Hey guys.
What's up?
Kassab here, back again with another video for you.
Today we're gonna discuss whether or not watches are a good investment.
[music]
So let's just go into a little quick question that I got on the last video from one of our
customers and he goes, “Hi Kassab, good video, presented as always.
Just a quick inquiry from myself.
I am planning to go for a AP Offshore 4mm titanium ceramic.
Please advise if it's good to collect or should I go for a Rolex or another AP model.
Thanks.”
When I started speaking to him, he was explaining to me that he's from Singapore.
Personally, whenever I would sell to the Asian market, usually I do know that they prefer
the smaller pieces, so we were on the phone, I asked him a bit about that, due to the fact
that usually they do have a smaller wrist, he was explaining to me that he usually only
goes up to 41 millimeters, so when I asked him if he would be comfortable wearing something
of this nature, this 44mm Offshore Queen Elizabeth, it's a 2016 limited edition by AP, I was asking
him if he thought it would be something that would be a good fit considering that you have
that case, which then goes off the sides and you're gonna have a lot of extra space if
you have a smaller wrist.
I don't know if you can see that right there.
So when I started talking to him, he was telling me, “No, yep, you're right.
I completely agree with you,” and he did ask me what I thought would be a better investment
and that would hold its value over time, so I got him towards the 15300ST 39mm, which
Danny would probably pop up over here on my right hand.
That's a more collectible piece in my opinion, the 39 millimeter with a white dial.
However, he did request I would find the black dial for him.
Today we're gonna go over different pieces that I have on my desk right now and let's
see which ones I personally believe are better investments over others.
So let's begin by talking about Rolexes.
This specific model we're gonna be talking about, the 116610LV, also known as the Hulk,
the Submariner Date with the green insert and dial.
Now, this little watch has been going around since mid 2019 with the speculation it was
gonna be discontinued.
However, as we saw previously in the market, it went all the way up to $17,500 for a brand
new one, back down to around the $15,000 mark and now it's around $13,000 for a pre-owned
one, which relatively goes like almost $2,000 up or down more or less, depending on the
condition of the watch.
This piece I wouldn't consider an investment yet, as it isn't something that has been discontinued,
although if you do get it for retail, it's something that you can put in a safe and know
that you're gonna have your money and then some on top of it.
Remember that 2018, 2017 prices were around $7,000 to $8,000 for this specific piece,
could have gone up over time, but it's not something that I would consider a collectible
yet.
Now let's get into the Rolex Batman GMT Master II 116710BLNR.
As I said it before in the previous video, one of my favorite pieces.
Now, this piece specifically does have investment value.
As a matter of fact, I think the retail is around $9,500, $9,700.
If you were to buy this piece right now at say retail, you could probably resell it about
around $12,500 to...$12,000 to $12,500 more or less.
That' a brand new watch, unworn.
Don't quote me on that if you're gonna come in here with a preowned one.
Now, the beauty of this piece, discontinued last year, still has amazing value overall.
The prices around 2017 where more or less around the same thing as the Hulk, $8,000,
$7,000, around that mark.
When they started going up in price and getting a bit crazier and crazier, everyone started
trying to collect, collect, collect and now you have a couple of these in the market,
but you can't really find the perfect examples they would say are brand new.
Definitely a 9 out of 10.
As we continue down the line of professional models, we're gonna get into this Daytona
Chronograph.
Now, I am gonna be very honest with you.
I would never, ever, ever buy this as an investment pieces because it's too new.
Remember that these newer models that come out just like the Pepsi GMT on a Jubilee and
stuff of that nature, they have a ridiculous premium over retail, but they're not considered
something that's gonna hold its value over time because is something that continues to
be produced.
This specific model, I would not buy it over an 116500...116520, that's the previous model
with the stainless steel bezel.
Now, the retail is because the retail for this is $12,450 plus tax, so let's say $13,000
something and change.
This model is going for $23,000 right now.
Now if you think that Rolex will not continue to produce this for the next five years, then
keep it in a safe, wear it, sell it, you're gonna make some money if you get it for retail.
Now, if you're gonna go and pay $23,000 for this expecting that in 5, 6, 10 years is gonna
be worth what you paid for it, you're gonna be a little bit mad when you do get your quote
from any gray market dealer that might try to sell it to you or buy it from you for that
matter.
Now let's continue into the Sky-Dweller model.
This is Rolex's most complicated movement.
Now, with this blue face it's gonna run you around $25,000 right now, that's the market
price.
However, would I tell you to buy this at $25,000 thinking you're gonna keep your money there,
no!
Hell no!
This is again something that's going with trends and what people believe is something
worth having.
The blue is one of the more exclusive colors to obtain.
The difficulty on that I'd say if I was gonna rank it from 1 to 10, obtaining this color
is probably gonna be an 8 or a 9 without paying a premium for it or at least a ridiculous
premium of that nature.
Now, if I was gonna get you to buy a piece, I would say something like a yellow gold,
rose gold Sky-Dweller that's more in the market, not a collectible, definitely not, it's still
being produced, but it would have more value to have something that has a precious metal
than buying a stainless steel watch for $23,000, $24-$25,000, depending on its condition.
Continuing down the road with the Daytonas, this is the rose gold Daytona.
This watch personally the stories I have of this are genuinely something unique.
It's like someone in the comments said before about selling their GMT for 4,200 Euros about
four years ago, this watch was one of the first watches my father bought for my mother.
She wore this for a very long time and then one day decided she wanted to sell it.
When I came down and showed it to one of my associates who I deal with now in watches,
he paid me $19,000.
