Most expensive car ever sold online could fetch more than $ 4 million

A 2001 Ferrari could become the most expensive car ever sold at an online auction this week, thanks to expectations that it could sell for more than $ 4 million.

The sale by RM Sotheby’s is part of a series of online auctions held this month by classic car companies to replace the auctions normally held in Monterey, California, as part of the Concours D’Elegance. Due to the coronavirus pandemic, sales will be almost completely online this year.

So far, prices and sales suggest that demand for classic cars – especially vintage Ferraris – has held up well throughout the pandemic. The strength of the sale also suggests that wealthy collectors are willing to buy six-figure and seven-figure cars without inspecting or driving them, which could shift more auctions online, even after the Covid crisis.

Total auction sales of collectible cars for years to date have reached $ 711 million, down only 8% from last year. And the numbers are likely to rise after the remaining summer auctions.

“People are driving more, enjoying their cars more and just looking for something fun to do to get them out of the house,” said McKeel Hagerty, CEO of Hagerty, a classic auto insurance company. He added that with interest rates so low and many of the rich benefiting from strong markets and recent asset sales, the financial underpinnings of the classic car market are strong.

“If collectors currently see an opportunity, they want to strike,” he said.

The big headliner this week is the sale by RM Sotheby of a 2001 Ferrari 550 GT1 Prodrive racecar, which was one of only 12 built and won several races in the early 2000s. It is expected to sell for between $ 3.9 million and $ 4.9 million, making it the most expensive car ever sold at an online-only auction.

RM Sotheby’s also has a bright yellow Ferrari 275 GTB / 4 from 1967 from Scaglietti which is rumored to sell for between $ 2.5 million and $ 2.75 million. And it has a striking 2014 Pagani Huayra – one of just 100 custom examples produced between 2011 and 2016 – that could raise up to $ 2 million.

“The number of cars being sold this summer may be down, but prices have not made a hit,” said Kenneth Ahn, president of RM Sotheby’s.

The current record for an online-sold classic car is held by another Ferrari – a 1966 Ferrari 275 GTB Long Nose that went for $ 3.08 million at an online auction of Gooding & Co. on August 7th. The auction totaled $ 14.5 million, with five cars sold for $ 1 million or more, including a 2003 Ferrari Enzo, a 1995 Ferrari F50 and a 1934 Duesenberg Model J Town Car.

“The demand for quality cars has not disappeared in such uncertain times,” said David Gooding, chairman and founder of Gooding & Co.

The shift online has helped attract younger buyers to classic cars. Ahn said the average age of RM Sotheby’s suppliers this year has fallen by a decade, to between 50 and 60, with buyers in their 40s also becoming much more active. Analysts say millennials are also boosting growth, offering prices on 1990s cars, as well as older four-wheelers, Ford Broncos and vintage vans that they can use on trips.

To improve their online sales, the auctioneers have added more detailed photography and video of the cars, as well as more interactive features.

“Younger buyers go to their phone first,” Hagerty said. “That the auction companies and dealers present the cars in a more modern, consumer way.”

The big question for the sector is how it is changing post-Covid.The world of classic cars is always built around events – large gatherings of collectors, auctioneers, enthusiasts and business sponsors around the country. While online cars are cheaper, allowing auctioneers to cut costs and fees, online sales can not replace the events.

Many expect that after the pandemic the physical auctions may be smaller and online sales will continue with the less expensive, more commodity collector cars.

“I think you could see physical auctions after this time,” Ahn said. “But the social aspect of car collecting, with people collecting with other car collectors, is very important. That I think that will come back.”