The Ultimate Guide To Investing In Watches

Watches have been treasured as objects of beauty, status, craftsmanship, and engineering for centuries. They have accompanied humanity throughout some of our most notable technological accomplishments, from record athletic breakthroughs to the moon landing of the mid-twentieth century.

For these reasons, well-made watches from established, prestigious brands earn impressive price tags.. Since watches typically ascend in market value over time, they are opportune investments. The buyer gets to enjoy an expertly crafted and stylish piece of machinery for decades, and then has the choice to sell it at a sizable profit or keep it as a worthy heirloom - making it their own piece of history.

Are watches a good investment?

Luxury watches tend to be a great investment, as they usually involve less risk than purchasing a property or investing in the stock market, especially as they tend to either hold or increase in value. They also allow you to diversify your investment portfolio, ensuring you don’t have all of your eggs in one basket.

Over time the preowned watch market has steadily grown and with world events like Covid-19 and the war in Ukraine, which have caused supply chain issues that make it harder for watch materials to be sourced, watch values have increased even further.

What are the best watches to invest in​ in terms of resale value?

Rolex

As with most brands, Rolex’s sports models with their more intricate technical features are typically their most valuable pieces. Models like the 1953 Submariner were designed to improve the performance of skilled scuba divers. It can withstand impressive water depths of 1,000 feet, features indices that illuminate below the sea surface, and has a uni rotational bezel that can be used to scale dives and rates of decompression.

With these features and the widely recognised superb quality of the Submariner, it has guaranteed longevity both in condition and market value.

Learn more about the best Rolex watches in our blog.

Patek Philippe

The Swiss company Patek Philippe is infamous for the exceptional and revolutionary designs of its watches and have been pioneers within the industry since 1868. They also maintain scarcity by only producing a very small amount of their products.

Once again, their sports editions draw a lot of eager attention, one example being the 1976 Nautilus. It is innovative in that it was the first watch to incorporate stainless steel into its sporting design and its large case also gives it that distinctive look of a rare piece.

Omega

With links to the space race and James Bond’s model of choice, the Omega brand certainly carries a lot of prestige whilst still being considered more affordable than many of its rival luxury brands.

The Speedmaster, also dubbed the ‘Moonwatch’, notoriously accompanied Neil Armstrong and Buzz Aldrin to the moon in 1969 and even saved the lives of the Apollo 13 crew members. As a result, it’s unsurprising that this watch has been beloved by enthusiasts since its introduction, made evident in its steady appreciation in value over the decades. This is much more promising than a sudden spike in monetary worth, as it makes investment much more reliable and not dependent upon a temporary or artificial surge in interest.

How to start investing in luxury watches

Do your research

Mastering the art of wrist watch investment can lie in simply getting familiar with a lot of the jargon used in the industry.

Whether it’s understanding the difference between a quartz (a battery operated watch), a manual (a hand-wound watch), or an automatic (a watch powered by an engine), there is lots of jargon to learn. Something to consider is how the quartz style, despite being praised for its accuracy upon first release, has since lost its charm amongst watch enthusiasts, suggesting that you should perhaps look further into other types of watches.

You may also note the regular use of the word ‘complications’. In the watch world, this refers to any extra detail that appears on the face of the watch. This may include added hands, dials, calendars, moon phases, and anything else.

Understanding the vocabulary is key to distinguishing the best between new, vintage and rare variations and allows you to more expertly explore the evolving trends of the market and which pieces are currently most in demand.

List the watch brands you’re interested in purchasing

Identifying which luxury watch brands you’re interested in will allow you to narrow down your research process and better understand which resellers are right for you and how the market for these watches adapt over time. Some watch brands you can look into include:

• Rolex.
• Tag Heuer.
• Omega.
• Breitling.
• Cartier.
• Patek Phillipe.
  

Identify trustworthy resellers

Finding a trustworthy reseller ensures you are purchasing a real watch for an accurate price, rather than paying over the odds for a fake. Look for resellers with good reviews and a strong reputation. It’s recommended to purchase from a reliable auction house or professional, like Panache.

Keep an eye on the market

By keeping an eye on the market you should be able to pick up on trends in demand and pricing, allowing you to identify the best time of year to purchase your desired luxury watch.

Purchase your watch

Depending on the reseller you have identified you should be able to purchase your watch online or instore. However, in-store may perhaps be the best choice as it allows you to assess the condition of the watch and whether the price is accurate.

Continue tracking market value

Continuing to track the market after you have purchased your watch allows you to keep an eye on whether its value has increased or decreased and when is a good time to sell your timepiece.

Sell your watch with Panache

At Panache, we have extensive experience in both buying and selling luxury watches. If you’re looking to sell your wrist watch, get in touch with us today or obtain a free no-obligation quote.