You have probably heard of the increasing popularity of buying wine as investment property. Wine collectors have known for years that fine wines have this potential. Some made this discovery quite by accident, possibly by selling off a few bottles from an overstocked cellar only to be amazed by the profit they earn. There are many wine merchants who will gladly make some recommendations to you but you would be better advised by completing your own research. If you choose to invest in individual vintages of wine, you may find that you enjoy it as a hobby as much as you do as a business venture.
Reasons to buy wine as investment property
First, you can buy fine wines as a drinking investment. Buying young wines at the release price and allowing them to mature will save you a small fortune on your fine drinking wines. You may also buy wines for the sole purpose of selling them at a great profit later on. Since many high quality wines are produced in very limited quantities, there is an increasing demand for them across the planet. This provides an excellent opportunity for investors to see a great return on their money.
Essentials of buying wine as investment property
Be aware of the wines that are most sought after and their fair market values. You can get information from the London International Vintners Exchange index, which keeps a list of the current values of the top 100 most coveted wines. Also, when purchasing wines in Europe, make sure to purchase them ‘under bond’ to defer sales tax. Be sure the wine has been correctly stored in a professional facility as well. Improperly stored wine will rapidly lose value.
As in all things, when purchasing fine wines for investment, advice should be sought from experts.
Choosing the best wine investment can be difficult, so careful consideration is crucial. Your questions on the best wine investments will be answered by our industry experts, free of charge.
Best Wine Investments for 2018
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