For many, owning a Rolex or another luxury watch like a Cartier, Patek Philippe, Audemars Piguet, Hublot, Breitling or IWC is a dream and once realized becomes a lifelong passion. Luxury watches are a symbol of success, true craftmanship, heritage and prestige. The prices or shall we better say the value of luxury watches ranges from around CHF 1,000 for a mechanical Tissot up to 6 figures for timepieces from Richard Mille or Patek Philippe. Today most luxury watches are paid for outright, meaning from your savings account or with the financial support of parents or partner. However, looking at the (luxury) car market most cars are actually paid for monthly with a financing or leasing. This allows you to better align the purchase (or investment) with your regular income. You are basically applying a forward savings approach by locking in todays purchase price and paying it off over up to 60 months. This also protects the buyer from any future watch price inflation that was seen to occur over the past two decades at higher rates than the basic inflation rate.
In this blog article, we'll explore the costs associated with buying a Rolex or another luxury brand, the value of luxury watches, and how to finance them through Yourasset.
A luxury watch derives its value from two key factors:
Intrinsic Value – The cost of materials, production, labor, and logistics.
Intangible Value – Brand perception, demand, and scarcity.
The secondary market for luxury watches has seen significant appreciation over the years. For example, the Patek Philippe Nautilus ref. 3700 has appreciated over 4000% since its release in 1976, while gold has appreciated by nearly 2000%.
Beyond monetary value, luxury watches hold strong emotional significance. Many buyers appreciate them for their aesthetics, craftsmanship, and as timeless heirlooms. Today, conversations around the investment potential of luxury watches are becoming more common, reinforcing their appeal as a sustainable asset.
Purchasing a Rolex isn’t as straightforward as buying a regular wristwatch. Due to high demand, new Rolex models often require placement on a waiting list at authorized dealers. Alternatively, many buyers turn to the certified pre-owned market, where Rolex watches undergo authentication and come with warranty coverage.
When purchasing a Rolex, keep these key points in mind:
Always buy from a certified dealer or a reputable marketplace to avoid counterfeit products.
Ensure that the watch comes with original documentation and a warranty.
Consider pre-owned options, which can often be more accessible than brand-new models.
It depends on your financial situation, but generally, the answer is yes. The ability to finance a luxury watch presents a flexible payment option that aligns with regular monthly income. If people finance cars, why not watches? In fact, a car typically depreciates faster and has higher maintenance costs, whereas a luxury watch retains value better over time.
With Yourasset’s financing solution, customers can now pay for their next Rolex in fixed monthly installments through a fully regulated approach.
Yourasset acts as a payment enabler, allowing customers to securely provide their information and track their purchase from start to delivery. Customers make fixed monthly payments to our trusted bank partner. In Switzerland, interest costs on financing are deductible from personal income taxes, and early repayment is possible.
The financing process is simple:
Find your next Rolex and choose the financing option.
Submit your personal and financial information securely via the Yourasset platform.
Yourasset and our bank partner review the application.
Once approved, you receive a financing contract.
Sign and return the contract to our bank partner.
The merchant receives only your basic personal information.
Congratulations! Pick up your new Rolex from the merchant.
Your information is securely saved for future transactions.
For any product-related inquiries, customers can contact our merchant partners directly. For any financing-related questions, our team is available to assist.
While financing a Rolex can make ownership more accessible, it’s essential to weigh the advantages and disadvantages.
Immediate Ownership – No need to wait years to save up; you can wear your Rolex now and pay over time.
Flexible Payment Options – Choose a financing plan that suits your financial situation.
Preserve Cash Flow – Financing allows you to keep your cash available for other investments or emergencies.
Build Credit – Timely payments on a personal loan or financing plan can help improve your credit score.
Tax Benefits – In Switzerland, interest costs on financing are tax-deductible.
Early Repayment – Customers have the option to repay the financing amount ahead of schedule.
Interest Costs – You pay a certain annual interest rate for borrowing the capital from the bank.
Financial Commitment – Like a fixed savings plan you must make the monthly payments to pay off your asset over time.
Before you decide to finance your next luxury watch, you should consider the following:
Owning a Rolex or any other luxury watch is a symbol of achievement, a lifelong asset telling your story which can be passed on over generations and opens up a fantastic community to be part of – if you like.
With Yourasset you now have the option to purchase your next watch with monthly payments, with a fully regulated approach, as well and to maintain a certain flexibility.
If you have any questions, we welcome you to reach out to us an write us an e-mail to contact@yourasset.com.
Photo: Petite Genève