When you think about a vehicle, the first thought isn’t always that it is a smart purchase. Probably because, by definition, a vehicle is a depreciable asset. This means the vehicle’s future value will be lower than what you pay for it today. So how could this possibly be an asset class worth looking into as an investment case?
Ask a South African about a Golf VR6 or a BMW E30, and you could easily hit a nerve. There’s a memory of one or a desire to own one engrained in most car enthusiasts. And the reality is that a mint-condition version of either of these could easily go for R1 million. The last and most probable option is that someone knows there are a finite number of these vehicles in existence today and that the vehicle’s value is likely to increase based on what the historical ownership data suggests.Don’t have the same expectations of a regular Hilux or a Picanto, which are mass-produced to meet consumer demand.