Luxury watches can be both beautiful and useful and sometimes they can be exceptionally valuable too! But value retention isn’t guaranteed. It depends on where the market is today, what you buy, and how you buy it.
1) The current market landscape
After the boom of 2020–22, secondary prices cooled. By early 2025, the Bloomberg/Subdial index of the 50 most-traded models sat at its lowest level since 2021, before showing pockets of recovery later in the year. In short: the froth has gone, but the floor looks firmer, pre owned watches, Second-Hand Watches, used Watches.
Macro forces matter too. Interest rates, inflation and consumer confidence all influence demand for discretionary goods like luxury watches, which can lift or depress resale prices.
Government policy is in the mix as well. Recent US tariffs on Swiss imports pushed brands to raise retail prices, naturally nudging some buyers toward the pre-owned watches market and helping stabilise resale dynamics.
2) What helps a watch hold (or grow) its value
Certain traits consistently support value retention:
- Condition & originality: Unpolished cases, original dials/hands and correct parts tend to command stronger prices than heavily refurbished pieces. Documented service history helps.
- Completeness: “Box and papers” (warranty card, manuals, receipts) increase buyer confidence and typically lift resale values.
- Scarcity & desirability: Iconic references from blue-chip brands (Rolex, Patek Philippe, Audemars Piguet) remain the most resilient over time, especially when production is constrained and demand is broad.
3) Risks: when values can fall
Even strong names can slide if supply rises, tastes shift or the economy softens. Industry commentary this year warned of a “crisis in value retention” for many mainstream pieces outside the very top tier, so brand alone isn’t a shield.
Other risks include over-polishing, missing documentation, and authenticity concerns. The secondary market has responded with more authentication and certified pre-owned programmes, but buyers should still be cautious, as counterfeits and theft continue to challenge confidence.
4) How to approach a purchase
Treat watches as passion-led assets first, potential investments second. A practical checklist:
- Start with data: Look up recent resale ranges for the exact reference you’re considering. Platforms that track market indices and model histories can help you benchmark fair value.
- Buy the best example you can: Prioritise originality, honest condition and service records over chasing the absolute lowest price.
- Mind the paperwork: A full set (box, papers, receipts) typically improves liquidity and pricing when you eventually sell.
- Choose the right channel: Reputable dealers and platforms with authentication reduce risk compared with informal private sales.
- Balance head and heart: When browsing, compare recent resale figures and condition to judge value retention. Then make sure you’ll actually enjoy wearing it, of course.
The bottom line
Yes, watches can hold value but not all do, and timing matters. In today’s cooler, more selective market, the pieces that fare best combine desirability, scarcity, originality and documented care. Anchor your decision in data, buy the strongest example you can afford, and let long-term enjoyment, not speculation, be the deciding factor on the timepiece you choose as an investment.
