Final tallies of most of the classic-car auctions at Monterey, California, are already out and, as predicted, car sales have gone down compared to the previous year, though not as bad as expected.
This year, the Monterey auctions saw a total sales record of $120 million, down from 2008's record of $139 million but good enough, nevertheless. In a slumping economy, it is already a huge feat to come out with satisfactory figures near to last year's numbers. Certainly the price drops of the old cars were much better than what the enthusiasts had imagined.
According to Don Valenti of Valenti Classics in Caledonia, the gossips of 30- or 40-percent drops in the prices of old cars were "ridiculous" at best and without any factual backing. He further said that the only ones dramatically affected by the credit crunch are the big-dollar Mopars and Shelbys. He said that those in the middle of the pack have slowed down, but not to a very great extent--and that was related to banks not willing to lend money.
But even this is not so much of a problem, according to Valenti, since most of these old-car collectors are people who hardly need any kind of financing. Indeed, most of these customers are affluent people already in their senior ages.
Of the companies present in the auction, the Kruse International of Auburn, Ind., already had the worst record. Its Monterey sale was hardly attended and only a few cars were actually put in sale. And the poor Monterey is not even the worst of the company's problems. The company is also facing a foreclosure lawsuit in its Indiana auction park, debts to the tune of millions of dollars, and an F rating from the Better Business Bureau.
Well, that's the odd man in the group. Everybody else is doing relatively well. For more information about the Monterey sales, please refer to this AutoWeek.com article.
'Prices drop at Monterey auctions, though not as bad as expected'
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