Justifying an expensive watch purchase
Discussion
Just wondered people's perspectives are on buying an expensive watch.
I am a watch guy, few years ago I wanted a collection, started off with an old rolex explorer 1, sold it and bought a new Tudor Pelagos v1 which is still on my wrist 3 years later. Since then I've sold a house, got divorced and had a baby. Collecting watches on hold.
Now technically I've been trying to get a house again but it doesn't seem viable for the foreseeable future, unless I bought a flat.
Anyway my grail is a Rolex explorer 1, 39mm latest version with the longer hands. Very rare to come across one brand new these days, and out of pure chance I've come across one today at a goldsmith's. They had it reserved for someone who never collected. So now it's reserved to me while they get a valuation on my Tudor (no intention of selling that it was just to give me time to figure out best way to make this purchase).
Anyway it's 4800 English pounds. I've got the cash in bank but it seems silly handing over 5k cash for something to sit in safe 5 days out of 7. I have a few months left on a 0 percent interest credit card with a 4k limit. I was thinking of paying 800 cash and 4k ok credit card. Then in August do a balance transfer into another 0 percent card and just pay it off at rate of what 150 a month for a few years.
If by any chance I need to get a mortgage or lose my job or anything I should easily get 4k for the watch used. Especially seen as Rolex have reduced how many watches they produce this year. When the watch is paid off it can act as a secondary back up fund. If I'm ever in the financial toilet I've got something to sell to generate cash.
Am I been silly? I'm 29, debt free, secure enough job, no car payment, just got a minor payrise that alone covers most of the monthly payment. Most people my age will be putting similar if not bigger amounts of money into a PCP car and lose most of that in depreciation. That Rolex won't depreciate other than the first hit of buying it new.
How have u guys justified such big purchases?
I am a watch guy, few years ago I wanted a collection, started off with an old rolex explorer 1, sold it and bought a new Tudor Pelagos v1 which is still on my wrist 3 years later. Since then I've sold a house, got divorced and had a baby. Collecting watches on hold.
Now technically I've been trying to get a house again but it doesn't seem viable for the foreseeable future, unless I bought a flat.
Anyway my grail is a Rolex explorer 1, 39mm latest version with the longer hands. Very rare to come across one brand new these days, and out of pure chance I've come across one today at a goldsmith's. They had it reserved for someone who never collected. So now it's reserved to me while they get a valuation on my Tudor (no intention of selling that it was just to give me time to figure out best way to make this purchase).
Anyway it's 4800 English pounds. I've got the cash in bank but it seems silly handing over 5k cash for something to sit in safe 5 days out of 7. I have a few months left on a 0 percent interest credit card with a 4k limit. I was thinking of paying 800 cash and 4k ok credit card. Then in August do a balance transfer into another 0 percent card and just pay it off at rate of what 150 a month for a few years.
If by any chance I need to get a mortgage or lose my job or anything I should easily get 4k for the watch used. Especially seen as Rolex have reduced how many watches they produce this year. When the watch is paid off it can act as a secondary back up fund. If I'm ever in the financial toilet I've got something to sell to generate cash.
Am I been silly? I'm 29, debt free, secure enough job, no car payment, just got a minor payrise that alone covers most of the monthly payment. Most people my age will be putting similar if not bigger amounts of money into a PCP car and lose most of that in depreciation. That Rolex won't depreciate other than the first hit of buying it new.
How have u guys justified such big purchases?
If it's your grail then why not wear it every day? It's just as much a tool watch as the Pelagos and just as durable. I'm currently on three decent watches. Pelagos I wear at home 90% of the time. I have a Tudor Black bay steel & gold for weekends / nights out and better dressed times. And an Explorer II when I'm at work overseas. Pelagos was my first proper watch, I saved up over a year or so and rewarded myself with it. BB was a gift to myself for my new job, and the Explorer II was just this year and was a bit of an impulse purchase. But as I work overseas and refuse to do the simple "local time minus time difference" calculation in my head, this was obviously the only option.
But sounds like you're in a good financial place. If the seller isn't doing 0% finance then just stick it on the credit card. As long as you know you have the cash set aside to pay off the balance should you need to.
I have 2 loans on 0%, my recent bike and a bunch of bedroom furniture. Cash is in the bank earning interest over the next 4 years whilst I pay nothing on the finance. Yet I know I have it there to pay off if i need to.
