diff --git a/docs/resources/changelog.md b/docs/resources/changelog.md
index fce64b947..2961ef4eb 100644
--- a/docs/resources/changelog.md
+++ b/docs/resources/changelog.md
@@ -14,6 +14,7 @@ _During the beta period, these restrictions may be relaxed in the event of a mis
 - Fixed a bug in `sl-select` where no selection with `multiple` resulted in an incorrect value [#457](https://github.com/shoelace-style/shoelace/issues/457)
 - Fixed a bug in `sl-select` where `sl-change` was emitted immediately after connecting to the DOM [#458](https://github.com/shoelace-style/shoelace/issues/458)
 - Fixed a bug in `sl-select` where non-printable keys would cause the menu to open
+- Reworked the `@watch` decorator to use `update` instead of `updated` resulting in better performance and flexibility
 
 ## 2.0.0-beta.43
 
diff --git a/src/components/alert/alert.ts b/src/components/alert/alert.ts
index 08d8531ec..14b635028 100644
--- a/src/components/alert/alert.ts
+++ b/src/components/alert/alert.ts
@@ -33,7 +33,6 @@ export default class SlAlert extends LitElement {
   static styles = unsafeCSS(styles);
 
   private autoHideTimeout: any;
-  private hasInitialized = false;
 
   @query('[part="base"]') base: HTMLElement;
 
@@ -67,9 +66,6 @@ export default class SlAlert extends LitElement {
   firstUpdated() {
     // Set initial visibility
     this.base.hidden = !this.open;
-
-    // Set the initialized flag after the first render is complete
-    this.updateComplete.then(() => (this.hasInitialized = true));
   }
 
   /** Shows the alert. */
@@ -142,12 +138,8 @@ export default class SlAlert extends LitElement {
     this.restartAutoHide();
   }
 
-  @watch('open')
+  @watch('open', { waitUntilFirstUpdate: true })
   async handleOpenChange() {
-    if (!this.hasInitialized) {
-      return;
-    }
-
     if (this.open) {
       // Show
       this.slShow.emit();
@@ -177,7 +169,7 @@ export default class SlAlert extends LitElement {
     }
   }
 
-  @watch('duration')
+  @watch('duration', { waitUntilFirstUpdate: true })
   handleDurationChange() {
     this.restartAutoHide();
   }
diff --git a/src/components/animation/animation.ts b/src/components/animation/animation.ts
index 40b068e77..cf64c116f 100644
--- a/src/components/animation/animation.ts
+++ b/src/components/animation/animation.ts
@@ -93,7 +93,11 @@ export default class SlAnimation extends LitElement {
   @watch('iterations')
   @watch('iterationsStart')
   @watch('keyframes')
-  handleAnimationChange() {
+  async handleAnimationChange() {
+    if (!this.hasUpdated) {
+      return;
+    }
+
     this.createAnimation();
   }
 
diff --git a/src/components/checkbox/checkbox.ts b/src/components/checkbox/checkbox.ts
index a8dbc5673..3fdf99fc4 100644
--- a/src/components/checkbox/checkbox.ts
+++ b/src/components/checkbox/checkbox.ts
@@ -111,8 +111,8 @@ export default class SlCheckbox extends LitElement {
     this.input.focus();
   }
 
-  @watch('checked')
-  @watch('indeterminate')
+  @watch('checked', { waitUntilFirstUpdate: true })
+  @watch('indeterminate', { waitUntilFirstUpdate: true })
   handleStateChange() {
     this.input.checked = this.checked;
     this.input.indeterminate = this.indeterminate;
diff --git a/src/components/color-picker/color-picker.ts b/src/components/color-picker/color-picker.ts
index 69d01de80..487e49c20 100644
--- a/src/components/color-picker/color-picker.ts
+++ b/src/components/color-picker/color-picker.ts
@@ -554,17 +554,17 @@ export default class SlColorPicker extends LitElement {
     this.value = this.inputValue;
   }
 
-  @watch('format')
+  @watch('format', { waitUntilFirstUpdate: true })
   handleFormatChange() {
     this.syncValues();
   }
 
-  @watch('opacity')
+  @watch('opacity', { waitUntilFirstUpdate: true })
   handleOpacityChange() {
     this.alpha = 100;
   }
 
