New Compact Car w/ Best Resale value in 4-6 years?

[BAM6I4]

In need of a new commuter, looking at Cruze/Mazda3/Focus/Etc, the normal ones and just curious if there are any estimates on which vehicles will hold the value the best?

Budget is as little as possible. Sub 17k if possible.

Thanks

[mike02467]

Honda Civic will hold its value the best.

[OOOO-A3]

Golf TDI

[BAM6I4]

Honda Civic will hold its value the best.

Definitely possible. However 2 issues with that. 1) I don't like the styling, and 2) its $2-$3k more initial cost.

Personally I'm thinking Mazda3. These things are selling for nearly what a new one goes for when 2-3 years old and 30-50k miles. Crazy.

My thoughts are buy for $15k new, sell in 3 years w/ 40k miles for $13k.

[mike02467]

Definitely possible. However 2 issues with that. 1) I don't like the styling, and 2) its $2-$3k more initial cost.

Personally I'm thinking Mazda3. These things are selling for nearly what a new one goes for when 2-3 years old and 30-50k miles. Crazy.

My thoughts are buy for $15k new, sell in 3 years w/ 40k miles for $13k.

How do you figure you are going to get one for $15k new? Do you really think ANY dealer near you even has a base model 3? And the base model is 16,700, and doesn't even have the skyactive engine, so they won't hold there value as well as you might think.

2013 MAZDA3 i SV 4-Door
Total MSRP: $17,495*

* Total MSRP includes $795 destination charge and additional costs for vehicles equipped with available packages, options or accessories. Destination charge $840 in Alaska. Vehicles displayed may contain optional equipment at additional costs. Actual dealer price may vary.

good luck with that $15k number

[dieselraver]

How do you figure you are going to get one for $15k new? Do you really think ANY dealer near you even has a base model 3? And the base model is 16,700, and doesn't even have the skyactive engine, so they won't hold there value as well as you might think.

2013 MAZDA3 i SV 4-Door
Total MSRP: $17,495*

* Total MSRP includes $795 destination charge and additional costs for vehicles equipped with available packages, options or accessories. Destination charge $840 in Alaska. Vehicles displayed may contain optional equipment at additional costs. Actual dealer price may vary.

good luck with that $15k number

deals are to be had at end of year. look at my van, you saw the numbers, msrp was 36k ish, out the door for 30,080.00

im sure mazda dealers are willing to take the hit to move inventory....

but i don't see the Toyota Corolla or the Nissan Sentra listed. those will likely have an even larger discount than the others. good luck!

[BRealistic]

Definitely possible. However 2 issues with that. 1) I don't like the styling, and 2) its $2-$3k more initial cost.

Personally I'm thinking Mazda3. These things are selling for nearly what a new one goes for when 2-3 years old and 30-50k miles. Crazy.

My thoughts are buy for $15k new, sell in 3 years w/ 40k miles for $13k.

Good luck finding a new Mazda3 with cruise control for $15k.
If you are commuting a long way.. I would want cruise.
manual or auto?

[Swallow Doretti]

Honda Civic will hold its value the best.

Let's not let actual facts from the company that determines residual values for third-party lease rates stand in the way of a half-page of blind conjecture.

Oh, hi.



https://www.alg.com/residual-value-awards.html

Also, before the usual Bozo the Clowns jump in, notice the Honda Fit is ranked as Best Subcompact, and VW Golf TDI is best alt-fuel vehicle (a category that includes the Prius).

[ikonomore]

I've recommended the fit to multiple people and two of them actually bought one. They love it.
That would be my first choice.

Another alternative is a toyota corolla. The resale on those things is just amazing. It is a boring car but would be a perfect commuter.

[urbanrocketeer]

There's also the fact that 4 to 6 years can be a surprisingly long time in the automotive world in terms of determining the residual value you actually end up getting - cars and entire automotive segments can come in and out of favor, drastically affecting the resale value.

For example, we only bought our new Forte because, surprise!, our old Sedona was worth more than we owed on it (I had it appraised on a whim); I thought for sure I'd be upside-down on the minivan for at least another year or two.

So while picking a specific vehicle may give you better odds of getting a good residual value, it's not a guarantee. And just because a car is expected to have poor residual does not mean that, with the right deal upfront, you can't come out ahead when the time comes to trade it in.

[adrew]

Let's not let actual facts from the company that determines residual values for third-party lease rates stand in the way of a half-page of blind conjecture.

Oh, hi.

How much of that is a result of the Hyundai Assurance Guaranteed Trade-In Value Program?

