Watches to Invest in 2024: The Ultimate Guide

Imagine yourself holding a timepiece that not only tells the time but also appreciates in value over time. That's the allure of watch investment—one that blends craftsmanship, status, and profitability. You might think it's all about picking a luxury brand, but the truth is, not all watches make sound investments. Some lose value, while others skyrocket in price. By the end of this article, you’ll understand exactly which watches are worth your time and money.

1. Start with Iconic Brands: Rolex, Patek Philippe, and Audemars Piguet

To understand watch investments, start by looking at iconic brands. Rolex, Patek Philippe, and Audemars Piguet are the titans in the industry. But why? Demand consistently outstrips supply for their most iconic models. The scarcity of specific models makes their value appreciate dramatically.

Example: Consider the Rolex Daytona, often known as a grail piece for collectors. In 2018, a Paul Newman Daytona sold for over $17 million at auction. Although this is an outlier, more standard Daytonas purchased at retail can still yield impressive returns—some reaching a 30-50% increase in just a few years.

Watch Brand	Average Value Appreciation (5 years)
Rolex	35%
Patek Philippe	42%
Audemars Piguet	28%

2. Limited Editions and Discontinued Models: The Sweet Spot for Appreciation

When it comes to appreciating in value, limited edition and discontinued models are often golden opportunities. These watches create a FOMO (fear of missing out) effect among collectors. The moment a model is discontinued, prices in the secondary market tend to soar. This scarcity means buyers are willing to pay a premium.

Case in point: The Patek Philippe Nautilus 5711/1A, discontinued in 2021, saw its value skyrocket from around $30,000 to over $120,000 on the secondary market within months.

3. Pre-Owned vs. New: Which Offers Better ROI?

Investing in pre-owned watches can sometimes offer better ROI than buying new. The initial depreciation of a new watch is avoided, and certain pre-owned models are already on the rise in value.

Example: A used Audemars Piguet Royal Oak can be purchased for about 30% less than a new one, but the chances of its value increasing are higher because its depreciation has already occurred.

Investment Choice	Average Initial Depreciation
New	15-20%
Pre-owned	5-10%

4. Look at Emerging Brands: Tudor and Omega

While Rolex and Patek Philippe are the obvious choices, there are other emerging brands that are quickly gaining traction in the investment world. Tudor and Omega, for example, offer affordable entry points into the world of luxury watches while still showing consistent value appreciation.

Omega’s Speedmaster, often called the "Moonwatch," saw a 10-20% value increase after the 2019 release of the Omega Speedmaster Apollo 11 50th Anniversary Limited Edition.

Tudor, a sibling brand to Rolex, is also gaining momentum. The Tudor Black Bay is a model that has been steadily appreciating by around 10% annually.

5. Condition and Provenance Matter

Watch condition and provenance play a major role in value retention and appreciation. Watches with original boxes, papers, and receipts are always more desirable. Furthermore, any alterations or repairs not conducted by the original manufacturer can significantly lower a watch’s value.

For example, a Rolex Submariner with full papers and original parts can fetch a 20% higher price than the same model without proper documentation.

6. Vintage vs. Modern: Which Should You Choose?

Vintage watches are often considered the best investment. This is because they are rare, have historical significance, and are highly sought after by collectors. However, they can be riskier due to the potential for counterfeit parts and lack of available replacement parts.

Modern watches, on the other hand, are more predictable. A new Patek Philippe Calatrava may not appreciate as dramatically, but it provides a steady and reliable increase in value, particularly if it’s from a limited run.

Watch Type	Risk Factor	Average Appreciation (10 years)
Vintage	High	50-100%
Modern	Low	15-25%

7. Special Collaborations: Hublot, TAG Heuer

Collaborations between brands and celebrities or artists often create highly sought-after pieces. Hublot and TAG Heuer are known for their collaborations with high-profile individuals. These watches are often released in limited quantities, making them highly collectible.

Example: The TAG Heuer Monaco Steve McQueen Edition has become one of the most iconic watches due to its association with the Hollywood actor. Limited-edition Monaco models have seen their prices double or even triple in the secondary market.

8. The Risks of Investing in Watches

Not all watches will appreciate in value. Some brands, despite their luxury status, don’t hold value as well. Breitling, Panerai, and IWC are examples of brands that, while respected, often see significant depreciation.

Example: A Breitling Navitimer can lose as much as 20-30% of its value once purchased new. This means investors should tread carefully and ensure they’re buying models with a proven track record of appreciation.

Brand	Average Depreciation (5 years)
Breitling	25%
Panerai	20%
IWC	15%

Conclusion

In summary, investing in watches is much like investing in art or real estate. The key is to focus on iconic brands, limited editions, and vintage pieces while avoiding brands and models with poor resale value. The condition, provenance, and whether a watch is new or pre-owned also play pivotal roles in determining the return on investment. With the right research and a little bit of luck, your wristwatch could become a valuable asset over time.