Gad Harari, 17, was today preparing to spend his second night in a makeshift tent as part of a four-day wait for the new 5S, which comes with a finger print scanner.
The student said he has already refused an offer of £200 for his place in the queue, adding: "People will offer at least £500 or £600" later on.
Mr Harari, a familiar face in the line outside the Regent Street store in central London, took his place yesterday with friend Noah Green, also 17.
They sheltered from wet weather this afternoon under a green tent kitted out with all the latest technology, including one of Apple's MacBook laptops.
"We are always among the first to get a new iPhone," Mr Harari said. "I came down last night to be the first - this time we really wanted to be first."
The teenager, from Hendon in north London, added: "It's how you really show your dedication to Apple products. As well as that, you do have the opportunity to sell your space.
"I would probably sell my place in the queue for about £1,000. There are crazy people who are willing to do that."
Both students said they plan to buy the 5S, which was unveiled for the first time last week along with Apple's first mid-range phone the 5C. They both go on sale on Friday at 8am.
The 5S device, said to be twice as fast as its predecessor, sets itself apart from its competitors with its Touch ID feature. This allows users to unlock their phone with the touch of a finger.
Mr Green, from Stanmore in north-west London, said he was due to be at college this week, but he insisted: "I don't think they'll mind because (joining the queue) is an ingenious idea."
He continued: "I'm really excited. It's going to be incredible, this launch. It's going to be the biggest yet."
The student, who runs his own web business, said he has queued for Apple gadgets for the past four years.
"I collect Apple products," he added. "I pretty much have everything that Apple makes."
The 5S - which comes in gold, silver or "space" grey - will be available through EE, O2, Three, Carphone Warehouse and Phones4u priced at £549 (16GB), £629 (32GB) and £709 (64GB).
The cheaper 5C - introduced at a time when the tech giant arguably faces stiffer competition than ever before - represents Apple's first move away from the high-end market.
It has been available for pre-order and comes in a range of vivid colours, priced at £469 (16GB) and £549 (32GB).