“Buying used cars is not just an art of negotiation, it is also an art of finding the perfect match for you. Though used cars will always be of lesser price when compared to the new one, they are more depreciated as well and it is this art of having the balance between depreciation and price that is counted as the best buy when it comes to used cars.”
It’s a fact that all machinery depreciates over time. While some incur more depreciation over time, others not so much, and the same goes for cars too because they are also machines. If you are a new or for a fact a relatively new buyer looking for a used then this might be the useful piece of information that you’ve been looking for; In this article we are going to give you a list of cars that you shouldn’t buy pre-owned looking at the level of depreciation they normally go through in just a short time of about 5 years.
It is estimated that a value of a new car is halted just within the first 5 years of its use, although some vehicles like the ones that you are gonna see, lose their worth at a much faster pace. While depreciation can be devastating for those who buy new cars, it can also be a good thing for people interested in used cars as good cars can be available at a much cheaper price. But what you are gonna see below is a list of the cars that we’ll always caution you against buying especially pre-owned just because of the level of damage and the need of requirement they may have in just a short span like 5 years. These are some of the most delicate cars with both machinery and outsides that can’t work on a day to day basis of heavy use and often succumb to the pressure in merely 4-5 years on an average.
The biggest loser amongst the cars on the basis of depreciation is the Nissan Leaf Electric Car. Although the range of the car on a full charge is around 73 miles, which is just about enough for an average commuter, the car starts to show aging soon enough. While credit for its cost depreciation can be given to the delicate make which depreciates the body, the remaining can be given to the rapid changes that the electric automobile industry undergoes on a day-to-day basis.
If you compare this car to the other more modern ones, you’ll see a great discrepancy in the range, better pricing as well as better sturdiness when compared to this car. It is estimated that by the standards of an average driver, the Nissan Leaf loses about 71.6% of its original value just after 5 years of regular use. This is just like owning clothes that don’t have any value left if you wish to resell them.
It is not a coincidence that the top 2 vehicles on the list are both Green and Electric vehicles, it is just how the technology of electric cars work. Chevrolet Volt was introduced in the market with a bang, being an electric car also having a gasoline engine meant that this car can get charged while you drive on those gasoline filled tanks and considering the time it was introduced, it was seen as something of a miracle.
Sadly for both car makers as well as the owners, the technology has now become quite old and the value of this car drops faster than free fall. Once considered a big player of the automobile industry, this car now loses about 71.2% of its original value in its first year, which is just 0.4% behind the car that occupies the first place.
This is the last vehicle on the list above the 70% mark and perhaps it may come as a surprise to you as a reader because it really was for us considering the price of this super luxurious car. Though, you just have to go as far as the big rival of the segment; Mercedes to know that these depreciation levels are common because they aren’t much far behind. Both the 5 Series and the 7 Series have almost the same level of average depreciation after 5 years of ownership and both of them have slightly more depreciation percentage than their contemporaries made by Mercedes. BMW 7 Series stands at an average cost depreciation of 71.1% after 5 years of ownership.
As we mentioned while talking about the BMW 7 Series, the Mercedes Benz contemporary that is the Mercedes Benz S Series is not that far behind and here the listing of the car has come. A flagship Sedan of the good old German car maker, the Mercedes Benz S series is super expensive when new and comes loaded with loads of technologies and as history suggests all these systems will cost a fortune to fix when broken down.
Though a really fast depreciating vehicle, thanks to the BMW 7 Series, the Mercedes Benz S Class is not the fastest depreciating vehicle in the segment, and we would advise you against buying both of them whether old or new.
The Mercedes Benz S Class stands at an average depreciation level of 69.9% after 5 years of ownership.
Breaking the series of Luxury Sedans is an Eco-friendly car which is also the last one in the list. The electrified version of the midsize sedan series of Ford Fusion is amongst the latest trend of electric and hybrid vehicles that have lost their value over the years. Owing to some technological advancements as well as the incentives given by the Government on Eco-Friendly Electric and Hybrid vehicles that works against these cars because the resale value of these cars is based on the highly subsidized sticker prices of the new ones which are called the posted sticker incentive price.
The Ford Fusion loses at an average 69.4% of its original sticker price value after 5 years of ownership.
Continuing with the literally depreciating trends in Luxury Sedans, now we look at the prestigious BMW 6 Series. As mentioned earlier, these luxury vehicles are prone to value depreciation owing to the high-end technology used and the cost that is incurred to make them work, this car which has been available as a coupe and a convertible for years or as a 4 door sedan with rakish roofline, this car which has had many admirers around the world loses value just like others from the Automaker. Even if it is hard to recognize as well as categorize, this car loses value just a bit faster than the slightly lower grade 5 Series from the same maker and manufacturer.
The BMW 6 Series loses an average 68.3% of its original sticker value after 5 years of ownership by an average owner with average use.
This is the third and thankfully the last BMW luxury sedan on this list of worst vehicles by value depreciation. Coming in just a 10th of a percentage higher than its contemporary Mercedes Benz E class and a whole 1% lesser than the slightly superior BMW 6 Series luxury sedan, this vehicle just continues the trend of automobiles manufactured by the two German Automaker in the mid-size Luxury Sedan segment.
If you have noticed the numbers and the trend then what this shows is that the contemporaries of both the iconic German Sedan Makers are neck to neck in competition in every sphere, even value depreciation and both of these lose value a lot faster than other American Made cars of the same segment.
The BMW 5 Series loses an average 67.3% of its original MSRP value after 5 years of ownership by an average owner with an average use of the car.
Like all the other Luxury Sedans we’ve seen in the list, Mercedes Benz E-class is no different when it comes to price, maintenance price and the plunge and depreciation of value in just some years. All through the article, we have talked a lot about the depreciating value of the vehicles from this segment and this holds the same for this vehicle as well. Although it is not the worst when it comes to depreciating value or even the worst Mercedes in these terms, it is still bad when it comes to depreciating value.
The Mercedes Benz E Class loses an average 67.2% of its original value within 5 years of ownership by an average owner with an average use of the car.
9. Jaguar XJL
The biggest sedan of the British Automaker Jaguar is a beautiful car which is really smooth to drive but like any other luxury vehicle, the value of this car depreciates a lot in just 5 years and that too faster than the average. While the luxury vehicles as this one lose lots of their value in short period of time, the cost doesn’t depreciate enough to get the attention of average buyers to be attracted to the premium trims.with their high-end technology.
The Jaguar XJL loses an average 66.4% of its original value within 5 years of ownership by an average owner with an average use of cars.
One of the highest selling sedans out there, the Chevrolet Impala is a cheap sedan yet it wouldn’t surprise anyone being on this list. The Impala went under a major redesign in 2014 and since then the demand for older versions has reduced, plus this car has more often than not been used in fleets under rental as well as with Police and Federal Services which makes it more than abundant in the market and depreciates its value even further. This steep decline in the value hasn’t come as a surprise seeing the given condition but it is still relevant for those who want to buy this vehicle.
The Chevrolet Impala loses an average of 66.2% of its average value within 5 years of ownership by an average owner with an average use of cars.
Cost Depreciation doesn’t always mean depreciation in the quality as well but it still comes off as a negative trait when concerning both New Car owners and used car owners. While some cars in this list that depreciate over time, there are some like the Jaguar XJL which does not necessarily depreciate in quality, but just value.