Reply With QuoteCertainties in life, death, taxes and Rolex price increases. If you hold it for long enough prices will rise to offset the drop you may suffer now.
I would buy on interest free credit and get a new one, your name on the papers...
Hi all,
I am relatively new to the appreciation of good quality, mechanical watches and started my journey by purchasing an automatic Junghans Max Bill in November last year.
I have now decided that as much as I admire this watch and the 'bauhaus' design, it is not really practical for daily use as I am worried that the casing will eventually get cracked.
Since I first started researching/lurking on forums for watches, my eye has always been taken by the SubC date and I told myself that I would purchase one for my 30th birthday next year and save up each month for this - either as a pre-owned model or brand new (subject to cost).
I placed myself on an London AD list in December last year and got an email today saying they now have a SubC date in stock for retail price (£6,250) and will hold onto it until next week for me if I still want it.
The issue I have is I do not have the funds saved up but I could purchase it on a credit card.
Can anyone offer any advice on whether to pick this up whilst I have the opportunity or save up and pick one up next year for my 30th?
I appreciate that there is a decrease in value as soon as you purchase new (like a car when drove off the forecourt) however as anal as it sounds, I think I would value the fact I was the only owner and that my name was on the warranty card and the saving would not be that substantial.
Look forward to any advice!
Many thanks.
Certainties in life, death, taxes and Rolex price increases. If you hold it for long enough prices will rise to offset the drop you may suffer now.
I would buy on interest free credit and get a new one, your name on the papers...
If you know the watch is going to be a keeper and you've considered putting it on a credit card, I would first check to see if the AD you're purchasing it from has an interest free offer available. For reference Goldsmiths tend to offer 2 years 0% with a 10-20% depositOriginally Posted by lawler
Honestly, unless you want that AD red carpet experience and the peace of mind of the full 5 year warranty I'd happily take a second hand model. These models aren't so hard to get hold of now post price increase (surprisingly) so it's not like if you pass on this you'll never see another for years. Personally, I'd save up - I've always had a better appreciation for things I've saved for, rather than had to pay off.
Are they offering interest free again on Rolex?
A few months ago none of the chain stores were offering it on sports models.
I have asked about interest free as I discussed this over the phone with them at the time I was put on the waiting list and it was available. The manager who emailed me says that this is no longer available on this model, according to their Head Office and they can only offer 4.7% APR.....
I have a 0% credit card so this is not an issue really - although the 0% period does end in November this year.
Also I have around £1,300 saved up already and with the (hopeful) sale of Junghans if I choose to pick this up, it brings the figure closer to £2,000 that can be offset the full retail cost, so realistically I will have credit of £4,250 (or this is how I would justify it to myself....)
Apologies all, I wasn't aware the situation had changed since I purchased one on IF last May.
However, I think David M Robinson used to also offer IF on Rolex, so perhaps another AD might be the best answer?
Ask yourself, when you started this thread, were you hoping, deep down, that respondents would generally say "do it, go on, you only live once, you'll kick yourself if you don't"; or, "don't do it, no need to jump if you're not ready, there'll be plenty of other opportunities" etc. Because whichever of those you log on hoping to see is really the answer.
The cheapest price you'll get on second hand will be through a private sale on this very forum or similar. But of course private sellers won't take credit cards so buying new seems to be your best option if you want the watch soon!
If your current 0% credit card deal runs out in November, worth looking at getting a new card with a 0% offer over a decent period. There's usually a 2 or 3% charge on the balance transfer but that will still be cheaper than the rate your AD has quoted.
Ok, so if you've only got £1300 saved up plus the value of your Junghans you should not be dropping this on credit. Keep saving and when you get there, decide if you still want to drop £6k instead of putting youself in the hole for 4 and then losing 1 when you decide it's too expensive to be worn every day and get damaged and sell it to watchfinder for an expensive lesson. Sounds like you need to maybe road test an Ocean 1 or Tisell Marine Diver and see how beaten up it gets for the time up until you're ready to buy a Sub?
Last edited by Gromdal; 9th February 2017 at 23:38. Reason: spelling
Don't do it. That watch isn't anything special and despite what ADs might tell you, not uncommon or hard to find. Wait until you are in a better financial position.
A new Submariner is one watch I would only ever buy new. The used prices are just not worth it for the sake of a few £ I would buy new. 0% finance is no brainer even if you have the cash available you may as well keep it under your control and let the payments do the work. They're a watch that will only keep or rise in value as long as you look after it and keep it for a few years.
