Aero 8 Residuals Revisited
Discussion
It is a fast moving world. It can change in a week!
The decision is no surprise to MMC cognoscenti as MMC price/cost dynamics made the decision inevitable.
The move should happily effect the re-sale value of existing Aero 8s and address many of the issues discussed on the recent thread here. Nothing affects prices more beneficially that its manufacturing demise.
With the end of the model range, all Aero 8s have become collector items and inventory of new and used is now delineated. This should steady present Aero residuals, and cause them to climb over time (assuming they follow the path of other discontinued Morgan models such as the Plus 8.
Plus 8 residuals (appr. 5200 cars made from 1968-2004) have been rising steadily in the last 2 years, and continue even now. Resale prices are up 25-35% on decent examples. Considering that there are much fewer Aero 8s, one can hope that an upward effect will begin with less of a delay. At the moment, there are more Aero 8s for sale on the Morgan Motor Company "used car finder" than Plus 8s! My guess is that will change soon.
The market may also associate Aero 8s with the newly unveiled Morgan which will retail more than double the average original new car price of the Aero 8s. If this new car proves successful (and it's a stunner!) an association with a much dearer model will also put upward pressure on used Aero 8 prices.
If I had an Aero 8, I would hold it a while before selling. If I wanted an used Aero 8, I would be negotiating NOW. My guess is that the present market will start settling...
Lorne
gomog said:
Everyone is asking all sorts of prices..but they are not getting them. At the moment, it is a buyer's market and no one knows what a car will sell for, and that includes the dealers.
My guess is that this market will endure at least a year. Don't be in a hurry. (Posted April 7, 2009)
A new, very vital factor will now influence the Aero 8 residual market. The Company announced to its assembled dealers yesterday that it will discontinue the Aero 8 line. A new car will be sold in its stead, roughly based on the Aeromax coupe, but significantly altered. My guess is that this market will endure at least a year. Don't be in a hurry. (Posted April 7, 2009)
The decision is no surprise to MMC cognoscenti as MMC price/cost dynamics made the decision inevitable.
The move should happily effect the re-sale value of existing Aero 8s and address many of the issues discussed on the recent thread here. Nothing affects prices more beneficially that its manufacturing demise.
With the end of the model range, all Aero 8s have become collector items and inventory of new and used is now delineated. This should steady present Aero residuals, and cause them to climb over time (assuming they follow the path of other discontinued Morgan models such as the Plus 8.
Plus 8 residuals (appr. 5200 cars made from 1968-2004) have been rising steadily in the last 2 years, and continue even now. Resale prices are up 25-35% on decent examples. Considering that there are much fewer Aero 8s, one can hope that an upward effect will begin with less of a delay. At the moment, there are more Aero 8s for sale on the Morgan Motor Company "used car finder" than Plus 8s! My guess is that will change soon.
The market may also associate Aero 8s with the newly unveiled Morgan which will retail more than double the average original new car price of the Aero 8s. If this new car proves successful (and it's a stunner!) an association with a much dearer model will also put upward pressure on used Aero 8 prices.
If I had an Aero 8, I would hold it a while before selling. If I wanted an used Aero 8, I would be negotiating NOW. My guess is that the present market will start settling...
Lorne
Gassing Station | Morgan | Top of Page | What's New | My Stuff