Rolex an investment?

[Vipergq]

Just reread the thread completely....

For those who can't fathom the idea of Rolex being a good investment, then you just are not doing it right.

I currently have 3 Rolex that I have bought in the last few months. I GUARANTY I will make a profit on these when I decide to sell them after years of use and enjoyment. The key is buying at a low point. if that can be done, selling will always be at a profit. (IE Good investment)



Investment aside, I purchased these also as a Hedge against the dollar and the collapsing economy. Seems like alot of your "traders" and "investors" are alot more optimistic about our market and economy than I am.

I personally hold ZERO cash besides my next 3 months of spending. Dollar is going down the drain and I am not going to be the one caught holding the bag....

[DadsWatch72]

Rolex, Harley's, Corvettes, Stamps.......there is always some money to be made/traded/lost. There is also a chance you will have some fun while you collect AND enjoy wearing a fine watch to boot. There is even a small chance that your watch will end up as valuable as mine did. Whatever you do, one thing is for sure.......you will look good.

[hsfrank]

Anyone who has purchased , Coins, Stamps, Art, Antiques as an "investment" and is not a dealer in those items can testify as to the lack of profit in those items. Unless you are VERY astute and can buy the item now that will become "hot" at the time you wish to sell you are facing an uphill battle. You can beat the dealers markup so the resale value of any item ( except the very "hot" one) is greatly diminished. Add to that the maintenance cost, loss of use of the money, a watch like all the above is a luxury item whose additive value is in the eye ( or wrist) of the wearer.
That being said, I love my GMT IIc and if I get many years of wear from it I will be thrilled.

[hsfrank]

Originally Posted by Vipergq

Just reread the thread completely....

I GUARANTY I will make a profit on these when I decide to sell them after years of use and enjoyment.

Let me know your time period, rate of return and collateral for your Guarantee and I might just become a partner.

[DadsWatch72]

I paid for 2 services plus a bracelet and bezel. The watch is worth a pretty penny so my rate of return is astronomical and I have a guarantee from Rolex for 1 year. Not too shabby.

These guys on here are pretty astute IMO. Your quote "Unless you are VERY astute and can buy the item now that will become "hot" at the time you wish to sell you are facing an uphill battle". They buy many watches so the odds of buying the watch that will become "hot" goes up, stastically speaking. If it doesn't then they may lose some money but usually the watch will hold its value and the money isn't lost. To comment on the "use of the money"; the money is more stable in a Rolex than in many other investments. Housing/property for one is an example of an investment that has been hit hard. I'm not a financial expert but I do know that its a crap shoot to invest in stocks. CD's aren't paying much. Its the same story your telling about finding whats "hot". AND at the end of the day the watches don't disappear when the stock market bell rings.

[greekbum]

I personally like all of my watches and really dont care if there isnt a market in the future for them.I bought all of them to wear and enjoy with disposable income.Having been in the investment world all of my adult life I can tell you from my experience nobody has a consistent long term crystal ball.Who knows what the market will bring for them.Life is really too short to keep chasing $ and % returns. I traded next to a 80+ year old for years that made millions daily and I dont think he ever enjoyed anything in life other than the thrill of making money.He died and his kids spent it like he could never have imagined.Wear them and enjoy them or stash them away and count the paper returns on them.I personally love buying Vintage watches that where sitting in a safe deposit box.Some guys preserve things for the next lucky guy.

[scottschoe]

Originally Posted by Vipergq

Just reread the thread completely....

For those who can't fathom the idea of Rolex being a good investment, then you just are not doing it right.

I currently have 3 Rolex that I have bought in the last few months. I GUARANTY I will make a profit on these when I decide to sell them after years of use and enjoyment. The key is buying at a low point. if that can be done, selling will always be at a profit. (IE Good investment)



Investment aside, I purchased these also as a Hedge against the dollar and the collapsing economy. Seems like alot of your "traders" and "investors" are alot more optimistic about our market and economy than I am.

I personally hold ZERO cash besides my next 3 months of spending. Dollar is going down the drain and I am not going to be the one caught holding the bag....

