Whoever is on the market for a car should know a thing or two about car depreciation. Essentially, it’s how the car’s value decreases over time. In fact, the value of a brand-new car reduces by 10% the moment it’s driven off the lot. On top of that, it’ll lose another 10% percent at least when it’s been owned for just a year. However, not all cars are built the same. Cars with fewer features and ones made by less popular manufacturers might have their prices halved in just a few years. Cars that have been discontinued can also have higher depreciation rates.
We’re sure you aren’t surprised to see this environmental car here. It made the list since it experiences a high depreciation rate that owners will notice once a brand-new car turns one-year-old. In a nutshell, this car’s list of attractive features doesn’t have anything other than the fact that it’s an eco-friendly car that has low gas consumption.
Even though it does have some good features, once you get inside, you’ll find the interior small and cramped. Not to mention that the transmission is only two speed, and its safety rating isn’t great compared to an average mid-sized car. After just one year of ownership, this car would lose an incredible $14,000 or 36%.
Another car that experiences a high depreciation rate is the Hyundai Genesis. This car came to be when South Korea wanted to compete with luxury vehicles. Sadly, it doesn’t have the same brand appeal as other brands despite the fact that its price is close to a Mercedes or Lexus.
Maybe this is the reason the Genesis has a 38% loss in retail value after just one year. As you probably guessed, it’s not the best idea to buy this car brand-new. You could get a great deal on a one-year-old Genesis since its price will already be $16,000 cheaper than the original $52,000 price tag.
Another eco-friendly car that made the list is the Nissan Leaf. This car was the successful creation of the Japanese manufacturer, but it has a pretty awful depreciation rate. There are several reasons that contribute to its loss of value such as numerous incentives coming from the dealer and a tax credit of almost $7,500.
Not to mention the high number of leased units. All these things combined have implications on the car’s value, leading the Leaf to lose a lot of its value very quickly.
Nissan Rogue SV
When it comes to Toyota and Honda, most of their models are practical and square-shaped. However, the Nissan Rogue SV is not like those other models. In fact, it was launched as the sporty alternative to these cars.
All the same, the Rogue SV has lost 5% of its value once it went through a redesign. It isn’t unlike the Leaf in the sense that it has a relatively high depreciation rate.
While the Mini Cooper is an attractive and compact car, something that’s evident from the number of loyal followers it has, it has one significant downside. It, unfortunately, experiences a much higher rate of depreciation that the other cars in its class.
If you would buy a 2015 Mini Cooper for $20,000 in the past couple of years, you would notice that its value nowadays would have dropped by at least 29.3%. When you’re looking for a car like this, make sure to focus on the residual value since this is its current price on the used car market.
Since the gas price hike is long over, it’s easy to see why people are beginning to fall in love with gas-heavy SUVs again. The GMC Yukon has been redesigned which has seriously impacted its resale value.
It’s also possible that people have realized how expensive it is owning this car. After all, they can purchase a brand-new Yukon for $47,000. The catch is that the ownership costs can amount to $70,000 in the first five years alone. That doesn’t sound ideal when the value of the SUV drops by 33% after the first 12 months.
Since the 2015 Chevrolet Express is actually a cargo van, chances are you don’t need one. Most people who buy this kind of van happen to be business owners who need it for deliveries and whatnot. There are a few things that are good to know before buying one of these, however.
One thing to keep in mind is that owning one of these will cost about twice as much as the original buying price. In addition, this van has a high depreciation rate, losing 37% of its value in 12 months. If you’re wondering why, it’s because the manufacturer didn’t add many upgrades, making it nearly identical to the older model. To top it off, the buying audience is rather limited so there isn’t room for expansion.
As many car enthusiasts (and even people who aren’t) know, the Chevrolet Impala is a very popular car model. Unfortunately, there are multiple reasons this model has earned a spot on this list. For one thing, it’s known as a fleet vehicle, meaning they’re bought for company use or as rentals.
Other than the oversupply of these cars, it doesn’t have the most attractive exterior and even less unique features. However, there’s more. Nowadays, there is a lower demand for sedans of this size, so the market value of the popular model has dropped significantly. A brand-new Chevrolet Impala might have cost you $27,000 a few years ago, but its value has dropped by at least 33.5%.
