It is commonly known that the value of the number plate on any vehicle may actually be worth more than the car itself as depreciation continues to occur.
Private vanity plates, or number plates, will have sequences of numbers and letters that can be configured in phrases, initials, as well as words and names and can be tinted number plates.
Is it possible, if you decide to invest in a number plate, for that vanity plate to increase in value over time as the years go by?
There are actually ways of predicting whether or not a number plate is going to increase in value, even over just a few short years, plus we will show you why this can be a fantastic investment for anyone:
Why should you invest in a number plate?
One of the primary reasons for doing so is that not one plate is the same as another, which means that it is virtually guaranteed to be unique until the end of time. Over the course of many years, the value of the plate will increase, especially at the desirability for what that plate represents also becomes more popular.
There is literally no stress at all involved in purchasing number plates that are private, and it’s also very simple to do. It doesn’t matter where you place the plate, or even if you drive the vehicle often or not, because it is the value of the plate itself that will increase and will be unaffected by your habits of driving.
Is This A Good Investment?
There are so many people, including celebrities, that are beginning to invest in number plates, primarily because the interest that they can earn from this type of investment can prove to be a good side income.
Let’s say that you have a number plate with the “ELV 1S” on it – if this was purchased back in the 1990s for £75,000, it will likely be worth £25,000 more as a result of appreciation, which means your investment has literally brought you 33% interest.
However, you really don’t need to invest in a lot of plates, or even wait a long time for your investment to become profitable.
Another example is a private number plate with “ATT I4H”, which was purchased in 2015, and subsequently sold months later for an 800% profit.
How Can You Estimate The Value Of Your Investment?
In most cases, a standard number plate is not going to appreciate in value like a private number plate would, especially if you only waited a few years before selling it.
There are certain letters and numbers that you should be looking for, especially as you are researching the different common names and phrases that many people will be looking for that can bring you a much higher return.
This could include:
Competition And Rarity
The popularity of any number plate has to do with its expected return, and this is the primary factor that you need to be focused upon.
Looking for numbers, letters, initials, and common names, are among the most popular searches for people looking to make this type of investment.
Number plates that have names such as Jane or John are likely going to be very popular and will have a very strong following. You can influence the high prices by obtaining those with names and recognizable phrases and numbers.
What Is The Impact?
The impact of any number plate is going to be directly in proportion to its overall value.
Let’s say that you have a number plate with “25 O” – which is incidentally, after looking at all of the UK auctions, the most expensive private plate ever sold. It was obtained for £500,000 in 2014, and it was because of the associated while factor that it presents.
A shorter plate tends to be much more valuable than one that is longer. People are prepared to pay large amounts of money to grab one, yet you can still get these for a reasonably low price and get a huge ROI just a few years down the road!
If you want to learn more about investing into number plates, you should contact Newreg.co.uk – this is an online seller who deals with private plates – and you should be able to find the exact one that you want today.