Wine collecting is quite a prominent industry, and if you are considering starting the venture yourself, you may be undecided as to why you should start collecting wines. While you could start collecting as a personal hobby or grow your collection to eventually become a profitable stock of vintage wine’s that other collectors would pay quite a bit for, you can also collect wines as an alternative investment. Because particular wines are worth so much, investing in a wine collection can later pay off substantially. Here are the simple tips for wine lover’s.
However, regardless of why you want to start collecting wine, your collection won’t be worth many years down the line if you have not invested in the suitable bottles and stored them correctly. There are a few details to consider that will determine the end worth of your collection. So we have listed a few essential tips to help you start collecting wine the right way.
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Calculate Your Disposable Income
Whether you plan on starting big or small, you will need to budget accurately to determine your disposable income. It will be a financial mistake to ambition to collect the highest valued wines if your disposable income doesn’t allow the extra cost. Instead, it would be best if you determined how much you have to spend on your initial wine collecting costs, such as storage and your first few bottles. You don’t have to buy the most extensive storage setup out there, as there are innovative wine storage ideas and smaller storage setups that will let you start small and grow your collection as your budget allows.
Keep Track Of Your Collection From the Start
Whether you start with a few sought after vintage bottles or opt for alluring bottles from women winemakers, your collection will inevitably become exceptionally diverse as the years pass. There’s no doubt that when your wine collection gets more extensive, you won’t be able to keep track of your bottles simply by remembering which bottles you have. Instead, you should keep track of your purchases right from the start. You can log each bottle you purchase in a logbook and purchase values and other details of the bottle. Be sure also to keep any relevant documentation, especially when purchasing vintage bottles.
Consider Initial Purchase Value
The initial value of a wine bottle is significant to its end worth, even when stored correctly for several years. Some wines won’t appreciate in value unless they have other significance attached to their brand names. So, it is a worthwhile point to always note the initial purchase price before deciding to age the bottle for a profit or add to your unique collection. However, bottles that won’t appreciate in value shouldn’t be avoided as you can still enjoy a good wine with your dinner even though it won’t add vibrance to your collection. You could keep such bottles separate from the valuable bottles in your collection.
There’s a reason old timey wine cellars were built beneath home’s or restaurants instead of holding on display in entrance halls; temperature matters. Incorrectly storing your wine bottles at the wrong temperatures will render them worthless later on. Instead of storing your wines with display in mind, you should consider storage options that allow you to keep your bottles at a specific temperature; 55 degrees. The humid environment will allow the wines to mature as they should increase in value over time. In addition to this, you should avoid overhandling your bottles as they should be left to mature in their storage compartments rather than mishandling and shaken up from time to time. Over-handling your bottles will also negatively impact the maturing process of wine.
Opt For Routine Appraisals
Regardless of how far you delve into the wine collecting community and uncover info on the estimated value of bottles in your collection, you may never genuinely know the worth of your collection without having a professional appraisal done. So, it would be best if you opted for regular wine appraisals in which a professional will determine the actual value of your collection. What’s more, because accidents can happen, you will need an accurate estimated value to purchase insurance for your wine collection in the event of an unfortunate accident that destroys some or all of your bottles.
Purchase Insurance For Your Collection
As mentioned, accidents can happen that could leave your wine collection destroyed, such as home fires, break-ins, and various others. Instead of assuming your collection is safe just because you are taking all the necessary measures to keep your bottles safe, you should ensure your wine bottles with the help of an appraiser. You should also update your collections value regularly with your insurer as your bottles appreciate over the years so that you can claim the actual amount of your loss instead of a minimal estimation.
Always Determine Authenticity Before Investing
As the age-old saying goes, ‘if it seems too good to be true, it probably is.’ This is especially true to purchasing wine for any collection. If you stumble across a seller or retailer offering supposed vintage or saught after bottles for a great price, it will be worth your while to certify the seller’s authenticity. Whether an individual or an online retailer, scammers are everywhere, and it can be devastating for a seasoned wine collector to realize later that that bottle of wine they purchased for a steal is worthless, even if you don’t run at a loss. It would be best if you also determined authenticity before purchasing any bottle of valuable wine when adding to your growing collection of wines.
Starting a wine collection can be exceptionally exciting for any wine lover. However, if you don’t start collecting the right way, your wines will later be worthless. So, before you get started, you should pay special attention to the storage and temperature of the storage environment. Once you start buying bottles, certify each ones actual value and buy bottles that have significance.