Real cost of Rolex ownership

[ds666]

But Rolex ( and others ) can be bought as an investment . Or at least less of a loss than others due to strong demand .

[mhurley]

The thing is if your watch has gone up a bit in value, where do you sell it?
A dealer will give you a crappy price and an auction site will take at least 10%...

[Porsche911R]

mhurley said:

The thing is if your watch has gone up a bit in value, where do you sell it?
A dealer will give you a crappy price and an auction site will take at least 10%...

That's is a big issue today, dealers make 30% auction sites about 14%. so any gain is soon lost, and any real value is on paper as one cannot sell at the top prices.
I would not sell on a Auction sites any way the seller has NO support from Ebay these days.

[lostkiwi]

ds666 said:

But Rolex ( and others ) can be bought as an investment . Or at least less of a loss than others due to strong demand .

I beg to differ.

I've sold a couple of Omegas for more than I paid for either of them - and one was even bought new.

[UnclePat]

Porsche911R said:

mhurley said:

The thing is if your watch has gone up a bit in value, where do you sell it?
A dealer will give you a crappy price and an auction site will take at least 10%...

That's is a big issue today, dealers make 30% auction sites about 14%. so any gain is soon lost, and any real value is on paper as one cannot sell at the top prices.
I would not sell on a Auction sites any way the seller has NO support from Ebay these days.

You're best-off joining a dedicated Watch Forum and selling peer-to-peer there. There's a few general & brand-specific ones around. Usually you need to achieve a certain minimum number of posts before you can gain access to the Sales sections.

You get a much better price that way, and there's no cost for using the facility. Of course, it's a bit riskier dealing with unknown individuals, but like anything, do your homework on the buyer, and you should be fine. Those sites frequently have feedback boards so you can adjudge the buyer or seller's track record. After that, you need to just make direct contact with a buyer and build confidence with them, and work out an arrangement or face-to-face meet that works for all parties. However, it's best to post a bit beforehand so others can get some feel for you, as a seller with zero posts looks a bit dodgy.

There's also worldwide online market places like http://www.chrono24.com/, where you can sign-up as a private seller. They charge a fee of 2.85% of the list price for private watch ads (minimum charge of 5 USD / maximum charge of 299 USD per ad). If your watch doesn't sell within 6 months, they will fully reimburse you the fee.

Edited by UnclePat on Tuesday 28th February 11:04

[Buster73]

UnclePat said:

I had a similar thought process.

Bought a Rolex Submariner new last year for £5,000, a few weeks before the price rise to £5,450 (the first in the UK in four years).

It would not remotely surprise me if Rolex again increased UK prices in the near-ish future, as they are still less than virtually anywhere else in the World, and there is a shortage of Subs in the UK at present, as overseas buyers raid them.

Rolex prices consistently outstrip inflation & Subs are always in demand.

I have no doubt I can wear the watch for 10 years, spend £700/£800 on a first Rolex service and get a refurbished & effectively brand-new looking watch back with two-years warranty, and easily sell it for more than I paid (if I so wish).

To be clear, it's not a money-making investment, but it's a damn sight more fun wearing that £5k everyday as a beautiful, finely-crafted tool, than just staring at some numbers on a screen, and it wouldn't be that tough to shift - it's effectively almost as liquid as that cash in the bank (and won't degrade from inflation in the same way).

Rolex watches are quality, made to last, tend to be looked-after, and don't change much in appearance over the years. Also, they will perform almost as mechanically well in 40 years as they do now. It doesn't hurt that Rolex work hard to keep their image rock-solid as well.

Any wonder they remain so desirable on the second-hand market.

If I sell the watch in 10 years, I'd be surprised if the overall cost, including servicing, doesn't mean I recoup all costs, and that it was effectively free to own. (Of course, don't try this with a two-tone, precious metal or less-desirable model).

Bought my sub non date for just under £1300 in Zermatt nearly 20 years ago.

For a couple of reasons , one being they had the watch in stock and the main reason was because I wanted one.

Never been serviced , give it the occasional wash in the shower and still wear it everyday.

The value of it then or now is irrelevant , it'll never be sold .

I cannot understand the fascination with buying a sub as an investment , doesn't concern me one bit.

[lowdrag]

Rolex versus Seiko. About 20 years back we got generally discombobulated at the local. The landlord and my friend started a discussion on the merits and demerits of each make. The drink started speaking louder than their brains and a challenge was issued. They took off their watches and threw them the length of the bar against the stone chimney breast. The result? Seiko 1, Rolex 0. My friend's Seiko was still running fine when he died 11 years later, but the Rolex cost a fortune and a few months to get repaired. The landlord still talks about how much it cost him to this day.

[Buster73]

UnclePat said:

I had a similar thought process.

Bought a Rolex Submariner new last year for £5,000, a few weeks before the price rise to £5,450 (the first in the UK in four years).

It would not remotely surprise me if Rolex again increased UK prices in the near-ish future, as they are still less than virtually anywhere else in the World, and there is a shortage of Subs in the UK at present, as overseas buyers raid them.

