Used consumer cars aren’t the only vehicles that are currently worth a pretty penny on the market — exotics and wrecked cars are also seeing increases in prices too. There are plenty of markets for buying wrecked exotic cars, whether you’re looking at auctions or junkyards, or even private companies that rescue these cars just to sell to rebuilders, but, just because you can find them on the market doesn’t always mean it’s the right time to buy, and when it comes to supercars and exotic cars which can be a total money pit, sometimes it’s better to wait and see.
The price of rebuilding an exotic car can get out of hand
Keep in mind how much the car is going to cost, it doesn’t make sense to buy a wrecked exotic car that is going to turn out to cost as much as buying a running exotic car with a clean title. With the current market, the price of used cars has increased dramatically, and that isn’t any less true for exotic cars or wrecked cars. Not only is the cost of these vehicles higher than usual, but the cost of parts and labor required for repairing the vehicles is much higher too, and if you aren’t careful, you can end up spending just as much money buying and repairing and wrecked exotic as you can buying a running version of the same vehicle.
Is now a good time to get into ‘flipping’ exotic cars?
Keep resale value in mind. If you want to buy a wrecked exotic so that you can buy your dream car for a more affordable price, rebuilding these cars can be an educational experience that lands you with the exotic car of your dreams for less. But, if you’re in the market to flip exotic cars and just getting started, it’s worth paying attention to the lower profit margin of selling exotics with salvaged or rebuilt titles.
With that being said, the market for exotic cars has also increased in the past few months, with rising demand and lack of cars on the market causing an increase in prices, even for rebuilt vehicles. So, in some ways, if you’re confident in your ability to rebuild a car and have the money and resources to complete the process, there is potential for making decent money in ‘flipping’ wrecked exotic cars.
How long will the market stay high?
Only time will tell how long the market will stay at the top of this seemingly endless bubble, but if it stays consistently high as it has in the past few months, the value of many vehicles will remain inflated, and wrecked or rebuilt exotic cars will continue to go for a higher than usual amount. But, the market can be affected by many factors, and that means it could also dip at any point, so you shouldn’t rely solely on the current market if you are deciding to try and flip your first wrecked exotic car.
At the same time, if you wait until the market drops again, which is has to inevitably, the price of wrecked exotic cars will once again drop to a more reasonable and affordable cost, and parts and labor required for the repair process will likely go down as well, making it worth waiting for.