Which cars have high value retention? Choosing these points ensures a good resale value and you won't lose money!
Kevin WongSep 20, 2024, 11:45 AM
Why do we need to look at the car's residual value when buying a car? In fact, it not only represents the depreciation of your car in the future but also represents the popularity and recognition of the car on the market to a certain extent. It directly relates to the economic interests of the car owner, the user experience, and the potential replacement or sale of the vehicle in the future. For friends who don't understand cars, it's always right to choose a car with a high residual value when buying a car. So, how to choose?
1. Choose big brands, don't choose niche cars!
Cars from well-known brands are often more trusted by consumers, so they are more likely to be accepted in the used car market. Among luxury brands such as BMW and Audi, and regular brands like Toyota and Honda, they have a long-term good reputation and a wide user base in the market, which enhances their vehicles' residual value. Some niche brands are often unpopular, have a small number of cars, and the maintenance is naturally very expensive. Later, it would be difficult to sell it.
2. A car with good quality can preserve its value
The quality, durability, and reliability of the vehicle are important factors affecting its residual value. A good-quality car can still maintain good performance and has a low failure rate, even after ten years. Therefore, the maintenance cost is low, and there are fewer problems later. However, not all major brand cars are of good quality. Consumers should be careful when buying used cars.
3. Low fuel consumption, a more fuel-efficient car is more valuable
Cars with good fuel economy have lower fuel costs in use, which reduces the cost of use and increases the value retention rate. Brands such as Honda and Hyundai have lower fuel consumption compared to similar models. With stable quality and other factors, the value retention rate would also be higher in the later stage, and it is easier to transfer to the second-hand car market.
4. Large market holdings mean cheaper maintenance
Cars with large market holdings make it easier to find suitable buyers in the second-hand car market. Therefore, when buying a car, you should choose models with good sales. Not only does this represent market recognition, but a large holding also means that the cost of parts will be lower and maintenance will be more convenient.
5. Choose mainstream black and white for the body color
The automotive market is currently dominated by white and black, which is a common representation of consumers' color preferences. These colors are more popular in the market, making it easier to find buyers. Although some flashy colors look quite gorgeous, they are hard to find buyers in the second-hand car market. So, pay attention to the issue of car body color when choosing a new car.
6. New car prices are stable or rising
The models with stable or rising new car prices often have a high-value retention rate. This indicates a strong demand for the model in the market and a relatively tight supply, which drives up the price of its used cars. By contrast, if the price of a new car drops quickly, it can have a significant impact on the value retention rate of used cars. After all, if new cars are cheaper, consumers might give up buying used cars and choose to spend a little more on new ones.
Summary
Cars with a high resale value usually have characteristics such as high brand popularity, good vehicle quality, low failure rate, low fuel consumption, low maintenance costs, large market inventory, popularized body color, stable or rising new car prices, and good reputation. These features together form the basis for the value retention rate of the vehicle, making these models more competitive in the used car market. Therefore, when buying a car, consumers can focus on these factors can bring many benefits. If you really don't know how to choose, just select the most common big brand models on the road.
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