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Car Depreciation by Brand 2026: Which Names Keep Their Value

By The VehCalc Editorial TeamJuly 20268 min read

Toyota, Honda, and Subaru lose 35–40% over five years while BMW and Mercedes shed 50–60% — and depreciation is usually the biggest ownership cost of all.

By The VehCalc Editorial Team · July 2026 · reviewed against official sources

Why depreciation is the real boss

Depreciation is the largest single cost of ownership, bigger than fuel, insurance, and maintenance combined. A car that loses 35% over five years costs $7,000 less in lost value than one that drops 55% on the same $35,000 sticker. When you shop resale, you are really shopping your future loss.

The value retainers

Kelley Blue Book and Edmunds 2026 data put Toyota at about 37% five-year depreciation, Honda at 38%, Subaru at 39%, and Mazda at 41%. Reliability, broad demand, and strong used markets keep them high. Toyota hybrids — Prius, Camry Hybrid — can beat 30% thanks to fuel savings buyers will pay for used.

The value losers

Brand5-yr depreciationWhy
BMW~52%High repair cost, tech churn
Mercedes-Benz~54%Steep new discounts, costly upkeep
Audi~50%Lease-heavy, soft used demand
Chrysler/Dodge~48%Weak demand, reliability marks

Body style changes the curve

Pro tip

Trucks and SUVs — F-150, Silverado, 4Runner — hold value best of any category because work buyers keep demand high. EVs are mixed: Tesla resists depreciation better than most, but several newer EV brands have dropped fast as tech and incentives shifted.

How to protect your own resale

Buy a proven model in a popular trim and a neutral color, keep mileage under 12,000 a year, and keep every service record. A documented maintenance history and unmodified body earn more at trade-in than a heavily personalized car nobody else wants.

Frequently asked questions

What is the average car depreciation rate per year?+
About 15–20% the first year, 10–15% the second, then 8–10% annually. Over five years most vehicles lose 40–50% of their original value.
Which car brand has the best resale value?+
Toyota leads mainstream brands at ~37% five-year depreciation, with Honda and Subaru close behind and Porsche strongest among pricier nameplates.
Do luxury cars depreciate faster?+
Yes, typically 10–20 points more than mainstream over five years, driven by high purchase prices, steep new-car discounts, and expensive repairs.
What is the most depreciating car?+
Among mainstream, Chrysler and Dodge models fall fastest; among luxury, BMW and Mercedes show above-average depreciation. Heavy discounts on new units pull used values down.
How can I check my car’s depreciation?+
Compare your purchase price against a current Kelley Blue Book, Edmunds, or NADA value, or use the <a href="/calculators/used-car-value/">used car value calculator</a> on this site.
The VehCalc Editorial Team

The VehCalc Editorial Team is an independent research group that compiles vehicle finance and ownership data from primary sources — EPA fuel-economy data, IRS depreciation tables, state DMV schedules, and NHTSA records — with retrieval dates on every page.

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