But sounds like you're in a good financial place. If the seller isn't doing 0% finance then just stick it on the credit card. As long as you know you have the cash set aside to pay off the balance should you need to.
I have 2 loans on 0%, my recent bike and a bunch of bedroom furniture. Cash is in the bank earning interest over the next 4 years whilst I pay nothing on the finance. Yet I know I have it there to pay off if i need to.
My Sub date arrived way too early for my finances. It was for my wedding in six months time, at the time of ordering. I had realistic expectations of getting it very close to my wedding date after a nice chat with the dealer. Plan was to use that time to save up. They phoned me a few weeks to say they had bumped me to the top of the list due. Ended splitting between cash and 0% credit card like you say. Steady job, pay rise etc. Wasn't a big risk in my opinion as I can pay it off fairly quickly and should the worst happen, flip it for roughly what I paid for it.
The house situation is more down to my income. On my own I can't borrow enough to buy houses in my city. And my gf currently is part time and will be for 3 years at least. So her income pretty much adds nothing to the mortgage.
So I've got a deposit but right now can't get a mortgage.
I'm 30 next year. A lot of people buy a nice watch for their 30th or 50th. I could get the explorer while I've got chance and call it a 30th occasion marker.
So I've got a deposit but right now can't get a mortgage.
I'm 30 next year. A lot of people buy a nice watch for their 30th or 50th. I could get the explorer while I've got chance and call it a 30th occasion marker.
I am in my 50's and a surprising number of people I know have dropped down dead for a variety of reasons.... heart attacks, accidents - all sorts.
So I have a slightly different perspective - which is as long as you're not being totally irresponsible, then you should buy what gives you pleasure.
Buying a watch with very little depreciation and one that you really want is a not a terrible decision.... but have in the back of your mind that you might want to sell it one day if you need the cash.
So I have a slightly different perspective - which is as long as you're not being totally irresponsible, then you should buy what gives you pleasure.
Buying a watch with very little depreciation and one that you really want is a not a terrible decision.... but have in the back of your mind that you might want to sell it one day if you need the cash.
Yeah that's a fair point. The Rolex is just my favourite watch and one I intended to buy and keep forever. But there's no sentimental value there.
My Tudor Pelagos, 3 years of my life, good memories bad memories. But it was on my wrist when they handed my son to me, for that reason alone I will never sell it. One day I will pass it down.
My Tudor Pelagos, 3 years of my life, good memories bad memories. But it was on my wrist when they handed my son to me, for that reason alone I will never sell it. One day I will pass it down.
My justification is if I think I’ve worked hard and if I have sufficiently hunted down the right watch.
Grafted really hard and bought my first Rolex after hunting down a solid sea dweller at a good price. Then bought a vintage Omega after spending 8 months trying to find the right one. Bought a Black Series Prospex Seiko last month after stumbling upon it when I thought they were all sold out!
Life’s too short, if you work hard and hunt one down, but it!
Grafted really hard and bought my first Rolex after hunting down a solid sea dweller at a good price. Then bought a vintage Omega after spending 8 months trying to find the right one. Bought a Black Series Prospex Seiko last month after stumbling upon it when I thought they were all sold out!
Life’s too short, if you work hard and hunt one down, but it!
h0b0 said:
buy second hand and it will cost you nothing. I made a profit out of my IWC.
You should see the used prices for Rolex explorer 1 right now.I owned a 2001 model before I bought my Tudor Pelagos and I paid 2100 buying it from a private seller in Germany (very risky but I took precautions). I ended up trading it to watch finder for same amount. Now I can't find one below 3k and I've seen them at dealers for over 4k!
For that money I would rather have a new watch with 5 year Rolex warranty and a 10 year service interval.
OP - I’d echo much of what’s been said above:
You’re obviously not being reckless as you’ve asked yourself (and PH) the question.
If you’re going to use the 0% CC, then have it in mind always that if you need to you’ll have to sell the watch (CC rates rise too high, house deposit, car goes badly bang).
And, so long as you aren’t going through he same mindset with several other larger purchases at the same time or before you’ve paid off the CC, then you should be OK. If you are, then go back to square one and assess your priorities..!
Last thought: don’t buy the watch at the expense of still saving your house deposit: if yoi’re Going to need to wait 3 years at least before you can buy, then it’s quite possible house prices will continue to rise: your deposit helps protect you from that. This is number one priority..!
ETA: I’m not an enormous fan of Rolex watches, but the Exp 1 (bigger size + proper hands) is the closest I’d.l come to owning one. Good choice.
