Are luxury watches the best investment ever?

[Kamikaze]

Probably 

 

Nah but seriously, anyone else made money out of buying luxury watches? I have been offered 10% over the price I paid from a trade in at a main dealer.

Surely there are many more people out there who made some cash while also wearing a top class watch.

Let's hear your watch stories!

 

 

[kimchi]

Maybe short term there's good profit (?)

Long term - no.

[Roy]

Ask the person you did a trade in with! 

edit: I read your advert and now understand 

 

[Kamikaze]

7 minutes ago, kimchi said:

Maybe short term there's good profit (?)

Long term - no.

Curious why you think not long term?

An old Rolex for example still sells way above the price it was purchased for. It looks to me like the first year there is a hit, then it basically goes up with at least inflation. 

Isn't that the aim of gold and silver stacking? Insurance policy type of investment.

 

7 minutes ago, Roy said:

Ask the person you did a trade in with! 

 

That's a company, I would make 10% but they will sell it on at a profit and effectively gain a 25% increase on original purchase price. £4k original purchase and they will sell for £5k+

[kimchi]

10 minutes ago, Kamikaze said:

Curious why you think not long term?

An old Rolex for example still sells way above the price it was purchased for. It looks to me like the first year there is a hit, then it basically goes up with at least inflation. 

Isn't that the aim of gold and silver stacking? Insurance policy type of investment.

I may be wrong and the 'money-men' will 'magic' a solution (however temporary) medium-term, but there will/have got to be be serious financial troubles coming soon imho, and if so as soon as it hits this sort of item will be out of reach (or not even a consideration) for the 'aspirational' folk these currently sell to.

Call me pessimistic (and I hope to be wrong) but hard times will be coming in the next five years I think, and these types of things will be the first off the shopping list.

(I am looking at the UK market for people I know who e.g. always have a top of the range new car on credit, an amazing house with a mortgage, never settle for less than designer clothes, etc.)

If you can flip short to medium term (and always have your back covered) then all's good (maybe/hopefully).

 

[Kamikaze]

19 minutes ago, kimchi said:

I may be wrong and the 'money-men' will 'magic' a solution (however temporary) medium-term, but there will/have got to be be serious financial troubles coming soon imho, and if so as soon as it hits this sort of item will be out of reach (or not even a consideration) for the 'aspirational' folk these currently sell to.

Call me pessimistic (and I hope to be wrong) but hard times will be coming in the next five years I think, and these types of things will be the first off the shopping list.

(I am looking at the UK market for people I know who e.g. always have a top of the range new car on credit, an amazing house with a mortgage, never settle for less than designer clothes, etc.)

If you can flip short to medium term (and always have your back covered) then all's good (maybe/hopefully).

 

 

A view that will get many people who agree on a silver stacker forum for sure. I also agree with you that financially we are a basket case presently and also doubt any magic solution will occur. A new great depression or runaway inflation seem the only options to me.

However, not every country operates in massive amounts of debt. China and Russia have a great appetite for "middle class" goods and also carry much more sustainable debt levels. Unfortunately I imagine the next great collapse to be a western one with UK, USA and Europe all going through terrible contractions and Russia and China growing quite well and BRIC's nations taking the mantle from the Petrodollar. 

Which is why I think we are desperately trying to trade or physical war with these nations. They have our number, we have no way out. 

 

Anyway bringing it all full circle to fancy watches, Chinese and Russians love their trinkets and have burgeoning middle classes with a much larger consumer base than the west has or ever had. Now, whats Chinese for Rolex....

[tbone]

I think you'd probably need Patek money to really have a go at a real investment.  Way out of my reach though. 

[sixgun]

i bought a Rolex Double Red writing Sea dweller in about 2005 for something like £6k. i didn't realise it was a collector watch when i got it, i just liked it.

i haven't worn it in years. They seem to sell for about £18k now.

[kimchi]

9 minutes ago, sixgun said:

i bought a Rolex Double Red writing Sea dweller in about 2005 for something like £6k. i didn't realise it was a collector watch when i got it, i just liked it.

i haven't worn it in years. They seem to sell for about £18k now.

But not for long I think (the topic of the thread), do you?

[sixgun]

3 minutes ago, kimchi said:

But not for long I think (the topic of the thread), do you?

Then i will sell it to a Russian.

[Kamikaze]

28 minutes ago, sixgun said:

i bought a Rolex Double Red writing Sea dweller in about 2005 for something like £6k. i didn't realise it was a collector watch when i got it, i just liked it.

i haven't worn it in years. They seem to sell for about £18k now.

