Once considered as frivolous, experts have now taken a complete U-turn and declared that designer handbags are guaranteed to provide a handsome return after a few years. Very recently, one of the classic designer handbags got auctioned at a price of £125,000. Would you still think it will be an utter waste of money if you spend a little fortune now and hit a jackpot a few years later with that same handbag? High-end designer bags have become a thing for the future now. The fact that people are always interested in buying antiques at a higher price is what will fetch more money for the handbag that you will be investing on now.
Investing in designer handbags – the better alternative
Traditional investment schemes have always revolved around real estate and gold. Some people also believe in investing in currencies. But the fluctuating prices always make this a volatile market and even though you may earn a lot of money in the end, it will take years to cash in on that investment. That is the reason why experts believe that investing in a classic designer handbag will be a better alternative. There are many reasons why they have come up with this solution.
● First, there are no headaches of having to think of currency fluctuations or the increase or decrease in the price of gold. This is a commodity whose price is only expected to increase irrespective of how the global economy works. The bag that fetched £125,000 a few months back was a blue crocodile-skin handbag from Hermes Birkin that had 18-carat diamonds and white gold studded at various parts of the bag. This is something unique and that is why it was auctioned at such a high price.
● Online antiques-trading entrepreneurs are of the opinion that designer handbags from the leading designers in the market are more likely to fetch thousands a few years later. They are calling these items “future antiques”. These bags may not seem to be collectibles now but their prediction is they will be worth a fortune in a few years.
● Another reason why classic designer handbags are fast becoming an area for investment is that they are not as expensive as investing in gold or real estate. The amount of money that you otherwise would have invested in various investment avenues is much more than what you pay for a designer bag. It is almost a fraction of the amount actually. But the rate of return is almost similar to what you would expect after investing in real estate or gold.
Factors that make classic designer handbags worth the money
There is no doubt that spending a fortune on a designer handbag will improve your social status. The quality of the bag, the design, and unique style makes it worth every penny you spend. But why are classic designer handbags becoming so popular that they are being considered as a valuable investment? Let’s find out.
1. The material with which the bag is made is not like the general bags that you find in the market. They are unique and that’s why the class and that’s why the huge sum of money. Just imagine carrying a designer bag made from real alligator skin. It would be a story to tell, right?
2. In addition to the outside material, the lining and the fittings that are used to make the bag is also highly expensive. Some of the bags may have rich velvet lining inside while the fittings may be made of shiny gold with actual diamonds studded just like the blue crocodile-skin handbag from Hermes Birkin. It is a complete package that makes the bag look so unique and different from hundreds of bags from the same brand.
3. The brand name is another factor that plays an important role in increasing the overall price of the bag. Big names tend to sell the bags at a much higher price and even though they may cost a fortune now, you can well expect to earn much more few years down the line.
Classic examples of designer handbags
There will be hundreds of examples that will give you a clear idea on why investing on designer handbags will be great but let’s talk about two of them for now, that is expected to earn as much as 200% and 300% profit after a few years.
a) Louis Vuitton Kusama Pumpkin Minaudiere Jewel bag
What happens when Louis Vuitton makes just 5 bags of a single collection? The answer is, they are priced at £105,476. Wondering what on earth makes these bags so pricey? The shape itself is something that will attract your attention. As the name says, this bag is shaped like a pumpkin and is made from metal and pure gold. The artist behind this bag is Yayoi Kusama, one of the most renowned bag designers in the world. Louis Vuitton managed to rope in his design and came up with this bag that was then priced at £105,476. But you will be surprised to know that the bag now has a value of £210,000. That is almost a 200% profit without any hard work.
b) Chanel Timeless bag
For those who can’t imagine spending £105,000 on a bag, there are cheaper alternatives too. The Chanel Timeless bag is a stunning masterpiece that was designed by the very popular Karl Lagerfeld. It is made of lambskin and comes with a caviar cast finish. But that’s not the point of the bag. The price when this bag was launched was just £4,830 and online antiques-trading entrepreneurs have said that the same bag is now worth £10,000. That’s like a straight 300% hike simply because of the style, design, and timelessness of the bag.
As you can see, classic designer handbags have become an amazing investment option for people these days. If you can save a few thousand bucks and want to earn a few extra thousands in the long-run, make sure you buy one of the best designer handbags from the leading brands in the world.