Investment Watches – Why Buying is Smart

The luxury watch market is in ascendance, with prices rocketing for both new pre-owned designer watch models. A recent Deloitte report from October 2021 states that pre-owned luxury watches are increasingly sought-after, with almost one-in-three buyers planning to purchase one over the next year. So you should definitely consider buying an investment watch! Here at S&R, we have a great range of pre-owned luxury watches for you to choose from. Browse our range online here.

Why consider a luxury watch investment?

Buying and storing a luxury watch has to be one of the most straightforward investment options on offer. The watch market has grown by around 25%, with demand of the highest capacity, and it is the simplicity of the product that is so attractive. Sales have risen because of the certainty associated with the product, and unlike crypto, the inherent versatility of having an investment you can hold in one hand. You don’t have to consider storage costs, and you will never be at the mercy of markets, as with other investments.

A pre-owned luxury watch sale can have a quick turnaround, which makes it not only a popular investment, but one in which you can secure or release your money quickly.

Better than an iWatch?

What sets the pre-owned luxury watch market apart from the wearable market is their resale performance. Luxury watches brands such as Rolex, Omega, and Patek Philippe, are performing so well, that it has impacted supply demand. This, in turn, pushes prices higher continually.

Fine watches have very limited production runs, with some producers only ever making small numbers of each model. With waiting lists for new watches that run into years, luxury purchasers and investors are actively seeking out preowned options.

Watch investments free from market fluctuations

The value of luxury watches remains independent of the world markets. When the world came to a standstill in the first half of 2020, watches held their value while the markets fluctuated. As with other non-market related investments, such as fine wine art, watches are not tied into the markets this has allowed their value to jump up.

Rising prices for 2022

Life is getting more expensive, and in general, the luxury watchmakers aren’t immune from price rises. Rolex are increasing prices, not only to take account of the rise in labour costs and higher transportation costs, but also to match the prices that their watches are fetching on the pre-owned market. Such is the high demand for luxury watches that models are often being sold in excess of the retail value.

From a brand reputation perspective, it’s in Rolex’s interest to redress the balance. For investors who are seeking to get a solid return on their investment, it’s equally good news - and it is not only Rolex. Prices for other luxury watch brands are also on the rise, with Patek Philippe and Cartier planning increases for 2022 also.

Bought for pleasure, sold for profit

The opportunity for return on investment in luxury watches is being said to torment owners who know that they have made a savvy financial decision. Rather than holding on to watches that they have waited many years to own, they are weighing up the value of selling them after only a few short months. Make no mistake; they may have bought the watch for pleasure, but they’re selling it as an investment.

Is there a catch to buying investment watches?

Right now, there isn’t one. However, it is important to remember the times that we’re living in. The COVID-19 pandemic forced many people to make, and now keep, promises to live differently. If they can invest their money in something more beautiful, fascinating, and stable, then the markets will enjoy a better return. So why not go for luxury watches!

Pre-owned luxury, designer, vintage and antique watches are also accessible, so it’s highly likely that they will generate more than the interest on any money held in your savings account.

Pre-owned luxury watches at Suttons & Robertsons London Jewellers 

Here at S&R London Jewellers, we are renowned for our collection of pre-owned luxury watches from world leading brands such as Rolex, TUDOR, TAG Heuer, Gucci, Bvlgari, Breitling, Cartier and more. Discover pre-owned Rolex watches like the Rolex Submariner model.

If you have a specific pre-owned luxury, designer, or vintage watch model that you are looking for, then feel free to get in touch with our team at S&R, and we will be happy to assist, or to guide you in the right direction! 

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January 24, 2022