It is essential to pay attention to a car’s resale value when buying a car. Resale value is the predicted market value of your car, truck, or SUV when it comes time to sell. Choosing a vehicle with good resale value can save or make you money, thus helping to comprise a long-term investment. A substantial resale value means that the car will be worth the maximum value when it is time to trade. Paying attention to resale value can reduce your overall vehicle expenses.
Car brands that currently have the best resale value include Toyota, Subaru, Honda, Dodge, Chevrolet, GMC, RAM, Jeep, Ford, and Mazda. The competitive advantages of these car brands are essential to consider for both seasoned and new car buyers. In recent years, trucks have dominated the top ten list of the resale value charts, while few cars were represented on the list.
Subaru has consistently had outstanding resale value throughout the years. The car brand won four awards in the 2021 Kelley Blue Book Best Resale Value Awards. The Crosstrek, Forester, Impreza, and Outback are the most popular Subaru vehicles, and all four have impressive resale values. The high resale value of the Subaru brand primarily comes from the longevity of its cars, off-road capabilities, and affordable starting prices.
Subaru’s competitive advantages include fuel efficiency, reliability, all-wheel drive, safety features, and low maintenance costs. Additionally, the current market has more buyers than available inventory, indicating increased demand for used cars. The prices of used Subarus have increased and are similar to newer models. For example, a 2017 Subaru model costs roughly the same as the latest model. Subarus can make a quality vehicle investment for car buyers as it constantly has strong resale value.
Toyota consistently is one of the best vehicles for resale value. There are several reasons for the high resale value. First, Toyota is known for its reliability, meaning that the cars are well-built well and have advanced technology to help drivers get through all kinds of terrain. Drivers tend to demand more from their Toyota vehicles due to its reliable reputation. Second, the cars are very popular, especially the most popular models like the Corolla and the RAV-4, which increases their demand. These features are important factors in the higher resale value of Toyota.
Honda is among the top car brands with the highest residual value projections. A high residual value means that the vehicle is projected to hold the highest percentage of its retail price after three years of ownership. Value retention is used to determine resale value. These values are crucial to consider. The 2022 Honda Civic is projected to have the highest sale value among all compact cars in the past three years.
The Dodge Ram holds its resale value better than its competitors. Features that make it appealing among truck lovers are that it has some of the best towing and cargo capacity in its class. The Ram is also spacious and has some very advanced technology, which is also something to consider for investment in a vehicle. Although the resale value depreciates relatively fast, it holds its value quite well.
Mazda has a lower resale value than its competitors like Toyota because the car brand is less renowned. The lack of brand power indicates that a four-year-old Mazda will hold 4% less of its value than the same age Subaru and 1 to 2% less than a Honda or Toyota. Although Mazda makes reliable cars, fewer people are aware of its quality. Mazdas are cheap to buy while adhering to high-quality standards and build, which is something to consider before investing in one.
The 2022 Ford F-Series lineup was among the top 10 vehicles in terms of resale value. It has been the country’s best-selling vehicle in addition to being a resale value standout. At 60 months, the resale value is 50.6%
The Bottom Line
When looking to buy a car, the car’s resale value is a critical factor that determines if you will make or lose money when you sell the vehicle. A car’s resale value indicates if it is a good or bad long-term investment. Some car brands with high resale values include Subaru, Toyota, and Honda. These cars have brand power and an excellent reputation behind them, boosting their popularity in the market. They also have outstanding reliability and advanced technology, making them fantastic investments for car buyers. These car brands have found ways to ensure that their older versions maintain competitive prices, which is excellent for car owners.
On the other hand, Mazda is a lesser-known car brand, which has resulted in its lower resale value. While Mazdas are cheap, their lack of brand recognition has made them less of a quality investment. The Dodge Ram has good resale value in trucks, but trucks depreciate quickly. It is essential to consider all of these aspects when purchasing a vehicle.