Curious, but where/in what form do you hold the rest of your money?

[Atl]

Originally Posted by SPACE-DWELLER

I think there are only two current Rolex models that can be seen as true investment pieces: The SS Daytona and the Milgauss GV. You can sell those immediately after purchase for more than you paid.

I don't think that's true anymore, esp. the Milguass.

[Vipergq]

Originally Posted by scottschoe

Curious, but where/in what form do you hold the rest of your money?

Currently holding most of my Money In PHYSICAL Gold and Silver. and a small bit of it in Oil Stocks as well.

This year has been fantastic for me while all of my friends want to hang themselves...I expect the next few years to be even more of the same. Dollar crash is eminent

[Vipergq]

Originally Posted by hsfrank

Let me know your time period, rate of return and collateral for your Guarantee and I might just become a partner.

Well,

W-serial Submariner Date - $2650.00
U-serial Submariner No date - $2400.00
7,xxx,xxx Diamond Bezel Datejust - $1500.00


I'm pretty sure I can get the return I paid on these watches anytime I want in the next 10 years, while in the meantime I wear and Enjoy the hell out of them.

Sounds like a good "investment" to me personally...

[Colnago]

I have 5 Rolex watches...I bought my first SS DJ in 1986, then another one in 1988, then a DD with diamond dial in 2002, then a GMT IIc early this year, then finally an Explorer II last week....I am more than sure I can get at least what I paid for all of them.......I wear them all....LOTS and for everything.....I have worn a Rolex from this collection every day of half my life (I am 46 next month)......my enjoyment could be considered as the profit in my opinion....so if I can always get back what I initially paid that's great......there are very few things in this world you can enjoy daily for half your life and then get back what you paid if you decide to sell.......I don't see them as investments but hell....they are certainly good value!!!!!

[walds11]

How come we don't hear from the people that their watches are worth less then they paid for them? Funny, isn't it? LOL!

[hsfrank]

Originally Posted by Sam Taha

My brother bought his SS DJ eight years ago for US$2700, and the AD told him recently that its "replacement value" is $5800. It has more than doubled in just 8 years. If he were to sell it USED he could get at least $3500-$4000. Not bad! So yes, I think of Rolex as an investment or at least as a having a free nice watch :-)

Be care ful with that logic. Yes a brand new SS DJ might cost $5800 in 2008 BUT what could you buy an 8 year old SS DJ in similar condition ( serviced? scratches? dings? Papers ? Box? ) in 2008? That is the true value that your " investment" is to be measured against.

[hsfrank]

Originally Posted by Parachrom

Rolex watches onl;y seem to increase in value during the appraisal for isurance purpose. Insurance compnaies dontlike to write checks for such high end watches, so they call up a AD and place an order and they get it for a fraction. As an example. my 1976 SD was appraised in 1990 at 6500 for insurance purpose. The bracelet broke, i lost the watch, made a claim. They called a AD bought it sent them a cheque and I went to pick it up. In my brand new SD box was the bill 2200 dollars Cdn. far cry from the appraised value

That is correct. As an ex-insurance company exec I can tel you that you and millions of other people overpay your premium. You should insist on insuring for the correct value ( what the company can get it for.)

[austinmc]

In a market that has lost me hundreds of thousands in the last year, buying a Sub and a Day-Date this year on the way back up made me feel like at least I was getting something for my money.

[The GMT Kid]

Originally Posted by austinmc

In a market that has lost me hundreds of thousands in the last year, buying a Sub and a Day-Date this year on the way back up made me feel like at least I was getting something for my money.

X2

[Ski Dweller]

Now that we've had a crash in the world stock markets, and folks see that the returns of the US stock markets for the last decade are negative, I wonder about stocks as an "investment". I think they are good trades. Indeed, the US stock markets haven't kept up with inflation - inflation adjustment makes them worse. A Rolex has something you want in an investment - LIQUIDITY. My home isn't liquid. I can't carry it on my wrist. Had I bought a Comex twenty years ago?

