Investing in assets that appreciate over time is a wise move because it means their value increases. The hope for many people is that their investments will be worth enough that they can live comfortably by the time they retire. But, unfortunately, this hope is only turned into a reality if the person invested in things that appreciate.
We’ve come up with a list of assets that appreciate over time. Investigate each one thoroughly before plunking your hard-earned money into it. As always, investments can go up and down, and there’s no way to guarantee that an investment will increase in value.
Table of Contents
25 assets that appreciate
1. Real Estate
Investing in real estate is almost as old as civilization itself. For thousands of years, people have used real estate to store and protect their wealth. Even today, with all the technological advances we’ve made, people are still attracted to the thought of owning their own home.
Investing in real estate is one way to get passive income. If you purchase a piece of land or an apartment complex, for example, you don’t need to work on it. Someone will do the maintenance and pay the bills. Your job is to continue collecting rent money.
Gold has become a popular investment over the years. However, it is a bit of a gamble because gold is not as steady as other assets. Gold prices can easily fluctuate as the market changes.
Gold has historically been a solid investment because it never goes out of style. People will always need gold for jewelry, electronics, and other uses.
Silver is another good investment because of its industry value. It is used for jewelry, electronics, and other items but, unlike gold, it isn’t something people need to survive. This means the demand for silver may not be as high as gold.
Investing in stocks is another way to invest in assets that appreciate. The stock market may be volatile one day and stable the next, but, over time, it has proven itself to be a solid choice for investments.
Bonds are another kind of investment that appreciates. They allow you to purchase a bond for a specific amount of money, and, in return, you receive interest payments. The longer the bond is held, the more interest is received.
Art is another type of investment that appreciates. It can be valuable even decades after it’s created because of its unique value. A piece of art can be purchased for relatively cheap and, over time, it will appreciate in value.
Also, consider using art as a way to diversify your portfolio. Investing in art gives you more options.
Land can be acquired and then developed, something like a building lot. The most profitable investment is a single-family house because they appreciate over time and are not expensive to buy.
Collectibles are an exciting choice to invest in. Unfortunately, you won’t get to live with the item; you’ll have it as a keepsake or something to display. Over time, collectibles might stay in value, or they might depreciate. The key is to look for collectibles that have a solid history of appreciation.
9. Vacation Homes
Consider buying a vacation home. You’ll see an appreciation in value, even though you won’t have to work on it. Just be sure you understand the tax implications before making such an investment.
Also, if possible, buy a vacation home in an area known for lots of people visiting. Properties in vacation hot spots are known to increase in value, and you’ll be sitting pretty in a few years when your investment matures.
10. Vintage Cars
Vintage cars are a fun investment because they help you relive the past. They can be expensive to buy, however, and they require time and money to maintain.
The best vintage vehicles are those with original parts. You should park your vintage car and look at it. If you drive it too much, the miles will make the value drop.
11. Real Estate Investment Trust
REITs are a type of mutual fund that invests in real estate. Unlike real estate investing directly, you can invest in a REIT through your retirement account or company pension plan. It’s a safe and conservative investment and, as with any investment, the more you buy, the better your return will be. Find out more about how to invest in REITs here.
Farmland is a good investment because it lets you create a business that will cash flow. If you can learn how to run a farm properly, it can be an extremely profitable venture. However, it does require labor and time.
You can always lease or rent your farmland. This allows you to make a profit and still not have to manage the farm directly.
Diamonds may seem like a risky investment, but, in reality, they are a solid and very safe investment. This is because there is no more secure investment than the precious diamond. You know that for years to come, your diamonds are going to hold their value.
14. Collectible Coins
Collectible coins are another excellent investment because of their historical value. People will always invest in currency, so people will turn to collectible coins if the economy is unstable. As a result, many collectible coin owners have seen their investments rise over time.
Bitcoin is a very new asset and, as such, has skyrocketed in value in the past few years. It’s not yet guaranteed that Bitcoin will continue to rise for the long haul, but this could be an excellent and profitable investment if it does.
16. Foreign Currency
Foreign currency is another kind of investment because it can be traded for dollars at a later date. You can choose to trade foreign currency as a short or long-term proposition. This means you either sell the foreign currency quickly or hold onto it for as long as possible.
17. Dividend Stocks
Dividend stocks are another kind of investment that has historically been a solid choice. While they may not go up in value, the dividends will keep coming in at a steady rate.
18. Mutual Funds
If you want to invest in a mutual fund, you can choose from a variety of options. You can see the different funds available for your retirement plan and decide which one makes the most sense for you.
19. Certificates of Deposit
Certificates of Deposit are a safe choice. They are guaranteed to give back their original value and interest. While they may not go up in value, they won’t ever drop in value.
Insurance isn’t investment as much as a way to protect your assets. If an item is insured, it can be replaced if it is lost through theft or damage. It doesn’t go up in value, but you won’t lose money as long as it is insured.
21. Be a Silent Partner in a Business
If you have the money to put into an investment, consider being a silent partner. You can invest in a business, and they can operate it while you collect the profits. It’s an excellent way to get involved in the business world without having to manage things directly.
22. Buy jewelry
Buying jewelry is a good investment because it’s beautiful and it lasts. You’ll want to keep it safe in a lockbox or some other place where you know it won’t get damaged or stolen. It’s rare that jewelry wouldn’t go up in value over time.
23. Collect Wine
Wine is a classy and delicious beverage that people drink all over the world. Many people will buy wine as an investment, especially if it’s rare or one that takes a long time to age. Therefore, it should go up in value over time.
24. Invest in a Strip Mall
Strip malls can be a good investment because they are always needed. They are a safe choice, and you’ll see them going up in value for years to come. Location is key to getting as much money as possible over the long term out of your strip mall.
25. Buy an Annuity
An annuity is a contract that sets out the terms of the payment and the timing. It’s like a series of payments that will keep coming in for as long as you live. It can be a good investment because it can completely fund your retirement.
You can invest in assets that appreciate in lots of different ways. What works best for you may be a combination of things that are suggested. Remember to focus on your goals and what you really need money for. Then, think of creative ways to earn money.
Investing can be a very rewarding and exciting way to use your money. However, once you decide on an investment, start researching, reading, and learning about it so you can learn how to make the most of your investment.
These are just 25 examples of assets that appreciate over time. While it may sound tempting to jump into these, never invest in anything you’re unsure about. If you’re interested in an investment, do your research. Be sure to learn about how it works, if it’s a safe choice and how much of a difference it can make for you in the long run.