-  @watch('value')
+  @watch('value', { waitUntilFirstUpdate: true })
   handleValueChange(oldValue: string, newValue: string) {
     const newColor = this.parseColor(newValue);
 
diff --git a/src/components/details/details.ts b/src/components/details/details.ts
index 43a63601a..9d328331d 100644
--- a/src/components/details/details.ts
+++ b/src/components/details/details.ts
@@ -37,7 +37,6 @@ export default class SlDetails extends LitElement {
   @query('.details__body') body: HTMLElement;
 
   private componentId = `details-${++id}`;
-  private hasInitialized = false;
 
   /** Indicates whether or not the details is open. You can use this in lieu of the show/hide methods. */
   @property({ type: Boolean, reflect: true }) open = false;
@@ -68,9 +67,6 @@ export default class SlDetails extends LitElement {
   firstUpdated() {
     this.body.hidden = !this.open;
     this.body.style.height = this.open ? 'auto' : '0';
-
-    // Set the initialized flag after the first render is complete
-    this.updateComplete.then(() => (this.hasInitialized = true));
   }
 
   disconnectedCallback() {
@@ -122,12 +118,8 @@ export default class SlDetails extends LitElement {
     }
   }
 
-  @watch('open')
+  @watch('open', { waitUntilFirstUpdate: true })
   async handleOpenChange() {
-    if (!this.hasInitialized) {
-      return;
-    }
-
     if (this.open) {
       // Show
       this.slShow.emit();
diff --git a/src/components/dialog/dialog.ts b/src/components/dialog/dialog.ts
index c7c5db6ed..f27fbae94 100644
--- a/src/components/dialog/dialog.ts
+++ b/src/components/dialog/dialog.ts
@@ -54,7 +54,6 @@ export default class SlDialog extends LitElement {
   @query('.dialog__overlay') overlay: HTMLElement;
 
   private componentId = `dialog-${++id}`;
-  private hasInitialized = false;
   private modal: Modal;
   private originalTrigger: HTMLElement | null;
 
@@ -106,9 +105,6 @@ export default class SlDialog extends LitElement {
   firstUpdated() {
     // Set initial visibility
     this.dialog.hidden = !this.open;
-
-    // Set the initialized flag after the first render is complete
-    this.updateComplete.then(() => (this.hasInitialized = true));
   }
 
   disconnectedCallback() {
@@ -147,12 +143,8 @@ export default class SlDialog extends LitElement {
     }
   }
 
-  @watch('open')
+  @watch('open', { waitUntilFirstUpdate: true })
   async handleOpenChange() {
-    if (!this.hasInitialized) {
-      return;
-    }
-
     if (this.open) {
       // Show
       this.slShow.emit();
diff --git a/src/components/drawer/drawer.ts b/src/components/drawer/drawer.ts
index 458449add..1de0628dc 100644
--- a/src/components/drawer/drawer.ts
+++ b/src/components/drawer/drawer.ts
@@ -62,7 +62,6 @@ export default class SlDrawer extends LitElement {
   @query('.drawer__overlay') overlay: HTMLElement;
 
   private componentId = `drawer-${++id}`;
-  private hasInitialized = false;
   private modal: Modal;
   private originalTrigger: HTMLElement | null;
 
@@ -120,9 +119,6 @@ export default class SlDrawer extends LitElement {
   firstUpdated() {
     // Set initial visibility
     this.drawer.hidden = !this.open;
-
-    // Set the initialized flag after the first render is complete
-    this.updateComplete.then(() => (this.hasInitialized = true));
   }
 
   disconnectedCallback() {
@@ -161,12 +157,8 @@ export default class SlDrawer extends LitElement {
     }
   }
 
-  @watch('open')
+  @watch('open', { waitUntilFirstUpdate: true })
   async handleOpenChange() {
-    if (!this.hasInitialized) {
-      return;
-    }
-
     if (this.open) {
       // Show
       this.slShow.emit();
diff --git a/src/components/dropdown/dropdown.ts b/src/components/dropdown/dropdown.ts
index 6176dd534..081a38a95 100644
--- a/src/components/dropdown/dropdown.ts
+++ b/src/components/dropdown/dropdown.ts
@@ -37,7 +37,6 @@ export default class SlDropdown extends LitElement {
   @query('.dropdown__positioner') positioner: HTMLElement;
 
   private componentId = `dropdown-${++id}`;
-  private hasInitialized = false;
   private popover: PopperInstance;
 
