I’m sure you have all heard of record breaking prices of vintage watches at auctions and are considering making an investment in watches. The phenomenal success of quartz watches in the seventies and eighties drove up values of old mechanical watches as they became rarer.
It is this enthusiasm for mechanical watches that has spur manufacturers to come up with new innovation in mechanical watches.
So how do you choose a mechanical watch that will not only hold its value but also rise in value?
Buy a brand which is reputable and has a long history of preferably at least a century old.
Check with auction sites and used watch dealers and find out the value of a 5 year model. Is it worth any value? How about older ones? Are they worth more than the new models? If yes, then this brand may have good investment potential. Whether a time piece appreciates in value depend on the simple law of economics. The rarer it is the more highly prized it is. That’s why rarity is so important. A reputable manufacturer can issue a special edition with only a limited number of watches available, preferably of less than 100.
Going deeper into this issue there may be many different brands but they may buy the watch movement supplied by one main supplier which means in essence they are basically the same watch.
For a watch to be unique , the watchmaker should design and manufacture most of the different parts rather than simply source components from another supplier.
The watch should be of high quality. It should have a quality movement.
Look at the case finish and design too. Check out the innovation in the watch.
Collectors are also interested in complications such as Perpetual Calendar, tourbillon, moon phases, power reserve indicator and day and night indicator. These are extra features besides the standard time telling. Perpetual calender accurately keeps track of the day, date, month and year. You do not have to worry whether the date is correct and set the correct date. Tourbillon is one of the most complicated components in watches which minimizes timekeeping errors caused by gravity.
The appreciation in value in mechanical watches is not as quick as other forms of investment. You should treat it as a long term investment. A investor wouldn’t buy a watch today and sell it off the next day.
Potential watch investor should also know that value of a watch is dependent on the amount a buyer is willing to buy. In other words, a watch is worth only as much as a buyer is willing to pay for it.
Therefore it is very important that you like the watch and has emotional and sentimental value to you.
Lastly, you have to take good care of your watch and maintain it too . Remember to keep all the papers and documents too.