Value of my car?

[rfalker1]

Question when figuring out how much spent on your car, in order to figure out how much your car is worth. Is it smarter to claim MSRP prices or the bargains that you payed for the individual pieces?



I am trying to really understand the value of the parts i bought for my car

[JJEH]

That's a question you never get a 100% answer for...

Sure, you can add up all the MSRP's and ask for the money when you sell it.
But you always need a person who is willing to pay what your asking for!

Say for instance you built a nice muscle car with good parts from good brands.
If you wanna sell it is one story. The other story is to find a buyer.

I bought 18" wheels (couple years ago) and sold them after using them for maybe 6 month for 50% less than MSRP. They had no scratches nothing. But as soon as you install/use the part the value goes rapidly down...

How good is the value if nobody wants to pay it?

[parsonsj]

Dollars spent on your car rarely matches its value. There are many variables to determine value: of which the most important, by far, is what will another pay for it?

Adding up the purchase prices of aftermarket parts has its place, but the overall integration of those parts is more important than how much they cost.

It's the difference between replacement cost and current value.

The only way to determine a car's value at any point in time is to take it to auction. Then you'll know the car's value that day at that time.

[Vegas69]

Dollars spent on your car rarely matches its value. There are many variables to determine value: of which the most important, by far, is what will another pay for it?

Adding up the purchase prices of aftermarket parts has its place, but the overall integration of those parts is more important than how much they cost.

It's the difference between replacement cost and current value.

The only way to determine a car's value at any point in time is to take it to auction. Then you'll know the car's value that day at that time.

Easy for you to say!

[rfalker1]

I mean for insurance purposes

[MuscleRodz]

I mean for insurance purposes

insure at agreed value for what it would take to replace the car 100%. You can't replace buddy deals or good buys on parts on the next one

[parsonsj]

I mean for insurance purposes

Ah. Well that's useful information. You need to talk to your insurance about agreed value. It's more expensive, but that's what you need. Then you provide a number, some pictures of the car's current condition, and away you go. Some companies won't insure a agreed value, some will. Some will want an independent appraisal, others won't.

[Flash68]

Other than JP's Nova, your value for "insurance purposes" will be approx 1.5 to 2x the "market value" of your car. That is reality.

[rfalker1]

ok, that's what I needed to know ;) Thanks for all the advice.

[trapin]

List it on eBay with reserve set at a ridiculously high amount. Put it out there for 9 days. When the auction ends you'll be pretty close to what the car is worth. At least ball park.

[Vegas69]

I disagree....

[KacyZ28]

for insurace reasons get it insured for more than what you have in it, because you know after its done the price in parts is going to go up so it will cost more to replace it.. I been saying for years the value of a car is what someone is willing to pay for it.

[Chad-1stGen]

I say try a d insure it for what it cost you to build but don't be surprised if they won't.

I tried to price out the classic insurance AAA started selling which has agrees upon value. We couldn't agree upon a value lol. They didn't care what it cost me to build. They still did comp studies and would go up to the amount I wanted.


It does make sense from a fraud prevention stand point...

[cluxford]

I say try a d insure it for what it cost you to build but don't be surprised if they won't.

I tried to price out the classic insurance AAA started selling which has agrees upon value. We couldn't agree upon a value lol. They didn't care what it cost me to build. They still did comp studies and would go up to the amount I wanted.


It does make sense from a fraud prevention stand point...

Likewise, I tried 5 different insurance companies many of who say they specialise in agreed value for highly modified classic, performance and sportscars. As my car has way way too much $$ in it as I completed outsourced the build so labour expenses were huge here are a couple of facts:
1. No such thing as "agreed value" ...it's are they willing to cover you for that amount (as Chad says...risk of insurance fraud)
2. When in build they will NOT even insure you for the sum of the parts...they will ONLY insure for it's resale value in it's current state...sold as a package...which is always less than the sum of the parts (see comment in earlier post about 50% MSRP on 6 month old "like new" wheels)

So in my opinion it really doesn't matter what you think your car is worth.

