Watches: Are They a Good Investment?
Watches can be a great investment. When investing in stocks, you know that not every stock will perform the same and not every stock is a good investment. The same goes for watches; not every watch is a good investment. There are number of factors that determine whether a watch will hold its value and potentially be worth more down the road. The first thing you must consider is the quality of the watch. A well handcrafted piece that is built to last, is more likely to show a financial return. Certain brands and styles attract more money, but vintage and exclusive pieces, no matter the brand, can turn a nice profit if you’re patient.
If you plan to buy a watch for the sole purpose of an investment and future resale, keep the box and papers. You must also take it in for regular repairs and cleaning, so it keeps working. Mechanical watches can dry out and you need to repair it before it gets to a place of no-return. When taking this route, you should be more strategic in your purchasing. For example, consider all the watches for men that are available – in 10 plus years, what piece will be a more desired vintage watch?
You can wear a watch and still use it as an investment piece. You don’t need to have it tucked away in the original box; although it helps during the resale process, it’s not necessary. Always maintain and repair your watch so that it remains in good condition. The better condition your watch is in, the better your resale value will be.
Despite the rumours, you don’t have to own a Rolex for a watch to be a good investment. There are ways to get into watch investments with a more reasonable start up cost. For a smaller initial investment, look for newer brands that sell top quality pieces. Getting in on a start-up brand could show massive returns 10 years from now. A quality, classic watch, no matter the brand, will always show a return as a vintage piece in good condition. Another option is to buy a used watch, one that’s a few years old. Initially a watch may lose its value, before it starts to make gains. This is just like cars; once you drive it off the lot it’s already cheaper and after a couple years on the road the price difference is significant. If you maintain that car, keeping it in great running condition, that car eventually becomes a vintage automobile and is worth a whole lot more. Fortunately, with watches you don’t have to wait as long as you would a car, to see the value come back. Buy a used watch at a lower price and then hold onto it and maintain it and sell it for a higher return years down the road. This can be done with watches as old as 10+ years. The older it is (assuming it’s in good condition), the more valuable it will be.Watches are a unique investment opportunity and a lot more fun than investing in the stock market. It is a great way to diversify your investments and an exciting way to make a lot of money. If you are looking for an investment watch, do your research and most importantly, buy one you love.