Pronoun "it" for this and that?

Hi. Please help. Let's say a person sees a fancy car that look like his while walking with his wife and says this to wife, "Look, That's a great-looking car. It looks like mine." Is the pronoun "It" correct? How about if he sees a fancy brand new bike that looks like his right in front of him and says this to his friend next to him, while pointing right at it with his hand," This is a great-looking bike. It looks like mine." Is the pronoun "It" correct? Thank you in advance for your help.