10 Cars and SUVs That Will Cost You Big in Resale Losses

Explore the top 10 cars and SUVs with the worst resale value. Learn which vehicles depreciate the fastest and how to avoid financial pitfalls in car ownership.

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When it comes to car ownership, understanding resale value is crucial. Some vehicles lose their value significantly faster than others, leading to potential financial pitfalls for unsuspecting buyers. This article explores the top 10 cars and SUVs that depreciate the most, helping you make informed decisions when purchasing your next vehicle.

10. Buick

Image: Buick

Buick has made its way onto this list, and it’s not surprising. The brand struggles with popularity in North America, which, combined with its higher price tags, leads to significant depreciation. On average, Buicks lose 61.2% of their value within the first five years. For instance, the Buick Enclave, which starts at around $52,000, can drop to about $19,000 after five years. This steep decline makes it a risky investment for buyers looking for long-term value.

The lack of demand for Buick vehicles means that they often sit on dealer lots longer than other brands, further exacerbating their depreciation. If you’re considering a Buick, it’s essential to weigh the potential financial loss against the features and comfort they offer.

9. Cadillac

Image: Car and Driver

Cadillac, a name synonymous with luxury, also finds itself on this list. With an average depreciation of 61.3% over five years, Cadillacs, particularly the Escalade, face significant value loss. Originally priced around $96,000, the Escalade can plummet to about $35,000 after five years. This rapid depreciation is largely due to the brand’s limited popularity compared to other luxury competitors.

Moreover, high repair costs and a reputation for reliability issues contribute to Cadillac’s poor resale value. Buyers should consider these factors carefully before investing in a Cadillac, as the financial implications can be substantial.

8. Land Rover

Image: Road & Track

Land Rover is known for its rugged luxury SUVs, but it also suffers from a poor reputation regarding build quality and reliability. On average, Land Rovers lose 61.4% of their value within five years. For example, a brand new Range Rover, which may cost around $122,000, could be worth only $45,000 after five years.

The high maintenance costs associated with Land Rovers deter many potential buyers in the used car market, leading to faster depreciation. If you’re drawn to the brand’s luxury appeal, consider leasing to avoid the steep financial losses that come with ownership.

7. Mercedes-Benz

Image: Edmunds

Mercedes-Benz vehicles are often seen as the pinnacle of luxury, but they come with a hefty price tag and high depreciation rates. On average, Mercedes cars lose 61.9% of their value after five years. High-end models like the E-Class and S-Class can lose up to $80,000 in value during this period.

The combination of high repair costs and below-average reliability contributes to this rapid depreciation. If you’re contemplating a long-term investment in a Mercedes, it may be wise to consider leasing instead, allowing you to enjoy the luxury without the financial burden of depreciation.

6. Infiniti

Image: Drive

Infiniti, a luxury division of Nissan, has seen a decline in popularity over the years, leading to significant depreciation. On average, Infinitis lose 63.3% of their value in just five years. The brand often offers substantial discounts to clear inventory, which further drives down resale values.

As a result, buyers may find themselves facing a steep financial loss if they choose to sell or trade in their Infiniti after a few years. If you appreciate the brand’s offerings, consider a short-term lease to mitigate the risks associated with depreciation.

5. Lincoln

Image: J.D. Power

Lincoln, another luxury brand, struggles to maintain its market presence. With an average depreciation of 63.6% over five years, Lincolns, including popular models like the Navigator, face significant value loss. For instance, a Lincoln MKZ that costs around $46,000 new may only be worth $15,000 after five years.

The brand’s limited appeal compared to competitors means that resale values can plummet quickly. If you’re considering a Lincoln, it’s essential to factor in the potential for rapid depreciation when making your decision.

4. Audi

Image: CNET

Audi vehicles are known for their performance and luxury, but they also experience rapid depreciation. On average, Audis lose 64.6% of their value within five years. The brand’s reputation for reliability issues and high repair costs contributes to this decline, making them less appealing in the used car market.

While Audi offers impressive vehicles, potential buyers should be cautious. Leasing may be a more prudent option, allowing you to enjoy the luxury without the long-term financial implications of depreciation.

3. BMW

Image: Top Gear

BMW is synonymous with performance and luxury, but it also faces significant depreciation challenges. On average, BMWs lose 66.1% of their value after five years. High-end models like the 7 Series and popular SUVs like the X5 and X3 are particularly hard hit, with some models losing over $70,000 in value.

The brand’s reputation for high repair costs and below-average reliability can deter potential buyers in the used market. If you’re considering a BMW, leasing for a few years may be the best way to enjoy the brand without the financial burden of depreciation.

2. Volvo

Image: Top Gear

Volvo is known for its safety and innovative technology, but it also struggles with resale value. On average, Volvos lose 66.4% of their value after five years. Despite producing impressive SUVs, the brand’s limited popularity compared to other luxury brands leads to significant depreciation.

As Volvo aims to transition to an all-electric lineup by 2030, potential buyers should consider the financial implications of purchasing a new model. Leasing may provide a more secure option, allowing you to enjoy the brand’s offerings without the risk of steep depreciation.

1. Maserati

Image: Car and Driver

Maserati tops the list of cars with the worst resale value, losing an astonishing 69% of its value in just five years. The combination of high purchase prices, below-average quality, and limited popularity results in significant financial losses for owners. For example, a Maserati Ghibli that costs around $89,000 can drop to about $27,000 after five years.

If you’re drawn to the allure of Maserati, it’s crucial to understand the financial risks involved. Leasing may be the best option to enjoy the luxury without the burden of depreciation.

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