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Second hand Rolex as an investment?

by Renko Stoof on

Is Rolex a good investment?

Rolex investment watch?


We get this question all the time. I want to buy a Rolex as an investment, which one to you advise me? Let us start by saying that I personally do not see a Rolex as an investment. You need to buy it because you want to wear it and enjoy it. If you buy it just as an investment, what's the fun in owning one? But that's just my personal opinion. What a lot of people forget is the following(if you wear the Rolex): 

  • It can get lost
  • It can be stolen
  • You need to maintain it
  • It will be damaged with scratches, scuffs and dings

In order to mitigate these risk of devaluing your Rolex, you will need to have proper insurance for theft and losing it. There are insurances for this but they costs quite a bit which add to the costs of owning a Rolex. 

So if you want to buy the Rolex purely as an investment, then you need to store it and not wear it. This in my opinion is not what the watches are made for and takes the pleasure out of collecting Rolex watches. That being said, if you want to buy a nice collectors watch and have a steady value on it, Rolex is the way to go. 

Also what we do not know and what is very hard to predict is the way the prices on Rolex will evolve in the near future. As we have just seen with the new models(sept 20), prices of the discontinued models shot through the roof. We can not predict these rises and also there might be a correction on the watch prices if a crisis hits. So there are no garantuees that the watch you buy at price X, will be worth Y in ... many years. 

But still with all off the above being said. There are some Rolex watches which are better investments(if you want to call it that way) then others. We will outline a few models which in our opinion are very nice and we will expect them to keep a steady value in the future. 


The Rolex Submariner Date and No Date


Ok that's a lot of models, some of them more wanted then others. But in general both watches are usually always in high demand. The great build quality and durability of these models makes them suited as a everyday tool watch, look nice with a suit and under a sweater. It's been one of the most populair models that Rolex has on offer and althought the demand has been very high lately, they always keep their value and are either stable in value or increase in value. 


A good example is the Rolex 14060:



A good way to check the valuation of the watches is on chrono24. You can track there what you see here above and see for the last 10 years what the price has been doing. There are some crazy examples, like the Hulk which has increased in value highly because of it's high demand. 

As there are many Submariner models, i urge you to have a good look at what you want and check the valuation on Chrono24


The Rolex GMT 

Also a watch with a lot of variations and it's also very diffused in it's increase in value. I will take one example(not the extreme like the new pepsi, cause it's nearly impossible to get your hand on at retail). 

The Rolex GMT 16710 (pepsi or coke)

GMT 16710 increase in value

As you can see it's been steady in it's price increase and as it's a collectible watch with many variations, we expect the Rolex GMT Pepsi and Coke to be highly collectible in the long and near future. 


The Rolex datejust (Blue dial)


This steady legend is one of the basic models that rolex has to offer. although prices wont rise fast and it's not as rare as other models. It's a great way to start your Rolex journey and have a steady value. Especially the blue dials are always high in demand and will always sell fast. 

 

The Rolex Daytona


The most elusive Rolex in production. With the new model with ceramic bezel almost impossible to obtain at retail. I have spoken to dealers who get one every 2/3 years from Rolex. This in combination with a high demand means record prices for pretty much all models of Daytona. Be prepared to pay a high premium on both vintage and modern Daytona's. I think the value will stay stable and rise as the demand will continue and supply is very limited. But there is no garuantee that this will persist. But we think it will never decrease in value. So if you don't mind paying a premium and don't have the patience to wait for 10 years to get it at retail, it seems like a good investment. 


Other models:


I invite you to check out Chrono24 valuations of the watches you like. You will discover that there are many models that have a steady increase in value. With some exploding and others being steady. 

But in all i would advise you to buy the watch you like, wear it, enjoy it and if it increases in value, that's a great bonus! 

Enjoy your watch! if you have any questions or you are looking for a perticulair watch, contact us and we can see if we can source it for you. info@rkowatches.com / www.rkowatches.com 

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