[rfknauss]

Bought my 5513 Submariner new back in 1978 for $650.
Can't image what it is worth today.
Been wearing it for over 30 years - that's the best part!

[nektar]

..

[PeteNYC13]

I will start this by admitting that I tired before I could read all of the 7 pages of posts...

My two cents, which may be worth less than the future value of two cents based on current earnings ratios... sorry, I was trying to fit in :-)

I brought my first Rolex, SS Sub in 2001 - I have been offered more than I paid for it as a trade in from two AD's - to me, that's a good deal. There are not many things that I bought in 2001 that are worth more today, or that have been on my wrist every day for 8 years!
Second thing that I had to vent about - people on here will pick and choose a particular stock "if you bough Microsoft or Apple back then, it would be worth... ". You can do this for anything - my argument is that most of the market isn't up and we learned last year how quickly some things and people out of your control can ruin your investment. I am happy with my SS Sub vs. any of my dot.com stocks that aren't worth the paper they are printed on.

I would say normally that housing is a great investment - but look what's happened to the market the past 20 months, there are people's lives literally crumbling because of the market and the speculators trying to get rich quick. My Rolexes could be worth nothing tomorrow and my life won't be in tathers.

Either way... Rolexes, not true investments, okay. An item that I am passionate about, I find beautiful both aesthetically and from a technological point of view, and while I may not retire on my collections, it certainly should hold enough value that I won't regret owning them.

Last point - I have never seen a forum where people spend hours of their time photographing and posting pictures of their stock portfolio :-).

-Pete

[snow_rocks]

No investment, unless you want to wait 20, 30 years!

[sea-dweller]

I don't think of Rolex as an investment, but more of an asset that does hold most of it's value of time.

[smoken]

Originally Posted by sea-dweller

I don't think of Rolex as an investment, but more of an asset that does hold most of it's value of time.

I look at it as hard asset i can hand down to my kids. Most likely will increase in value and they can sell it if they want and make a return tax free.

I also beleive the Rolex will hold its value better than the papper dollars(FRN) they print everyday at the federal reserve bank.

I beleive this is why rich folks buy hard assets, art, rolex, gold, silver, all hold value better than the dollar bill will.

[chrislkb]

Originally Posted by sea-dweller

I don't think of Rolex as an investment, but more of an asset that does hold most of it's value of time.

Good read for an old thread and thanks for bringing out of the archives for my benefit.

Its an exotic class of investment and I wouldnt put all money on the table that its an investment per se. There are lots of better investments that is able to churn better returns (except for the super rare Rolex vintage models that have appreciated exponentially)

IMHO, 1st condition to buy it as a pleasure / reward / self actualisation and 2nd condition - price appreciation or stability. Remember to include inflation costs to the price and opportunity costs of putting your money elsewhere.

Its not that simple to put a tab that Rolex watches will make you money.

[icnbne]

rolex as an investment? never
but knowing it holds its value pretty well is always settling

[dieselophile]

I bought my SS Submariner in 2003 for (new) $3800, its replacement value from the same dealer is now $5750!
I bought the watch as it is a beautifully crafted machine, it certainly is not losing value.

[Esexx]

I don't consider it an investment.

I just value a Rolex as a fine timepiece that I love to wear!

If it does do up in value, it would just be icing on the cake but not what I look for in a watch.

[Puffy]

Originally Posted by sea-dweller

i don't think of rolex as an investment, but more of an asset that does hold most of it's value of time.

+1

[mpkRolex]

"I buy my watches to enjoy, if they happen to go up in value over time that is just a bonus."

There you go That is exactly what I believe too. But one thing in particular about Rolex is that - If I am crazy for fine swiss timepieces instead of buying a Breitling, Tag etc. (which are fine timepieces) I would rather spend the money on a Rolex which I am sure will hold its value (if not increase) far better than the others.

[tattooedfagin]

always wanted an SS Sub Date & when able to i went i bought one, didn't see it so much as an investment, more like i could wear it & if times got tough i'd hopefully not lose out...