 

Great buy! Well done ?

[Kamikaze]

15 minutes ago, sixgun said:

Then i will sell it to a Russian.

And the Chinese will love a double red too. How much more lucky can a watch get!

[kimchi]

48 minutes ago, sixgun said:

Then i will sell it to a Russian.

I am sure we are all the wiser for that huge insight in response to a reasonable question (well I thought it was anyway, but I could well be wrong - at least I offered that up as a possibility).

[sixgun]

10 minutes ago, kimchi said:

I am sure we are all the wiser for that huge insight in response to a reasonable question (well I thought it was anyway, but I could well be wrong - at least I offered that up as a possibility).

To be honest i didn't really follow your (reasonable) question.

These collector watches are quite volatile in price - a few years ago i think this particular watch changed hands for a lot more than i mentioned here. i don't know which version of this watch i have but looking at this page of sellers the lowest price equates to £24k. When i discovered it was a collector watch i was taken aback at how much they were selling for. As i say i just liked the watch and got it at a time when i had more money than sense. As far as this watch goes it has been a good investment but it is only a good investment when you have seized the gains you made.

https://www.chrono24.com/search/index.htm?watchTypes=&query=Rolex+Double+Red+Sea+Dweller&dosearch=true&searchexplain=1&accessoryTypes=&goal_suggest=1

[Lowlow]

3 hours ago, kimchi said:

Maybe short term there's good profit (?)

Long term - no.

Maybe really long term, like ... 500 years. lol.

[tbone]

Damn, this thread got me watching Archieluxury videos!   Where's the Pontiff when we need him?!?

 

[sixgun]

4 hours ago, MrGeorge said:

Flipping watches can be a nice littler earner but its like anything you need to know what your doing. Only two brands i would recommend are patek and rolex and even then alot of the models dont hold there value. Patek are obviously very expensive and the ones you want have a long waiting list, best to start with steel sports model rolex they always do well.

If you know any authorised dealers personally give them a call a ask about the steel Daytona you can flip them for around literally 50% the same day you get them. I have did it with one already and currently on 4 more waiting lists the now.

i remember talking to someone who was keen on Rolex watches and as i recall he said there is a waiting list to get the latest models.

So i take it you went and put your name down for a Rolex with an authoritsed dealer - you mention a steel Daytona Rolex. You got a brand new watch with all the paper work and then you sold it to someone who doesn't want to wait. 

Where did you sell the watch?

i am not sure i would do this but it is an idea and if you have made some good profits, well done to you.

[Augustus1]

I like  watches an have a few ( well now down to 12 ) its like anything else get to know about a subject and you can maximise the interest and with luck profit from it if necessary, pateks & rolex aren't the only ones to make money on, like precious metals, buy the right ones & buy them right and you will not lose money get enjoyment in owning/ using them and may in some cases come out on top,

just a point on Rolexes now, the ADs are now under instructions to with hold the warranty card for up wards of two years only releasing them to the original buyers and removing all covering stickers ! to get round the quick profiteers  & grey dealers cashing in , theory being you cant now advertise it being a "Full set" with stickers which always gave the watches a bit more value & credibility as being "new & unworn".

dean.m

[blindedbythelight]

I think long term potential my suffer a bit. My reasoning is because the habit of wearing a watch/certainly a mechanical one is not as fashionable as it once was, I have noticed less people wearing watches in general (everyone has a phone now for time etc).

Additionally a lot of people (even more so the younger generation) seem more interested in latest Apple/Samsung smart watch than traditional makes.

 

 

 

[Pipers]

On 03/05/2018 at 23:55, blindedbythelight said:

I think long term potential my suffer a bit. My reasoning is because the habit of wearing a watch/certainly a mechanical one is not as fashionable as it once was, I have noticed less people wearing watches in general (everyone has a phone now for time etc).

Additionally a lot of people (even more so the younger generation) seem more interested in latest Apple/Samsung smart watch than traditional makes.

 

 

 

You never know there maybe a vintage collector Apple/Samsung phone market in the future where the today price of £900 will be £5000 the millennials will set the price. ☺

I have never been an owner of a Rolex or a Patex as far as investments go in the auction houses watches are hot even compared to 2years ago, the watches that sell are the watches that have all the documents even the receipt, I have seen Rolex not sell at what I would call a cheap price.