Car Depreciation is a source of disarray when buying a new or used vehicle. All cars are losing value, and this process begins abruptly. The average new car loses approximately 10 percent of its value as soon as it leaves the dealer’s car park.
Vehicles from an unappealing brand or with few options will feel the biggest impact, depreciating as much as half their purchase price in the first one or two years. If the manufacturer is retiring a vehicle, then the value can drop like a lead weight. This loss in value is relevant to any used car buyer.
Moreover, this depreciation does not necessarily slow down after the first year. New cars continue to lose value over the next four years, with an average loss of 15/25 percent each year. After five years, the average car lost 60 percent of its commercial value.
Vehicles with an unattractive brand or few options will experience the greatest impact, with a decline in value of up to half of their purchase price in the first two years.
If you are looking to buy a vehicle soon, it’s worth knowing the market. Here is a list of vehicles whose value is currently falling faster and why.
50 – Chevrolet Camaro
Chevy’s sporty, sharp Camaro is reported as losing 39 percent of its value in the first year. This is one of highest depreciation rates on this list. The average 5-year total cost to own a 2015 is about $40k. It’s $23.7k off the lot and loses a little more than $8k in the first year of ownership. This is an American- made sports car, like the Mustang, SS or Corvette, which has a following of worshippers that lines of luxury cars also have. For this reason, perhaps, the Camaro depreciates like a luxury car.
Find the list of cars depreciating the most in the following pages!