Another classic car that has a terrible depreciation rate is the Volkswagen Beetle. In fact, the car loses a whopping 37% of its value within the first year alone. However, people who bought the diesel model suffer more than those who bought the gasoline models.
If you’re wondering why, then we should explain the diesel scandal Volkswagen was involved in. It has been discovered that the famous manufacturer included a software program that made the car perform well in emission tests. From September 18, 2015, the diesel units suffer twice the depreciation rate compared to their gasoline counterparts. It would be a good idea to buy a used Beetle nowadays.
It’s hard to believe, but the Lincoln MKS is almost obsolete. The model didn’t do too well on the market, despite the fact that it was made to cater to luxury car buyers with a budget under $50,000.
The MKS never became a top-seller, making it lose an incredible 30.4% of its original value after one year alone. Just like the Hyundai Genesis, this car won’t give you the bang for your buck when it’s bought brand-new. Although, it makes for a good deal when you opt to buy a used car.
The Kia Optima has similar pros and cons as previous cars on this list. The Optima is equipped with a good engine, a spacious interior, a great design, and several upgradable features. However, despite these perks, the fuel efficiency rating just doesn’t make the cut.
This sedan has a depreciation rate of about 35% in just one year. People who bought a brand-new Optimas might have gotten better value for their money if they had gotten similar models from Ford or Honda instead.
Another car with an abnormally high depreciation rate is the Kia Cadenza. You could get a great deal on a used Cadenza if you know where to look. Nowadays, getting a used car is much better than investing in a brand-new one.
Seeing as the Cadenza has a 38% depreciation rate, it would be a better option to buy a one-year-old unit rather than a brand-new one. There are multiple Kia models on the list since plenty of people are still skeptical about the pseudo-luxury cars they manufacture.
Similar to the Lincoln MKS, the Jaguar XK is another car which could become obsolete sooner rather than later. This model has already been replaced with the new Jaguar F-type model. An XK would cost about $84,500 originally, but after just one year it would lose 29.2% of its value.
It goes without saying, but that is without a doubt a significant amount of money. This is the exact same reason you’d be better off buying a used XK in great condition instead of a brand-new one.
We all know that no other pony car will ever be able to replace the OF, the Ford Mustang. The 6th generation is one of our favorite cars on this list by far. It never disappointed anyone with its great performance and even greater engine.
Trust us when we say you’ll get more than your money’s worth when it comes to power as well as looks. Now that a newer model has been released, a lot of people seem to be overlooking the previous one. Nonetheless, it’s still equipped with a 5L V8 engine and a stylish exterior design. Its original price is approximately $35,000, but a secondhand unit could cost as little as $10,000!
The Hyundai Sonata has plenty of room, good performance, an average design, and reasonable power for a mid-sized sedan. Due to all these features, it has recently gotten a reputation as a reliable and solid family car.
You can buy a brand-new unit for roughly $23,000 to $30,000, but you’re better off buying the 2011 Sonata instead. The reason for this is because the car can sell for as little as $8,000! That’s a huge steal!
Lexus ES 350
Lexus has become one of the most well-known luxury car manufacturers. It’s easy to see why they have so many loyal fans. Most of their cars have a sleek and elegant appearance, with high-quality features and amazing speed as well as handling.
Unfortunately, the Lexus ES 350 hasn’t lived up to people’s expectations for it. The car’s design is rather conventional and almost boring compared to its brothers and sisters. This is probably the reason it loses $9,100 in its first year of ownership.
As it turns out, owning a 2015 Dodge Charger will cost you around $41,000 in the first five years of ownership. You might want to consider buying it since its retail price is $26,000. While its value will drop over $8,000 or around 45% after just a year.
This high depreciation rate typically happens to cars that don’t come with any interesting add-ons or features. People seem to be more attracted to popular, better designed, and upgradable cars instead.
While it’s a sharp and sporty car, the Chevrolet Camaro still experiences a very high depreciation rate. If you want specifics, this car loses 39% of its original value after owning it for only one year. This is pretty much equivalent to losing $8,000 in the first 12 months of owning it.
In addition to its high depreciation, you should keep in mind that this car would cost a total of $40,000 in the first 5 years. There are plenty of reasons to compare this model to the Mustang SS or Corvette. Aside from the obvious similarities between these cars, they are all American sports cars that have a high depreciation rate and a lot of loyal followers.
