One of the most overlooked costs that comes with buying a vehicle is the cost of depreciation. It’s a key component to making sure you get a better return on investment. Understanding your vehicle’s resale value prepares you to know whether trading it in or selling is the better option.
According to the Canadian Black Book (CBB), depreciation is typically the largest expense in a full buy-own-sell cycle. The moment you drive your new vehicle off the dealership lot, it begins to depreciate. In fact, most vehicles lose 10% of their value within the first year.
The majority of us don’t drive our vehicle until the day it dies, meaning you’re probably going to want to drive something else within a few years. But how do you ensure you’re not losing out on thousands of dollars? By purchasing a vehicle with a good resale value!
We’ve done our research and put together a list of six cars with awesome resale value based off of the Canadian Black Book’s 2018 Best Retained Value Awards.
Best Resale Value Cars
Here’s the six vehicles we selected each from a different category:
- Toyota Camry — Best Mid-Size Car
- Toyota Prius C — Best Sub-Compact Car
- Chevrolet Tahoe — Best Full-Size Crossover/SUV
- Jeep Wrangler — Best Compact SUV
- Toyota Sienna — Best Minivan
- Chevrolet Silverado HD — Best Full-Size Pick up
Toyota Camry — Best Mid-Size Car
You probably have at least one family member who’s owned a Camry at some point in their lives. This is because of its long-standing reputation for both reliability and quality. Since 2016, the Camry has snagged the top spot in its category and the demand for used models only continues to grow. Toyota has also been recognized time and time again as the brand with the best resale value by Kelly Blue Book , so keep it in mind when you’re car shopping!
Toyota Prius C — Best Sub-Compact Car
It doesn’t come as a surprise that another Toyota vehicle makes the 2018 top list. But what is interesting is that this front-runner also happens to be a hybrid. The Prius C’s spacious interior and cargo space paired with great fuel efficiency has helped it take the top spot for the second year in a row. You won’t go wrong with choosing this sporty choice.
Chevrolet Tahoe — Best Full-Size Crossover/SUV
Though competition is less fierce in this category, the Chevrolet Tahoe earns its spot because of its utility, styling and proven mechanical package — all of which help deliver excellent resale value. With the ability to carry 9 passengers, this SUV can act as a substitute for a minivan or wagon. And according to Kelly Blue Book, it retains as much as 55% of its value even after 36 months — now that’s impressive!
Jeep Wrangler — Best Compact SUV
2018 is the 8th year in a row that the Wrangler has won for its category. So what makes it stand out from the competition? Its impressive durability that is. Thanks to its timeless style and reliability, the demand for both new and used models continues to grow. Plus, Kelly Black Book gives it a 60% retained value after four years with an 8.7/10 consumer rating.
Toyota Sienna — Best Minivan
Another vehicle in the Toyota family ranking supreme. The Sienna’s reliability, safety and fuel-efficiency gives it excellent resale value for families looking for that extra space. Though the demand for minivans has been declining over the last few years, the Sienna is still a top contender thanks to its trim versatility, going from sporty to luxurious based on your preference.
Chevrolet Silverado HD— Best Full-Size Pick up
This hard-core hauler — with a towing ability of over 7,000 pounds — makes it ready for any job. But it’s not only its durability that gives the Silverado the top projected resale value. Its 410 horsepower, which operates at lower speeds when towing to reduce repair costs, and streamlined design help it earn the title too. Plus, this ride holds its resale value at 61.8% for up to 36 months.
Looking to trade-in your vehicle? At Birchwood Credit Solutions, we encourage our customers to find their freedom by driving the vehicle that fits their lifestyle. Visit one of our three Winnipeg locations to find out how our trade-in program works.
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