Buyers and Insurance companies - by the very nature of the transactions you are entering into with them - will always think it is worth a lot less.....

[greg5436]

Likewise, I tried 5 different insurance companies many of who say they specialise in agreed value for highly modified classic, performance and sportscars. As my car has way way too much $$ in it as I completed outsourced the build so labour expenses were huge here are a couple of facts:
1. No such thing as "agreed value" ...it's are they willing to cover you for that amount (as Chad says...risk of insurance fraud)
2. When in build they will NOT even insure you for the sum of the parts...they will ONLY insure for it's resale value in it's current state...sold as a package...which is always less than the sum of the parts (see comment in earlier post about 50% MSRP on 6 month old "like new" wheels)

So in my opinion it really doesn't matter what you think your car is worth.

Buyers and Insurance companies - by the very nature of the transactions you are entering into with them - will always think it is worth a lot less.....

i think you are wrong on some of your info on insurance. a couple weeks ago i started a thread about insurance on a car over 100k. had a lot of good advice and steve sent me a link about a article he wrote for a magazine about" stated value" and "agreed value".after reading his article and having state farm insurance on all my muscle cars, i started doing some investigating on this matter. i have never made a claim on a collector car so i was never worried and never had a problem on any claims i had on home or other personal insurance.
after talking to Morgan, an insurance broker from the east coast he explained alot to me also talked to MK insurance Elmhurst Ill. and talked to Tamara there.both had agreed policies so sent all info to both companies. both had no problem agreeing on the values i picked 40k to 200k.i have 7 different cars and 3 more in progress and they even offered to insure them while under construction. i got over 600k worth of agreed value insurance for 2k a year from MK.
well my state farm agent tried to talk me out of it saying the stated value was what i needed.i told him from what i read was it was the opposite.finally after he checked with some agents dealing with high end cars he said i was correct going with agreed value.
all this info came from Steve68ls1 article and i thank him for sending it to me. i thought i would share this info that i learned from others.i am 48 years old and live in midwest and have a secured garage so this could be why my premiums are very reasonable.

my last car [most expensive] was outsourced also and that does add to the high price of the build,never found anyone that was really skilled that was cheap. greg

[cluxford]

i think you are wrong on some of your info on insurance. a couple weeks ago i started a thread about insurance on a car over 100k. had a lot of good advice and steve sent me a link about a article he wrote for a magazine about" stated value" and "agreed value".after reading his article and having state farm insurance on all my muscle cars, i started doing some investigating on this matter. i have never made a claim on a collector car so i was never worried and never had a problem on any claims i had on home or other personal insurance.
after talking to Morgan, an insurance broker from the east coast he explained alot to me also talked to MK insurance Elmhurst Ill. and talked to Tamara there.both had agreed policies so sent all info to both companies. both had no problem agreeing on the values i picked 40k to 200k.i have 7 different cars and 3 more in progress and they even offered to insure them while under construction. i got over 600k worth of agreed value insurance for 2k a year from MK.
well my state farm agent tried to talk me out of it saying the stated value was what i needed.i told him from what i read was it was the opposite.finally after he checked with some agents dealing with high end cars he said i was correct going with agreed value.
all this info came from Steve68ls1 article and i thank him for sending it to me. i thought i would share this info that i learned from others.i am 48 years old and live in midwest and have a secured garage so this could be why my premiums are very reasonable.

my last car [most expensive] was outsourced also and that does add to the high price of the build,never found anyone that was really skilled that was cheap. greg

Interesting, but I am 100% right on my info..trust me. Difference is I live in Australia. I have spoken to many many people on various sides of the insurance equation about this.

[greg5436]

i am sorry,i did not know you were from Australia.i know you guys are into all types of muscle. i have sold a 275 top alcohol dragster and mine friend sold the Bull Dozer monster truck to someone over there. greg

[rfalker1]

I had talked to Morgan too, great guy. I had started this thread to try to find out about the part situation, and it seems it has taken slightly different spin. P.S I want to come to Australia