Designer Bags as Investments: Which Hold Value & Which Not

You probably know exactly what I’m talking about. The math where if you buy a bag for two thousand dollars, but you use it every single day for three years, it basically costs like two cents a day, right? So basically, it is practically free.

But lately, I’ve been getting super deep into the whole world of designer bags as actual investments. Because let’s be real, life is expensive right now. If we are going to drop a whole month’s rent – or sometimes two months rent, honestly – on a piece of leather, we need to know that money isn’t just vanishing into thin air. We want bags that are going to hold their value, or maybe even make us a little profit if we decide to sell them later on. I have spent way too many nights going down the Fashionphile and RealReal rabbit holes so you don’t have to. I’ve figured out exactly what holds value, what is a total waste of cash, and the secret rules to making sure your bag stays an asset.

I was talking to my sister about this last weekend when I went back to the rez to visit. She was trying to justify buying this bright neon pink, weirdly shaped bag from a trendy brand, and I had to literally snatch her phone away. I told her, “Sis, unless you want to resell that for fifty bucks next year to buy frybread, put the credit card down.” You have to be so careful!

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The Holy Trinity: Bags That Are Better Than Gold

Okay, if you want a guaranteed safe bet, there are basically three brands that rule the resale market. They are the holy trinity of handbags. If you buy these classic styles, you are almost always going to get your money back, and sometimes a lot more.

First up, we have Hermès. Specifically, the Birkin and the Kelly bags. I know, I know, they cost as much as a used car. But hear me out. Hermès creates so much fake scarcity that you can’t even just walk into a store and buy one. You have to play “the game.”

My cousin Sarah actually tried to play the Hermès game a few years ago. She wanted a basic black Birkin so badly. She spent months going to the boutique, buying random silk scarves, a weird tray for her coffee table, and I swear she almost bought a literal horse saddle just to get on her sales associate’s good side. She doesn’t even own a horse! It is a wild world out there. But because they are so hard to get in the store, people will pay double or triple the retail price on the secondhand market just to skip the waitlist. If you can magically get your hands on a Birkin or Kelly at retail price, you have instantly made money. It’s crazy but true.

Next is Chanel, specifically the Classic Flap bag. Chanel has been raising their prices like absolute maniacs over the last five years. A bag that cost around five thousand dollars in 2019 is now creeping up to ten thousand. It is ridiculous. But here is the secret – because retail prices keep shooting up, the value of vintage and pre-loved Chanel bags shoots up right along with them. If you buy a Classic Flap in black caviar leather with gold hardware, you are golden. That specific combo is bulletproof. It will survive nuclear fallout and still be worth eight grand.

And finally, Louis Vuitton. But not just any LV. We are talking about the classic monogram canvas pieces like the Neverfull, the Speedy, and the Keepall. They aren’t going to double in value like a Birkin, but they hold their retail value incredibly well. You can buy a Neverfull today, use it as a work bag, a diaper bag, or a travel carry-on for three years, and still sell it for like 80% of what you paid. That is a pretty amazing return on investment for something you actually get to use and enjoy every single day.

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The Hype Graveyard: What You Definitely Shouldn’t Buy

Now we have to talk about the dark side. The bags that look so cute on Instagram today but will be completely worthless by next summer. This is where most of us make our biggest mistakes because we get caught up in the hype.

Rule number one: Do not buy micro bags as an investment. Remember a few years ago when everyone was carrying those tiny little Jacquemus bags that couldn’t even fit a single house key? Yeah, nobody wants those anymore. They look ridiculous now. A bag has to be somewhat functional to hold long-term value. If you can’t fit your phone, a cardholder, and your favorite lip gloss in it, it is a novelty item, not an investment.

Another huge trap is super trendy, weird shapes. Anything asymmetrical, heart-shaped, or heavily branded with giant logos that scream a specific year. Remember those huge Balenciaga City bags with the giant hardware from the 2000s? They lost all their value for a decade before making a tiny vintage comeback recently. You don’t want to wait fifteen years for your bag to be cool again.

I almost fell for this myself back in 2021. I was completely obsessed with this bright, highlighter-green padded Bottega Veneta Cassette bag. It was everywhere. Every influencer had it. I actually had it in my online cart and was typing in my credit card numbers. Thank the creator my wifi cut out for a second, and it gave me time to think. I realized I wear mostly denim, black, and beige. What was I going to do with a neon green bag? Fast forward to today, and you can find those neon bags on resale sites for a fraction of their original price because nobody wants that specific color anymore.

Which brings me to my next point. Colors matter. If you are buying for investment, you have to be so boring with your color choices. Stick to black, caramel, tan, deep burgundy, or a soft cream. Seasonal colors – like pastel purple for spring or a metallic silver – are super fun, but they instantly narrow down your resale market. Not everyone wants a purple bag, but everybody needs a good black everyday bag. Stick to the classics if you want your money back.

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The Stealth Wealth Middle Ground

Okay, so what if you don’t want a bag with logos all over it, and you don’t have ten thousand dollars for a Chanel? There is a sweet spot, babe. It’s the “stealth wealth” category. These are brands that make incredibly high-quality leather goods that hold decent value if you pick the right styles.

Brands like Loewe, Celine, and The Row fit right in here. The Loewe Puzzle bag has basically become a modern classic. It has been around long enough now that we know it’s not just a passing fad. Celine’s Triomphe line is also doing amazing on the resale market right now because it gives that classic, vintage Parisian vibe without being overly flashy.

These bags are perfect because they make you feel incredibly chic and wealthy, but they are subtle. Only people who “know” fashion will recognize them. If you buy a classic color in one of these styles, you can comfortably expect to retain about 60 to 70 percent of the value, which is pretty great for a luxury item you are actively wearing and enjoying.

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The Golden Rules of Bag Investing

If you are actually going to do this, you have to treat the bag like an asset. You can’t just throw it on the floor of your car or let your dog sleep on it. Well, you can, but it’s going to cost you thousands of dollars.

Condition is literally everything. A pristine bag with no corner wear and clean inside lining will sell for top dollar. A bag with pen marks inside and scuffed corners will plummet in value. I learned this the hard way. I found this gorgeous vintage Coach bag at a pawn shop near my hometown a few years back. The leather on the outside was perfect. I thought I struck gold. I bought it for like forty bucks, took it to my car, and opened it up into the sunlight. The previous owner must have used it to carry loose makeup because the entire inside was stained with foundation and melted red lipstick. It was unsalvageable. I still use it for running errands, but I could never resell it.

Always, always use a bag insert! You can buy these little felt organizers on Amazon for like fifteen bucks. They give your bag shape so it doesn’t slouch and crease over time, and they protect the lining from your messy pens, lipsticks, and rogue hand sanitizer spills. It is the cheapest insurance policy you will ever buy.

Also, keep absolutely everything the bag comes with. Keep the box. Keep the dustbag. Keep the little care booklets. And most importantly, keep the original receipt or authenticity cards. When you go to resell the bag on a site like Fashionphile, having the “full set” automatically bumps up your payout offer. It proves the bag is real and shows the next buyer that you took amazing care of it.

I literally have a shelf in my closet that is just empty orange and black boxes. It looks crazy, but it’s basically my retirement fund at this point lol.