   /** Indicates whether or not the dropdown is open. You can use this in lieu of the show/hide methods. */
@@ -131,9 +130,6 @@ export default class SlDropdown extends LitElement {
   firstUpdated() {
     // Set initial visibility
     this.panel.hidden = !this.open;
-
-    // Set the initialized flag after the first render is complete
-    this.updateComplete.then(() => (this.hasInitialized = true));
   }
 
   disconnectedCallback() {
@@ -364,9 +360,9 @@ export default class SlDropdown extends LitElement {
     this.popover.update();
   }
 
-  @watch('open')
+  @watch('open', { waitUntilFirstUpdate: true })
   async handleOpenChange() {
-    if (!this.hasInitialized || this.disabled) {
+    if (this.disabled) {
       return;
     }
 
diff --git a/src/components/image-comparer/image-comparer.ts b/src/components/image-comparer/image-comparer.ts
index 6a72ab34a..679e277d2 100644
--- a/src/components/image-comparer/image-comparer.ts
+++ b/src/components/image-comparer/image-comparer.ts
@@ -92,7 +92,7 @@ export default class SlImageComparer extends LitElement {
     }
   }
 
-  @watch('position')
+  @watch('position', { waitUntilFirstUpdate: true })
   handlePositionChange() {
     this.slChange.emit();
   }
diff --git a/src/components/include/include.ts b/src/components/include/include.ts
index b1a74b897..f0edd6e8c 100644
--- a/src/components/include/include.ts
+++ b/src/components/include/include.ts
@@ -30,11 +30,6 @@ export default class SlInclude extends LitElement {
   /** Emitted when the included file fails to load due to an error. */
   @event('sl-error') slError: EventEmitter<{ status: number }>;
 
-  connectedCallback() {
-    super.connectedCallback();
-    this.loadSource();
-  }
-
   executeScript(script: HTMLScriptElement) {
     // Create a copy of the script and swap it out so the browser executes it
     const newScript = document.createElement('script');
@@ -44,7 +39,7 @@ export default class SlInclude extends LitElement {
   }
 
   @watch('src')
-  async loadSource() {
+  async handleSrcChange() {
     try {
       const src = this.src;
       const file = await requestInclude(src, this.mode);
diff --git a/src/components/input/input.ts b/src/components/input/input.ts
index b39665163..2647ae7d0 100644
--- a/src/components/input/input.ts
+++ b/src/components/input/input.ts
@@ -255,7 +255,9 @@ export default class SlInput extends LitElement {
 
   @watch('value')
   handleValueChange() {
-    this.invalid = !this.input.checkValidity();
+    if (this.input) {
+      this.invalid = !this.input.checkValidity();
+    }
   }
 
   render() {
diff --git a/src/components/progress-ring/progress-ring.ts b/src/components/progress-ring/progress-ring.ts
index 9c13795a5..6fe8ddd26 100644
--- a/src/components/progress-ring/progress-ring.ts
+++ b/src/components/progress-ring/progress-ring.ts
@@ -34,7 +34,7 @@ export default class SlProgressRing extends LitElement {
     this.updateProgress();
   }
 
-  @watch('percentage')
+  @watch('percentage', { waitUntilFirstUpdate: true })
   handlePercentageChange() {
     this.updateProgress();
   }
diff --git a/src/components/qr-code/qr-code.ts b/src/components/qr-code/qr-code.ts
index f58d97a2d..fbc8b7468 100644
--- a/src/components/qr-code/qr-code.ts
+++ b/src/components/qr-code/qr-code.ts
@@ -49,6 +49,10 @@ export default class SlQrCode extends LitElement {
   @watch('size')
   @watch('value')
   generate() {
+    if (!this.hasUpdated) {
+      return;
+    }
+
     QrCreator.render(
       {
         text: this.value,
diff --git a/src/components/radio/radio.ts b/src/components/radio/radio.ts
index 77950e585..50d3d5387 100644
--- a/src/components/radio/radio.ts
+++ b/src/components/radio/radio.ts
@@ -97,7 +97,7 @@ export default class SlRadio extends LitElement {
     return this.getAllRadios().filter(radio => radio !== this) as this[];
   }
 
