An alternative investment is gaining cult status among some Australians and it’s worth millions.
The market for heritage number plates has boomed in the last three years with NSW and Victoria neck-and-neck in terms of demand.
Heritage plates were the first 285,000 official number plates to be issued in each Australian state or territory and have become a hot commodity for keen investors and collectors.
They also fetch up to millions of dollars at auctions.
The rule of thumb is the lower the number, the higher the value.
For example, the last single-digit heritage plate NSW #4 sold for $2.45m in 2017.
The lowest digit plate to be sold in recent years in Victoria was VIC #14 in 2022, which attracted an eyewatering bid of $2.27million.
But getting hold of the plates is another story.
Ramy Attia, from Heritage Only, told 9news.com.au that low-digit heritage plates rarely go to auction.
“Single and double-digit heritage plates rarely come up for sale, as they are passed down to the next generation,” he said.
“It is common to come across low-digit plates which have been owned by the same family for 40-plus years.”
He said the plates appeal to many investors and collectors as they don’t attract taxes like other forms of investments.
They also make for a theft-proof investment, as the value lies in the title rather than the plate itself.
“There is no land tax, stamp duty, council rates or management fees which makes them a unique asset,” he said.
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“People see these plates as an investment plate and as a status symbol,” he said.
“It’s not the price of the plate that matters – it’s the opportunity to acquire it. It sets your car apart from the other cars in the club.”
The original number plates were reserved for VIPs and government officials in the 1930s before they were offered to auction in NSW and Victoria in 1983.
Stewart Kay, from Historic Plates, has worked as an auctioneer in the industry for decades, he remembers attending his first auction at the age of 15.
The now 53-year-old said demand suddenly boomed for heritage plates during the COVID-19 pandemic.
“During COVID we found a lot of clients were looking to buy plates because they were stuck at home, perhaps some clients weren’t having an expensive trip overseas and thought ‘I might buy another number plate’,” he told 9News.com.au.
“There’s a new generation of buyers, seeing these numbers on cars and wishing to have them themselves.”
Kay recalls the Q8 plate sold for $250,000 in Queensland around 10 years ago.
He estimates the plate could now be worth $1.2 million.
“It’s the title of the plate that is obviously valuable, the folks who own these special number plates have transferable title to them that over the years they have risen quite steeply in value,” he said.
“The plates are desirable from a prestige point of view, it’s like walking around with a Louis Vuitton bag or a Rolex on your wrist.
“A very valuable number plate on your car is very prestigious but they’re also spectacular investments.”