Another car that made this list is the Mitsubishi Lancer, due to its 35% depreciation rate after just one year. While the manufacturer likes to think of it as an affordable buy, it’s worth taking a closer look at the ownership costs first. There are a few things to keep in mind before going ahead and buying one.
Compared to the Mini Cooper, a Lancer does have a relatively cheap retail price as it’s $4,000 cheaper. However, the Mini Cooper has a lower cost of ownership overall. In fact, owning a Cooper would cost a whopping $5,000 less than a Lancer! These kinds of things are important to take into account when on the search for a car – new or used.
Another classic luxury car, there is the Cadillac CTS. It’s one of the permanent models in the Cadillac lineup, and it doesn’t take a genius to figure out why it’s so adored. Cadillac has built itself up quite the following over the years, there’s no doubt about it.
All the same, this powerful road warrior has an incredible 36.9% depreciation rate. If you buy the 2015 model brand-new for its original $45,000 price tag, its value would be cut in half by now – at the very least.
Chrysler 300 C
If you’re looking into luxury sedans, the Chrysler 300 C could be just the one you’re looking for. This premium, tough-looking American classic sedan was introduced in 2005. It had plenty of attractive featured that caught the public’s eye.
One of those features is the Hemi V8. Not to mention the option for a V6 or a V8 engine. The 300 C might not be the cheapest car, with a price tag of $40,000 when brand-new. However, it is a great buy several years later once it’s used. In fact, in just a few years, its value will go down as low as $20,000. If you want a muscular and powerful luxury sedan, check out the used car market for a Chrysler 300 C.
We’re sure Buick is very thankful that the Regal has reinstated it as a topnotch manufacturer of premium compact sedans. A lot of people described this car to be the American Opel Insignia, complete with the Buick emblem.
The Regal made its way to the top of the affordable luxury sedans with its variety of add-on features, numerous turbocharged engines, and drivetrain choices. If you want to purchase a new one, it will cost you $30,000. A better idea would be to buy a secondhand unit. There are deals as low as $10,000. This trend will likely continue as there are new models coming out.
Fiat 500 L
Introduced in 2014, the Fiat 500 L did not live up to the expectations the manufacturers had for it. This disappointment negatively affected both this car’s popularity and resale value. It’s true that the car has a spacious interior, a decent trunk, great visibility, and user-friendly features.
All the same, all those things didn’t make up for the below average performance and subpar power that the car delivered. The starting price for a 500 L is little more than $20,000, but you’d be better off buying an older unit for less than $14,000. Needless to say, this is a serious decrease in value for a car that’s only a few years old.
Just like other luxury car manufacturers, Jaguar suffers from high depreciation rates. All the same, this is the same exact reason as to why this mid-sized sedan is available for a lower price on the used car market. Back in 2009, the XF was introduced with a base price of $50,000.
It came equipped with a V6 300 hp engine, although people could still choose to upgrade to a V8 420 hp engine. Not to mention they could add on a bunch of other features. Nowadays, a 2009 or 2010 unit would cost less than $15,000! In our opinion, it’s a great deal. After all, an XF in great condition would come equipped with a complete leather interior, topnotch safety features, an amazing engine, and a gorgeous design.
You can probably guess that there is plenty of competition in the executive sedan market. Ford released the Lincoln MKZ to compete with the Mercedes C-Class and BMW’s 3-Series, though it never got too much attention.
The leather interior, 263 hp engine, and high-end features are all appealing, but it still didn’t make the cut. The MKZ was originally priced $35,000 for a base model, but now you can find a 5-year-old one for roughly $15,000.
The Nissan Maxima offers a lot for its price if you opt for a used unit. The luxury vehicle made a name for itself since it’s a powerful, large, comfortable, and well-equipped car. In 2016, Nissan released a new model, and people liked the modern features, great design, and V6 300 hp engine.
With an original price tag of $32,000, nowadays, you can find older units for about $20,000. That is most definitely a steal, especially if you find one that’s still covered by the manufacturer’s warranty.
