Worst Resale Value -MotorBiscuit

[wemay]

The Brand With the Worst Resale Value May Surprise You

Resale value is important when you plan to sell your vehicle in the future. Here are brands you may want to avoid that have the worst resale value.

www.motorbiscuit.com

According to this article...

"Recently, Car Edge studied and ranked today’s automotive brands and models in terms of resale value. Their analytics considered a host of factors, including today’s new car prices and original MSRP values. They looked at maintenance costs and estimates associated with predicted expenses.

Buick is the worst brand for retaining resale value. And the Car Edge team says Buick models “depreciate hard and fast.” Buick models only retain 63.15% of their original value at the five-year ownership mark. Specifically, this study points to the Buick Enclave and the Buick Encore as models that fall toward the bottom of the value retention list.

This brand is the runner-up worst in resale value
In this same study, another popular automotive brand comes in as a close second for being the worst at retaining value. Chrysler ranks next to the bottom of the list across three, five, and seven-year time periods, too. Your Chrysler will only retain 64.84% of its value at the five-year mark, less than a percentage point away from the worst-offending Buick brand. The Chrysler 300 is the worst offender and is only a bargain if you’re looking to buy older, used models or intend to use these cars in a fleet capacity."

I wonder how significant "market value adjustments" factor into this, as the article mentioned it in the first paragraph.

 

[mrsilv04]

My first thought on this... are these the two brands that consumers see as being the next Pontiac or Plymouth?

It is no secret that both brands (especially Chrysler) have limited offerings... making consumers wonder when they'll finally land on the chopping block. Here in the Midwest though, Buick is still a good seller. Pontiac was always a good seller here as well.

 

[wemay]

Your post makes some interesting points.
Buick is well represented around here too. In my opinion, their styling has become much more contemporary and competitive.

 

[joekingcorvette]

I noticed around here the Buick Encore's sell for reasonable prices. I am not sure if they are any good or not. The Chrysler 200 comes to mind as a poor resale car as well. The Fiat 500 and Jeep Renegade are a couple more.

 

[Vercingetorix]

2022 is not a good year to study resale value of cars.

 

[Rand]

It really depends on what you paid.

a few years back subaru had some of the best retention and jeep the worst because the article based it on MSRP.

I paid 1k under msrp for the subaru and 10.5k under msrp on the jeep.. guess which had better resale $$$retention from that?

 

[MrHorspwer]

The Car Edge research tool where the article gets its info from is way cooler than the article. You can look at 3, 5, and 7 year depreciation and it also lists luxury makes separately.

Cars with the Worst Resale Value

Rank and sort over 200 Vehicles with the worst resale values at the 3, 5 and 7 year marks.

caredge.com

Jaguar and Mercedes Benz lose as much value in 3-years as Buicks do in 5-years
At 5-years, luxury makes are doing really bad and most are worse than Buick
Between 3 and 5-years, Ram falls from #3 in resale to #14
Despite Jeep's signature Wrangler having really good resale, everything else they make has terrible resale and drags it down to #15
At the 5-year mark, the Mercedes Benz GLS is the absolute biggest loser, only retaining 37.75% of its value

 

[SC Maintenance]

Excellent list for what cars to buy used.

Still however, 65% of its original value at 5 years old for a Chrysler? Seems like better to buy new - even these. For 1/3 of the total cost I can drive a brand new car without an issue for 5 years then dump it. The next sucker can drive for 10 years for 2/3 the total cost and have all the problems. That math doesn't work for me - its pretty much linear depreciation the whole way down. At 15 years they can't be worth much. Guess I am sticking with new.

 

[doitmyself]

I can seel resale value playing into cost of ownership if you flip your car every 3 to 6 years. I wonder how significant resale value is for people that keep their cars for many years and miles?

 

[miden851]

oh boy; I'm working in the loan/title department at a local mid-cap credit union; the other day, we had a member who bought an used '18 Accord with 50K miles on its odometer back in August. She had paid $32K OTD for it. Unfortunately, she got it totaled at the beginning of December; After negotiation with her insurance and the settlement amount created, the insurance company got her $24000.00 payoff check, so in the end she got short $8K for it

Luckily for her, she had a gap coverage...

It goes to say, 2022 is not a good year to study the cars value

I'd say, we are in the midst of major market shift that goes well beyond just the car market

 

[cheesepuffs2]

oh boy; I'm working in the loan/title department at a local mid-cap credit union; the other day, we had a member who bought an used '18 Accord with 50K miles on its odometer back in August. She had paid $32K OTD for it. Unfortunately, she got it totaled at the beginning of December; After negotiation with her insurance and the settlement amount created, the insurance company got her $24000.00 payoff check, so in the end she got short $8K for it

Luckily for her, she had a gap coverage...

It goes to say, 2022 is not a good year to study the cars value

I'd say, we are in the midst of major market shift that goes well beyond just the car market

Are you seeing signs of used car values starting to go back down right now, or no? I've heard that the market has started to correct lately

 

[miden851]

Are you seeing signs of used car values starting to go back down right now, or no? I've heard that the market has started to correct lately

the prices on the used cars are on the downslope ever since the FED started to increase interest rates back in March of '22, but the problem is, an average Joe does not know that...

so the bottom line, everything is individually related other there, even more now than lets say 2-3 years back

 

[JohnnyG]

Like one of the comments in the article said "I'd be happy with %60 value in 5 years!".

Just more clickbait for ad dollars.

 

[SeaJay]

Maybe self fulfilling? It is not a stretch for consumers to believe that Buicks and Mopars will not bring a premium price on the used car market, so just buy it and drive it like you stole it.

 

[HemiBenny]

It’s a good thing that I don’t buy cars based on resale values, I’d be screwed.

 

[miden851]

It’s a good thing that I don’t buy cars based on resale values, I’d be screwed.

Well, once they are paid off, who cares

Problem, nonexistent

 

[DweezilAZ]

I can seel resale value playing into cost of ownership if you flip your car every 3 to 6 years. I wonder how significant resale value is for people that keep their cars for many years and miles?

I never factor it in. They're purchased to keep. Six cars in 40 years. One rear ended. One traded in. One given to my brother [who still has it]. Three of those six I still own. Newest is 18 years old as of Jan.13th.

 

[DweezilAZ]

oh boy; I'm working in the loan/title department at a local mid-cap credit union; the other day, we had a member who bought an used '18 Accord with 50K miles on its odometer back in August. She had paid $32K OTD for it. Unfortunately, she got it totaled at the beginning of December; After negotiation with her insurance and the settlement amount created, the insurance company got her $24000.00 payoff check, so in the end she got short $8K for it

Luckily for her, she had a gap coverage...

It goes to say, 2022 is not a good year to study the cars value

I'd say, we are in the midst of major market shift that goes well beyond just the car market

That's outrageous. 32K would have purchased something reasonable new, with a better interest rate, zero miles on the odometer and with change back

 

[andrew_j]

Higher resale vehicles are less risky . Easy to dump even in private sale as they typically have desirability.

Buy an old Audi and good luck trying to sell privately. Put your 2012 Civic/Accord/Corolla/Camry and it gets snatched up quickly.

 

[miden851]

That's outrageous. 32K would have purchased something reasonable new, with a better interest rate, zero miles on the odometer and with change back

Of course I do agree to that

However, but majority of car purchase transactions in the past 2.5Y did just that, they were overpriced and now the dust is settling in

Also, this does exclude cash transactions