Along With Other Avenues To Invest In Education
But don’t give up hope, here are ten unusual and often profitable investment opportunities to offset these prices and lessen these arrears before and after graduation:
#1 – A Student’s Best Friend
After Marilyn Monroe shined in the 1953 classic “Gentlemen Prefer Blondes,” singing the classic “Diamonds Are A Girl’s Best Friend, this iconic moment continues to live on throughout history and appear in today’s modern culture. But did you know that investing in these precious gems often holds a higher ROI than more traditional methods? While interest on most CD rates muddle under 2% annually, according to experts, the prices of diamonds increase at an average of 7% annually in the United States and as high as 37% overseas in places like India.
If you’re lucky enough to already have some diamonds, hang onto them as a possible gateway into a University education. If college is still a long way down the road, consider investing in these precious stones to get a bigger bang for your investment buck.
#2 – Buy Income Property In A College Town
The great thing about buying a rental unit in a college town is that you’re more likely to have a steady stream of tenants, even in summer months. When the time comes to enroll, the student can live there instead of the dorms and the property can be later sold to offset student debt.
Here’s a tip about renting to students, try to avoid an all female crowd, as they often ask for too many simple repairs, or an all male residency as they can be more destructive. A mixed group will often find the men looking after the women, the girls fulfilling a caregiver role, keeping the property cleaner and more presentable.
#3 – Invest in Storage
According to the Business Insider, investing in self-storage units have shown some significant, double-digit returns over the past few years. For example, in 2014, three year annualized returns were in the 20% range, while a one year term yielded more than a 15% return. They also pointed out the best companies with the highest returns over a three-year period:
- 36.7% at Space Storage, Inc.
- Sovran Self-Storage reported a 27.2% return
- 21.3% was found at CubeSmart
Where Warren Buffett finds investment opportunities:
#4 – Vintage Stamps and Rare Coins
Business Insider also revealed some former hobbies that have become smart investments, specifically when it comes to collecting rare coins and obtaining vintage stamps. Maybe you collected these as a child and they may have gained tremendous value over the years. Generally speaking, when it comes to a rise in value, check out these returns:
on average have experienced a 10.1% increase annually and enjoyed a 13% raise in their value over three year’s time. In some instances, coins from the middle ages have gained over 20% of their worth over time.
averaged a 2.6% rise in value over a year and 5.4% over three years. Some extremely rare postal pieces from the eighteen hundreds have quadrupled in value over some three-year periods.
Remember these are rare coins and stamps, vintage and specialty pieces and are not simply pocket change and purchases made from the local Post Office.
Moving forward past these top four venues that are definitely worthy of further exploration, here are another half-dozen that should garner some additional consideration:
#5 – Clean Out and Clean Up
Having regular garage sales, clearing out that old attic space, discarding unused, unwanted items and selling them at yard venues can add up quickly. Invested over time, you might see some interesting rewards.
#6 – Similar Sales
Consider starting an online business selling items on popular auction sites like EBay. Like they say, one person’s trash is another’s treasure and this has been a lucrative business for thousand (even millions) of unlikely entrepreneurs over the past few years.
#7 – Resales and Upselling
Much like the options offered above, searching and finding castaway items that are worth more than the seller is aware can be a goldmine for those with a keen eye. On the other side of garage sailing, hitting up yard sales, auction sites and other venues, people often cast aside items without knowing their true value. Finding and purchasing a some choice items can offer a significant ROI when resold.
#8 – Vintage and Antique
Similar to our previous topic, but in a different light, you don’t necessarily have to strike it rich when finding a needle in a haystack. For example, even if you don’t find that “diamond in the rough,” certain vintage pieces like costume jewelry, can still fetch a pretty penny when bought on the cheap and sold on higher-end markets. Given the recent trends in “shabby chic” and retro interests, these small investments can come with big rewards.
#9 – Hobbies Turning a Profit
For parents, as our children continue to age, their outside activities give us more opportunities to pursue our own interests. Not to be sexist, but perhaps the father figure enjoys woodworking and Mom is making quilts on the side. These handmade, custom pieces can turn a handsome profit if sold on the side.
#10 – Don’t Discount or Disregard Tradition Venues
Even though it goes against the topic of this piece, CD’s and other long-term, yet low-yield investments, are still safe and secure, but they don’t offer the higher results as some riskier ventures.
As with any risky endeavor and potential investment opportunities, make sure you do your homework first (pardon the pun) and discuss any possible ventures with a professional financial advisor.