Rolex Depreciation

[BroxiSG]

Whilst some like to beleive you never lose money on a rolex others in the real world know the opposite is true.
My wife and I have owned both a 116234 and 179313 DJs. Keeping them between 4 and 5 years before upgrading we have lost around 25% on resale which to me seems reasonable with the length of time owned and the general daily wear condition they were sold in.
I know the answers is of course subjective however generally speaking what have others experienced - is this good, normal or excessive?

[skydweller_sg]

25% loss for DJ is considered normal
SS sports will see lower depreciation if you hold your watches long enough
eg i bought a brand new 14060m (discon now) 7years ago at $4.5k
it is now worth about $4.5 to 5k in resale market

[DayDreaming]

So if buy 2nd hand DJ, the depreciaiton will be min? About a 15 year old ladies DJ will cost how much in the market?

[Destro22BT]

Whilst some like to beleive you never lose money on a rolex others in the real world know the opposite is true.
My wife and I have owned both a 116234 and 179313 DJs. Keeping them between 4 and 5 years before upgrading we have lost around 25% on resale which to me seems reasonable with the length of time owned and the general daily wear condition they were sold in.
I know the answers is of course subjective however generally speaking what have others experienced - is this good, normal or excessive?

To not lose $$$ on a Rolex watch, GENERAL rule of thumb:
1. Buy sports models
2. Brand new AD sets (sports models) takes about 5-6 years to break even
3. Used sets typically break even on the spot if you spot a good catch in the forums (collectible ones, with box and papers, good condition)

Datejusts are in oversupply, always present in the secondary market with many dealers stocking interchangeable dials for that desired look. For Rolex sports models, sometimes u can't even find a single seadweller/non-date sub in stock if it's in demand during that period.

[Jakarta After Dark]

My second-hand watch dealer always tells me never buy a brand-new watch. Similar to a car, he says it loses a third to half of its value the moment you step out of the shop.

So perhaps arguably, buying second would be a good way to not feel the pinch (at least not too much) of value loss in a watch purchase?

[skydweller_sg]

that is true, provided you do not mind 2nd or 3rd or n(th)-hand watches

My second-hand watch dealer always tells me never buy a brand-new watch. Similar to a car, he says it loses a third to half of its value the moment you step out of the shop.

So perhaps arguably, buying second would be a good way to not feel the pinch (at least not too much) of value loss in a watch purchase?

[dtctan]

My personal point of view is that we shouldn't be worrying too much on the depreciation of the watch, everything depreciate ... Including your saving in the bank so just buy it, wear it and enjoy it.

[Legoland44]

My personal point of view is that we shouldn't be worrying too much on the depreciation of the watch, everything depreciate ... Including your saving in the bank so just buy it, wear it and enjoy it.

I agree with dctan!

[Newcastle]

Depreciation is based on demand. Rolex sport models excel in that department across all ages thus the better value retained compared to DJs. IMO

[dtctan]

Another point that I'm curious of ... You buy a watch to wear or to sell, seems like a lot of folks are very concern about the resale value, so even before buying you are already thinking of selling so what is the point in buying the watch ?

[jcsy]

Hehe.. always nice to know that our priced possession has not burnt such a big hole in our pockets..so if we hv to sell it, there is some certainty in its value. But I guess for starters, the rolex brand probably retains its value relatively well as compared to others. At least thats what I hope.

[BroxiSG]

I can perhaps satisfy your curiosity. We bought the watches to wear and enjoyed them immensely before we upgraded. As stated I am comfortable with the depreciation level and acknowledged that it is indeed a myth that Rolex don't lose money. My question as to whether 25% was good, normal or excessive doesn't really matter as if I am happy with it then reality takes a back seat.
I just thought it would contribute and let others see what they are getting themselves in to as some clearly think they won't lose. With that in mind I appreciate all the constructive feedback

Another point that I'm curious of ... You buy a watch to wear or to sell, seems like a lot of folks are very concern about the resale value, so even before buying you are already thinking of selling so what is the point in buying the watch ?

[Kenneth_C]

My personal point of view is that we shouldn't be worrying too much on the depreciation of the watch, everything depreciate ... Including your saving in the bank so just buy it, wear it and enjoy it.

Agree. Now we have negative interest rate for saving deposits.

[Oceanklassik]

Another point that I'm curious of ... You buy a watch to wear or to sell, seems like a lot of folks are very concern about the resale value, so even before buying you are already thinking of selling so what is the point in buying the watch ?

I mean com'on lets face it. Most often than not, I always get such question. It's not really about thinking of selling it but whenever we make such purchases, some if not most will wish to know if an expensive item they are buying has certain amount of worthiness. Yes I do agree that one will need to like/love the item to acquire it but it is also normal to hope that the said item has value in it. It's like buying houses/properties. Who doesn't hope his/her house will appreciate in value over time?

I can perhaps satisfy your curiosity. We bought the watches to wear and enjoyed them immensely before we upgraded. As stated I am comfortable with the depreciation level and acknowledged that it is indeed a myth that Rolex don't lose money. My question as to whether 25% was good, normal or excessive doesn't really matter as if I am happy with it then reality takes a back seat.
I just thought it would contribute and let others see what they are getting themselves in to as some clearly think they won't lose. With that in mind I appreciate all the constructive feedback

I think you have done good to bring this up to our attention, especially for newbies. I get this kinda' queries rather frequently. But it is normal, I have ill knowledge too when I started. I hope more will read this and understand.

[bildungsroman]

25% loss for DJ is considered normal
SS sports will see lower depreciation if you hold your watches long enough
eg i bought a brand new 14060m (discon now) 7years ago at $4.5k
it is now worth about $4.5 to 5k in resale market

actually if you take into account the tvm of the 4.5k you would have actually lost money as well. just wanted to point out that one should not buy with the aim of value appreciation, but for watch appreciation