It is no secret that Rolex watches are some of the most luxurious pieces of jewelry for both men and women alike. For those who choose to invest in a Rolex watch, it can be something priceless. The chance to pass a watch through generations, take care of it and sell it later, or simply appreciate it while you have it are all valid reasons for owning a Rolex. So, do they hold their value? After I’ve done my research, I have found out.
Rolex watches can hold their value if they are taken care of. However, a watch that is worn every day will experience its fair share of depreciation. Wear and tear on a watch can make it lose value. If you want your Rolex to hold its value, take care of it.
Continue reading to learn whether Rolex watches hold their value. If taken care of, you can make sure your Rolex stays in the best condition possible. On the other hand, daily use of a Rolex can cause it to depreciate in value. Learn how quickly Rolex watches lose value and how to prevent this from happening.
Rolex Watches: Do They Hold Their Value?
For over 100 years, Rolex has established itself as one of the most high-quality watchmaking brands on the market. Since its creation, Rolex watches have appealed widely to those willing to spend money on them. As the price of luxury tends to go, Rolex watches have only grown in cost over the years. So, do they hold their value?
Rolex is the largest watch brand on the planet, and many people often wonder whether they hold value or not. However, the majority of Rolex’s, and watches in general, tend to lose value when they are worn.
It might seem obvious, but watches do depreciate when worn. This should not come as a surprise, since a new watch is almost always going to cost more than a used watch of the same caliber; which begs the question: why do Rolex watches continue to increase in cost?
Put simply, Rolex watches have increased in cost over the years because of Rolex’s success. It is not merely due to inflation that Rolex’s are hundreds, thousands, and millions of dollars more expensive than they used to be. The company recognized the appeal of the rarity in the products they made, and they did an excellent job of capitalizing on their achievements. But does cost equal value?
Do Rolex Watches Appreciate In Value?
Rolex watches hold their value to an extent. Collectors – who are the minority of watch-buyers – who buy watches for the investment, know how to take care of a watch to help it appreciate in value. However, not every Rolex owner will benefit from their Rolex holding its value.
After I’ve done the research, whether a Rolex watch holds its value depends on several factors:
- Rolex model
- Rolex condition
- Rolex owner
- Rolex availability
- Watch market
The Rolex model you buy can determine whether it will hold its value. Depending on even the most minuscule materials used to construct the Rolex, one model may be more suitable to hold its value than another. All Rolex watches come at a hefty price, which makes it understandable that you may not always be wearing the most durable material. Precious metals and the like are not indestructible, so valuable watches must be taken care of.
Speaking of taking care of your watch, a Rolex is not going to hold its potential value if you do not treat it for what it is worth. The main reason watches, in general, do not hold their value is because of wear and tear. Even daily use can make your watch’s value go down. Although, a worn but well-kept watch is much more likely to hold its value than a damaged watch.
The owner of the Rolex watch can also affect its value. Of course, any person capable of buying a Rolex is likely somewhat established, but imagine your favorite singer, actor, or entrepreneur owns a Rolex. Chances are that such an instance might make you more interested in a Rolex for yourself. In the same way, Rolex’s that go on auction and were once owned by notable people are more likely to hold their value – even with wear and tear.
One of the most decisive aspects that can influence whether a Rolex holds its value is the supply of the product. General models that have been sold by Rolex for decades will not hold their value as well as exclusive, temporarily made Rolex watches. If there are only 100 models of a watch compared to millions of a product of the same company, most people will appreciate the rarity of the former watch.
Another factor to consider when thinking about the value of all watches is the watch market. However, it does not play a huge role. Yes, the watch market has fluctuated over the years, but the truth is that people are always going to want watches. Even with smartphones that can show the time in an instant, watches have too many good things going for them to crash.
With that being said, plenty of people also make fraudulent Rolex watches because of how sought-after luxury watches are. Luckily, I have made the perfect article just for that. If you want to learn 8 different ways to tell a real Rolex from a fake one, then click right here.
Are Used Rolex Watches Valuable?
Again, a used watch is not going to hold its value as well as a new watch. From the moment a Rolex leaves the store on the buyer’s wrist, it begins depreciating in value. Even a watch that is rarely or never worn may not be re-sold at its original price. It is also worth noting that watches are more likely to hold their value than appreciate.
So, with these things in mind, you may not think a used Rolex is valuable. While it is true that it is likely not as valuable as a new watch of the same model, it is still a Rolex. It is not fair to say that used Rolex’s are not valuable because there are too many considerations at play. In some cases, I have found that a used Rolex could actually appreciate more than a new Rolex, depending, again, on aforementioned things such as model, previous ownership, history, and more.
Used Rolex’s are still valuable, but barring the possibility that a used Rolex was owned by Elvis Presley, a new or unused Rolex is likely to hold its value better than a used model.
How To Help Your Rolex Hold Its Value
If you are buying a Rolex for the investment, I have figured out that you might be wondering what you can do to help it hold its value. The number one priority to make your Rolex hold its value is to take care of it. If you wear it every day, it may be more difficult to take measures to keep your Rolex in perfect condition. However, this does not mean you can never wear it.
Collectors with experience likely know what to do to keep their Rolex’s in prime condition. If you are lucky enough to be a collector or know collectors, do not hesitate to learn from experience in an attempt to help your Rolex hold its value.
You can also consider the specific Rolex you buy to determine how you can better make it hold its value. If it is a rarer Rolex model, there is a higher chance it will hold its value or even appreciate. With a more common Rolex, you may not have as much luck.
Takeaway
As I have shown, Rolex watches can hold their value, though any worn watch that experiences wear and tear is most likely going to depreciate over time. In most cases, anything you buy – particularly jewelry – is going to start losing value from the moment it leaves the shop. However, it is important to consider the factors above that can both positively and negatively affect the value of your Rolex.
If you’re considering buying or investing in a Rolex, I would first recommend talking in-depth with trained professionals before you do so. As stated in the article, Rolex’s are expensive, rare, and pricy, and it is a massive financial decision if you are planning to buy one.