-  @watch('checked')
+  @watch('checked', { waitUntilFirstUpdate: true })
   handleCheckedChange() {
     if (this.checked) {
       this.getSiblingRadios().map(radio => (radio.checked = false));
diff --git a/src/components/rating/rating.ts b/src/components/rating/rating.ts
index 387dc77b9..22e9cd9ad 100644
--- a/src/components/rating/rating.ts
+++ b/src/components/rating/rating.ts
@@ -163,7 +163,7 @@ export default class SlRating extends LitElement {
     event.preventDefault();
   }
 
-  @watch('value')
+  @watch('value', { waitUntilFirstUpdate: true })
   handleValueChange() {
     this.slChange.emit();
   }
diff --git a/src/components/relative-time/relative-time.ts b/src/components/relative-time/relative-time.ts
index a134d60ce..851cfeecf 100644
--- a/src/components/relative-time/relative-time.ts
+++ b/src/components/relative-time/relative-time.ts
@@ -32,11 +32,6 @@ export default class SlRelativeTime extends LitElement {
   /** Keep the displayed value up to date as time passes. */
   @property({ type: Boolean }) sync = false;
 
-  connectedCallback() {
-    super.connectedCallback();
-    this.updateTime();
-  }
-
   disconnectedCallback() {
     super.disconnectedCallback();
     clearTimeout(this.updateTimeout);
diff --git a/src/components/select/select.ts b/src/components/select/select.ts
index eabfc4086..76348622f 100644
--- a/src/components/select/select.ts
+++ b/src/components/select/select.ts
@@ -50,7 +50,6 @@ export default class SlSelect extends LitElement {
   @query('.select__menu') menu: SlMenu;
 
   private inputId = `select-${++id}`;
-  private hasInitialized = false;
   private helpTextId = `select-help-text-${id}`;
   private labelId = `select-label-${id}`;
   private resizeObserver: ResizeObserver;
@@ -131,7 +130,6 @@ export default class SlSelect extends LitElement {
       this.resizeObserver.observe(this);
       this.shadowRoot!.addEventListener('slotchange', this.handleSlotChange);
       this.syncItemsFromValue();
-      this.hasInitialized = true;
     });
   }
 
@@ -185,7 +183,7 @@ export default class SlSelect extends LitElement {
     this.syncItemsFromValue();
   }
 
-  @watch('disabled')
+  @watch('disabled', { waitUntilFirstUpdate: true })
   handleDisabledChange() {
     if (this.disabled && this.isOpen) {
       this.dropdown.hide();
@@ -279,7 +277,7 @@ export default class SlSelect extends LitElement {
     this.box.focus();
   }
 
-  @watch('multiple')
+  @watch('multiple', { waitUntilFirstUpdate: true })
   handleMultipleChange() {
     // Cast to array | string based on `this.multiple`
     const value = this.getValueAsArray();
@@ -287,8 +285,8 @@ export default class SlSelect extends LitElement {
     this.syncItemsFromValue();
   }
 
-  @watch('helpText')
-  @watch('label')
+  @watch('helpText', { waitUntilFirstUpdate: true })
+  @watch('label', { waitUntilFirstUpdate: true })
   async handleSlotChange() {
     this.hasHelpTextSlot = hasSlot(this, 'help-text');
     this.hasLabelSlot = hasSlot(this, 'label');
@@ -314,13 +312,10 @@ export default class SlSelect extends LitElement {
     }
   }
 
-  @watch('value')
+  @watch('value', { waitUntilFirstUpdate: true })
   handleValueChange() {
     this.syncItemsFromValue();
-
-    if (this.hasInitialized) {
-      this.slChange.emit();
-    }
+    this.slChange.emit();
   }
 
   resizeMenu() {
diff --git a/src/components/tab-group/tab-group.ts b/src/components/tab-group/tab-group.ts
index 3240f2867..7d470c8e8 100644
--- a/src/components/tab-group/tab-group.ts
+++ b/src/components/tab-group/tab-group.ts
@@ -216,7 +216,7 @@ export default class SlTabGroup extends LitElement {
     });
   }
 
-  @watch('noScrollControls')
+  @watch('noScrollControls', { waitUntilFirstUpdate: true })
   updateScrollControls() {
     if (this.noScrollControls) {
       this.hasScrollControls = false;
@@ -270,7 +270,7 @@ export default class SlTabGroup extends LitElement {
     });
   }
 