I think this is very sound advice. Basically go with your gut instinct.
As mentioned above I personally always value things more if I have to wait and/or struggle to get them.
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It's too early for you. I'd have all of it saved up first as this is a pure luxury, but at the very least two thirds so £4K in cash and then the rest on interest free.
Very sound advice.
I can understand your enthusiasm but dropping six large on a watch you can't afford isn't the best idea in the world. As others have said, this is a pure luxury that you don't need. And have you actually tried one on? I know everyone gushes over the Sub but I bought one last year and after a couple of days I'd started to notice that the lugs were far too wide for the bracelet such that the bracelet started to look a little feminine. Plus I'm not a diver and I couldn't help feeling a little bit 'Walter Mitty' about wearing it. Thankfully I was able to take it back for a full refund. The bezel was misaligned too.
If you can afford the repayments without too much financial hardship then I would say go for it.
Its one of the best luxury buys for holding its value so unlike a nice car the depreciation on a sports rolex is very palatable.
If you are going to make a luxury goods purchase this one is pretty rock solid really.
If you don't like it by the time you pay it off prices will have increased again and you will get most if not all back.
How do you crack steel?
Some very good advice here already. I would agree that you should try one on and see if it "speaks" to you. I wouldn't recommend taking out credit to finance a non-essential item like a watch, but at the end of the day the decision is yours and you're going to do what your gut tells you, anyway. I would concur that there's no burning reason to buy this watch new, it is neither rare nor hard to source from the pre-owned market, so don't think of it as an opportunity you can't miss.
I'd buy it on interest free. Get another credit card, or use an Ad that offers 0%
I've bought a few watches on 0% over the years, and I'd have bought more of my watches that way, if it was available.
I don't understand some of the comments. It's not that something isn't affordable, it's a choice. How many people buy a house or car cash these days? Why should any goods be any different, especially if it's luxury goods that people buy full price, and you can still get 0% finance deals on,?
Also, the UK is still one of the cheapest markets, and there could (only could) be another price rise between now and when you get round to buying if you don't buy soon.
It's a great watch, well liked and will last as long as you, with some care and occasional servicing.
It's just a matter of time...
If you have to put over 4K on a credit card, you can't afford it. Circumstances can change and that is not a nice debt to have over your head for the sake of a wrist trinket.
Keep saving. Subs are not that hard to come by, and there's nothing wrong with secondhand.
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Apologies I meant the domed plastic on top on my Junghans.
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Thanks everyone for the advice.
I think I will save up and buy one pre-owned next April for my 30th. As much as I would like a new one, it isn't a good move to put it on credit for a pure luxury.
It is a shame as I liked the idea of being the only owner but I suppose no one sees the warranty card do they and preowned models can still look relatively new.
It's going to be a long year of saving!
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And if the prices go up again then you'll end up paying more for your second hand one than the cost of a new one now!
The time to buy a Rolex always seems to be now.
If you're going to save the money anyway then you may as well buy the watch, it'll probably be the cheapest way in the long run.
The temptation.....
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If you want my advise I would not buy on credit for luxury items like this. If I don't have the cash in the bank I don't buy it.
So keep saving and maybe wait a while until you can buy in cash. Sounds like you'd prefer a new one too. Nothing quite like that feeling.
(And yes, I bought my last - 2nd hand - car for cash. I am a dying breed it seems, but how shall I put this, I am at a different life stage than the OP. At 29yrs old I would not have dreamt of dropping £6K on a watch!!!).
Good luck
Martyn.
Last edited by MartynJC (UK); 10th February 2017 at 10:08.
A bird in the hand and all that.
I'm not trying to tempt you but in your position and confident I could afford it, then I'd be picking my new one up today and paying the money I intended saving for it off the credit card balance every month.
Who knows when Rolex will next increase their prices but I've never known them to reduce them! (Granted, Haywood may correct me on that one!)
Well, in December 2008 the UK VAT rate dropped from 17.5% to 15% so that, for example, a classic 16610 Date Submariner dropped from £3,470 (the price it had increased to in October 2008) to £3,400; it was similar across the entire range.Who knows when Rolex will next increase their prices but I've never known them to reduce them! (Granted, Haywood may correct me on that one!
VAT did not not revert to 17.5% until January 2010, but this was in the period of rapid currency / metal recalibations and Rolex UK pre-empted it with a further price increase in February 2009.
