Does Bourbon Appreciate in Value? Answered (2023 Updated) (2024)

FAQs

Do bourbons increase in value? ›

Whiskey bottles that were produced and sold prior to prohibition (before 1920) are some of the most collectible examples of bourbon bottles. The value of bourbon has increased over the years.

Whiskey is a great alternative investment asset, just like gold, wine, and real estate. Whiskey can preserve and even increase in value during economic instabilities, inflationary periods, and recessions.

The shelf life of bourbon isn't much different from the shelf life of whiskey, as a whole. Unopened, a bottle of bourbon won't go bad. You can store it for decades. But once a bottle of bourbon is opened, it's got roughly 1 to 2 years before it goes bad.

Bourbon Values Hold Strong

A barrel that cost less than $1000 as new fill Bourbon or Rye whiskey is today worth more than $2500 as 2 Yo and at least $4000 as 4 year old. For Investors this represents a solid appreciating asset class that is delivering 4 year IROI of well over 100%.

Yes, bourbon increase in value with age because older bourbon bottles usually have higher retail prices than the new ones. Older bourbons are rarer, and with this, it gives a higher value to the liquor. Can you make money by buying and selling bourbon whiskey?

Whisky can be a lucrative investment, with some rare bottles selling for hundreds of thousands of dollars. The market for rare and collectable whisky is growing, with many investors seeing it as a promising alternative to traditional assets like stocks and real estate.

Pappy is the holy grail of bourbons and very difficult to find.

What is the smoothest bourbon in the United States? ›

Bourbon does not expire, it can last indefinitely. The key is to make sure it's stored in a cool, dark place. If you have an unopened bottle of bourbon that's been sitting in your cabinet for years, it's still good to drink.

The aging process helps to calm the harshness of the alcohol and gives bourbon its distinct flavors. The longer the bourbon sits in the barrel, the more rich and complex the flavor profile will be.

So, How Long Does Whiskey Last? While whiskey doesn't necessarily expire, it does start to lose flavor and elements after it is opened. An unopened bottle of whiskey will last indefinitely if stored in proper condition.

Since 2010, prices for bourbon casks have appreciated on average 13.85% per year on average, depending on the distillery and age. In comparison to other asset classes, bourbon has outpaced nearly every other category.

While homeowner's policies cover certain types of damage or loss of your primary residence, it's not designed to cover most collections. You need an insurance policy that covers your whiskey collection, regardless of where in the world it resides, and whether it's at your residence or in transit there.

The most sought-after bourbon in the world, Pappy Van Winkle 23-year-old, begins life as 53 gallons of new-make whiskey at 114 proof. What's left in the barrel after 23 years is a mere 14 gallons of bourbon at around 135-140 proof. What makes it into the bottle is even less.

And we have some news to share regarding the latter—the partnership between Matthew McConaughey and Wild Turkey will end on December 31, 2022, although the fruits of this relationship, Longbranch Bourbon, will continue along its whiskey journey.

Which whiskeys go up in value? ›

Most collectible bottles are over 10 years old and value usually increases with the age of the whisky. Whisky over 30 years old is the most sought after as it is the rarest. Any whisky bottled at over 50 years old is highly desirable and a very limited number of distilleries have released whisky over 50 years old.

Springbank Aged 50 Years 1919 ($204,509, Christie's 2021) The Macallan Lalique Single Malt Scotch Whisky Aged 50 Years NV ($126,515, Bonham's 2019) Port Ellen Queen's Visit Aged 12 Years 1980 ($110,968, Whisky Auctioneer 2022) The Yamazaki Single Malt Whiskey Aged 35 Years NV ($74,477, Whiskey Auctioneer 2022)

No minimum age requirement

It can go for any amount of time. But, there are two exceptions to this – straight bourbon whiskey has to be aged for a minimum of two years, and bottled-in-bond must be aged for at least four years.

Empty bottles of premium brands of whiskey such as Pappy Van Winkle, Old Fitzgerald and Macallan are selling for hundreds of dollars on sites such as eBay, according to a report from the New York Times.

Most collectible bottles are over 10 years old and value usually increases with the age of the whisky. Whisky over 30 years old is the most sought after as it is the rarest. Any whisky bottled at over 50 years old is highly desirable and a very limited number of distilleries have released whisky over 50 years old.

Key Takeaways. Bourbon gets better with age when stored in barrels. However, do remember that bourbons will not get better once bottled because the aging process stops after bottling. The aging process gives identity and complexity to the bourbon whiskey.

For small distilleries, it is profitable to make money. Small distilleries now account for $450 million of the $450 million in sales. Assuming a 40% profit margin after raw materials are sold, a distillery can make $384/day. They can expect to make $96,000 per year by distilling for 250 days per year.