-  @watch('placement')
+  @watch('placement', { waitUntilFirstUpdate: true })
   syncIndicator() {
     if (this.indicator) {
       const tab = this.getActiveTab();
diff --git a/src/components/textarea/textarea.ts b/src/components/textarea/textarea.ts
index 48e725b25..ad6540ebe 100644
--- a/src/components/textarea/textarea.ts
+++ b/src/components/textarea/textarea.ts
@@ -238,7 +238,7 @@ export default class SlTextarea extends LitElement {
     this.slFocus.emit();
   }
 
-  @watch('rows')
+  @watch('rows', { waitUntilFirstUpdate: true })
   handleRowsChange() {
     this.setTextareaHeight();
   }
@@ -250,7 +250,7 @@ export default class SlTextarea extends LitElement {
     this.hasLabelSlot = hasSlot(this, 'label');
   }
 
-  @watch('value')
+  @watch('value', { waitUntilFirstUpdate: true })
   handleValueChange() {
     this.invalid = !this.input.checkValidity();
   }
diff --git a/src/components/tooltip/tooltip.ts b/src/components/tooltip/tooltip.ts
index bcaf75cad..74bae2717 100644
--- a/src/components/tooltip/tooltip.ts
+++ b/src/components/tooltip/tooltip.ts
@@ -34,7 +34,6 @@ export default class SlTooltip extends LitElement {
   @query('.tooltip') tooltip: HTMLElement;
 
   private componentId = `tooltip-${++id}`;
-  private hasInitialized = false;
   private target: HTMLElement;
   private popover: PopperInstance;
   private hoverTimeout: any;
@@ -116,9 +115,6 @@ export default class SlTooltip extends LitElement {
   firstUpdated() {
     // Set initial visibility
     this.tooltip.hidden = !this.open;
-
-    // Set the initialized flag after the first render is complete
-    this.updateComplete.then(() => (this.hasInitialized = true));
   }
 
   disconnectedCallback() {
@@ -210,10 +206,9 @@ export default class SlTooltip extends LitElement {
     }
   }
 
-  @watch('open')
+  @watch('open', { waitUntilFirstUpdate: true })
   async handleOpenChange() {
-    // Prevent subsequent calls to the method, whether manually or triggered by the `open` watcher
-    if (!this.hasInitialized || this.disabled) {
+    if (this.disabled) {
       return;
     }
 
diff --git a/src/internal/decorators.ts b/src/internal/decorators.ts
index cdc55ffa4..eb5c97778 100644
--- a/src/internal/decorators.ts
+++ b/src/internal/decorators.ts
@@ -63,32 +63,41 @@ export class EventEmitter<T> {
 
 // @watch decorator
 //
-// Runs after an observed property changes, e.g. @property or @state.
+// Runs when an observed property changes, e.g. @property or @state, but before the component updates.
 //
-// Note that changing props in a watch handler *will* trigger a rerender. To make pre-update changes to observed
-// properties, use the `update()` method instead.
+// To wait for the update to complete after a change, use `await this.updateComplete` in the handler. To determine if
+// the component has previously been updated/rendered, check `this.hasUpdated` in the handler.
 //
 // Usage:
 //
-//  @watch('propName') handlePropChange(oldValue, newValue) {
+//  @watch('propName')
+//  handlePropChange(oldValue, newValue) {
 //    ...
 //  }
 //
-export function watch(propName: string) {
-  return (protoOrDescriptor: any, name: string): any => {
-    const { updated } = protoOrDescriptor;
+interface WatchOptions {
+  waitUntilFirstUpdate?: boolean;
+}
 
-    protoOrDescriptor.updated = function (changedProps: Map<string, any>) {
+export function watch(propName: string, options?: WatchOptions) {
+  return (protoOrDescriptor: any, name: string): any => {
+    const { update } = protoOrDescriptor;
+
+    options = Object.assign({ waitUntilFirstUpdate: false }, options) as WatchOptions;
+
+    protoOrDescriptor.update = function (changedProps: Map<string, any>) {
       if (changedProps.has(propName)) {
         const oldValue = changedProps.get(propName);
         const newValue = this[propName];
 
         if (oldValue !== newValue) {
-          this[name].call(this, oldValue, newValue);
+          if (!options?.waitUntilFirstUpdate || this.hasUpdated) {
+            this[name].call(this, oldValue, newValue);
+          }
         }
       }
 
-      updated.call(this, changedProps);
+      update.call(this, changedProps);
     };
   };
 }