30 Surprising Cars That Lose Value Fast
There's no surefire way to know how fast your new car will succumb to depreciation. After all, you can rapidly accelerate the rate at which it loses value by putting on miles too fast, going too long between oil changes or crashing it into a tree. However, provided there aren't any major unanticipated depreciation events, there are ways to predict how fast a car will lose its value based on its make and model.
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GOBankingRates conducted a study to find 30 popular cars that lose their value fairly quickly. Using Edmunds.com's True Cost to Own calculator, the study shows just how fast you should expect your new car's value to deteriorate. It uses the following assumptions:
You will drive 15,000 miles per year
You are using traditional financing rather than a lease
You have an above-average credit rating
You make a 10% down payment at purchase
Your loan term is five years
With those assumptions in place, GOBankingRates looked at the cost breakdown of each car for estimates across various spending categories -- such as insurance, fuel and maintenance costs -- as well as depreciation over the first five years. This gives you a better idea of how much it will actually cost to own and drive that car. It's important to remember your monthly payment is just one of many costs you will continuously encounter over your car's life.
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So, see if one of these 30 well-known cars is sitting in your driveway and just how much value it will have lost after five years of driving.
Last updated: June 2, 2021
2020 Jeep Wrangler
Total cash price: $33,862
Five-year drop in value: 29.16%
Five-year depreciation total: $9,875
Five-year totals for:
Taxes and fees: $3,765
Financing: $5,293
Fuel: $14,774
Insurance: $5,148
Maintenance: $3,925
Repairs: $1,565
True cost to own: $44,345
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2020 Toyota 4Runner
Total cash price: $39,726
Five-year drop in value: 29.62%
Five-year depreciation total: $11,766
Five-year totals for:
Taxes and fees: $4,427
Financing: $6,210
Fuel: $16,407
Insurance: $6,954
Maintenance: $5,011
Repairs: $773
True cost to own: $51,548
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2020 Toyota Tacoma
Total cash price: $29,532
Five-year drop in value: 33.98%
Five-year depreciation total: $10,036
Five-year totals for:
Taxes and fees: $3,502
Financing: $4,616
Fuel: $14,063
Insurance: $6,098
Maintenance: $5,377
Repairs: $773
True cost to own: $44,465
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2020 Chevrolet Tahoe
Total cash price: $47,654
Five-year drop in value: 36.75%
Five-year depreciation total: $17,512
Five-year totals for:
Taxes and fees: $5,647
Financing: $7,449
Fuel: $16,407
Insurance: $5,846
Maintenance: $5,496
Repairs: $966
True cost to own: $59,323
2020 Honda CR-V
Total cash price: $26,819
Five-year drop in value: 37.92%
Five-year depreciation total: $10,170
Five-year totals for:
Taxes and fees: $3,049
Financing: $4,192
Fuel: $9,849
Insurance: $5,678
Maintenance: $4,683
Repairs: $917
True cost to own: $38,538
2020 Toyota RAV4
Total cash price: $28,457
Five-year drop in value: 38.09%
Five-year depreciation total: $10,838
Five-year totals for:
Taxes and fees: $3,197
Financing: $4,448
Fuel: $9,849
Insurance: $6,698
Maintenance: $4,982
Repairs: $773
True cost to own: $40,785
2020 Subaru Crosstrek
Total cash price: $24,164
Five-year drop in value: 38.55%
Five-year depreciation total: $9,316
Five-year totals for:
Taxes and fees: $2,780
Financing: $3,777
Fuel: $11,818
Insurance: $6,504
Maintenance: $5,750
Repairs: $945
True cost to own: $40,890
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2020 Toyota Highlander
Total cash price: $40,317
Five-year drop in value: 39.13%
Five-year depreciation total: $15,775
Five-year totals for:
Taxes and fees: $4,349
Financing: $6,302
