The resale value of year-old electric cars like this Nissan Leaf dropped significantly in 2015. … [+]
Anyone who has paid any attention to the auto business in recent years knows that pandemic-era factory closures, supply chain shortages, and supply-demand issues have pushed the prices of new and used cars so high and out of reach for an extended period of time. You know the situation continued.
Fortunately, dealer inventories, transaction prices, and automaker incentives are inching back toward pre-COVID-19 normality, although they have not yet fully recovered. According to t0 Kelley Blue Book, the average price of a new car last month was $47,244, which is still nearly 14% more expensive than in February 2021, but down 2.2% from a year ago.
As electric vehicle market demand has plummeted in recent months, transaction prices for new EVs have fallen the fastest and sharpest of all vehicle genres, with an average drop of 12.8% year-on-year, and some models It has fallen more than 20%. And while discounts and rebates are becoming common again in the broader market, a small number of models that remain in extreme supply and strong demand may still exceed MSRP.
Used car prices are similarly coming back, having fallen nearly 15% over the past 12 months, according to Cox Automotive. While this generally bodes well for those looking for relief from high new car costs, some models that have been able to hold their resale value the most tenaciously are better than buying a factory new car. Significant savings may not be possible. On the other hand, the model that depreciates the most in its first year out of the dealership may be the best bargain among vehicles that have been used less.
“Car buyers looking for the best value often buy used models rather than new cars,” says Karl Brauer, executive analyst at online marketplace iSeeCars.com. “Used cars are almost always cheaper than new cars, but some models lose more than 25% of their value in a year, allowing buyers to save significantly on buying a new car. You get a closer ownership experience.”
According to an iSeeCars study of 1.6 million new and year-old used car sales from January to March 2024, the best car to buy used instead of new is the Mercedes-Benz EQS. , all-electric luxury cars will set you back an average of $47.8. % of original value after 1 year of ownership.
On the other end of the balance sheet are a number of vehicles that iSeeCars.com has determined have lost little of their original value on the used market, and you’d rather spend a few extra dollars and get a clean new car. It might be better.
Topping the list is Land Rover’s large and luxurious Range Rover SUV, with a year-old used model costing an average of 2.8% more than a new one. Notably, while the price of electric cars is falling rapidly, the value of gasoline-electric hybrid models is rising rapidly, with gasoline-electric hybrid models saving money at the pump and EVs Lacking inherent range issues, it has risen rapidly, accounting for 5 of the 10 most productive models. It is wiser to buy a new item than a used one.
Top 10 cars to buy used instead of new
- Mercedes-Benz EQS: -47.8% ($71,231)
- Nissan Leaf: 45.7% ($18,756)
- jaguar f pace: -35.4% ($52,010)
- alfa romeo ghilia: -33.4% ($32,467)
- Kia EV6: -33.3% ($36,243)
- Hyundai Ioniq 5: -32.9% ($34,303)
- Volkswagen ID.4: -32.9% ($31,870)
- Alfa Romeo Stelvio: -32.3% ($36,630)
- Nissan Murano: -32.0% ($29,458)
- Mercedes-Benz S-Class: -31.5% ($99,598)
Top 10 cars you should buy new instead of used
- land rover range rover: +2.8% ($147,311)
- Kia Rio: -0.1% ($18,682)
- Mercedes-Benz G-Class: -2.3% ($196,112)
- Ford Maverick: -4.1% ($32,505)
- Ford Maverick Hybrid: -4.4% ($32,039)
- Toyota Sequoia Hybrid: -4.6% ($77.653)
- Toyota Corolla Hybrid: -5.0% ($26,038)
- Toyota RAV4 Hybrid: -5.3% ($37,727)
- Honda Civic: -5.5% ($26,934)
- Kia Sports Stage Hybrid: -5.9% ($33,397)
Source: iSeeCars.com. It lists the percentage of original value lost (or gained) after one year of ownership and the most recent used car price for each model. The full report can be viewed here.