The Kia K900 was the company’s attempt to join the full-sized luxury sedan race. It’s considered to be the rival of the Mercedes S-Class and BMW 7-Series. The car is equipped with premium features and a powerful engine. We should mention that this car isn’t a cheap one. In fact, it has a $60,000 price tag.
Compared to other luxury cars, this isn’t such a high price, but it certainly is more expensive than a regular Kia vehicle. Nonetheless, the price goes down more and more over time thanks to its depreciation. This isn’t unusual as other premium cars do exactly the same. These days, you could find a secondhand unit for only $30,000.
Despite the fact that the VW Passat isn’t considered to be a luxury vehicle, the mid-sized sedan still made it onto our list. It’s actually a pretty good car, with advanced features, great engines, and sleek design. You might be wondering why it’s on this list.
Well, when Dieselgate hit the news, this car got a lot of the heat. You shouldn’t be surprised to find a 2014 VW Passat for just $12,000 when the original price was $25,000. We know that such a low price is very appealing, but we don’t think buying a new Passat with a diesel engine is worth it.
The Audi A8 might be the most popular premium sedan on the market. It’s a great buy as it’s super elegant, it has powerful engines, luxurious features, and Quattro AWD, It was made using aluminum, meaning it’s agile and light.
The latest model has been available for a while now, so it’s not surprising to hear that it has depreciated significantly. The base model price used to be $80,000. In the used car market, a 2012 Audi A8 could cost around $30,000.
First released in 2013, the Cadillac XTS was a mid-sized sedan with an elegant design and plenty of premium features. All the same, this car hardly made an impact on buyers. Among other things, it didn’t come with great driving dynamics like the CTS or ATS.
Not to mention that the XTS didn’t have the same level of luxury as the CT6 either. It still came with a powerful 304 hp engine and an FWD. Its base price was $45,000, but there are offers on the used car market for around half that price.
In theory, the Acura ZDX was a great car. We respect Acura for trying to create a crossover with a sporty design, low roofline, AWD, and powerful engine. Sadly, it became obsolete pretty quickly since a lot of people didn’t like the way it looked.
Its appearance simply wasn’t attractive. All the same, you can find a good ZDX for only $13,000. If you don’t mind its appearance, that it. This price is a far cry from the original MSRP that was $35,000.
If you’re on the hunt for a luxury sedan, it doesn’t get any more extravagant than Maybach’s cars. In 2006, the Maybach 57 was released with a base price of almost $400,000.
Simultaneously, the 62 S was for sale with a price of $500,000. How crazy is that? What’s more unbelievable is the fact that now you can find used units on the market for as little as $50,000!
If you want to buy a luxurious SUV with great performance, design, and quality, then the Cadillac SRX is for you. It has a 265 hp engine as well as premium features. Not to mention that its price is reasonable – it costs $40,000.
However, you might get a better deal if you look into the used car market first. You can come across a lot of great finds. You might even find a used SRX for as little as $15,000.
If you’re searching for a car that has good towing capacities, features, and seating capacity, then you should definitely consider the Chrysler Aspen. An attractive and comfortable car, the Aspen has Chrysler’s signature rugged look.
Due to the fact that people seem to disregard it because of its less-than-stylish design, its price has dropped significantly over the years. Its base price used to be $40,000, but now you can find a used unit for as little as $12,000-$13,000.
You’ll have a hard time finding a more prestigious two-door Mercedes than the CL series. In terms of sportiness, there’s no doubt that the SL wins, but the CL still has amazing engines, a spacious interior, and lots of premium features.
While it had a price tag of $100,000 when it was released, its price has reduced greatly over the years. Nowadays, you can find a Mercedes CL for as little as $25,000.
In an attempt to become a part of the crossover market, Mercedes-Benz created the R-Class. However, it turns out that their target audience wasn’t big enough to keep the R-Class going for very long. After two short years on the market, the van became obsolete.
In any case, the people who did go ahead and buy the van said it was very comfortable, luxurious, and had great engines. While the initial price for the van was $50,000, nowadays, you can find a used one for about $19,000.
The only major differences between the Dodge Magnum and the Charger are the designs. The Magnum features the same mechanics as the Charger. Not only that, but it also has the same mechanics as the Chrysler 300 C, meaning it has RWD, great engines, and build quality.
