Investing is a long game. You buy small and sell high, ideally, and cash in big along the way. And when you reach the day when you get experienced at flipping investments into profit, your eye can start to wander over to more luxurious heights. After all, the luxury market is wider than ever, and diving in head first is all too tempting. But for now it’s best to draw back a little and think about what luxury investment would be best for your portfolio. As such, here are some great options for helping you get used to the world of luxury investing.
Choose Designer Names Carefully
There are quite a few luxury brands on the market, many of which are in the fashion industry. Investing in items from these houses could net you a great return in a few years time. But which brands are best for building wealth in the long term? At current count, brands such as Louis Vuitton and Chanel are the top names for resale value. Buying pieces like handbags, and other accessories from these houses could earn you at least 20% extra on your original investment. Plus the longer you hold a piece, the more it’s going to be worth to future generations.
Think About Real Estate
Real estate is the obvious investment to consider here. The luxury real estate market has boomed over the past 5 to 10 years. Indeed, more and more investors are raking in cash from properties like mansions which they let in the long term. Get a million dollar plus property on the portfolio, ensure you’ve got control over the freehold, and then rent it all out! Of course, this is a huge upfront cost. But if you’re skilled in the real estate investment world, this could be your chance to take the jump to the luxurious level.
Classic Cars are Always Popular
Cars are valuable commodities in the first place. However, a classic car is a great luxury investment thanks to just how much value it’s gained over the years, rather than lost. After all, these are vintage pieces that are no longer manufactured. The rarer a car, the more you’ll earn when the time comes to sell. Models such as Ferraris from the 60s are prime examples here. Find one and keep it in good condition.
Diamond Jewelry are Worthy Rare Finds
A clear cut diamond is always going to carry a huge price tag. But the more colorful a diamond, the more valuable it is. For example, pink diamonds have a huge cut of the market thanks to their lower number. Blue diamonds are especially rare and can be sold for at least $15,000 at market value. Overall, investing in diamond jewelry is a relatively safe bet. But remember, the bigger the diamond, the more you’ll get for it!
Your first luxury investment should be a good one. Know the best beginner options to start working your way up to profit.