You can now Lease a VC!!!

Apparently, we all can now lease a watch!You can now Lease a VC!!!

The same way a lot of people lease their car (at least, in the US), now we can lease also luxury watches.

Payment schedule is flexible, between 12 and 60 months, with the option at the end of either re-leasing, paying out residual value of the watch or giving it back...

Since a watch is able to retain a larger proportion of its value compared to cars, does that mean that monthly payments will be smaller?You can now Lease a VC!!!

The company offering this service is called First Watch Leasing (

So far, the following brands are available: Audemars Piguet, Blancpain, Breguet, Cartier, FP Journe, Harry Winston, IWC, Jaeger-LeCoultre, Panerai, Patek Philippe, Richard Mille, Rolex, and Vacheron Constantin.You can now Lease a VC!!!

This might mean good news for some Loungers, but bad news for their finances...You can now Lease a VC!!!

Some of you might have already heard about this... for the others see below the link to article (in French) on worldtempus:

Alex, please delete if inappropriateYou can now Lease a VC!!!

Not really new...
02/19/2008 - 16:03 could lease watches, bags, sunglasses ... and a lot of luxury goods...

I must be a little intolerant but I don't manage to understand the step ...

I understand that we could rent a Aston Martin or a Bentley for driving sensations etc... but to rent a watch? a bag?

Just to brag? ... I think that the percentage of people which will rent a VC, à patek or a Richard Mill right to study the watch more closely is very weak

Finally, if all the parties are happy...why not :)

Re: Not really new...
02/19/2008 - 16:31

I didn't know about bags and sunglasses - you are more informed than me...

I am not getting your argument about leasing the watch just to brag... Why would that be? Why not to enjoy the watch? Just to be clear, this "leasing" is not "renting" - somebody leasing a watch does become its owner, it's a form of financing. 

I agree with you, this will probably not interest a lot people. Personally, I would never lease a watch - for me it's a luxury item, it's not something I obsolutely need, and therefore if I do not have the money right now, than I will not buy it.

Having said that, this might be an interesting proposition for the collectors who like to constantly update their collection: by leasing the watch, the buyer is able in effect to garantee a minimum "resell price" if he decides to part with it at the end of the 2 years...

Ooops sorry,...
02/22/2008 - 17:08

Big misunderstooding My English is very bad as you said "leasing" is not "renting"

Sorry, I didn't say anything ^^

I know retailer who sailed with credit
02/19/2008 - 17:00

x euros per month during x years

and you are able to wear it

It could be a way to get something very nice

Well, I think there is a difference between leasing, buying by credit
02/19/2008 - 18:12

or taking a bank loan. But I don't really know the difference.

I think it is this: with a bank loan or buying by credit, you commit in advance to the FULL value of the item you are buying.

If you are leasing, you just commit to 24 to 60 months of small monthly payments which DO NOT amount to the full value of the item. When the term ends, you can DECIDE whether you want to spend the rest of the money owed for the item (based on CURRENT market value of the used item) or just leave it behind or something else...?

I can see for cars how this could be beneficial since cars depreciate so fast. I am curious about watches though...

you are correct...
02/19/2008 - 19:04

...on your understanding of how leasing works.

However, I think you have it the wrong way around for cars - the fact that they depreciate so fast is NOT GOOD.

Basically, you might pay 50% (or more) of the value of the car over the first 36 months. After that, as you said, it's your choice to either give it back to the car manufacturer, or to pay the remaining balance.

If you decide to change car and give the one you leased back to the manufacturer, you will have paid 50%+ of the value of the car to own it for 3 years. Let's say a car's useful life is about 10 years, than you've paid 50%+ for 30% of its useful life...

This is a simplistic view, not taking into account all the repairs, etc... but in the end, you pay a huge premium to be able to own the car in its first 3 years. Another way to look at it is if I buy that car after 3 years, I will pay the same amount as you did, but I will own the car for the rest of its life (that's why the last car I bought was used... I like cars, but I see it a lot more as a cost rather than a pleasure...)

All that to say that in the case of the watches, if they lose less their value, than the price paid to lease them will be a lot smaller. If after 3 years of wearing a VC, it can be resold at 70% of its initial value, than in theory the price you will have paid if you decide to give it back after that period will have been 30% of its value... The thing that is nice with leasing watches is that if ever the model you buy either increases or retain its value over the period, than even if you don't want to keep it at the end of the term you can make a little bit of money: just pay the remaining balance and sell the watch yourself... 

Thanks, now it makes more sense
02/19/2008 - 19:30

I never actually looked at these things because I if I can't pay cash for it (more or less) then I don't buy it. I hate owing money...

The reasons the car leasing looked good is that a friend of mine had 2 months left on his car lease and had a car accident (someone ran a red light and smashed into him, then just drove off). His car was basically worthless and he actually got money back from his lease or something along those lines.

But I now see your point about front loading payments for cars. I hate car depreciations.

In USA we call this a "lease purchase".....
02/19/2008 - 19:09

when you lease an item for a fixed period of time & at the end of the lease, you have the option of either returning the item or purchasing it for an additional sum of money.  Often the additional amount to buy the item at the end of the lease is very small.  I took a very quick look at the watch leasing website & they seem to be doing a "lease purchase" arrangement.


Great business for bankers, we'll see watch loan CDOs in a couple of
02/19/2008 - 19:14

years, and the guys structuring the deals and selling them will be able to pay cash for THEIR watches 

Now thats funny, watch loan CDO's, lol (nt)
02/20/2008 - 04:03


hehehe... (nt)
02/20/2008 - 11:42


may not be new but...
02/20/2008 - 09:14

but a useful way for some to get their first high-end watch. makes it really affordable and available...

I don't get my leased cars just to show off (ok, just a bit ;-) but to use them every day. I drive my kids to pre-school, drive to work, carry some merchandise in it and so on. So eventually they do their job and as high-end makes they just give me a sheer pleasure of driving them. And I have a free hand to buy them out at the end of the lease contract  or not (I usually do, anyway).

It's the same way with luxury watches. They do their job telling time and are pleasure to carry around on your wrist. And you can show them off too... Unless you're a modest Chinese businessman with a Malte Tourbillon on your wrist ;-)