Investing in Rolex is Hot at the Moment

Investing in Rolex is hot at the moment and looks set to be for years to come new data shows. A Rolex isn’t just a coveted luxury watch. It can also make you money, apparently.

Rare Watches is a leader in the pre-owned watch sector and has been at the forefront of pre-owned Rolex sales for over a decade. It has compiled data from over the past ten years showing just how successful making a Rolex purchase can be.

The traditional means of investment of capital across the world ranges from gold to the stock market to real estate as traditional means. But over the past decade, Rolex raises a few eyebrows.

A New Study shows the Swiss watchmaker’s timepieces can also be a good investment, according to Barron’s. An analysis of secondary market performance from the past decade showed, that when it comes to a flat-out percentage increase.  Rolex regularly did better than more traditional investment options, like stocks, real estate, and gold

 Rolex rose from just shy of $5,000 to over $13,000 between 2011

The average price of a used Rolex rose from just shy of $5,000 to over $13,000 between 2011 and the end of last year. This trend only seems to be heating up. Rolex’s have appreciated in value since the start of the pandemic, as they did during the five years prior to it. While the company analyzed the performance of all Rolexes, there were two models in particular that stood out. The stainless-steel Submariner  Ref. 16610 was easily the highest selling Rolex over the time period. While the Daytona is the model that has appreciated most, with an average pre-owned price of over $30,000.

This is based on inflation-adjusted values for the price of gold provided by macrotrends.net. The median sales price data for houses sold in the United States from the Federal Reserve Economic Data (FRED) database.

Additionally, while the stock market (based on historical Dow Jones Industrial Average values from macrotrends.net) offered similar overall returns over the course of the last decade, Rolex watches offered a noticeably higher appreciation percentage when it comes to the last five years, and this trend only seems to be continuing into 2022.

10 year surge

The findings go on to show that when looking at the actual dollar-value amount that prices for pre-owned Rolex watches have increased over the course of the last 10 year. This data becomes even more impressive.

The average price of a used Rolex watch has gone from less than $5,000 in 2011, to more than $13,000 by the end of 2021.

This increase is noteworthy by all standards. But the amount that Rolex prices have gone up since the beginning of the pandemic (2020).  Nearly equal to the total price increase that can be observed during the entire previous five-year period. This trend shows no signs of slowing as we enter the new year.

Rolex models have increased somewhat over the last decade.

As per the above, all Rolex models have increased somewhat over the last decade. It is no surprise the likes of the Daytona, Day-Date and Sky-Dweller come out on top. They have more than doubled in price during that period.

This opposes the likes of the Air-King and the Date which have shown modest yet steady appreciation.

With that in mind, the Daytona still claims the number one spot for the highest appreciating Rolex model.  It has more than tripled in value during the past 10 years. With an average pre-owned price of more than $30,000 for 2021.

Stainless-steel Submariner 16610 that is the single best-selling Rolex

As far as which Rolex watches are the most popular, it is the classic stainless-steel Submariner 16610 that is the single best-selling Rolex. Reference of the last 10 years. With its two-tone steel and gold sibling, the reference 16613 claiming the number two overall spot.

The brand’s various purpose-built sport and tool watches account for 8 of the top 15 best-selling Rolex reference numbers of the past 10 years. Including the top three positions.

However, the Lady-Datejust collection surprisingly represents a total of three reference numbers from this top 15 list. Including the fourth best-selling Rolex watch of the last 10 years – the stainless steel and 18k yellow Lady-Datejust 69173.

Rare Watches concluded in affirming that while there are of course no future guarantees on value appreciation, the historical data provides some interesting considerations.

Investing in various asset classes is a personal choice and there are increasing options available.

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