Fuel: $12,311
Insurance: $6,371
Maintenance: $5,350
Repairs: $773
True cost to own: $51,231
2020 Dodge Challenger
Total cash price: $30,625
Five-year drop in value: 39.98%
Five-year depreciation total: $12,244
Five-year totals for:
Taxes and fees: $3,680
Financing: $4,787
Fuel: $12,842
Insurance: $8,735
Maintenance: $4,221
Repairs: $966
True cost to own: $47,475
2020 Subaru Forester
Total cash price: $26,982
Five-year drop in value: 40.35%
Five-year depreciation total: $10,888
Five-year totals for:
Taxes and fees: $3,057
Financing: $4,218
Fuel: $10,184
Insurance: $6,457
Maintenance: $5,244
Repairs: $945
True cost to own: $40,993
2020 Ford F-150
Total cash price: $37,080
Five-year drop in value: 41.50%
Five-year depreciation total: $15,389
Five-year totals for:
Taxes and fees: $4,249
Financing: $5,796
Fuel: $14,774
Insurance: $7,715
Maintenance: $5,436
Repairs: $1,043
True cost to own: $54,402
2020 Ford Mustang
Total cash price: $32,018
Five-year drop in value: 41.73%
Five-year depreciation total: $13,362
Five-year totals for:
Taxes and fees: $3,578
Financing: $5,005
Fuel: $13,273
Insurance: $6,983
Maintenance: $4,700
Repairs: $1,022
True cost to own: $47,923
2020 Toyota RAV-4 Hybrid
Total cash price: $43,216
Five-year drop in value: 42.10%
Five-year depreciation total: $18,194
Five-year totals for:
Taxes and fees: $4,670
Financing: $6,755
Fuel: $7,386
Insurance: $7,234
Maintenance: $5,734
Repairs: $887
True cost to own: $50,860
2020 Dodge Charger
Total cash price: $31,778
Five-year drop in value: 42.43%
Five-year depreciation total: $13,484
Five-year totals for:
Taxes and fees: $3,796
Financing: $4,968
Fuel: $12,842
Insurance: $8,601
Maintenance: $4,873
Repairs: $966
True cost to own: $49,530
2020 Honda Accord
Total cash price: $24,833
Five-year drop in value: 42.77%
Five-year depreciation total: $10,620
Five-year totals for:
Taxes and fees: $2,829
Financing: $3,882
Fuel: $8,963
Insurance: $6,237
Maintenance: $3,987
Repairs: $917
True cost to own: $37,435
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2020 Honda Civic
Total cash price: $21,161
Five-year drop in value: 43.17%
Five-year depreciation total: $9,135
Five-year totals for:
Taxes and fees: $2,457
Financing: $3,308
Fuel: $10,184
Insurance: $6,922
Maintenance: $3,755
Repairs: $773
True cost to own: $36,534
2020 Toyota Camry
Total cash price: $31,082
Five-year drop in value: 44.45%
Five-year depreciation total: $13,817
Five-year totals for:
Taxes and fees: $3,519
Financing: $4,859
Fuel: $9,534
Insurance: $7,921
Maintenance: $3,905
Repairs: $773
True cost to own: $44,328
2020 Honda Pilot
Total cash price: $32,355
Five-year drop in value: 44.61%
Five-year depreciation total: $14,432
Five-year totals for:
Taxes and fees: $3,567
Financing: $5,058
Fuel: $13,433
Insurance: $5,963
Maintenance: $5,718
Repairs: $773
True cost to own: $48,944
2020 Nissan Rogue
Total cash price: $25,949
Five-year drop in value: 44.71%
Five-year depreciation total: $11,603
Five-year totals for:
Taxes and fees: $3,125
Financing: $4,056
Fuel: $10,184
Insurance: $6,777
Maintenance: $6,736
Repairs: $773
True cost to own: $43,254
2020 Lexus LX 570
Total cash price: $98,964
Five-year drop in value: 44.79%
Five-year depreciation total: $44,324
Five-year totals for:
Taxes and fees: $10,717
Financing: $15,470
Fuel: $22,745
Insurance: $9,631
Maintenance: $7,361
Repairs: $1,243
True cost to own: $111,491
2020 Chevrolet Equinox
Total cash price: $25,559
Five-year drop in value: 44.93%
Five-year depreciation total: $11,484
Five-year totals for:
Taxes and fees: $2,825
Financing: $3,995
Fuel: $10,558
Insurance: $7,207
Maintenance: $5,919
Repairs: $1,071
True cost to own: $43,059
2020 Subaru Outback
Total cash price: $28,307
Five-year drop in value: 44.94%
Five-year depreciation total: $12,720
Five-year totals for:
Taxes and fees: $3,167
Financing: $4,425
Fuel: $10,184
Insurance: $6,354
Maintenance: $5,421
Repairs: $945
True cost to own: $43,216
