Editorial:

Harvey & Sue Weidman, Editors

 

   As you can see by the photos and comments in this issue, the June tour to Joe Wong’s hangar was a huge success. A BIG THANKS goes out to Joe for his hospitality. 

    Bringing up a related subject this month: Collectors and Investors.

One of my jobs in the past was to inspect Porsches for purchase.  I was  hired by collectors, investors, enthusiasts and new comers I tried my best to stay out of the financial portion of the discussion.  Considering myself to be a enthusiast, I would try to convince my employer to purchase the car that attracted him the most.  In doing so I believed that others would do the same and the value would follow the popularity.  This logic did not always work, but the owner enjoyed his Porsche more than if he would have bought it as a pure investment.

   Joe’s collection is a good example of an Porsche enthusiasts.  He has cars for transportation, racing, and just plain fun.

   Most new comers and enthusiasts become accidental investors when their purchasers go up in value.  To be a true investor you must have a great deal of knowledge about the history and possible future of the cars as not all Porsches are good investments. Sometimes the profit even comes in the way of luck.

   One of the first things that I learned in my involvement with the mark was that the value of most Porsches did not respond like other cars when they were sold. I remember a 71 911S selling for more in 72 than it sold for new. Later there were many reoccurrences of my first example. I found that certain models and years had a devoted following. that can still be found today.

   People are amazed when I tell them stories of the sale price of a car when it was new or sometimes of the deals that I advised against. When you look at Porsches as auto investments they are truly in a class of their own, but as a true investment, they come up short. For example a early 911 was just sold for 25 times it’s original cost. Compared to most real estate over 35 years, the real estate usually wins. The big difference is when Porsches are compared to other “hobbies or entrainments”.  Like one of my customers said, when he made a substantial purchase “I can’t take my stocks and bonds out for a drive”…..H&S

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