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    March 12, 2021

    Useful information

    Why do cars depreciate

    A car cannot be called a cheap purchase. Sometimes you have to collect several years in order to acquire the desired iron horse, but having bought and used expensive movable property, the owner notes that it is no longer possible to bail out the same money or at least with a small deduction. Literally 2-3 years of operation, even the most cautious one, and you will be able to return no more than 2/3 of the money spent on sale. Why? Everything is extremely simple: lost value is the payment for the right to own an expensive item. Sometimes it can reach 60% of the original price of the car.

    What factors affect the depreciation of a car?

    Of course, there are many of them and any motorist should understand this. The car becomes “age”, acquires mileage, gets certain marks depending on the mode of operation. In the end, the popularity of the model in the market or its class simply falls.

    Another reason to reduce the price is the release of a new generation of cars of the same model. Restyling transforms a new car series, and your price drops.

    Why do cars depreciate? Very popular models are depreciated less noticeably. This happens gradually, but the process cannot be stopped. But cars that are not in great demand usually depreciate very quickly, but then “hang” at the same price for a long time.

    Can a car not depreciate at all?

    Yes, it also happens, but only with scarce models or with their exclusive trim levels, released in a limited edition. Moreover, if this car, despite its venerable age, has a minimum mileage, then it can be sold at several times more expensive than the real cost at the time of release.

    Dealers realized this long ago and often use the grip of fans of special cars in an advertising campaign, stating that the queue for a car has already been scheduled for six months in advance, i.e.vehicles go straight from the conveyor into the hands of the customer, bypassing the point of sale. So it turns out that there are no new cars in stock, and when selling this model from hand, with low mileage, you can observe an overstatement of cost by more than 10%.

    Which brands are the least depreciated?

    There are a number of companies whose brainchildren have been showing the lowest depreciation values ​​for many years in a row. These brands are considered truly reliable, of better quality, and therefore there is no reason for them to become cheaper. But what an interesting thing if we compare, for example, Mercedes and Chevrolet. The first is considered to be of higher quality, but depreciates faster up to 4-5 years of life (when its quality becomes more obvious), in front of an alternative – cheaper, brand. After these five years, the depreciation of Mercedes will slow down to the utmost, but the Chevrolet will continue to lose in value and in 10 years it will fall to a minimum.

    Devaluation and national aspects

    Why do new cars depreciate so fast? In Europe, car devaluation is happening very quickly. You left the dealership with a new thing and will no longer receive more than 90% for your car when you sell it, you have traveled for a year – you have lost another 20-30%.

    The thing is that in these countries the automotive industry is well developed and the profile market is regularly filled, and old models are becoming a thing of the past.

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