Nineteen-thousand five hundred dollars if I'm not mistaken.
Now keep in mind this watch at the time was nothing that hot.
Right now they're going for $32-$33-$34,000.
That's an appreciation of almost 100%, Dan?
Would that be right?
>> DAN: Right, yeah.
>> KASSAB: Yeah, so if you go and you were to have bought this watch when it was in the
all time low, now remember something, back let's say about 4 or 5 years more or less,
people weren't that into the gold pieces.
They were more about the professionals and even then, Rolex didn't have as much traction
within the general public, so you would have all these watches stocked up in storage.
I think something to blame for the recent come-up of all these watches and their ridiculous
premiums, I would not blame, but I would associate something with like rap culture.
You have all these songs about Rollie, Rollie, Rolex.
You have the...you have a bunch of people marketing the brand, not intentionally, but
I mean most people the first thing that they wanna buy when they make it big where they
have some type funds available is a Rolex because it gives you a status symbol.
This is by far out of the three main brands, which is Patek, AP and Rolex, this is number
three.
You start with the stainless steel models, you work your way up to the two tone, which
I don't have on the desk right now, and then you would go into the gold piece.
Never buy a white gold piece when you can get a stainless steel model, which is why
you're paying those ridiculous premiums on the stainless steel Sky-Dweller, but then
also the two-tones are a little bit difficult because not everyone likes those two metals
mixed together, except for that maybe the Root-beer, which is something that's a little
bit hot right now in the market.
It stays around its retail price preowned or brand new.
Now we're gonna go into AP.
Now what I said about two-tones mainly applies to Rolex.
You can buy a two-tone Submariner, black face.
It's not gonna sell for the same as the two-tone Submariner with the blue face and that just
has to do with general people's perception of the colors.
They prefer something with a bit more pop.
Would you say poppy, Dan?
Like it pops more...
>> DAN: I don't think poppy is a word, but if it makes you feel good, go ahead.
>> KASSAB: It makes you feel that it gives you that warm perception that's something
different, you know?
Now, personally with AP the whole brushed steel and gold just gives it a different vibe.
It's not that flashy, flamboyant gold piece in the center link.
Now, with this one I also have a story.
You see, my father gave this to my stepmother as...I think this was her second watch.
Her first was a Graham and then she had a Yacht-Master II two-tone rose gold and then
she had this.
Now, this baby she bought for I think it was around $14,000 or $15,000 like early 2017.
This watch I don't think you can get your hands on it for less than $30,000 right.
She sold it with an appreciation by the time that...she had for about 6 months before she
went into a Patek 5980 rose gold, she had this and she sold it with a profit of about
$6,000, $6,000 or $7,000 in late 2017, early 2018 when the prices started going up for
most of these pieces.
So definitely this is something to keep in mind.
This piece is discontinued.
You can't get this anymore.
I would definitely consider it something nice to add to your collection if you like that
dual tone combination.
Again, you go from Rolex, you upgrade to AP.
Now let's go to the big dog, Patek.
Now let's talk about Big Papi Patek over here.
Now this is a beautiful watch!
Danny is probably gonna have some b-roll right here of movement on the back and let me tell
you, you're gonna be marveled by the beauty behind this piece.
Now, the Patek Nautilus was generally staying really low, as I had stated previously in
I believe the Richard Mille video, is where I told you guys how my parents were mainly
selling these watches for around $60,000 or $70,000, not this specific model, that's the
5980 rose, which also let's add a picture right here Danny.
The 5980 rose was selling for about $60-$70,000 in early 2017 or mid 2017, around the summer,
then out of nowhere the price just went up and crazy, crazy, crazy, blowing up, blowing
up and I believe it was in 2017 that Joe Genta died, the one who designed the Nautilus case
and then it started spiking up the prices even higher and higher.
Now, you can't get any of those watches for less than $100 and something thousand, $120,000
more or less for a 5980 rose gold or $130 something thousand.
Now, this is another starting point and this piece has been teased before with an entire
metal bracelet, which was something that was passed around between dealers, someone who
had probably Photo Shopped the image of the box that it came in...5712R and then the full
metal bracelet.
This is something that you get when you want to graduate AP Academy.
Now this is what many people call a “Heavy Hitter,” but the reality of it is nothing
will ever compare to the beauty and the mechanics behind the Patek Philippe.
Anytime you invest or you buy one of these pieces, know that your money is safe and sound
with a brand that has over 150 years in history, 150-year history.
They've mastered, they've perfected the watchmaking.
Nothing will ever come close to this.
This piece is going for around $60,000 without box or papers.
Maybe in the $70,000 mark full set.
I can tell you if you put your money here, you're gonna have it, like if you ever lose
a dime on this watch, it will probably be around $1,000, $2,000, but don't expect to
lose more than that on something as beautiful as this.
In conclusion, today we've covered Rolex, some of the pieces worth it, not worth it
as investment pieces for the meantime.
We went over Audemars Piguet, this beautiful two-tone.
Again, discontinued pieces for Audemars are some of the I guess best purchases you can
make.
And then we covered Big Daddy Patek.
I highly recommend you check out this brand.
If you don't know about it, it's one of those brands that doesn't have a boutique, but if
you know about, it's because you're in the watch bis...not in the watch business, you're
into the watch world.
When you hit this level, you'll never wanna go below it, guaranteed.
As always, I'd love to hear your comments down below.
Some of you have said before in the previous videos that watches are not investments, period!
I would disagree with you, as the time I've spent in this business has allowed me to see
the different changes in the market over time.
You guys can leave me a like or dislike and don't forget to subscribe and share this with
your friends.
Take care guys!