You’re obviously not being reckless as you’ve asked yourself (and PH) the question.
If you’re going to use the 0% CC, then have it in mind always that if you need to you’ll have to sell the watch (CC rates rise too high, house deposit, car goes badly bang).
And, so long as you aren’t going through he same mindset with several other larger purchases at the same time or before you’ve paid off the CC, then you should be OK. If you are, then go back to square one and assess your priorities..!
Last thought: don’t buy the watch at the expense of still saving your house deposit: if yoi’re Going to need to wait 3 years at least before you can buy, then it’s quite possible house prices will continue to rise: your deposit helps protect you from that. This is number one priority..!
ETA: I’m not an enormous fan of Rolex watches, but the Exp 1 (bigger size + proper hands) is the closest I’d.l come to owning one. Good choice.
OMITN said:
OP - I’d echo much of what’s been said above:
You’re obviously not being reckless as you’ve asked yourself (and PH) the question.
If you’re going to use the 0% CC, then have it in mind always that if you need to you’ll have to sell the watch (CC rates rise too high, house deposit, car goes badly bang).
And, so long as you aren’t going through he same mindset with several other larger purchases at the same time or before you’ve paid off the CC, then you should be OK. If you are, then go back to square one and assess your priorities..!
Last thought: don’t buy the watch at the expense of still saving your house deposit: if yoi’re Going to need to wait 3 years at least before you can buy, then it’s quite possible house prices will continue to rise: your deposit helps protect you from that. This is number one priority..!
ETA: I’m not an enormous fan of Rolex watches, but the Exp 1 (bigger size + proper hands) is the closest I’d.l come to owning one. Good choice.
Lot of good points there. You’re obviously not being reckless as you’ve asked yourself (and PH) the question.
If you’re going to use the 0% CC, then have it in mind always that if you need to you’ll have to sell the watch (CC rates rise too high, house deposit, car goes badly bang).
And, so long as you aren’t going through he same mindset with several other larger purchases at the same time or before you’ve paid off the CC, then you should be OK. If you are, then go back to square one and assess your priorities..!
Last thought: don’t buy the watch at the expense of still saving your house deposit: if yoi’re Going to need to wait 3 years at least before you can buy, then it’s quite possible house prices will continue to rise: your deposit helps protect you from that. This is number one priority..!
ETA: I’m not an enormous fan of Rolex watches, but the Exp 1 (bigger size + proper hands) is the closest I’d.l come to owning one. Good choice.
The only way it may affect my saving for a deposit is if I try to pay off the watch asap. I am usually against debt. This morning I still want the watch but it is a lot of money to tie up in a watch I will only wear a day or two per week.
I may just skip this one, wait until my 30th next April and reassess my situation then. Knowing my luck finding one at a dealer will be even harder and prices higher tho! It was only pure luck I've come across one now.
Decisions decisions.
The other option would be to just buy a 36mm version from say 2005, i wouldn't lose a penny and it's a significantly smaller outlay.
Can't go wrong either way, perfect combo in my opinion:
Rolex explorer for special occasions
Tudor Pelagos continues as a daily
G Shock as a beater watch
Edited by Bennyjames28 on Tuesday 12th June 08:17
Be wary about 'just' buying on interest free credit for the one reason that your mortgage lender will ask about existing commitments. If you are repaying a watch over, say 24 months, then you are likely going to be paying £300 a month, which will have the effect of reducing your income by £300 a month for calculation purposes.
Bennyjames28 said:
Just wondered people's perspectives are on buying an expensive watch.
I am a watch guy, few years ago I wanted a collection, started off with an old rolex explorer 1, sold it and bought a new Tudor Pelagos v1 which is still on my wrist 3 years later. Since then I've sold a house, got divorced and had a baby. Collecting watches on hold.
Now technically I've been trying to get a house again but it doesn't seem viable for the foreseeable future, unless I bought a flat.
Anyway my grail is a Rolex explorer 1, 39mm latest version with the longer hands. Very rare to come across one brand new these days, and out of pure chance I've come across one today at a goldsmith's. They had it reserved for someone who never collected. So now it's reserved to me while they get a valuation on my Tudor (no intention of selling that it was just to give me time to figure out best way to make this purchase).
