Revealed: the cars that best hold their value in the UK

Happy African American Man Hugging New Car In Auto Dealership

It is a well-known fact that a new car starts depreciating or losing its value as soon as you drive it off a dealer’s forecourt. However, knowing which cars hold their value best (and which ones lose theirs fastest) can help make sure that you’re making a smart purchase from the start.

Zutobi has carried out research and found the cars that best retain their value. Let’s take a look.

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What is car depreciation?

Car depreciation is simply the difference between the price you pay for a car and the price you receive when you sell or trade it in later on. It is the rate at which the value of your car decreases over time as you use it.

Some models depreciate faster than others. So making the right choice when buying can be of great benefit when you come to sell your car.

Which car models best hold their value in the UK?

According to Zutobi, these are the 10 cars in the UK that best hold their value:

Rank

Car

List price

Average car value after 3 years

3-year depreciation rate 

Average value lost

1

Volkswagen Polo

£15,045

£13,649

9.28%

£1,396

2

Volkswagen Golf

£20,955

£18,867

9.96%

£2,088

3

Land Rover Range Rover

£83,665

£75,184

10.14%

£8,481

3

BMW 6 Series Gran Turismo

£43,790

£39,351

10.14%

£4,439

5

Porsche 718 Cayman

£44,074

£39,229

10.99%

£4,845

5

Mercedes Benz C-Class

£28,995

£25,807

10.99%

£3,188

7

Citroen Berlingo

£19,430

£17,127

11.85%

£2,303

7

Toyota C-HR

£21,885

£19,291

11.85%

£2,594

7

Lotus Evora

£75,100

£66,198

11.85%

£8.902

10

Porsche Panamera

£67, 898

£59,791

11.94%

£8,107

 

As you can see, Volkswagen’s Polo and Golf, two of the most popular and best-selling cars in the UK, retain the most value after three years.

They are closely followed by the Land Rover Range Rover and the BMW 6 Series Gran Turismo, both of which have a three-year depreciation rate of only 10.14%.

The full list of results can be viewed on the Zutobi website.

Which car models depreciate fastest?

Conversely, these are the 10 cars with the highest depreciation rates after 3 years:

Rank

Car

List price

Average car value after 3 years

3-year depreciation rate

Average value lost

1

Mitsubishi Shogun Sport

£37,840

£15,745

58.39%

£22,095

2

Audi A6 Allroad Quattro

£54,555

£22,713

58.37%

£31,842

2

Vauxhall Combo Life

£20,135

£8,383

58.37%

£11,752

4

Infiniti Q50

£43,440

£18,792

56.33%

£24,468

5

Lexus IS

£31,900

£14,255

55.31%

£17,645

5

BMW 7 Series

£69,565

£31,087

55.31%

£38,478

7

Audi A8

£71,695

£32,761

54.31%

£38,934

8

Audi S8

£83,925

£39,191

53.30%

£44,734

8

Maserati Quattroporte

£74,320

£34,706

53.30%

£39,614

10

Jeep Compass

£23,450

£11,185

52.30%

£12,265

 

Incredibly, if you buy one of these cars, it will most likely lose more than half of its value within three years. Head over to Zutobi’s website to see the full list of cars with relatively high depreciation rates.

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How can I maintain the value of my car?

Here are a few pointers to help you keep your car’s value as high as possible:

  1. Service your car routinely. Change the oil, replace the air filter and maintain fluids.
  2. Where possible, keep your mileage low. High mileage can reduce the value of your car. The higher the mileage, the more likely it is that your car will develop engine problems that will be costly to repair. Low mileage can also help with your car insurance premiums.
  3. Take care of scratches and dents as soon as they appear. Scratches expose the bare metal of your car, allowing the ingress of water that can cause corrosion.
  4. Shelter your car. Although your car has been built to withstand the elements, it’s a good idea to shield it from them where possible. If you can, shelter your car. If that’s not possible, consider getting a car cover to protect it.
  5. Wash and wax your car routinely. A healthy coat of wax polish will filter the sun’s rays and guard your car against rain and windborne debris during periods when it’s not sheltered.

The post Revealed: the cars that best hold their value in the UK appeared first on The Motley Fool UK.

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