Used car prices are based on market demand. If people are paying the prices, then they must be worth that, otherwise people would not pay for something that was not worth that much to them.
Old luxury cars are great for collectors, because they are often cheaper to buy and insure, compared to sports and muscle cars.
Amen to that, ALL the older luxury cars are starting to become more desirable to collectors, especially body on frame models.
Take a look at the last generation rear-drive GM LeSabres, Electras, Delta 88s, 98 Regencys etc. etc. Ones that are for sale in top shape are selling for the same, and if not, more than the factory dealer price.
I bought my 1996 Town Car 5 years ago for $4,000, which actually was a steal, and it doesn't owe me a dime.
Better to spend big bucks on a old luxury car like a Town Car, than spend the money on a new Civic.
Very true on all aspects. However, remember, always think about getting good stuff for as cheap as possible. I'm not talking about buying junk. I'm saying that people shouldn't accept paying such high prices for things that really aren't worth much any more due to depreciation.
I think these cars are awesome in every way, however, I've seen some being priced as high as $9,000. That's really a rip off. Thankfully people have the luxury of haggling, but that's really ridiculous. Always think about getting the steal for the money, especially in this economy.
Well, like I said, demand drives the market (automotive or any other). The older these get, the harder it will be to find ones in low mileage excellent condition. That is why you see classics from the 50's and 60's going for over $100,000, many times their original value. There will most likely never be cars like this on the road again, that is why people want to collect them, they represent a very unique time in automotive history. Cars today for the most part will never be collected.
Today's cars, even cheap grocerie-getters, will find their collectors. The reason is not so much the cars, but the memories people have associated with the cars. 30 to 40 years down the road, people will see a Camry, Grand Am, Dodge (you fill in whatever) and say: "I had one of those, and I had a grand time with my buddies / girlfriend / soccer team / base ball team / college pals (again you fill it in) tooling around in it".
And those who have the funds and space will buy one, and go to a "you name it meet".
On the surface, collectors care about the cars, but it is all about nostalgia.
Dude, I just bought a 1984 Town Car in almost showroom condition with only 65,000 on it for $850. Everything works and it's perfect. You can get these cars cheap, but you have to know where to look, and have a bit of luck on your side as well (a lot of the cheaper cars are absolute junk).
My advice is avoid the dealerships at all costs. They really overcharge on their cars when you can get the same or even better off of private party sales for a lot less. Plus, based on my experience with buying from dudes you find on sites like Craigslist, the people selling their cars are usually a lot more honest about the condition of the vehicle than any dealership.