Designer Depreciation Calculator
See how a designer piece’s value falls year by year, and how much of its original retail it keeps, based on its brand tier.
Buy with the resale curve in mind
Every designer purchase is partly an investment decision, whether or not you think of it that way. A piece that holds 70% of its value after five years costs far less to own than one that keeps 20%, even at the same sticker price. Seeing the depreciation curve up front helps you decide when a splurge is defensible, which brands are worth paying up for, and when to buy pre-owned instead of new.
Turn the retained value into an actual selling estimate with the Resale Value Estimator, and factor it into the true cost of ownership with the Cost-Per-Wear Calculator.
Frequently Asked Questions
How is depreciation calculated here?
The tool uses declining-balance depreciation: each year the piece loses a fixed percentage of its remaining value, at an annual rate set by the brand's tier — around 18% a year for entry brands down to about 7% a year for ultra-luxury houses. That produces a curve that falls quickly at first and flattens out, which matches how designer resale values behave, and a year-by-year table so you can see the trajectory.
Why do top houses depreciate so slowly?
Depreciation tracks demand. Ultra-luxury houses limit supply, raise retail prices over time, and hold their desirability for decades, so a well-kept piece sheds only a little value each year — and a rare few appreciate. Contemporary and fast-fashion brands flood the market and fall out of style faster, so they lose value quickly. Choosing the tier that matches the brand's resale standing is what makes the estimate meaningful.
How is this different from the Resale Value Estimator?
The Resale Value Estimator prices a specific item you might buy or sell right now, factoring in its condition and the discount buyers expect on the secondhand market. This depreciation tool isolates one thing — how value erodes purely with time by brand tier — and shows the whole curve. Use depreciation to understand the trajectory, and the resale estimator to price an actual piece today.
Can a designer piece actually gain value?
Some do. A handful of iconic bags and watches from the top houses have historically outpaced inflation on the secondary market, especially in rare colours or discontinued styles. This model doesn't try to predict those exceptions — it assumes value declines — so treat an appreciating piece as outside the tool's scope and check recent sold listings for the specific style.
A declining-balance illustration by brand tier, not an appraisal. Some rare pieces hold or gain value — confirm anything material against recent sold listings.