It looks like they have dialed it back a bit since launch, as it is now only offered on the Genesis coupe, Genesis and Equus.

https://www.hyundaiusa.com/assurance/trade-value.aspx

[Swallow Doretti]

How much of that is a result of the Hyundai Assurance Guaranteed Trade-In Value Program?

It looks like they have dialed it back a bit since launch, as it is now only offered on the Genesis coupe, Genesis and Equus.

Um...none? Hyundai Assurance only works if you buy another Hyundai, and doesn't affect lease rates through a bank.

Seriously, the folks I know at Mannheim have said Hyundais crossing the auction block have been doing very well, on par with Toyotas, Subarus, VWs and Hondas. It's even helped the previous generation of cars--a 2008 Sonata that was trading for about $11,000 in 2010 will still trade for $11,000 today, since the better reputation has lifted the values.

[adrew]

Um...none? Hyundai Assurance only works if you buy another Hyundai, and doesn't affect lease rates through a bank.

Seriously, the folks I know at Mannheim have said Hyundais crossing the auction block have been doing very well, on par with Toyotas, Subarus, VWs and Hondas. It's even helped the previous generation of cars--a 2008 Sonata that was trading for about $11,000 in 2010 will still trade for $11,000 today, since the better reputation has lifted the values.

I was just curious if it'd had an impact and if the higher guaranteed trade-in values had inflated the overall statistics.

The resale values are definitely improving. In 2010, I looked into dumping our 2007 Sonata which had about 48k miles on it at the time. I got appraisals in the $6900 range, which was rather disappointing since we had paid $16k for the thing three years earlier.

We decided to keep it for awhile -- but after it started aging rapidly and after several warranty claims I took it to CarMax in summer 2011 (had 57k miles on it at that point) and they offered $10k for it despite a bunch of parking lot dings and a chipped windshield (and a pinging engine, sloppy transmission, shot shocks, noisy A/C compressor, etc).

[BRealistic]

Um...none? Hyundai Assurance only works if you buy another Hyundai, and doesn't affect lease rates through a bank.
.

Anything that helps improve resale value concerns will improve resale values- as owners are less willing to take lower trade values.

I remember back in the mid 90s when Saturn dealers would actually contact Saturn owners and tell them they would pay XXXX for their used Saturn. That really helped keep used Saturn values elevated back then as owners would not trade them in even at a non Saturn dealer for silly low amounts.

[WhistlerYOW]

Um...none? Hyundai Assurance only works if you buy another Hyundai, and doesn't affect lease rates through a bank.

Seriously, the folks I know at Mannheim have said Hyundais crossing the auction block have been doing very well, on par with Toyotas, Subarus, VWs and Hondas. It's even helped the previous generation of cars--a 2008 Sonata that was trading for about $11,000 in 2010 will still trade for $11,000 today, since the better reputation has lifted the values.

You always bring up Hyundai "great" resale value and get all pissy when people disagree, yet I still haven't seen Hyundai here going for anything close to Honda resale values, unless you are comparing like a 2 year old sonata to a 4 year old civic.

[Jrod511]

Seriously, the folks I know at Mannheim have said Hyundais crossing the auction block have been doing very well, on par with Toyotas, Subarus, VWs and Hondas. It's even helped the previous generation of cars--a 2008 Sonata that was trading for about $11,000 in 2010 will still trade for $11,000 today, since the better reputation has lifted the values.

Then they must be lying to you.

The average transaction on a 2008 Sonata GLS 4 Cylinder is $6800. The average transaction on a 2008 Accord LX 4 cylinder is $9700. These are based off upper 80's for mileage. I don't know what data you are looking at, or if you are going by word of mouth, but I am literally looking at the Manheim data right now as I type this out.

[DasBaldGuy]

Not sure either can be had for $17k but these 2 will hold value the best:

MINI Cooper
Golf TDI

[BRealistic]

In need of a new commuter, looking at Cruze/Mazda3/Focus/Etc, the normal ones and just curious if there are any estimates on which vehicles will hold the value the best?

Budget is as little as possible. Sub 17k if possible.

Thanks

Oh.. $17k.

If you are worried about resale value, why not lease?
Or even buy used?


How long is your commute? Highway?

A base midsize might be a better value than a mid level compact.

[Lwize]

Honda Fit.

They only go up in value.

[NoXenons]

Jetta TDI

[patrikman]

Honda Fit.

They only go up in value.

And you'll never stop buying them. They are the new Toyolla.

[Live-Wire]

In Canada the top small cars for residuals are: Mazda 3, Golf TDI (probably Jetta TDI too), Subaru Impreza, Honda Civic, Toyota Corolla.

