 Bugatti Chiron Pur Sport, fetching $4.1 million. Meanwhile, the most popular auction featured a 1991 BMW 850i 6-speed, previously owned by basketball legend Michael Jordan, which sold for $109,000. This sale garnered significant attention, drawing the highest number of bidders, comments, and views.
"The market is super strong for high-end sports cars in the $200,000 to $500,000 range" – Randy Nonnenberg
This shift in preferences is partly due to the challenges faced by cars priced over $2 million. Many collectors are opting to sell their collections, leading to an oversupply of vehicles from the 1950s and 1960s. The once-thriving market for older trucks and off-roaders has also cooled significantly.
"Cars over $2 million have had a tougher time" – Randy Nonnenberg
Today's collectors are drawn to less-expensive cars that are not only investments but also functional for everyday use. They prefer vehicles that allow them to "turn the key and just drive it," moving away from traditional hobbyist approaches.
"like cars they can use, where they can turn the key and just drive it. They're less hobbyist" – Randy Nonnenberg
The appeal of classic cars as financial investments has diminished due to higher interest rates. Collectors now have alternative investment options such as risk-free cash equivalents offering returns of 4% or 5%, making classic cars a less attractive choice.
"A lot of that was seen as a Covid bubble, and that's cooled" – Randy Nonnenberg
Despite these shifts, the market remains robust for high-end sports cars within the $200,000 to $500,000 price range. Enthusiasts continue to purchase luxury vehicles throughout the year, even on significant dates such as Election Day and Christmas Eve.
"We saw people buying $250,000 Porsches on Election Day, And we even saw awesome stuff selling on Christmas Eve" – Randy Nonnenberg