Do Mercedes-Benz Hold Their Value?

When it comes to cars, there is no way to avoid depreciation. Over time, every vehicle will lose some value. This depreciation is the reason why used cars sell for lower prices than new cars, but it also affects used cars. Depreciation varies by vehicle model, even luxury models such as Mercedes-Benz. Here’s a closer look at depreciation and how it works.

What Is Car Depreciation?

Car depreciation is the rate at which a vehicle drops its value over time. It’s an important factor in new and used car sales because it can influence whether you owe more for your car than what it’s worth. New cars typically depreciate faster than used cars, but there is no set rate at which any car depreciates. In many cases, the most depreciation in new cars happens in the first two years. Many will lose up to 20% of their value in the first year and then about 15% per year for the next four or five years.

What Factors Affect Depreciation?

There are several factors that affect how quickly and how much a car will depreciate. Make and model have a significant impact on depreciation rates, but there are other factors, too. Some of these factors include the following:

• Mileage: The more miles a car has on its odometer, the less it’s worth. If your car has more than the national average of 15,000 miles per year, it will depreciate more.
• Supply and demand: If you have a car in high demand, it will minimize depreciation, but if you have a car that’s easy to find and readily available, it can increase depreciation.
• Condition: A vehicle with average wear and tear will keep its value longer than one that’s been in one or more accidents or has been driven hard.
• Age: The older a vehicle is, the lower its value. Classic cars are an exception to this rule.
• Perceived value: Most people would rather drive a brand-new SUV than an older, used SUV, even if the older vehicle runs just as well as the new one. This makes newer cars more desirable than older ones.
• Fuel efficiency: Vehicles with higher fuel efficiency and lower maintenance costs are in higher demand. The higher the miles per gallon, the longer it will retain its value.
• The number of owners: The fewer owners a car has had, the less it will depreciate.

When you buy a new Mercedes-Benz, you can help hold its value by bringing it in for regular servicing and keeping the miles to a minimum.

Do Mercedes-Benz Vehicles Hold Their Value?

Luxury cars such as Mercedes-Benz are in a class of their own, but they still depreciate. In many cases, luxury cars depreciate even faster than mainstream vehicles. This steep depreciation is because of their higher price tags and high-tech features. Luxury car owners are more likely to trade their vehicles in as soon as the tech becomes outdated, and the used-car market becomes saturated with them. Used-car buyers don’t want to pay high prices for a dated model.

The good news is that some luxury cars hold their value longer than others, and several Mercedes-Benz models are on the list. The average Mercedes-Benz vehicle will retain over 47% of its value after five years. There are also models, such as the GLA, GLB, and GLC SUV, that will retain over 50% of their original value. Mercedes-Benz SUVs generally hold their value better because they have a higher level of popularity.

Which Mercedes-Benz Vehicles Hold Their Value the Longest?

Mercedes-Benz vehicles vary in their resale value, but some perform better than others. There are also some models that typically have lower depreciation rates.

Mercedes-Benz A45 AMG®

The Mercedes-Benz A45 AMG® is one of the highest-performing luxury cars on the resale market. It can get up to 62% of its original value after three years. Its combination of performance, power, and style, along with its sporty look, helps increase its value in the used-car market.

Mercedes-Benz CLS-Class

The CLS-Class is a large luxury sedan with excellent reliability and a comfortable cabin. It has a resale value of about 43% after three years, which is high compared to many other luxury sedans in the same class.

Mercedes-Benz GLC

If you like the idea of a luxury SUV, the Mercedes-Benz GLC will hold its value longer than some other upscale SUVs. Its resale value can be as high as 58% after five years. The GLC offers a spacious cabin with plenty of headroom and legroom, and it keeps the classy Mercedes-Benz look while packing a lot of punch with a turbo engine under the hood.

The Mercedes-Benz A-Class

The Mercedes-Benz A-Class is an impressive vehicle in many ways. It offers an excellent blend of performance and comfort, and it has an upscale interior look with high-quality materials. The A-Class fits in the subcompact market, but it gives drivers everything they expect from a Mercedes-Benz. The ride quality is smooth and comfortable, and the engine is quick to respond to pressure on the gas pedal.

The A-Class is a good choice if you’re looking for a Mercedes-Benz that will hold its value. The 2023 model will only depreciate about 44% after five years. This means that if you buy it new, it’ll still be worth about $20,000 after you’ve owned it for several years.

Which Type of Mercedes-Benz Is Right for You?

If you’re in the market for a new Mercedes-Benz, you can expect to get luxury and performance. Depreciation is a factor no matter what type of new or used vehicle you buy, but you can minimize it by keeping up with regular maintenance, driving with care, and taking care of it inside and out. You can find out more about what models will work for you by coming to Mercedes-Benz of Tyler here in Texas. Our sales staff can show you what’s available and get you on the road for a test drive so you can find your perfect fit.

Mercedes-Benz A Class Concept by The Checkered Flag Blog is licensed with CC BY 2.0 DEED