10 luxury cars with the highest depreciation rates

Of all the automotive segments, luxury cars tend to suffer the most from depreciation. According to the CEO of iSeeCarsPhong Ly, luxury vehicles, especially SUVs, tend to depreciate the most due to their high retail prices, which need to come down reasonably well to attract budget-conscious used-car buyers.

It is the huge cost of repairing and maintaining luxury cars that is largely responsible for the high depreciation rates. While the average new luxury car loses 40-50% of its original value within the first five years of ownership, some models tend to lose significantly more. While this is good news for used car buyers, it’s not so good if you’re the one selling the car. Either way, though, understanding depreciation can save you money and get you the best deal on your used car.

Here are 10 luxury cars with steeper depreciation curves than any of their counterparts, measured by the value they lose in the first five years of ownership.

Related: 10 deprecated luxury cars that are actually cheap to maintain

ten BMW i3: 68%

Green BMW i3

The BMW i3 is a high-roof electric sedan that entered production in 2013, as the Bavarian automaker’s first zero-emission commercial vehicle. This exceptional attribute has helped the BMW i3 to sell over 42,000 vehicles since its arrival in the US market.

Brown/Black BMW i3
via: BMW Blog

But before you head to the nearest BMW dealership to pick up an i3, know that it would have lost around 68% of its original value in the first five years. According to CarEdge calculations, the BMW i3 will have a residual value of around 19.38% after 10 years of ownership.

9 Mercedes-Benz GLE500: 65%

Mercedes-Benz GLE silver
Via Mercedes-Benz USA

The Mercedes-Benz GLE500 is a mid-size luxury SUV with a beautiful exterior, superior interior refinement and excellent power. But despite all these good things, the value of the The GLE500 drops around 65% in the first five years.

Mercedes-Benz GLE silver
Via digital trends

Assuming you got an all-new GLE500 for around $83,000 and averaged 12,000 miles a year, after five years the luxury SUV would be worth less than $30,000. On the other hand, if you buy a two-year-old GLE500, you can save up to $30,000.

8 Land Rover Range Rover: 63%

Range Rover Evoque 2013 gray
Via Pinterest

Range Rovers come with a plethora of luxury features, but if you consider the rate of depreciation, which is tied to repair/maintenance costs, you can conclude that they are not worth the money. A whole new year 2013 Range Rover will have a decline in value of around 63% after five years on the road.

Black Land Rover Range Rover 2013
via CNN Money

While it would be best to look elsewhere if you’re looking for a new luxury SUV with great resale value, settling for a two-year-old Range Rover on the used-car market could save you some hard cash. won.

Related: 2022 Land Rover Range Rover: Costs, Facts & Figures

7 Jaguar XF: 61%

Jaguar XF 2013 red
Via The Irish Times

The Jaguar XF is a mid-size sports sedan that shares many of its luxury features with the XE while offering an engaging driving experience and a variety of powerful engine options. If you bought a new 2013 Jaguar XF for $53,000the luxury sport sedan would be worth just $20,797 over the next five years.

Jaguar XF red

For more context, depreciating the Jaguar XF will set you back $32,203, a 61% drop from the original value. So you would be running at a loss to keep a new Jaguar XF for up to five years.

6 Audi A8: 62%

Audi A8 2022 gray

The Audi A8 is for those who want to enjoy all the luxury a sedan can offer without looking too ostentatious. Instead of sacrificing interior space for performance like most luxury cars, Audi found a way to balance the two, while pricing a new 2014 A8 at $75,000.

Audi A8 2022 black
Via Audi Media Center

However, it wouldn’t be wise to spend so much money on a vehicle that would have a residual value of 38% over the next five years. the The Audi A8 would only be worth $28,590 after the first five years of purchasewhich means that the cost of depreciation over this period will be approximately $46,410.

5 Infiniti QX80: 60%

Gray 2022 Infiniti QX80
By Infiniti

The Infiniti QX80 is a full-size luxury SUV with a slew of high-tech features and comes across as a strong rival to the Escalade. Although the exterior doesn’t exactly turn heads, Infiniti has prioritized interior comfort, with a fresh mix of burl wood, hazelnut leather and aluminum strip.

Gray 2022 Infiniti QX80
By Infiniti

Getting a new 2016 Infiniti QX80 costs you $65,000, which is a lot of money for one. vehicle that would depreciate by 60% in half a decade. A new 2016 QX80 would only be worth $26,000 after five years, which means depreciation costs about $39,000.

Related: Here’s How the 2022 Infiniti QX80 Compares to Its Competitors

4 BMW 750i xDrive: 61%

BMW 750i silver
By: Youtube

When you shell out over $101,395 for a car, you deserve more than luxury. The BMW 750i xDrive is a full-size luxury sedan segment that proudly offers a sumptuous amount of power and comfort, but unfortunately depreciation hits before you even leave the dealership.

BMW 750i 2016 black
via www.edmunds.com

New for 2016 BMW 750i xDrive worth over $100,000 will cost around $39,503 just after five years to take possession of it. This implies a depreciation rate of 61% in five years, and 85% by the end of the decade.

3 Mercedes-Benz SL550: 62%

White 2012 Mercedes SL550 Convertible
Via the Robb Report

The Mercedes-Benz SL550 offers all the comfort, speed and thrill you’ll need when cruising around town with a friend or family member. But paying over $100,000 for a car that loses 62% of its original value in five years isn’t exactly the wisest automotive decision.

White 2013 Mercedes-Benz SL550
through Google Plus

An all-new 2015 Mercedes-Benz SL550 costs you $107,825, and in half a decade, depreciation has taken $66,765 off the original value. To better understand how depreciation is eating away at the SL550, it’s worth mentioning that in just one year of ownership, depreciation swallows about $22,180.

Related: Here’s what to expect from the 2022 Mercedes-AMG SL-Class

2 Porsche Panamera: 61%

Black 2017 Porsche Panamera Turbo
Via: YouTube

Finding a balance between practicality and sportiness is never easy, but Porsche is one of the few brands to have managed to achieve it with the Panamera. Besides the Panamera’s monstrous power, its sleek, soaring looks and interior refinement make it a tough contender for the BMW 7 Series and Aston Martin Rapide S.

Black Porsche Panamera
Via Bentley Gold Coast

However, spending $80,000 on a new 2014 Panamera isn’t exactly a good automotive investment, considering that a Amortization over 5 years equals a loss of $48,952i.e. approximately 61% of the original value.

1 Audi Q7: 59%

Audi Q7 red
Via Audi Media

The Audi Q7 is a seven-seater SUV with a minimalist interior that offers premium comfort and tech features. It’s one of the quietest rides in its segment, and at around $67,000 you can have a new luxury long-distance cruiser. But the damping bites the Q7 very hardespecially in the first five years, during which it loses about 59% of its resale value.

Audi Q7 2022 red

Just after five years, a new 2016 Q7 would be worth less than $28,000. Plus, considering you’ll be spending up to $6,000 to keep the Audi healthy during this time, owning one seems like a good way to waste money.

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