Will my watch increase in value?
The average watch bought in a department store or jewellers will obviously not go up in value. It is only luxury watches from top brands such as Rolex or Patek Philippe that tend to see an increase in their worth. But even so, not every model these companies produce will go up in value.
Popular celebrities wearing certain watches can increase demand - from collectors and speculators alike - and therefore cause an increase in a watch's price.
Experts agree that watches traditionally hold their value better than most other investments even in an economic slump, and they estimate that the right watch purchased today can appreciate in value as much as 10-30% in ensuing years. Generally, it takes a few decades for a watch to accrue value, though.
For individuals who like to have fast access to their assets, a luxury watch is a fantastic investment opportunity. The nature of the market makes it possible to sell a watch fast. They are flexible assets that can be converted back into cash quickly and safely.
Buying watches pre-owned is often a great way to minimize your loss on a watch, since, just like with cars, watches tend to depreciate most rapidly once they are taken from the store and sold on the secondhand market.
Fine watches are a lot like luxury cars when it comes to their resale value: They depreciate for several years but, in the case of the most premium or rare models, they then begin to regain and sometimes exceed their original price. Take a look at ten of the most investment-worthy pieces.
Generally, the stronger the brand history, the more likely it will retain its value. If a strong brand helps the value of a watch, then a strong model in the brand will help even more. No one has ever lost money buying a Rolex Submariner, it has never gone down in value over time.
Rolex might be the most famous luxury watch brand, but it is not the highest-yielding investment. The number one spot goes to Patek Philippe with an ROI of 207% over the past five years. Rolex, which yielded 93% over the past five years, does not even take second place.
Watches absolutely can appreciate in value, especially if you choose a mechanical watch with a rather famous history. Ultra-luxury brands like Rolex, Patek Philippe, or Breitling tend to be the best for appreciation.
Unlike watches that are sold in Switzerland, which aren't really any cheaper (read this article to find out why!), Dubai actually offers luxury watches, especially Rolex watches, for a slightly cheaper price. However, the difference in price is usually only around $100 bucks.
Why are luxury watches increasing in value?
Luxury watch manufacturers produce a limited number of pieces, which tends to drive prices higher in secondary markets.
Well, assuming they're not all pre-sold already. And assuming you have a genuine passion and appreciation for Seiko dive watches. Then yes, absolutely. If you missed out on the chance to buy one of the first two re-editions, this is a great opportunity to make amends.
Generally, the stronger the brand history, the more likely it will retain its value. If a strong brand helps the value of a watch, then a strong model in the brand will help even more. No one has ever lost money buying a Rolex Submariner, it has never gone down in value over time.
Vintage watches keep their value and are often appreciated. Therefore, vintage watches tend to be a really healthy asset to have and enjoy. Vintage watches are often collectibles and highly sought after.
Luxury watch manufacturers produce a limited number of pieces, which tends to drive prices higher in secondary markets.