Anyway it's 4800 English pounds. I've got the cash in bank but it seems silly handing over 5k cash for something to sit in safe 5 days out of 7. I have a few months left on a 0 percent interest credit card with a 4k limit. I was thinking of paying 800 cash and 4k ok credit card. Then in August do a balance transfer into another 0 percent card and just pay it off at rate of what 150 a month for a few years.
If by any chance I need to get a mortgage or lose my job or anything I should easily get 4k for the watch used. Especially seen as Rolex have reduced how many watches they produce this year. When the watch is paid off it can act as a secondary back up fund. If I'm ever in the financial toilet I've got something to sell to generate cash.
Am I been silly? I'm 29, debt free, secure enough job, no car payment, just got a minor payrise that alone covers most of the monthly payment. Most people my age will be putting similar if not bigger amounts of money into a PCP car and lose most of that in depreciation. That Rolex won't depreciate other than the first hit of buying it new.
How have u guys justified such big purchases?
Well i think your spot on with this approach. Why not!! life's too short mate, crack on and enjoy the watch.I am a watch guy, few years ago I wanted a collection, started off with an old rolex explorer 1, sold it and bought a new Tudor Pelagos v1 which is still on my wrist 3 years later. Since then I've sold a house, got divorced and had a baby. Collecting watches on hold.
Now technically I've been trying to get a house again but it doesn't seem viable for the foreseeable future, unless I bought a flat.
Anyway my grail is a Rolex explorer 1, 39mm latest version with the longer hands. Very rare to come across one brand new these days, and out of pure chance I've come across one today at a goldsmith's. They had it reserved for someone who never collected. So now it's reserved to me while they get a valuation on my Tudor (no intention of selling that it was just to give me time to figure out best way to make this purchase).
Anyway it's 4800 English pounds. I've got the cash in bank but it seems silly handing over 5k cash for something to sit in safe 5 days out of 7. I have a few months left on a 0 percent interest credit card with a 4k limit. I was thinking of paying 800 cash and 4k ok credit card. Then in August do a balance transfer into another 0 percent card and just pay it off at rate of what 150 a month for a few years.
If by any chance I need to get a mortgage or lose my job or anything I should easily get 4k for the watch used. Especially seen as Rolex have reduced how many watches they produce this year. When the watch is paid off it can act as a secondary back up fund. If I'm ever in the financial toilet I've got something to sell to generate cash.
Am I been silly? I'm 29, debt free, secure enough job, no car payment, just got a minor payrise that alone covers most of the monthly payment. Most people my age will be putting similar if not bigger amounts of money into a PCP car and lose most of that in depreciation. That Rolex won't depreciate other than the first hit of buying it new.
How have u guys justified such big purchases?
I have 6 valuable watches - and never feel i have to justify them, and as you say worst case sell them if you fall on harder times :-)
Also having the £4K on your card could easily strengthen your credit rating, its also 0% so no risk, you get credit protection on the purchase, poss cashback (i get Tesco clubcard points on mine) you still have your £4800 in the bank. Win win!!
All the best
Andy
Well I know nothing but surely buying a pretty rare Rolex is a good investment as prices seem to be stratospheric at the moment.
I would get it and enjoy it, safe in the knowledge that its worth more if the worst comes to the worst.
However I'm an old git who owns his own house, had a health scare earlier this year so I'm in the if it makes you happy enjoy yourself camp!
Believe me life is short and too many people have the 'Yeah but what if...' attitude. Sod it just do it mate.
I would get it and enjoy it, safe in the knowledge that its worth more if the worst comes to the worst.
However I'm an old git who owns his own house, had a health scare earlier this year so I'm in the if it makes you happy enjoy yourself camp!
Believe me life is short and too many people have the 'Yeah but what if...' attitude. Sod it just do it mate.
Bennyjames28 said:
Just wondered people's perspectives are on buying an expensive watch.
Now technically I've been trying to get a house again but it doesn't seem viable for the foreseeable future, unless I bought a flat.
In general I think your 20's are a time to buy something silly because you won't get another chance until your 50's.Now technically I've been trying to get a house again but it doesn't seem viable for the foreseeable future, unless I bought a flat.
Property price fluctuations appear to follow central London with a lag of around 2 or so years. I'm selling my old bachelor pad in the centre of town at the moment (been married 25 years so figure it's probably safe to ditch the bolt hole). From direct experience I can advise that central London is down by 20% on what is reached a couple of years back.
So, yes on the watch and 2 years to save for a house.
Could all be rubbish though as most of my advice normally is.
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