2020 Acura RDX
Total cash price: $37,941
Five-year drop in value: 46.35%
Five-year depreciation total: $17,585
Five-year totals for:
Taxes and fees: $4,114
Financing: $5,931
Fuel: $13,273
Insurance: $6,187
Maintenance: $5,687
Repairs: $1,205
True cost to own: $53,982
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2020 Mazda CX-5
Total cash price: $27,632
Five-year drop in value: 47.35%
Five-year depreciation total: $13,085
Five-year totals for:
Taxes and fees: $3,178
Financing: $4,319
Fuel: $10,558
Insurance: $5,948
Maintenance: $5,368
Repairs: $858
True cost to own: $43,314
2020 Jeep Cherokee
Total cash price: $27,755
Five-year drop in value: 47.65%
Five-year depreciation total: $13,224
Five-year totals for:
Taxes and fees: $3,251
Financing: $4,339
Fuel: $11,818
Insurance: $6,419
Maintenance: $3,479
Repairs: $1,488
True cost to own: $44,018
2020 Lexus RX 350
Total cash price: $49,276
Five-year drop in value: 48.46%
Five-year depreciation total: $23,878
Five-year totals for:
Taxes and fees: $5,456
Financing: $7,703
Fuel: $12,842
Insurance: $8,086
Maintenance: $7,195
Repairs: $1,087
True cost to own: $66,247
2020 Ford Explorer
Total cash price: $42,556
Five-year drop in value: 48.64%
Five-year depreciation total: $20,700
Five-year totals for:
Taxes and fees: $4,661
Financing: $6,652
Fuel: $12,311
Insurance: $7,116
Maintenance: $4,766
Repairs: $1,071
True cost to own: $57,277
2020 Chevrolet Traverse
Total cash price: $32,911
Five-year drop in value: 51.29%
Five-year depreciation total: $16,879
Five-year totals for:
Taxes and fees: $3,863
Financing: $5,145
Fuel: $14,063
Insurance: $5,582
Maintenance: $6,293
Repairs: $966
True cost to own: $52,791
2020 Nissan Maxima
Total cash price: $33,803
Five-year drop in value: 52.94%
Five-year depreciation total: $17,894
Five-year totals for:
Taxes and fees: $4,009
Financing: $5,284
Fuel: $13,273
Insurance: $9,491
Maintenance: $4,772
Repairs: $773
True cost to own: $55,496
2020 Jeep Grand Cherokee
Total cash price: $34,617
Five-year drop in value: 54.11%
Five-year depreciation total: $18,731
Five-year totals for:
Taxes and fees: $3,735
Financing: $5,411
Fuel: $14,063
Insurance: $6,317
Maintenance: $5,227
Repairs: $1,488
True cost to own: $54,972
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Methodology: GOBankingRates analyzed the top 30 most researched vehicles (that had available data) according to Edmunds.com during March 2020 to discover how quickly these cars will depreciate over five years. Using the Edmunds.com's True Cost to Own pricing calculator, GOBankingRates analyzed each vehicle and found the five-year totals for (1) depreciation, (2) taxes and fees, (3) financing, (4) fuel costs, (5) insurance, (6) maintenance and (7) repairs. GOBankingRates then calculated the (8) five-year drop in value (%) for each vehicle. Depreciation costs were shown for each year while the remaining factors were only given five-year totals. GOBankingRates only considered 2020 models and kept the location for the calculations constant, using the ZIP code 90245 (El Segundo, California). The Edmunds Inc. True Cost to Own calculations use the following assumptions:
You will drive 15,000 miles per year
You are financing the vehicle using traditional financing, not lease financing
You have an above-average credit rating for the purpose of determining your finance rate
You are making a 10% down payment on the vehicle at purchase
Your loan term is five years or 60 months
The seven aforementioned totals were combined to give each car a (9) "true cost to own" value. Depreciation for each vehicle was calculated and based off each model's (10) total cash price, which is the vehicle's True Market Value® (TMV®) price plus any typically equipped options, destination charge, base tax, fees assessed by your state and, if applicable, gas guzzler tax.
This article originally appeared on GOBankingRates.com: 30 Surprising Cars That Lose Value Fast
