These Cars Depreciate the Least (and Most)

We’ve all heard about how new cars lose a ton of their value as soon as you drive them off the dealer’s lot. Buying used is supposed to help buyers guard against such a dramatic decline in their investment, but today’s used-car market is hotter than ever, to the point where some people are actually paying more for a used car than the same new one. So new may make sense, sure — but which one? Here are your best bets for cars that hold more of their value longer, according to an analysis by iSeeCars, along with the vehicles you’ll want to avoid.

Related: The Best Cars to Buy Used Instead of New

Average 5-year depreciation: 24.6%

Toyota’s trusty 4Runner, a midsize SUV that has remained one of the brand’s most popular vehicles, “has Toyota’s reputation for reliability and indestructibility as a truck-based SUV,” says iSeeCars executive analyst Karl Brauer. “It has also enjoyed enduring popularity since its release over 35 years ago, contributing to its high residual value.”

Related: The Most Trusted Toyotas of All Time

Average 5-year depreciation: 24.4%

This muscle car begins a parade of sporty icons that retain their value because the demand is always there from an enthusiastic fan base. The Challenger has “an aspirational appeal for many consumers, and drivers are likely more willing to pay a premium ... especially because they aren’t as common in the used-car marketplace,” Brauer says. 

Related: The Most Iconic Cars and Trucks Dodge Ever Built

Average 5-year depreciation: 23.6%

The Camaro, a Chevy icon, is here for the same reason as the Dodge Challenger, Brauer says: committed fans who ensure they retain their value relative to other vehicles. 

Related: Surprising Things About the Chevy Camaro

Average 5-year depreciation: 22.7%

Of course, it’s more of the same when it comes to the Corvette, which is about as close to legendary as cars come, with only the Chevy Suburban outranking it for longevity for GM-made vehicles. 

Related: Legendary and Iconic Chevys Through the Decade

Average 5-year depreciation: 21%

No list of iconic American vehicles would be complete without the Ford Mustang, which has even been recently reimagined as an electric crossover. 

Related: The Best Mustangs of All Time

Average 5-year depreciation: 19.5%

Brauer says it’s no surprise that the Tundra makes the list. Along with its smaller sibling, the Tacoma, it’s a hot seller that has Toyota’s sterling reputation for reliability, which is especially important for pickup buyers.

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Average 5-year depreciation: 13.8%

“The in-demand Tacoma is the bestselling midsize truck in the country,” Brauer says. “These indestructible trucks can be workhorses or dependable family haulers, which widens their appeal and helps boost resale value.”

Related: These Cars Are Most Likely to Surpass 200,000 Miles

Average 5-year depreciation: 12.8%

This flashy, pricey Porsche — the 2022 model starts at $101,000 — keeps its value precisely because the automaker keeps production numbers low, Brauer says. “Along with the 911’s timeless design and reputation for reliability, Porsche sells few 911s relative to market demand, so there aren’t many 911s in the used-car marketplace.”

Average 5-year depreciation: 10.5%

The four-door Jeep Wrangler Unlimited is eclipsed only by its two-door sibling when it comes to retaining the most value. One factor helping hold it steady: A consistent look from year to year. “Jeep Wranglers have maintained their iconic design, so even older models don’t appear dated,” Brauer notes. 

Related: Why People Are Crazy About Jeeps

Average 5-year depreciation: 9.2%

It’s no surprise to see the Wrangler in the top spot here, Brauer says. “Jeep Wranglers are known for retaining their value due to their enthusiastic fan base, as well as their durability and performance across all terrains, especially off-road.” 

Related: Timeless Jeeps Everybody Still Loves

Average 5-year depreciation: 57.3%

And now for the bad news, which is especially bad for luxury cars such as the Volvo S60. “Luxury buyers want to be seen in the latest version of their preferred model, but that status fades quickly after a luxury vehicle drives off the lot, drastically reducing these models’ value on the secondary market,” Brauer says.

Average 5-year depreciation: 57.7%

The Navigator L has two strikes against it. First, it’s a quick-to-be-replaced luxury vehicle; second, it’s often used for commercial purposes, diluting its value even more. “The Lincoln Navigator L is a common fleet and livery vehicle, which depreciate more than privately owned vehicles,” Brauer says.

Related: The Biggest Cars Ever Made

Average 5-year depreciation: 58.2%

The pricey Audi A6 starts at just under $56,000 this year, plus it’s a sedan — and used-car buyers are increasingly turning away from sedans, Brauer says. “The popularity of sedans has declined, so the price has to significantly drop to make these vehicles desirable to used-car shoppers to compensate for their high operating costs and outdated technology.”

Average 5-year depreciation: 59.1%

The story of the BMW 5 Series is almost identical to that of the Audi A6, and the price tags are similar too — the former is just a tiny bit cheaper, starting at just over $54,000 for the 2022 model year. 

Average 5-year depreciation: 59.5%

Though the Jaguar XF is a bit more moderately priced than the Audi A6 or BMW 5 Series, starting in the mid 40s, it’s still in that hard-to-resell category of luxury sedans.

Average 5-year depreciation: 60.3%

While the BMW X5 is an SUV, which broadens its appeal, the cons outweigh the pros for used-car buyers, Brauer says: “The BMW X5 has a higher-than-average starting price for the class, as well as a high cost of ownership and high repair costs, all contributing to the vehicle’s steep depreciation.”

Average 5-year depreciation: 61.3%

Granted, your average Maserati buyer may not obsess over how much they can get for their car after five years, but the news isn’t good regardless. Perhaps the most exotic of the luxury sedans on this list, the 2022 model starts at $78,000.

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Average 5-year depreciation: 61.5%

When luxury just isn’t enough, there’s the “superluxury” BMW7. This full-size sedan’s sky-high price tag — $86,800 is the starting cost for a 2022 model — means it has to real​​ly come down in price to be within reach for many used-car buyers.

Average 5-year depreciation: 63.1%

The electric BMW i3 just never hit home with buyers, Brauer says, so the market for used models is particularly tough. “The BMW i3 had just 80 miles of range before its 2017 update, and it had a high price tag for its city car designation,” he explains. “The limited market for the i3 led to its recent cancellation, and its lack of popularity, high price tag, and government incentives all contribute to steep depreciation.”

Average 5-year depreciation: 65.1%

Electric vehicles such as the Leaf may mean big savings when it comes to gas, but in this case, don’t hope to make a mint on resale — this is a car that has lost nearly two-thirds of its value after five years. “Electric vehicles like the first-generation Nissan Leaf become outdated quickly due to the rapid advancements in range and battery life,” Brauer says. “Government incentives like the $7,500 federal tax credit also play a role in the Leaf’s steep depreciation, as its resale value is based on original MSRP, but real-world transaction prices when new are effectively $7,500 lower.”