All cars depreciate. Whether it’s a beat-up old banger or a luxury limo, the second you drive it off the forecourt, it’s worth considerably less than you just paid for it. And this affects both outright buyers and those who choose finance agreements, as cars which are likely to lose a lot of value will require higher monthly payments to compensate.
So is depreciation good news for the used car buyer? It depends. Fast-depreciating cars mean good deals second-hand; but if you then want to sell that car on or trade it in, you may not get a good price.
Classic, sports or limited-edition performance cars tend to lose less value, because a Porsche is a Porsche, however old it is. SUVs also tend to depreciate less than hatchbacks or saloons. Here are some of our recommendations for cars with low depreciation.
Average price new: £22,874
Average price after three years: £12,113
Value retained: 53 per cent
Now made by BMW, the Hatch retains the hugely enjoyable go-kart handling of the 1959 original, but combines it with levels of reliability, safety, convenience and comfort that are very 2019. It’s a great all-rounder and a pleasure to drive, with fluid handling, a composed ride, agile steering and efficient, responsive engines.
Average price new: £27,321
Average price after three years: £14,328
Value retained: 52 per cent
As you’d expect from a Mercedes-Benz, the A-Class is packed with technology and safety features, and powered by decent engines. The A200d and A220d are RDE2 compliant, which means company car drivers will avoid the four per cent extra company car tax otherwise charged on diesels.
Average price new: £30,150
Average price after three years: £15,795
Value retained: 52 per cent
This fun compact SUV combines characterful, sporty looks with an impressive interior and a choice of engines, ranging from the 114bhp 1.0-litre petrol to the 296bhp 2.0-litre powerhouse in the SQ2, which is shared with the Volkswagen Golf R. Front-wheel-drive is standard, with four-wheel-drive an option.
Average price new: £55,174
Average price after three years: £33,660
Value retained: 61 per cent
Based on the Transporter, the California camper van is a versatile, capable load carrier which seats up to seven and sleeps up to four; Ocean trim includes a kitchen too. Yet it’s still light on its feet and car-like to drive, with a smooth, quiet ride and a 2.0-litre diesel engine delivering up to 196bhp.
Average price new: £24,483
Average price after three years: £13,515
Value retained: 55.2 per cent
A roomy, practical five-seater, the 3008 compact SUV has won 65 awards, including Carbuyer’s best SUV 2019. Equipment is generous, running costs are low, the ride is comfortable, and the good quality interior is among the best in its class. There’s a choice of petrol and diesel engines, as well as a hybrid.
When you buy from Carwise Group, you have the peace of mind that comes with choosing a reputable used car dealership. If you'd like to test drive one of our great value used cars, call our Maidstone dealership on 01622 233151, or our Harlow dealership on 01279 216163. Ask us about our car finance deals too.