Why will your Rolex Watches increase in value over time?
Posted on November 20 2020
Owning a Rolex Watch is just like owning a piece of royalty. The fact that the value of Rolex Watches steadily increases year on year has put some weight behind the prospect that Rolex watches make an excellent investment.
Now, you must be thinking, have Rolex watches gone up in value? Well, they certainly have. Owning or buying Rolex watches is full of interesting experiences. And the best part about it is the possibility that your Rolex will undoubtedly increase in value as time goes by. You may have heard of someone’s old Submariner, Daytona, or GMT Master that’s been in the family for years is now suddenly worth thousands of dollars.
If a Rolex watch’s price increases, it becomes the single most crucial factor behind increasing your investment value in these watches. This is in tune with the value of pre-owned watches and keeping in mind the general value of new watches. Look at it this way - a 10% increase in the price of a modern Datejust or Day-Date likely means that the price of your Rolex watch has increased as well.
A global price increase for Rolex watches will surely impact the price rise of pre-owned or vintage Rolex Watches. If you don’t own a Rolex yet, but you’re looking forward to buying one soon, the brand’s price increase strategy likely means that your investment in Vintage Rolex Watches will make you wealthier over the long period.
While we believe you should buy a Rolex model that you like and will wear, and not just for investing, it is still a thought that might cross your mind. The new piece you are purchasing will likely appreciate over time, or at least hold its value.
How does one place value on a Rolex watch, in any case? Is the price tag based on a compelling origin story, connecting the wearer to a legend that existed in the bygone era? Does the value lie within the watch’s inner workings, its innovation, & technical upgrades? Or is it the craftsmanship attached to the brand name? Perhaps it all comes down to materials (like platinum bracelets) and the addition of diamonds.
Moreover, why does Rolex hold or appreciate its value over time, unlike other brands? There’s no exact formula to determine whether or not a specific Rolex will increase in value. However, due to the unparalleled brand recognition and unmatchable quality, Rolex watches generally hold tremendous value in the competitive pre-owned watch market. The chances of your Rolex going up in value depends on a plethora of factors, such as the specific model, the overall condition & if the watch in question has any unique qualities.
If you are a Rolex lover or an expert watch collector, you’re probably on a waiting list for months for a Rolex model you’re dying to add to your collection. Rolex, unlike some other watch brands, has a smaller product line but has depth in those lines. For example, you have a very well-known Submariner, Daytona, and GMT models, but you have quite a lot of references within those models.
All of the reference numbers are different in some way. They are only produced for a limited time and limited quantities, causing most of them to be sought after and extremely difficult to procure. Thus, their value increases over time due to this high demand and the quality of the watch.
Now, this still doesn’t answer the question of how much do Rolex watches increase in value. We don’t have that specific answer because it varies by model, age, and the condition the watch is in, but here we’ll look at 3 models that’ll hold their value or appreciate over time.
Rolex introduced the GMT Master in the 1950s, and Rolex released the GMT-Master II or Ref. 16760 in 1983. It first came as a potential tool watch for pilots, and it featured a rotating bezel, and it allowed wearers to reference a third-time zone. The caliber 3285 movements also provided a “quickset date,” which gave you the ability to adjust the local time without stopping the 24-hour GMT hand or stopping the watch altogether. With time, the Rolex GMT Master became a hugely popular watch among watch collectors.
Some vintage GMT Master models have increased their value over time, and more recent models have become discontinued. The GMT 2013 model nicknamed “Batman” for the blue and black ceramic bezel was discontinued but again launched in 2019. That’s why the price increased in a short time due to its demand. Though it’s almost impossible to predict what the pre-owned models will be worth in the future or how popular they’ll become, a GMT Master is still an interesting prospect for investment.
The second iteration of the famous GMT Master was nicknamed “Fat Lady” since its case was thicker than the original GMT-Master. Other GMT-Master II watches nicknames included “Coke” due to its black and red bezel, “Pepsi” due to its blue and red color bezel, “Batman” due to its blue and black color bezel combination, and “Root Beer” due to its brown and gold (and later black & brown) bezel.
Marlon Brando’s GMT ref. 1675, which he wore in his movie Apocalypse Now, was perhaps the most notable GMT to go down in an auction. It broke the then world record for the most expensive Rolex sold at an auction at a staggering amount of $1.95 million.
Rolex released this classic sporty model in the 1950s. There have been quite a few reference numbers of this model since its inception, causing some of them to become instantly famous. Like all other iconic Rolex models, the Submariner is counted as one of the most popular ones.
Suppose you’re lucky enough to own a popular vintage model, like the 1680 or 5512 (A Nottinghamshire miner’s rare ‘holy grail’ Rolex Submariner surprisingly went for $230 Thousand) that is still in top-notch condition, who knows. In that case, you’re probably sitting on a jackpot.
Further, some famous James Bond movies have helped contribute to the Submariner’s popularity in pop culture. The first-ever 007, late actor Sean Connery wore ref. 6538 In “Dr. No.”. The Submariner line of watches has always increased in value over time, making it a great model for you to buy and hold onto for decades. You can preserve your Rolex watches and improve your experience with our repair and maintenance service at Twain Time.
Daytona Watches always remain in great demand, as fans and Rolex aficionados have been stuck on the waitlists for years. The Daytona is an integral part of the famous Rolex lineup. Rolex incepted the Daytona in 1963, and it was mainly made for motorsports, especially racing. Like many other Rolex models, a vintage Daytona model in excellent condition could be worth thousands of dollars today.
Fun fact - In 2017, Paul Newman’s Daytona became the most expensive watch ever sold at $15.5 Million. Currently, the value of the stainless steel models of Rolex Daytona is moving uphill, as they’re not produced in the same quantity as their gold counterparts. The Rolex Cosmograph Daytona is also one of the more “complicated” watches out there. Some of the complications include a chronograph with three subdials and a tachymeter to time-lapse, currently absent on any current timepieces.
Make an Investment by buying one from Twain Time
Not even expert watch collectors can exactly tell you “how much your Rolex watch will increase in value” over time. What you should do is try keeping it in good condition and enjoy wearing it, knowing it’ll increase in value or it’ll at least hold its value!
Meanwhile, have a look at our Vintage Rolex Watches collection here. We have put together a brilliant collection of Rolex watches that includes many classics. Browse through them and own an icon, which will not only increase its value over time but will remain in the family for generations.