It turns out that this station wagon didn’t do too well once it was released. The reason it flopped was because it was released when the SUV craze began. For this reason, you can find a used Dodge Magnum for as little as $7,000.
BMW 5 Series
Buying a new BMW 5-Series would cost you a significant amount of money at the moment. But, in a year or two, its value will drop around 18%. While this model is very efficient with its 2.0L, 4-cylinder, 248 hp engine, its value will still drop drastically.
After just three years, the 5-Series would lose as much as 52.6% of its initial value. If you are looking to buy one now, you can find a used one in good condition for around $30,846.
Similar to most high-end cars, the Mercedes-Benz E-Class can’t hold onto its value for very long. Even though it has a stunning design and excellent performance, the E-Class loses an incredible 49.9% of its value.
There is never a guarantee that the high price of a luxury car will pay off in the long run, even when it’s one of the most luxurious models out there.
BMW 3 Series
Despite the fact that the BMW 3-Series is one of the car manufacturer’s best selling models, its depreciation rate has been on the rise over the last few years. Nowadays, the 3-Series will lose approximately 49.8% of its value within the first three years of ownership.
Since older models tend to be much cheaper than the newer ones, this model has become even more popular thanks to its affordable price. Over the years, other BMW models’ prices have only gone up.
The Ford Taurus is one of Ford’s more affordable models which happens to have one of the highest depreciation rates among Ford’s cars. Ford is known for their great trucks, sedans, crossovers, and even sports cars. However, the Taurus loses a whopping 49.7% of its value in its first three years alone.
That’s an incredibly high number, especially for a family sedan. All the same, the Taurus has been getting some great reviews, not to mention its sales have been just as good.
Known for having cars with more affordable prices, Chrysler is still considered to be a luxury brand. Despite their models not having all the luxury features other brands do, they are considered luxurious all the same.
As you might have guessed by now, the biggest drawback of the Chrysler 200 is its depreciation rate. After just three years of ownership, the car loses 48.4% of its initial value.
While the Volkswagen Jetta is rather similar to the Volkswagen Passat, the Jetta, according to customer reviews, is a great car. The family sedan has both good and bad qualities, but the most significant downside of this model is its depreciation rate.
After just three years of ownership, the Volkswagen Jetta loses a whopping 48.1% of its original price. So, when you’re on the lookout for a car, you’re better off buying this one used to get a much better price.
Known as equal to car manufacturers like BMW and Mercedes, Audi’s cars have plenty in common with the other brands. All their cars have German engineering, luxurious designs, features, and the most significant similarity is their cars’ inability to keep their value for long.
Despite the fact that the A3 is one of Audi’s cheaper models, it’s pretty popular since it’s a great family sedan. Its biggest flaw is its loss of value over time. After just three years of ownership, the car will lose 47.9% of its initial value.
Another luxury car that can’t seem to hold onto its value for very long is the Jaguar XJL. After only three years of ownership, the XJL loses a whopping 66.4% of its initial value on average.
Seeing as Jaguar is one of the most famous luxury car manufacturers, their cars tend to lose their value rather quickly and drastically. It isn’t very surprising, but it is helpful to those looking to buy a used car or a luxury car for a decent price.
BMW 6 Series
Since BMW’s cars are considered luxury cars, it’s odd that the 6-Series is available as a coupe, a convertible, or as a four-door sedan. This model has a slightly faster depreciation rate than the 5-Series.
Overall, BMW’s 6-Series ends up losing approximately 68.3% of its original value. That is a huge drop – even for a luxury vehicle.
Ford Fusion Energi
Ford created a new trend with the Fusion Energi. This model was one of the first eco-friendly midsized sedans on the market. With its sleek style and classic Ford engineering, this car is great for those who are looking for a car that is as elegant as all the other luxury sedans on the market.
“Government incentives play a role in the steep depreciation of electric and plug-in hybrid vehicles as their resale value is based on their lower effective post-incentive sticker price,” Ly said. This plug-in Ford has a high depreciation rate of 69.4%.
Back to Mercedes, their signature sedan, the S-Class, has top-of-the-line features which make it extremely expensive to buy brand-new. Judging by the model’s history, the luxurious features would cost a significant amount of money if the need for repairs arises.
