When most people think of investing in real estate, homes, mini-malls, or apartment buildings may come to mind first. However, that’s only the tip of the real estate investment iceberg. Consider the following offbeat real estate investing opportunities. These investments can provide a significant return in the long run and may very well alter your financial future.
1. Recreational Vehicles (RV). Believe it or not, RV rentals and sales is a very big market. With baby boomers leaning into retirement and young families seeking a way to lessen their vacation costs, many people are willing to buy or rent an RV.
- If you’re hoping to purchase an RV to save money on your family vacations, keep the RV until it makes sense to sell it. Make routine cosmetic updates to the RV throughout the years to match the expectations of buyers.
- Consider renting out the RV for a profit. The RV rental market is hungry with renters, but is much underserved. You can easily rent out a class C motor home for 7-nights for a minimum of $125 per night! If you’re fully booked every week out of the year, you can earn $46,000 in just one year!
- For a class A RV you can charge in upwards of $200 per night, or $1,400 for a 7-day week – which equates to $73,000 over the course of a fully booked year. Popup campers can be rented for as much as $75 per night – or just over $27,000 for a fully booked year.
- Even if you’re only able to rent out your RV for two weeks out of the month for $125 per night, you’re able to earn $23,000 per year!
2. Self-Storage. Self-storage is a big industry. The shaky state of the economy may be partially to blame, as the number of multi-generation homes and families downsizing their living quarters are increasing.
- The Self Storage Association reports that one in ten families rent out-of-home storage space. Typically, units rent between $50 per month for a small unit to over $200 for a sizeable storage unit.
- The cost of purchasing a self-storage facility varies widely. It can cost as little as $200,000 or as much as $3,000,000 depending on the size, location and demand for the service in the area.
- Keep in mind, aside from the mortgage, there is still overhead. Utilities must be operating in order to keep the storage facility at an acceptable temperature; this is to avoid ruined personal property. Also, employees might be necessary, as well as a security system. But as a whole, the investment generates fairly passive income.
3. Online real estate. Online real estate, otherwise known as websites, requires very little investment and can typically generate a good ROI overtime. Traditionally real estate is thought of as tangible, but don’t disregard the earning power of online property. When you consider that Candy.com sold for over 5 million dollars, online real estate has the potential for astronomical returns.
- Approximate startup costs are as follows: $10 for a domain name, $0-75 for a standard website template to over $750 for a unique website design, and content creation starting at around $15 for a quality article.
- The key to making money online is having high quality and a high quantity of content in addition to moneymaking streams like marketing other company’s products, on-site advertising, or product sales.
There you have it – three markets where the competition isn’t very fierce and the bar of entry is relatively low. By investing in any one of the three offbeat investments mentioned, you’ll have the opportunity to maximize your investment dollar. And over time, you may be able to transform your investment into a fully expanded business.
One of the most important considerations when investing is to diversify so that your money isn’t all invested in a single basket. One investment that is well worth considering for your portfolio is purchasing gold and silver. You can invest in the actual metals, collectible coins, or in gold and silver futures, which is similar to stock investing.
Gold and silver investing isn’t for everyone, but this can be a solid investment strategy. Whether you’re collecting coins for the sake of an enriching hobby or for the investment value that comes from future resale, gold and silver can be quite advantageous.
Upward Trends for Silver and Gold
In recent years, gold and silver have both substantially increased in value. Since the year 2000, the price of gold has more than tripled. Since 2005, the value of silver has increased over 600%, doubling in price the past couple of years.
In contrast, the value of the US dollar has been falling. With the US government printing money in vast amounts like never before, the value of a dollar is predicted by many experts to fall further and faster.
As a result, many wise investors are putting part of their portfolio into silver and gold – both for their investment value and as a hedge against the falling dollar.
Here are some benefits of investing in gold and silver:
- Security. The investment can be physical rather than just on paper. Many investments are only on paper, such as stocks and bonds. They are virtual investments with nothing physical to back them up. On the other hand, a coin collection is something that you can hold and touch.
- Due to the physical nature of a coin collection, there is added perceived value because rather than just the value of the metal collection, you can determine the personal worth of your collection by the condition, age, and rarity of the coin in addition to the coin’s metal content.
- Proof mint, numismatic, and semi-numismatic coins are historically more valuable than bullion coins due to their intrinsic and collectible value on the market. Bullion coins are generally valued only by the amount of silver and gold in them.
- Even in times in the past when the US government has forbidden hoarding gold by its citizens, it has allowed the collecting of valuable coins because their perceived value goes further than just the value of the silver and gold in them.
- Many people collect coins not only due to their worth monetarily, but also because of the rich historical value that comes with each one.
- There are a variety of ways to invest. With so many different types of coins available, there are a wide variety of ways you can kickoff your investment. You can choose to collect historical coins, new coins, silver coins, gold coins, rare coins, misprinted coins or more, depending on what your individual interests are.
- If you let your personal interests guide how you invest in coins, you’ll end up with a completely unique and valuable collection.
- The investment can be liquefied easily. Although the amount of money you can receive by selling your collection will vary from coin to coin, a coin collection is generally something that you can turn into cash very quickly.
- Anyone can invest in gold and silver. It doesn’t take a lot of knowledge or experience to begin a coin collection: just a little bit of research, some planning, and a love of coins and investing. It’s a worthwhile investment for people of all walks of life – young and old.
Diversifying is important when it comes to investing. You should never invest solely in gold or silver, or solely in any other type of investment. Invest in several different types of investment vehicles, and your portfolio will be much stronger.