Otherwise you would be correct, Rolex has typically not reduced prices like other manufacturers, but when currencies / commodities reverse will usually hold prices steady, for as many years as necessary until inflation or costs catch up.
Haywood
Here's my two pennies' worth. Sell the Max Bill and add the funds to your £1300 then spend 2Kish on a used Speedmaster Pro.
Enjoy said Speedie whilst you save another 2 - 2.5K then sell the Speedie (which hold their value very well) and spend £4.5K on the SubC which you may or may not still have an itch for :)
If circumstances change, a newish Sub will easily clear off a £4K credit card balance with useful room to spare.
It's just a matter of time...
As some have said above I would just save and buy when your ready.
Even though 0% seems reasonable and quite tempting, putting anything on credit other than necessities is not the way to go IMO, especially when you don't have the means to pay for it outright in the first place.
A year is a long time and anything can happen, needs can change or situations can arise that may require a credit card to save the day and the last thing you want is to be paying out for a luxury item that you did not have the means to pay for upfront.
That's very sensible advice.
You never know you may just have saved the OP a whole load of cash, as the Speedy is IMO a much more interesting and historically significant watch than a Sub - I own both, so I've no intention to start any form of war.
OP I was in your situation 10 years ago (although the amounts involved were less) but saved until I got the call from the AD that my Sub had arrived. By that stage I'd saved 2/3rds of the cost and put the final third on a %0 card. That felt more financially responsible for me but everyone has different attitudes to debt.
The final thing I'd say about buying new from an AD is that you're going to be 100% sure that your Sub is genuine.
Best of luck!
Last edited by dkpw; 10th February 2017 at 14:49.
You should never buy a watch, ever, unless you're 100% sure it's genuine, but I don't think you have to buy new for that - common sense and a bit of due diligence goes a very long way.
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I generally buy necessities cash, and frivolous items on 0% credit when it's available. That makes much more sense to me and means I pay less overall.
We are all different, but I can't get my head around people with mortgages advising people not to use interest free for a purchase - not specifically assumed at those on here, because I hear it every week! I must be missing something.
It's just a matter of time...
+1. People are generally ok about borrowing on a mortgage because they know that if it comes to it they have the means, if necessary - by selling the house - simply to repay the debt. Much the same argument applies to an SS Rolex.
You're a long time dead, live in the now!
The time to buy a Rolex is when you can afford it.
There's usually some ambiguity when people ask these questions. However, in this case the answer is pretty obvious.
If he can afford to save enough to buy it in 12 months then I don't see any issues in taking over a longer period on IF.
His zero percent runs until November, unless I'm reading the thread wrong. He doesn't have the money, and he's not near his birthday (the point of the watch). Literally, the only reason to buy is because the AD called. Are Subs that hard to get in the UK that you can't put down a deposit and expect to have a watch within the next nine months?
It's easy enough to get another one though if he wants to.
I don't really know how hard they are to come by but you don't generally see them in windows.
If you're out laying the money anyway (albeit into savings) then what's the issue with enjoying the watch now rather than waiting (and possibly another price rise)?
I'm not ethically averse to buying on credit. However, there's something about the ton of the OP that suggest that saving four grand between now and Nov wouldn't be feasible - perhaps not.
Good post.
If you can afford the monthly payments you can afford the rolex. Its like buying anything else on interest-free.
The item/brand doesn't enter into the equation.
Here's a pretty good heuristic to determine if you can afford anything - if you need to ask a bunch of people on the internet, you probably can't afford it.
Or it's a very expensive purchase, and a lot of money for a watch, and most people would like some valuation of their thoughts - especially if they aren't in the habit of buying Rolex.
I bought my first Rolex with around 20% deposit and 0%, and I'm glad I did. I had the watch 2 years earlier than I would have otherwise and enjoyed everyday wearing it. It was my only watch for years!
It's just a matter of time...
It's an expensive purchase but pretty risk free. Fall on hard times n sell it for close to purchase price
Life is indeed too short. Crack on imo
I think I need the weekend to think this over. The Speedmaster option has piqued my interest but I would love to own one from new and don't want to pay likely price rises in the future...
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Right!
The Speedmaster option is not the same.
Often decent discounts from new and residuals reflect this. They bring out a different variant every 30 minutes and this is equally unhelpful.
When you look long into an abyss, the abyss looks long into you.........
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