Luxury watches are expensive. If you are planning on collecting them, both as a hobby and as an investment, you need to know what makes a watch stand out. It is crucial that the timepiece you have your eyes on is worth its value. Let us explore the five factors you should consider before taking the plunge on luxury swiss watches.
1. Brand
The brand is perhaps the biggest decider in whether a particular gold diamond watch that you crave appreciates in value. The products of specific watch manufacturers carry a lot more weight in the industry compared to the others. Their reputation precedes them due to brand recognition and their watchmaking expertise, explaining why certain brands, such as Omega and Rolex, cost significantly more than your average watches.
However, it is vital to note that brand value is just one factor. Lesser known brands are known to thrive in the luxury watch collecting scene. It is a combination of various factors that make a luxury watch collectable.
It may be wiser to invest in such brands as they are more affordable. If you plan to sell your collection in the future, these watches may offer a larger profit margin. However, extensive research is required to ensure your investment pays off.
2. Model
The brand of a watch isn’t the only significant factor. Its model is also vital. The rarer and more limited a particular model is, the more collectors are willing to pay a premium. Some models are limited in number by design. These limited-edition watches usually have historical significance, or it is meant to commemorate an occasion. These timepieces are likely to enjoy a greater appreciation in value. As a watch connoisseur, it is crucial you get your hands on one of these models as they usually sell out fast.
3. Functionality
The primary purpose of a watch is to tell you the time; any other features are just a bonus. However, some collectors target watches with multiple functionalities. An excellent example of this is a tourbillon watch, which is typically sold at a higher value because of the piece’s mechanical complexity.
4. Age
Antique watches are highly sought after by watch connoisseurs. Their values are typically astronomical, as these watches are no longer being manufactured. Specific models may not be coveted right now, but these pieces could be well worth the investment over time.
Collectors usually request a certificate of authenticity to demonstrate an antique piece is genuine. Therefore, it is essential to retain any such documents when you purchase a luxury watch.
5. Condition
The condition of the watch is likely to affect the price you can fetch. It is crucial to look after your luxury watches if you intend to flip them for a profit in the future. However, there are times where it may be preferable to retain any scratches.
It is common for many to send their luxury watches for case polishing to remove these blemishes. However, doing so may end up diminishing the value of the piece. The polishing work done will change the structure of the case. Originality is king to specific watch collectors, and they do not fancy any pieces that have been altered.
Conclusion
Despite what has been said, trying to make a profit from selling luxury watches is a bit of a gamble. Even a watch that has all the signs of being a collectible might end up depreciating in value. Conversely, a watch that many overlooked could end up fetching a high price.
If you plan on collecting luxury watches, you should focus less on how much money you could potentially make. Instead, turn your attention towards appreciating these beautiful works of art.