Everything else is a joke. Fords and Chevy's are a dime a dozen, same with any Hyundai/Kia. Dodge has always been cheap resale too, but who knows what the Dart might do. The one big sticking point with going with these brands is resale... great cars, but worth very little in three years. If you don't like the car you're pretty much stuck. Meanwhile, I'm bored with my Golf after 2.5 years, and I can get a good enough trade in value to break even on a balloon-payout 4-year loan... I paid essentially what a lease payment would have been, except I doubled the maximum mileage. Not financial lounge approved, but whatever.

[CBJ]

In Canada the top small cars for residuals are: Mazda 3, Golf TDI (probably Jetta TDI too), Subaru Impreza, Honda Civic, Toyota Corolla.

Everything else is a joke. Fords and Chevy's are a dime a dozen, same with any Hyundai/Kia. Dodge has always been cheap resale too, but who knows what the Dart might do. The one big sticking point with going with these brands is resale... great cars, but worth very little in three years. If you don't like the car you're pretty much stuck. Meanwhile, I'm bored with my Golf after 2.5 years, and I can get a good enough trade in value to break even on a balloon-payout 4-year loan... I paid essentially what a lease payment would have been, except I doubled the maximum mileage. Not financial lounge approved, but whatever.

The obvious move is to get a two or three year old Ford or Chevy. The major depreciation is done.

[Live-Wire]

The obvious move is to get a two or three year old Ford or Chevy. The major depreciation is done.

Yup. I know quite a few very satisfied Focus and Cobalt owners. Not to mention Charger and Fusion. All paid less then half the original value for a low km, decent car. Some even with a warranty still on it.

I sold my Celebrity for $500 more than I paid for it.

We're talking late-model here... You can clean up any older banger and market it better then the person who sold it to you and make $500. My buddy used to buy ignored GM's all the time. He made $4000 profit on a Bonneville just because he replaced all the burnt out dash lights, polished it properly, vacuumed the interior, and made the power seat work again.

[CBJ]

We're talking late-model here... You can clean up any older banger and market it better then the person who sold it to you and make $500. My buddy used to buy ignored GM's all the time. He made $4000 profit on a Bonneville just because he replaced all the burnt out dash lights, polished it properly, vacuumed the interior, and made the power seat work again.

Did he sell it to someone from Kitchener? Kitchener is like the elephant graveyard for Bonnevilles. Don't know why; they seemed to be everywhere.

[03GTI4Me]

Golf TDI

Jetta TDI

Sub 17k kids

[TM87]

Looking for a Brand new car for 15K and want a great resale value? Only on TCL

[gsprobe]

The obvious move is to get a two or three year old Ford or Chevy. The major depreciation is done.

Those are former rentals. Or have terrible resale due to market flooded by aforementioned former rentals.

That alone is part if the reason the Honda will have better resale. NO RENTAL FLEET CARS FOR HONDA.

[BRealistic]

Those are former rentals. Or have terrible resale due to market flooded by aforementioned former rentals.

That alone is part if the reason the Honda will have better resale. NO RENTAL FLEET CARS FOR HONDA.

http://www.hertzcarsales.com/used-ca...ke/honda/civic

[E30Cab]

Smart Fortwo Pure (base model)

-- DavidV

[NoXenons]

In Canada the top small cars for residuals are: Mazda 3, Golf TDI (probably Jetta TDI too), Subaru Impreza, Honda Civic, Toyota Corolla.

Everything else is a joke. Fords and Chevy's are a dime a dozen, same with any Hyundai/Kia. Dodge has always been cheap resale too, but who knows what the Dart might do. The one big sticking point with going with these brands is resale... great cars, but worth very little in three years. If you don't like the car you're pretty much stuck. Meanwhile, I'm bored with my Golf after 2.5 years, and I can get a good enough trade in value to break even on a balloon-payout 4-year loan... I paid essentially what a lease payment would have been, except I doubled the maximum mileage. Not financial lounge approved, but whatever.

I sold my Celebrity for $500 more than I paid for it.

[dodger21]

I would think the Cruze Eco model hold value really well. It wouldn't surprise me if gas hits 5/gallon and diesel even more. Those 40mpg cars are going to increase in value like the TDi.

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[WhistlerYOW]

Not sure about your area but Mazda 3 resale is rock bottom around here. Civics, TDIs, Corollas are the closest thing to an investment in that market.

Just open up an Auto Trader.

[Saintor]

When I will return the car after 48 months / 60000 miles, Honda Canada considers a trade-in residual of 52%. Awesome.

[dodger21]

Fit. If you're lucky, you can find a slightly used model for marginally less and avoid sales tax.

How can you avoid a sales tax?

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