The S-Class isn’t the fastest depreciating Mercedes car, but it does lose a significant amount of its value over time. In fact, the S-Class loses 69.9% of its original value.
BMW 7 Series
Here we have another BMW that loses its value quicker than usual. The 7-Series depreciates slightly faster compared to its Mercedes equivalents. Even so, BMW is known to create great cars that are designed perfectly and made to perform well.
With that said, the 7-Series does have a high-performance rate. However, the BMW sedan loses 71.1% of its value over the first five years of ownership alone.
Once it was announced, the Chevrolet Volt made waves in the motor industry. At the time it was released, the concept of an electric car with a gasoline-powered engine capable of charging its batteries while driving was groundbreaking.
It truly was a revolutionary concept. Now that it’s a few years older, its value has been dropping at a very high rate. Its value has gone down 71.2% to be exact.
We already know that Ford cars typically don’t hold their value too well. However, they still are dependable and affordable. For these reasons and more, they almost always get great reviews from customers. Ford Focus is a perfect example in this case.
The compact family hatchback became very popular in 2018, but just like the rest of Ford’s cars, its value dropped significantly. The Focus loses around 45% of its initial value over three years, making it the perfect car to buy used.
Throughout the years, Infiniti has gained popularity in the luxury car industry while making a name for themselves. They combine Nissan’s brilliant engineering with powerful engines and great design to create a sporty flair for their cars.
Still, just like other luxury vehicles, the Q50 doesn’t seem to be capable to hang on to its value they way other Nissan cars can. After only three years of ownership, the Q50 loses 46.9% of its initial value.
Even though the Cadillac ATS has the best features a luxury car can possibly have, it does lose a whopping 50.4% of its value. The ATS has the classic Cadillac design along with various perks the manufacturer is known for.
Some of these perks include 4G WiFi, a remote start via smartphone, and two fantastic engine options. Just like other luxury cars on this list, you’re better off waiting a little and buying this car used for a much better price.
Alfa Romeo Giulietta 2.0
While Alfa Romeos are known to lose their value quickly, their cars normally don’t lose their value quickly enough to end up on this list. However, there are exceptions to every rule.
Just like the rest of Alfa Romeo’s hatchbacks, the Giulietta looks gorgeous. But there is one major drawback to this car. After just three years of ownership, it loses 73.9% of its value.
Fiat Panda 0.9 Twinair
The Fiat Panda 0.9 Twinair has a wonderfully compact 4×4 design, making it the ultimate weekend car. The reason this car is on this list is that it loses an incredible 73.3% of its value.
It seems like Fiat is, unfortunately, forming a pattern with their cars as they seem to be incapable of holding onto their value for very long. While their cars are great, they lose their value rapidly.
Fiat Punto 1.4
When thinking of compact cars, Fiat seems to be the first name to come to mind. The Punto 1.4 is most definitely a compact car, but it’s only available in specific countries.
As it turns out, this might just be a good thing. After only three years of ownership, the Fiat Punto 1.4 loses a whopping 73.8% of its original value.
Recently, Buick began distancing itself from their more affordable cars and move in the direction of luxury cars. Their audience seems to be enthusiastic about this change. While this is all well and good, there is a reason we have the Enclave on this list.
It doesn’t have the highest drop in value compared to other cars on this list, but it does lose 46.8% of its initial value. People looking to buy a crossover wouldn’t want to buy one that wouldn’t last.
The Toyota Camry might just be the best-selling sedan in the United States, but it still made it on to our list. Since a new model came out, the old one seems to be overlooked by buyers who prefer getting the newest version.
Because of this, the old model tends to have a high depreciation rate. This can be good news for buyers who are looking for a great bargain.
While the Mercedes C250 is a sought after luxury car, it does come at a hefty price. It has a depreciation rate of 34.4%. Just in the first year of ownership, the C250 loses around $15,247 in value.
There is a way around this predicament, however. By upgrading the older model and adding the new features rather than buying a brand-new car, the loss of value can be avoided.
In just one year, the Volvo S60 loses around $14,204 of its original value. This amounts to about 34.% of the initial price! It’s a hefty amount that makes all the difference when shopping for a car.
Since the four-door has a very high rating on the safety scale and also has great performance, you would be better off buying it used. A brand-new one would cost you about $34,150-$59,300.