A Guide to Investing in Luxury Watches

The world of luxury watches is a burgeoning asset class, with countless celebrities, athletes, and even social media stars making their marks in the realm of haute horlogerie. If you are looking to start a watch collection, invest in upscale timepieces, or simply find the perfect heirloom timepiece to keep in your family for generations, it is important to understand the ins and outs of the watch market to ensure you are paying a competitive price for the piece you plan to acquire

For watch world beginners and veteran collectors alike, here is our go-to guide to finding, keeping, and perhaps even reselling some of the world’s most luxurious watches. As a trusted secondary market luxury watch reseller, our team at Avi & Co. has the insights you have been looking for into today’s most coveted pieces and where to find the watches of your dreams.

According to tastemaking publications like GQ, the world of vintage watch collecting experienced an unprecedented boom in the spring of 2020. As everyone sheltered in place during the Covid-19 pandemic, the market for pre-owned watches exploded. Prior to this shift, most watch collectors could only get their hands on brand-new or very old timepieces. In recent years, however, a thriving secondary market has paved the way for collectors and investors to expand their inventories in the best way possible.

That said, there are certainly some misconceptions about the term “pre-owned.” While a “used” designation on a watch typically indicates that the piece has experienced some wear and tear, a “pre-owned” watch might still be in its original box, with original papers or tags. It is possible a pre-owned watch has never been worn. Even if it has, you may find few to no signs of use.

Still, there are a few considerations to keep in mind as you shop for watches on the secondary market (which, for most collectors, is the most realistic way to grow your collection or invest in pieces you hope to make a return on).

Choosing a Trusted Secondary Market Watch Seller
As you might imagine, it is imperative to give your business to a trusted seller on the secondary market. Unfortunately, there are certainly some shady dealers out there. You want to look for a watch retailer who specializes in upscale brands like Audemars Piguet, Rolex, Patek Philippe, or Richard Mille. Additionally, you should look for a seller who promises to authenticate and inspect every single piece they sell to ensure only genuine pieces pass through their doors. (Hint: Avi & Co. does both!)

Eliminate Obstacles With Secondary Market Shopping
One of the biggest benefits associated with shopping for luxury watches on the secondary market is that you eliminate some obstacles that manufacturers can put into play. You do not need to worry about waitlists or other requirements such as past purchase history to get your hands on the timepiece you are looking for. While some watch prices on the secondary market can exceed the piece’s retail list price, you are paying for the convenience of getting the watch you want when you want it.

Consign, Trade, or Sell Your Pieces Easily
With the renaissance of the secondary market for luxury watches, collectors have also observed that it is easier than ever to consign, trade, or sell the luxury timepieces you already own. This has two major effects. First, it means that more high-end watches than ever before are circulating on the secondary market. It is always worth maintaining consistent contact with your seller of choice if you are looking for a specific timepiece. Chances are, it will hit the market sooner rather than later. If you are not seeing exactly what you want, experts like our team at Avi & Co. can tap into our watch world connections and try to source it for you.

Secondly, the uptick in reliable secondary market providers means it will be easier for you to move watches than it may have been previously. If you are looking to make a change in your collection, you have plenty of options, including financing through providers like AMETA Finance Group.

Now that you better understand the role that the secondary market plays in the burgeoning world of investing in watches, it is time to dive deeper into some key tips for picking pieces that will hold their value. Better yet, you might even find a watch that increases in worth!

As you look for luxury watches that are worth your investment, it is usually best practice to focus on widely recognized and esteemed watchmakers such as Audemars Piguet, Rolex, Patek Philippe, and/or Richard Mille. Additionally, some models tend to hold their value more than others. Here are a few top-selling models that are known to have strong retail values for each of these four brands:

While it might be tempting to modify a watch after purchase, watches that have aftermarket modifications are typically not as valuable as those that remain as they were when the manufacturer originally created them. Choosing factory-set watches shows your respect for the manufacturer’s vision and ensures that only the highest-quality gemstones and craftsmanship went into creating the timepiece in question. This is especially important when it comes to gem-set watches that showcase incredible precision and require advanced jeweler skills, like the Patek Philippe model seen below, which is factory-set with 2,553 individual diamonds.

A timepiece that has been discontinued but remains in high demand is an excellent choice for an investment, as the supply level is set in stone. A perfect example? The Patek Philippe Nautilus 5711, which the brand discontinued in January 2021. You can still find these iconic pieces on the secondary market, but no watch collection is complete without this timepiece. It is a favorite of countless celebrities as well as watch collectors across the globe, and it epitomizes the sporty yet chic nature of the ever-stylish Nautilus line.

The size of the production run of any particular watch also contributes to its desirability on the secondary market. If a watch is limited to a certain number of pieces, it might have more value to collectors, as it will be harder to find and acquire. For that reason, limited edition collections often sell for a higher dollar amount. Additionally, collaborations with well-known figures or celebrities can also enhance the value of a watch.

Some high-value collabs to look out for? We love the Richard Mille x Pharrell Williams timepiece as well as the brand’s collaborations with athletes like Rafael Nadal, Bubba Watson, and Felipe Massa. Speaking of Formula 1 drivers, IWC also recently released a collaboration with F1 champion Lewis Hamilton that is worth noting. Of course, we cannot forget about the Audemars Piguet Royal Oak collaboration with horological heavy-hitter John Mayer.

Ultimately, the most important consideration when it comes to watch collecting is finding unique timepieces that you truly love. While it is possible to be savvy about your watch investments and find pieces that are likely to provide a return on investment down the line, multiplying your money is never a guarantee. With that in mind, prioritize purchasing watches that you will be excited to wear on your wrist and that showcase your unique personal style, taste, and commitment to the finer things in life.

When you shop for jaw-dropping watches at trusted secondary market retailer Avi & Co., you’ll get the chance to discover luxurious timepieces that are better than your wildest dreams. We have everything from instant classics like the Rolex GMT-Master II Pepsi to modern, innovative, and daring pieces: like this Rolex Daytona that features a shimmering mother of pearl dial.

Here at Avi & Co., we have a broad collection of exquisite timepieces for every consumer. We are a trusted provider of numerous globally renowned luxury watch brands, including Patek Philippe, Rolex, Audemars Piguet, and Richard Mille. We have also launched three of our very own Avi & Co. watch lines and our bespoke Diamonds by Avi & Co. collection, which showcases fine diamond jewelry that is crafted to impress.

Make an appointment to shop in store with us today at any of our three locations. We cannot wait to give you a warm welcome into our Avi & Co. family.

Note: The information provided in this article does not constitute a recommendation for the purchase or sale of any particular timepiece, nor does it guarantee a return on investment for any of the featured watches. Prices and trends fluctuate with the market, so be sure to conduct thorough research on your own before making any investment purchases.