gold gold gold

[Ni8R]

I am a little shy on purchasing a Daytona, mainly because the stainless tends to hold more value than the gold on resale.

Why is the gold Rolex undervalued versus the stainless steel for resale?
Help me understand why.

I am new to this for, be gentle on the newbie.



Greg

[huncho]

gold watches have a much smaller market so they depreciate whereas steel watches at the current time have a much higher demand than supply

[envuks]

There are a lot more people who can afford a $12k watch than a $35k watch. It is also difficult to obtain a SS Daytona at $12k (from an AD). Many people are even entirely unable to do so.

Anyone with $35k can get a gold Daytona at an AD.

[inadeje]

I did this whole analysis some months ago, meticulously checking both wg and ss variants of numerous sports models. My findings were that, for around 4-6 k more, I could purchase a, as new, wg watch for the price of a gray ss. I concluded that the market for ss will eventually correct in a big way, while the wg watch at 50 cents on the dollar used, will either stay at purchase price or, increase. Wg daytona used, against a ss daytona gray...

[77T]

Demand governs price, and demand with constrained supply makes prices soar.

There is just a smaller demand for TT and precious metal watches.


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[ltmgeller]

Welcome to the forum. There is always less of a demand for pm models. Its best to buy a watch for what it means to you, not for what it might be worth to someone else in the future.

[TswaneNguni]

SS is a crowd pleaser,PM is for those with the money

[Helmi]

From my humble perspective, I don't like yellow /rose colored watches. Too blingy for me and attracts the attention in a bad/unpleasant way. So it is wg or steel for me. Now why to spend that much extra on wg if it almost looks identical to ss? Also gold tends to be softer and easier to scratch so I will not be comfortable wearing it on daily basis fearing of scratching it. All this lead me to just be patient and try to get the watch I want in ss at MSRP. Not ideal though given current ss shortage situation.

[Andad]

Originally Posted by inadeje

I did this whole analysis some months ago, meticulously checking both wg and ss variants of numerous sports models. My findings were that, for around 4-6 k more, I could purchase a, as new, wg watch for the price of a gray ss. I concluded that the market for ss will eventually correct in a big way, while the wg watch at 50 cents on the dollar used, will either stay at purchase price or, increase. Wg daytona used, against a ss daytona gray...

When the Oz SS Rolex market corrects in a big way I will fly to Miami with my nefie and buy you a beer mate.

[TswaneNguni]

Originally Posted by directioneng

When the Oz SS Rolex market corrects in a big way I will fly to Miami with my nefie and buy you a beer mate.

Sounds lekker Oom !! Since we will be visiting the USA frequently to visit son at university

[mr_gray]

@inadeje this is exactly the conclusion i came to in past weeks. i came at it by looking at the price of various models versus RRP. Also if we look at PM models the shocking prices for 1680/1675 are also instructive. essentially i decided that:
- PM was relatively cheap (e.g. i don't think 116619 price has changed since release in 2008).
- 6 digit versus 5 digit relatively cheap (only a few thousand more but arguably substantially better (heft, glidelock, movement, crystal)

I guess my feeling though is that instead of ss models tanking, we might finally see some strength from 6 digit PM models like 116619 for example. why?
1. we must be due an increase in RRP (same price since 2008 on release) (if this is wrong pls tell me. i know there was a small price change but nothing of substance and unless i am mistaken it was downwards?)
2. diverted demand from ss because as you indicate, price differential is marginal

[peterpl]

For the price is an SS Daytona at what $20-$22k you'd be stupid not to purchase a precious metal piece. Like many above posters said there are 1000s upon 1000s of potential customers for a SS Daytona C at $12k. There is only a handful of customers for gold at $30k. Big price difference there. In saying that buying premium from a gray for a Daytona is making less sense than ever.

If your not into YG/RG the WG offerings with the Rhodium slate dial is a killer watch. There are actually heaps of nice WG dial options as well for not much more than the price is a White dial Daytona C in SS.

This is why SS prices will reach a maximum plateau price. Any more rises on the SS Daytona C everyone is just going to buy the gold variants.

Why SS could ever be worth more than gold is ludacris.

[envuks]

Originally Posted by mr_gray

I guess my feeling though is that instead of ss models tanking, we might finally see some strength from 6 digit PM models like 116619 for example. why?
1. we must be due an increase in RRP (same price since 2008 on release) (if this is wrong pls tell me. i know there was a small price change but nothing of substance and unless i am mistaken it was downwards?)
2. diverted demand from ss because as you indicate, price differential is marginal

Last price increase was in June 2012 (very small) and before that may 2011 (not so small). I do agree with your comments just wanted to add that. Thanks

[Chiboy]

IMO, people think SS only increases in value and PM only decreases in value, so they perpetuate the myth. I believe most people would prefer WG or platinum over SS if price was taken out of the equation. For instance, how many people would choose a SS wedding band over platinum for the same price? Also, SS Rolexes are, I imagine, more plentiful than PM ones.