Rolex prices consistently outstrip inflation & Subs are always in demand.

I have no doubt I can wear the watch for 10 years, spend £700/£800 on a first Rolex service and get a refurbished & effectively brand-new looking watch back with two-years warranty, and easily sell it for more than I paid (if I so wish).

To be clear, it's not a money-making investment, but it's a damn sight more fun wearing that £5k everyday as a beautiful, finely-crafted tool, than just staring at some numbers on a screen, and it wouldn't be that tough to shift - it's effectively almost as liquid as that cash in the bank (and won't degrade from inflation in the same way).

Rolex watches are quality, made to last, tend to be looked-after, and don't change much in appearance over the years. Also, they will perform almost as mechanically well in 40 years as they do now. It doesn't hurt that Rolex work hard to keep their image rock-solid as well.

Any wonder they remain so desirable on the second-hand market.

If I sell the watch in 10 years, I'd be surprised if the overall cost, including servicing, doesn't mean I recoup all costs, and that it was effectively free to own. (Of course, don't try this with a two-tone, precious metal or less-desirable model).

Bought my sub non date for just under £1300 in Zermatt nearly 20 years ago.

For a couple of reasons , one being they had the watch in stock and the main reason was because I wanted one.

Never been serviced , give it the occasional wash in the shower and still wear it everyday.

The value of it then or now is irrelevant , it'll never be sold .

I cannot understand the fascination with buying a sub as an investment , doesn't concern me one bit.

[UnclePat]

Buster73 said:

Bought my sub non date for just under £1300 in Zermatt nearly 20 years ago.

For a couple of reasons , one being they had the watch in stock and the main reason was because I wanted one.

Never been serviced , give it the occasional wash in the shower and still wear it everyday.

The value of it then or now is irrelevant , it'll never be sold .

I cannot understand the fascination with buying a sub as an investment , doesn't concern me one bit.

Nah, there’s no particular investment fascination, hence why I stated “to be clear, it's not a money-making investment”.

I bought mine for the same reason you did – I wanted one, and also appreciated the history, innovation & quality inherent to it. Likewise, I have zero intention of selling mine either – it’ll hopefully be passed on to my kids.

What I do admit to finding fascinating is that in this day & age - when we routinely chuck away clothes at fashionable whim, replace £500 iPhones every two years, experience brutal year-one depreciation on new cars, and bin working TVs for the latest, largest model - you can purchase & wear the hell out of a quality item that tends to appreciate in value, has no built-in obsolescence, and has every chance of working just as well 100 years from now. That’s worthy of note, I think.

There’s also a separate issue re value retention that’s important to me – because nobody of sound mind would prefer to ‘take a bath’ on a purchase and see that money just fritter away. It’s always preferable & prudent to know that if needs be – say unforeseen financial hard times – I can sell an asset and get much, if not all, of my money back. I don’t rely on that, but it’s common sense, especially when we’re talking about non-essential, luxury purchases here.

But, as I said, that’s all just a bonus, and a very small part of the overall package – I just bought & wear the thing because it’s shiny and I like it.

[ds666]

lostkiwi said:

ds666 said:

But Rolex ( and others ) can be bought as an investment . Or at least less of a loss than others due to strong demand .

I beg to differ.

I've sold a couple of Omegas for more than I paid for either of them - and one was even bought new.

I said Rolex ( AND OTHERS ) . So which part of my post are you begging to differ from ?

[ds666]

I cannot understand the fascination with buying a sub as an investment , doesn't concern me one bit.
[/quote]

I cannot understand the fascination with buying a watch that loses money .

People spend money for different reason . Neither is right or wrong .

Personally I've 2 subs both of which have made money . But I didn't buy them for that reason it is just a happy coincidence . I enjoy wearing them both ( although not always at the same point in time ) .

In fact I hate the fact that investors drive prices beyond affordability for those that would really enjoy owning and wearing the watches but can't afford them .
Either that or I'm not smart enough to spend money wisely ...

[ds666]

UnclePat said:

Buster73 said:

Bought my sub non date for just under £1300 in Zermatt nearly 20 years ago.

For a couple of reasons , one being they had the watch in stock and the main reason was because I wanted one.

Never been serviced , give it the occasional wash in the shower and still wear it everyday.

The value of it then or now is irrelevant , it'll never be sold .

I cannot understand the fascination with buying a sub as an investment , doesn't concern me one bit.

Nah, there’s no particular investment fascination, hence why I stated “to be clear, it's not a money-making investment”.

I bought mine for the same reason you did – I wanted one, and also appreciated the history, innovation & quality inherent to it. Likewise, I have zero intention of selling mine either – it’ll hopefully be passed on to my kids.

What I do admit to finding fascinating is that in this day & age - when we routinely chuck away clothes at fashionable whim, replace £500 iPhones every two years, experience brutal year-one depreciation on new cars, and bin working TVs for the latest, largest model - you can purchase & wear the hell out of a quality item that tends to appreciate in value, has no built-in obsolescence, and has every chance of working just as well 100 years from now. That’s worthy of note, I think.

