The 2025 Motoring Depreciation Report
When purchasing a new car, one of the most important considerations is whether or not the vehicle will hold its value. A well-retained resale value ensures that upgrading or replacing the car is financially smoother, making it a key factor for both first-time and seasoned buyers.
On average, cars in the USA experience a 32.36% depreciation rate over three years, while vehicles in the UK face a slightly higher average depreciation rate of 38.72%. These figures highlight the importance of selecting a vehicle that not only meets your needs but also retains a significant portion of its value over time. Understanding these averages can help buyers make informed decisions in a competitive and ever-changing automotive market.
Our 2024 update builds upon previous reports, revealing the vehicles with the highest and lowest levels of depreciation in the UK and the USA. This updated ranking offers insights into vehicles that hold their value best over three years and highlights those with significant depreciation, making them potential bargains on the second-hand market.
Which new cars hold their value best in the USA?
1 – Toyota Tacoma
List Price: $33,700
Average Value After 3 Years: $27,880
3-Year Depreciation Rate: 17.27%
The car which holds its value best in the United States is the Toyota Tacoma pickup truck; this Japanese truck has been on sale since the mid-1990s. Toyota pickup trucks have a reputation for bulletproof reliability and sturdiness, and consequently, after three years they could be almost as good as new, resulting in a small drop in value.
2 – Toyota Supra
List Price: $46,440
Average Value After 3 Years: $37,857
3-Year Depreciation Rate: 18.48%
The Toyota Supra is a sports car that combines exhilarating performance with timeless design. Known for its agile handling, powerful engine options, and striking aesthetics, the Supra appeals to both driving enthusiasts and collectors. Its reputation for engineering excellence and exclusivity plays a key role in its strong resale value, as demand remains high for this iconic nameplate. After three years, the Supra retains a notable percentage of its original value, solidifying its place in the upper echelon of vehicles that hold their worth.
3 – Subaru BRZ
List Price: $30,195
Average Value After 3 Years: $24,356
3-Year Depreciation Rate: 19.34%
As a compact sports car, the Subaru BRZ offers an engaging driving experience at an accessible price point. Its lightweight design, rear-wheel-drive layout, and balanced chassis make it a joy to drive on twisty roads or racetracks. Over the years, the BRZ has earned a loyal following among driving purists, which contributes to its excellent value retention. Its affordability and fun factor make it a practical choice for buyers seeking both excitement and long-term value.
Which new cars lose the most value in the USA?
1 – Lincoln Navigator
List Price: $83,265
Average Value After 3 Years: $44,067
3-Year Depreciation Rate: 47.08%
The Lincoln Navigator is a full-size luxury SUV that boasts a spacious interior, high-end materials, and advanced features. However, its high initial price tag and rapid advancements in the luxury SUV market contribute to its significant depreciation. While the Navigator is equipped with a powerful engine and cutting-edge technology, its value drops substantially within the first three years, making it a better deal for second-hand buyers than new car shoppers.
2 – CMazda CX-90
List Price: $37,845
Average Value After 3 Years: $21,327
3-Year Depreciation Rate: 43.65%
The Mazda CX-90 is a stylish and comfortable midsize SUV known for its refined driving dynamics and premium features. Despite its appeal, the CX-90 faces stiff competition in the saturated SUV market, which contributes to its steep depreciation. While it offers excellent handling and a well-appointed cabin, buyers should be prepared for its value to drop significantly over three years.
3 – Ford Expedition
List Price: $55,105
Average Value After 3 Years: $31,389
3-Year Depreciation Rate: 43.04%
The Ford Expedition is a large SUV that excels in towing capacity and passenger comfort. Popular among families and outdoor enthusiasts, it offers ample space and versatility. However, the hefty price tag and the rising popularity of crossover SUVs result in high depreciation. After three years, the Expedition’s value drops sharply, making it a more attractive option on the used car market.
Which new cars hold their value best in the UK?
1 – Mercedes A-Class Hatchback
List Price: £32,505
Average Value After 3 Years: £30,488
3-Year Depreciation Rate: 6.21%
The entry-level Mercedes car is the small A-class hatchback, a car that has improved vastly in style and substance since its launch in the late 90s. However, the Merc is still very expensive for the size of the car, and it is likely to be much more expensive than the base price with add-ons. Fortunately, the investment is a good one as the A-Class only loses a tiny 6.21% of its value over three years.
2 – Range Rover Sport
List Price: £75,255
Average Value After 3 Years: £69,807
3-Year Depreciation Rate: 7.24%
Another vehicle with an average three-year depreciation rate of 7,2% is the Range Rover Sport. The Sport is slightly smaller than a standard Range Rover, with more of an emphasis on speed and performance than comfort and luxury, although it is still certainly considered a premium vehicle.
3 – Jeep Wrangler
List Price: £61,125
Average Value After 3 Years: £54,802
3-Year Depreciation Rate: 10.34%
The Jeep Wrangler is the quintessential off-road vehicle, known for its rugged design and exceptional durability. Whether conquering rough trails or cruising city streets, the Wrangler retains its value thanks to its strong reputation and loyal fanbase. Its resale value is bolstered by its unique styling and go-anywhere capability.
Which new cars lose the most value in the UK?
1 – Renault Zoe
List Price: £31,995
Average Value After 3 Years: £9,103
3-Year Depreciation Rate: 71.55%
The world is moving in the direction of electric cars, but customers who buy this particular EV will be massively out of pocket. The Zoe is an electric supermini costing over £31,000, a ridiculously high price for a car of its size, for this expense you get very little in terms of room. To compound the financial folly of buying this car, it depreciates at over 71% in three years, so that you’ll only recoup an average of just over £9,000. Customers who want their vehicle to hold good resale value should avoid this car.
2 – Peugeot 3008
List Price: £28,830
Average Value After 3 Years: £8,500
3-Year Depreciation Rate: 70.52%
The Peugeot 3008 has the second biggest depreciation rate of any cars studied. After purchasing the vehicle for over £28,000, 3008 drivers will also be losing money every day when they get behind the wheel, on average it will lose over 70% of its value.
3 – MG ZS
List Price: £21,995
Average Value After 3 Years: £6,712
3-Year Depreciation Rate: 69.48%
Although the badge says MG, this car is made on the other side of the world from the company’s home in Oxford. These days the MG name and brand are owned by Chinese car company SAIC, however, this is not necessarily a bad thing given the reliability (and later financial) problems faced by MG in Britain. Although the ZS is reasonably priced it will lose over 69% of its value in three years, dropping from just under £22,000 in value to just over £6,000.
Methodology
USA
- A list of the 100 best-selling cars in the USA in 2024 was sourced from GoodCarBadCar.
- The value of these cars was found using Edmunds’s new car pricing tool.
- We then used a depreciation calculator to discover the estimated average value in three years’ time.
- The average annual mileage used was 13,500 as it was the closest on the calculator to the US average of 14,000 miles.
UK
- A list of 150 of the UK’s most popular new cars was created (reduced to 121 as data couldn’t be found on all models).
- The individual manufacturer’s websites were used to discover the base value of each car.
- A UK car depreciation calculator was then used to determine the average estimated value in three years’ time.
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