When people think of luxury watches, Rolex is usually the first name that comes to mind.
So that begs the question: Is purchasing a Rolex worth the steep price tag?
Asking if Rolex watches are worth it is a somewhat loaded question. Posing the question to someone who has little to no interest in owning watches would probably answer with an emphatic no, while a watch connoisseur might heartily disagree.
To narrow our scope in answering this question, we will be explaining from the perspective of someone who is exploring the opportunity of owning a Rolex – keep an open mind.
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Is a Rolex a Good Investment?
Rolex watches can potentially be a good investment. Most watches are seen as a bad investment as they quickly lose value through years of use. Rolex watches, on the other hand, are known to hold or even increase their value over time.
However, it really depends on the model of your watch and market demand.
If you’re looking to maximize the potential resale value of a Rolex, make sure to keep track of all the following watch items:
These items help to aid the accurate assessment of the watch’s value.
If you plan to keep your Rolex untouched and stored away in a box, there are better investment opportunities for your money. The point of purchasing a Rolex is to wear it. As previously mentioned, Rolex watches can still increase in value through years of use, depending on the model.
Let’s forget reselling the Rolex for a moment. Someone who is fashion minded might view a Rolex as a perfect accessory to complement their wardrobe. If you’re someone who doesn’t think twice about style, perhaps purchasing a Rolex wouldn’t serve as a worthy investment.
Individuals looking to boost their image can invest in a Rolex to reflect the type of person they are trying to represent. Rolexes are seen as high-status symbols. If you’re a businessman who closes high-level deals, a Rolex can help define your personality within your profession.
Which Rolex Holds Its Value Best?
If you want a Rolex that will increase in value, select a stainless steel Rolex instead of two-tone stainless steel and gold Rolex watches. The latter is more centered around fashion and flash, which leads to less interest from a broad base of consumers compared to the more conservative stainless steel Rolex.
Like all commodities, supply and demand play a factor in how a Rolex model holds its value. Rolex will occasionally limit the number of model releases for specific stainless steel models.
Getting your hands on one of these models is a sure way to retain value—but it’s not so easy. Limited edition stainless steel models such as the Rolex Submariner are quoted as having a seven-year waitlist.
Quick note: If you’re enjoying this article, Is A Rolex Worth It? — then you’ll probably like this article on watches every man must own too.
Why Are Rolex So Expensive?
Simply put, they’re expensive because they possess all of the qualities of a good watch.
The process of crafting a Rolex is awe-inspiring. It takes about one year to make a Rolex. Rolex produces about one million watches per year, with its emphasis on continually evolving the product through detailed manufacturing.
Each Rolex contains numerous parts that are mostly all made in house. Some of the pieces assembled by Rolex include:
If Rolex uses materials from an outside manufacturer, they demand only the best. A team of working gemologists at Rolex test and arrange these materials to make sure they meet the company’s high standards. After testing, the elements are organized based on the value of the watch model in which they correspond.
Always Real, Always Unique
You never have to worry about receiving fake diamonds from Rolex as they test each batch.
Once materials for the watch are prepped, the Rolexes are hand-assembled and personally tested. The process of assembling a Rolex is distinct and designed so that nobody else can replicate the product.
Rolexes are about functionality as much as they’re about appearance. While many people view Rolex only as a mass producer, the company functions as if they’re a small business with an emphasis on artisanship.
Part of the reason stainless steel Rolexes are so valuable is that the manufacturing process is tricky. All the steel used for stainless steel Rolexes is 904L steel.
The 904L variant of steel is more rust and corrosion-resistant. The use of 904L steel in Rolex watches is additionally applauded for its ability to hold a polish. Most companies do not use 904L steel as it is more expensive and difficult to machine.
Advances In Research
You might be wondering how Rolex defines its techniques while continuously working to improve. The answer is that Rolex has its research and development department with several types of science labs.
The goal of these labs is the following:
- Research new watches and materials
- Research more effective assembly techniques
How Much Should You Pay for a Rolex?
The amount you should pay for a Rolex is the golden question. Rolexes are a surprisingly great value considering how well they are made. Frequently, the price of new Rolex models is non-negotiable while used models offer some potential wiggle room.
Currently, the entry-level price for the lowest tier Rolex is around $5,000. Most of the Rolex model’s people desire to own sit in the $8,000-12,000 range. Vintage and pre-owned models vary in their price estimates.
How to Assess Rolex Value — New & Used
First, you’ll want to set a price range that will help narrow down the number of models you’ll be examining. When buying used, the condition of a Rolex has a considerable bearing on how much the watch will cost.
Condition categories for Rolex include the following:
- Mint condition
- Used and unpolished
- Used and polished
As mentioned, the price of a Rolex will be impacted by whether or not the watch has its papers and original box in addition to the condition of these items. Be sure to firmly establish the type of condition you are seeking for your Rolex when buying used.
A helpful tip in searching for a Rolex is getting to know the seller. Don’t be daunted by the idea of purchasing a Rolex online. Many online forums, such as Etsy, provide high-quality seller feedback systems that can help gauge a seller’s reputation.
If possible, meet the seller in person or speak to them on the phone to get a higher quality read on who is selling the Rolex.
The value of a Rolex will increase with a warranty or satisfaction guarantee. A money-back satisfaction guarantee is essential if you’re buying from an online seller. You’ll want to check out the watch and see if it suits your needs once it arrives in the mail.
For those interested in owning a beautiful watch, depending on the model, purchasing a Rolex can be a good investment.
It’s essential to research what each model stands to offer in terms of features and functionality. Pay equal attention to who is selling the watch. Researching these elements will help establish the inherent value that can spawn potential value growth.
Lastly, remember that part of what makes owning a Rolex a potentially good investment is the enjoyment you can attain from actually wearing the watch.
Jacob has always loved men’s fashion – when he’s well dressed, he feels like he has an edge on everyone else. His confidence goes up, and so does his success (or so it seems). He makes sure that he looks put together every day. Everything He puts on his body has a purpose, from the shoes on his feet to the watch on his wrist. If you want to level up, it starts with your fashion!
Do you own a Rolex, has it been worth it for you?
Let’s continue the discussion over in the Gentlemen Within Private Facebook Community.
Looking forward to seeing you in there.
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