Safe is Your Investment?
In the last decade many owners
of Cackle Cars have been able to restore or recreate their cars
for a dollar cost that is quite reasonable. And even when the
owner or owners friends donate their time to the project and
parts have been "in hand' for a long time or are, likewise,
donated to the project, the actual costs of the project has no
relationship to the value of the finished product.
Recently an owner said he could
sell his running car for $50,000 and build two more with the
proceeds. This would be met with laughter from guys like Dave
West and Don Trasin who had Pat Foster recreate or restore their
cars, the Beebe-Mulligan car and the Jade Grenade. Costs for
a complete recreation done by a craftsman like Foster could exceed
six figures for a complete, painted, running car.
It doesn't matter, as long as
it doesn't matter. But, as we all know - "life happens".
If the car were stolen, destroyed in a highway accident, burned
in a fire or put up for sale while trying to establish a value,
neither the bare bones cost of an owner restored car like the
first example nor the final cost of the artisan built car accurately
reflect the current value. The obvious and best valuation
method is to actually sell it. That sets the value. But for sales
negotiation or the instances of loss of the vehicle, there is
a way to set a value that would also provide a basis for insuring
the car. It is an appraisal done by a qualified appraiser.
Recently, Ron Johnson, owner
of Cacklefest.com and two highly regarded cackle cars decided
that he wanted appraisals done on his cars. Ron wanted appraisals
that would reflect the true value of the cars for some
other purposes as well. An appraisal would also set a tax write-off
value for the cars as a possible donation to a museum someday
in the future. Plus, Ron wanted to be able to back up the "agreed
value" on his off-track insurance policy in the event of
a loss. Even with a "Stated Value" or "Agreed
Value" policy in-place, should the unthinkable happen, Ron
knew he could be asked by his insurer to provide verification
for that value. He felt it best to acquire a credible value before
Ron got in contact with Jon
Lundberg of Southwest Valuations in Arizona who had previously
done an appraisal for Bill Turney's restored Starlite III dragster.
Arrangements were made to get together at the 2008 California
Hot Rod Reunion in Bakersfield which was on both men's schedule
already. This would allow for some time to gather information
and take pictures for Jon without either party having to spend
extra time and cost of travel.
So that you might better understand
what's involved and how thorough the product is we have re-printed
Jon's report here for your information. Email Jon at firstname.lastname@example.org
for answers to any questions. Please consider this action. In
today's world it's as critical to your peace of mind as a Cackle
Car that runs.
Sample Pages From Actual Appraisal