Diamond-encrusted purse sells for record $380,000 at auction

A diamond-encrusted luxury Hermes handbag with 18 karat gold buckles just sold for a record-breaking $380,000, according to the auction house Christies.

The purse, a matte white "Himalaya" crocodile Hermes Birkin bag was made in 2014 and had an estimated value of between $193,000 and $258,000, Christies said. It sold to an unidentified buyer in Hong Kong.

The price beat the previous record sale price for a similar Birkin bag of $300,000 last year.

The bags are so valuable because so few are made, only one or two a year, and because of the tedious process involved in dying the crocodile.

The luxury purse was created by Hermes, the French luxury label, in 1984 in honor of British entertainer Jane Birkin. The bag is known for its expensive price tag, years-long waiting list and celebrity owners.