Do Watches Hold Their Value?

Do watches hold their value?

Watches serve a purpose beyond just being a fashion accessory, as they have the potential to be a lucrative investment. However, it’s worth noting that not all timepieces will retain their value over time, making it essential to have a comprehensive understanding of the watch you’re investing in. 

In this article from the geeks at CALIBRE, we delve into the factors that influence a watch’s resale value and explore which types of watches are more likely to appreciate and maintain, to answer the question, do watches hold their value?

Watches & Value

Rolex Daytona investment watch

Understanding the value of watches can be confusing, as some models can prove to be a prudent financial investment that retains or appreciates in value, while others may not fetch a significant amount after the initial purchase.

Since some models and brands are limited, watches can be seen as attractive investments for investors looking for something tangible. However, the lack of liquidity means that it will be much harder to offload the watch quickly and for a good price if you change your mind – so it’s important to choose wisely when investing in a watch as an asset class. Generally speaking, however, most high-end luxury pieces should hold their value due to their limited availability and strong demand from enthusiasts and investors alike, which can make prices rocket even further.

The Investment Aspect

Investing in watches

When it comes to the question of whether luxury watches hold their value, as a rule of thumb, if a high-end watch was made by a reputable brand and is maintained in excellent condition, it is probable that it will retain its value or even experience considerable appreciation over time. 

However, particular factors such as limited editions and discontinued models are likely to heighten their appeal among collectors, thereby boosting their resale value even more.

Which watch brands should I invest in?

The most reputable watch manufacturers of today, known for being the most lucrative investments include:

Known for their superior craftsmanship and timeless style, these luxury Swiss watchmakers create timeless designs that will outlast any passing trends. Their watches also retain their value over time as they become increasingly rarer due to limited manufacturing cycles. If you plan on buying a pre-owned piece down the line, these are the best options for getting a good return on your purchase.

What type of watches should I invest in?

Omega investment watch

To decide which type of watches to invest in, you should consider factors such as the brand’s history and reputation, the materials used in the crafting process, and the rarity of models. Let’s take a look at some of the different watch choices for investment:

High-End Watch Brands

The worth of a luxury timepiece relies on multiple elements, including the composition of the materials and the skillfulness involved in its fabrication. Furthermore, some watches have acquired value over time due to their historical or cultural importance, which also impacts their selling price. In general, purchasing a timepiece from a leading brand, such as Rolex or Omega, should enable the watch to preserve its fundamental value over time, but its current market value may increase or decrease from the original purchase price, depending on the specific model.

Pre-Owned Watches

The process of assessing the worth of a used watch involves two primary factors. The first aspect is the condition of the timepiece, as a well-maintained watch is more likely to hold its value than one that has been poorly treated. The second factor that affects the value of the watch is the brand itself, as certain brands tend to be more in demand than others and are consequently expected to retain their worth over time.

Limited Edition Models

In the current era, Limited Edition Models have gained substantial popularity among watch aficionados, as watch manufacturers endeavor to produce exceptional and one-of-a-kind timepieces that will differentiate them from the rest. Although numerous limited edition models tend to maintain their worth over time, certain factors must be considered while purchasing one.

Watch Investment Resources

Finding where to start when investing in watches can initially seem daunting. We’ve put together a few useful watch investment resources to help you get started. 

Watch Investment Guides

Watch Investment Youtube Channels

Watch Apps to Download

Conclusion: Do Watches Hold Their Value?

In conclusion, understanding the value of a watch can be a difficult process. It involves knowledge of the market, an eye for details and quality, and familiarity with current trends. Through research, comparison, and practice, however, anyone can come to understand how to assess a watch’s true worth. With this expertise comes the power to make informed decisions on purchasing or selling watches – making sure you get what you’re paying for.

Other Useful Watch Guides from CALIBRE