There’s also a separate issue re value retention that’s important to me – because nobody of sound mind would prefer to ‘take a bath’ on a purchase and see that money just fritter away. It’s always preferable & prudent to know that if needs be – say unforeseen financial hard times – I can sell an asset and get much, if not all, of my money back. I don’t rely on that, but it’s common sense, especially when we’re talking about non-essential, luxury purchases here.

But, as I said, that’s all just a bonus, and a very small part of the overall package – I just bought & wear the thing because it’s shiny and I like it.

Excellent post - a lot of good sense in here

[lostkiwi]

ds666 said:

lostkiwi said:

ds666 said:

But Rolex ( and others ) can be bought as an investment . Or at least less of a loss than others due to strong demand .

I beg to differ.

I've sold a couple of Omegas for more than I paid for either of them - and one was even bought new.

I said Rolex ( AND OTHERS ) . So which part of my post are you begging to differ from ?

Ah - my mistake - misread it! Sorry!

[thealphabeta]

I bought my Submariner on my 25th birthday. I was lucky enough to have found a niche business idea that at the time was making me a wedge of cash each month so i rewarded myself. At the time i think I paid 3.5k which now seems like a total steal. Like others have said I'd make that back and more. I haven't even had it serviced. Still keeps great time.

I think what you need to be careful of more than anything else (speaking from experience) is the constant desire to buy more. I have seven watches now and there's no quenching my thirst for more! ??

Edited by thealphabeta on Saturday 4th March 07:55

[scherzkeks]

benjijames28 said:

I've been a watch obsessive for nearly 3 years now, going from Casio to Rolex and settled down with my Tudor Pelagos which has been on my wrist nearly 2 years, day in day out.

My life took a drastic change of direction 12 months ago, split with wife, sold house, net girlfriend, girlfriend pregnant, now I've got a son. Luckily my outgoings are low due to my lifestyle and my job is as secure as can be.

I've got some money in bank from my house sale, not a lot but it's there. I have considered buying a watch I've loved for a long time, in fact I owned the old 36mm version, it's the Rolex explorer 1.

Now they are pretty hard to find but I've found one. It will be at my local Rolex ad for me next Saturday.

4800 of your finest British pounds, but what is the real cost of owning such a watch?

That model like a lot of Rolex watches is in high demand. There will be a bit of a dip in value buying new but I rekkon it's worth an easy 4k should you need to sell it in the first few years of ownership.

So the real cost of buying that watch is 800 pound plus a secured deposit of 4000 which you should get back.

I can't afford to buy a house in my own, so the money is either gonna sit there doing nothing, or I'm gonna end up upgrading my car. We all know how much I would lose on a car.

So compared to owning a car or buying say a stty watch like a brietlng, the cost of owning a in demand Rolex is very very low.

My Tudor Pelagos cost me 2400 cash from an ad brand new. I could sell it tomorrow to watch finder for 1600, or private for 2000, it's cost me a few hundred quid a year and given me so much enjoyment. It's my everyday hero and I wouldn't be without it. So really it's cost me as much as a shopping centre citizen watch. Bargain.

Man maths at its finest.

Of course after 5 years the Tudor will need a 300 pound visit to Rolex servicing, and after 10 years the Rolex will need a 1000? Pound service. But we don't need to think about that.

The level of idiocy here is off the charts.

[LaurasOtherHalf]

scherzkeks said:

The level of idiocy here is off the charts.

The level of faux superiority is even higher.

[55palfers]

My wife bought me a GMT 2 for my 50th (11 years ago at a cost of £2300) and it's hardly ever been off my wrist.

It was sent to Rolex last November for a service and it came back as good as new. Albeit for the not inconsiderable sum of £500.

It's now apparently valued at some £5800 or thereabouts. I'll never sell it, but what other investment has grown in (tax-free) value so well and provided daily enjoyment?

[traffman]

I am about to add to my collection another Submariner. Traded a Rolex white dial explorer for it. i was given 3k and i had to add 2450 to the Sub. Dealers are making the profit , i was offered 5k for a Gmt 2 that i paid 6750 for. As someone said if you want to make sure your Rolex will be a worthy investment then you need to keep it at least 10/15 years before you see it rise.

[lowdrag]

55palfers said:

My wife bought me a GMT 2 for my 50th (11 years ago at a cost of £2300) and it's hardly ever been off my wrist.

It was sent to Rolex last November for a service and it came back as good as new. Albeit for the not inconsiderable sum of £500.

It's now apparently valued at some £5800 or thereabouts. I'll never sell it, but what other investment has grown in (tax-free) value so well and provided daily enjoyment?

Anyone with a çlassic car might argue with you on on the increase in value. Mine has grown by a factor of 100 since purchase. And it has a clock in it;)

[benjijames28]

scherzkeks said:

The level of idiocy here is off the charts.

I want to buy myself something with my own money, and I talk about how much that something is worth if I sell it, the difference between the two prices been the real cost of ownership, not the retail price you pay.

So what's your comment about?