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Luxury cars are expensive, and most don’t hold their value well. Here are five that you might want to avoid.
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Buying a car is more expensive than ever, considering that the average price of a new vehicle is now $48,759. Other car-related expenses have spiked as well, including repairs and insurance.
Many buyers may not consider resale value when they buy a vehicle, but now could be an important time to consider it because some owners are underwater on their car loans.
This makes it all the more important for buyers to avoid vehicles that have low resale value. Here are a few that lost their value the quickest, according to data from iSeeCars.
1. Maserati Quattroporte
Five-year depreciation: 64.5%
Maserati’s flagship sedan offers buyers unique styling from the Italian carmaker, bringing together exotic luxury with sports car-like driving.
But you’ll pay dearly for that combination. Not only is the starting price of the Quattroporte an eye-watering $139,000, but iSeeCars research shows that its value plummets 65% in the first five years of ownership. Ouch.
Maserati also introduced an electric vehicle version for the 2025 model year, which could be a double whammy for owners worried about their car’s value. EVs typically have lower resale values and higher auto insurance costs.
2. BMW 7 Series
Five-year depreciation: 61.8%
BMW’s 7 Series sedan has long been an icon of luxury and sophistication. If you want to drive a top-of-line luxury sedan or, better yet, be driven around in one, the 7 Series is the way to go.
When I was in high school, one of my friend’s dad bought a used one, and now I know why. Most luxury vehicles depreciate quickly, but the 7 Series nearly sets the standard. Within just five years, a 7 Series loses an average of nearly 62% of its value — or the equivalent of $72,444 below its original price tag.
3. Cadillac Escalade ESV
Five-year depreciation: 58.5%
I’m skipping a couple of vehicles at the top of the iSeeCars list since they’re repeat brands. Instead, let’s move on to America’s luxury brand, Cadillac. The Escalade is a popular large SUV that has become such a mark of status that it regularly makes its way into pop culture — being mentioned at least eight times in hip-hop songs, according to Car and Driver.
Unfortunately, the Escalade reaches near the top of another chart as well. GM’s SUV loses an average of 58.5% of its value just five years after you drive it off the dealer’s lot.
4. Infiniti QX80
Five-year depreciation: 58.5%
A powerful 400-horsepower V-8 comes standard with the QX80, giving buyers plenty of get-up-and-go when they need it. But while you won’t be short of power with the QX80, you might get the short end of the stick when you trade it in.
Infinit’s QX80 is one the least expensive full-size luxury SUVs on the market, but you’ll still lose a staggering $47,399 in value in five years of purchase, according to iSeeCars.
5. Jaguar XF
Five-year depreciation: 57.6%
At a starting price under $50,000, the Jaguar XF is the cheapest vehicle on this list, but don’t mistake it for a good value.
Not only is the XF’s styling feeling a little long in the tooth — this version debuted back in 2016 — but the sedan’s value tumbled quickly after its purchase. iSeeCars says the XF value drops 57.6% five years after its purchase, leaving you with an outdated model that’s not worth much.
You can’t control depreciation, but you can control this
While you can’t do much about your vehicle losing value, you can control how much it costs you in other ways. For example, car insurance prices have risen rapidly over the past few years, weighing on many people’s finances.
Many people stick with their current insurance company to avoid the potential hassle of changing policies. But it’s possible to save significant money on car insurance by doing a little online comparison shopping. Taking a few minutes to compare quotes between car insurance companies could save you money on your monthly premiums, regardless of your car’s value.
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Ready to shop for car insurance? Whether you’re focused on price, claims handling, or customer service, we’ve researched insurers nationwide to provide our best-in-class picks for car insurance coverage. Read our free expert review today to get started.
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The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Chris Neiger has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