It seems like as SS and PM prices converge, there’s a little bit of “the tail wagging the dog.” But who knows? I don’t evaluate my watches like I do my stock portfolio.

[jay9]

I am personally a fan of Black, anything more is a little extra for me.

Cheers

[timedate]

welcome,

i just bought an '80s daydate,

they can be cheaper than some SS,

i feel i have gone the right way after having an SS gmt, i get all that glorious gold and its exactly the same as a brand new one, which would be almost 3 times the price.

vintage daydate represent fantastic value over SS
but only if you like or want one.

[brandrea]

Welcome to the forum

IMO, I think that because SS references are more affordable to the masses they are always going to be in higher demand and therefore retain more of their original worth.

[codecow]

Originally Posted by Ni8R

I am a little shy on purchasing a Daytona, mainly because the stainless tends to hold more value than the gold on resale.

Why is the gold Rolex undervalued versus the stainless steel for resale?
Help me understand why.

I am new to this for, be gentle on the newbie.



Greg

No need to be shy, go right into the AD and buy a SS Daytona!

[Calatrava r]

As many have said, you can get a nice used gold Daytona on rubber strap for less then the SS gray price new so its a no brainer to buy the gold.

[Auto16610]

Originally Posted by codecow

No need to be shy, go right into the AD and buy a SS Daytona!

I love dry humor!

[superstarmar]

Originally Posted by peterpl

For the price is an SS Daytona at what $20-$22k you'd be stupid not to purchase a precious metal piece. Like many above posters said there are 1000s upon 1000s of potential customers for a SS Daytona C at $12k. There is only a handful of customers for gold at $30k. Big price difference there. In saying that buying premium from a gray for a Daytona is making less sense than ever.

If your not into YG/RG the WG offerings with the Rhodium slate dial is a killer watch. There are actually heaps of nice WG dial options as well for not much more than the price is a White dial Daytona C in SS.

This is why SS prices will reach a maximum plateau price. Any more rises on the SS Daytona C everyone is just going to buy the gold variants.

Why SS could ever be worth more than gold is ludacris.

[fskywalker]

As said by others look for an used WG Daytona, which can be purchased for just a little more than market price of the SS Daytona due to the hype. Would never pay $17-18K for a 116500 or a 117520 SD Daytona


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[semi-ambivalent]

Originally Posted by peterpl

Why SS could ever be worth more than gold is ludacris.

Worth. There's that word again. Something is worth-to someone-what that person is willing to pay for it. For a long time now the 'PM surcharge' has been much higher than the market price of the metal used in the watch rather than steel. It's just a method of elevating the perceived status of the watch vs. a steel watch and has little to do with the market price of commodity metals so one can't look at it as a math equation. Just now, gold = US$1,287.00/oz., platinum = US$824.50/oz. How does that jive with prices of DDs? On the other hand (and leaving out price and market costs), gold just has that special allure most don't see in platinum. The first time my wife ever held a one ounce gold Canadian Maple Leaf coin all she could say was 'so beautiful'. Rolex is rather good at this game.

One could just as easily say the buying public, in these sketchy economic times, has come to the conclusion the *real* value in a Rolex is the superb engineering, design, and execution of the watch itself , and not the metal in which it is cased. I'd like to think this is the only real, and best, reason to buy a Rolex, even being a mass-produced product. Engineering? Two seconds a day after casing. Design? They're iconic. Execution? Look at the bracelet links, they lay against each other without flaw. So why pay the PM surcharge? All that remains to drive this is a bit of a shortage of SS refs. Once demand out strips supply the cycle feeds itself. It's balancing on a knife edge because some will just buy a different brand. But I'd bet they still look at Rolex and will buy one eventually.

[DoctorA]

Originally Posted by 77T

Demand governs price, and demand with constrained supply makes prices soar.

There is just a smaller demand for TT and precious metal watches.


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This !!

[AK797]

For the typical Rolex buyer, the SS is within their budget, often after saving and planning, and the PMs at 3/4 times the mark up, are simply not. This level of $30K for a sports watch is prohibitive to most Rolex buyers but not all SS buyers, PP buyers have gone crazy for the SS Nautiluses and other SS models and have Daytona-ed their resales in the process, yet just a couple of years ago they were possibly too expensive at $25K for the basic SS and were selling for discounts in that market.

[Ni8R]

116503 Blue Dial , this is the used Daytona I am looking at , has a price about the same as a ss model.

I have a 46mm navitimer with the b01 in rose gold so the yellow gold is not a deal killer.
I wear long sleeves and do not have a flare for showing off a watch , just enjoying it myself..

if you were to find a 4 y.o 116503 Blue Dial , what would you consider fair for mint cond with box and papers?

Greg

[Tools]

What a product is made of has little bearing on it's price in the used marketplace.

Products are worth what a willing buyer will pay to a willing seller, nothing more.

If you have a watch that nobody wants to buy, it has no market value regardless of what it is made of.