This Is The Car That Depreciates The Most After 1 Year Of Ownership - SUV VEHICLE

This Is The Car That Depreciates The Most After 1 Year Of Ownership

[ad_1]

When purchasing a new car, one of the key long-term aspects buyers should consider is how well it can hold on to its value over time. While it’s not the first thing that’s regarded when looking for a new car, the depreciation can come back to bite you if the time comes when you want to sell it. Many cars hold on to their value over time, but one model has been revealed to lose its value much faster than any other car after only one year.




The model in question is the Mercedes-Benz EQS. While every car loses some value as soon as it leaves the dealership, some segments are more prone to a steeper decline in price. The reasons behind the EQS losing almost half of its value come down to a few potential reasons, thus questioning whether the investment of over $100,000 is worth it in the long run?

In order to give you the most up-to-date and accurate information possible, the data used to compile this article was sourced from Mercedes’ manufacturer website and other authoritative sources, including iSeeCars and CarBuzz.

Model Overview
2024 Mercedes EQS: Buyer’s Guide, Pricing, And Specs

Explore the luxurious 2024 Mercedes EQS with this complete buyer’s guide, detailed pricing, and specifications.

The Mercedes-Benz EQS Loses $65,143 Over One Year.


A study conducted by iSeeCars revealed that the Mercedes EQS lost a staggering $65,143 after just one year of ownership, which equates to a 47.8 percent difference between its new price and its used price. Many manufacturers, including Mercedes, are investing quite heavily in electric power, making these headline-grabbing statistics particularly alarming.

An Average Used Price Of $73,231

After the $65,143 price drop, you can expect to find a used Mercedes EQS on the market for $71,231. In comparison with the 2023 model’s starting MSRP, the EQS started at $104,400, which won’t be a nice figure for those who bought the new model upon release. If you’re currently looking for a high-end luxury electric sedan, the drop in price could definitely make the EQS a much more attractive option than before.

Related
10 Things That Make The Mercedes EQS SUV Special

The 2023 Mercedes-Benz EQS SUV has a lot of competition to face, but it does it in style and with confidence.

What’s Causing The Massive Drop In Price?

Mercedes-Benz EQS Manufaktur Signature parked
Mercedes-Benz


With the Mercedes EQS falling victim to such a drastic drop in price, you’re probably asking yourself why this model, in particular, stands out compared to its rivals. In recent years, with so many different manufacturers entering the electric car scene, the industry has seen progress and innovation like never before.

Compared to the slower progress that the ICE side of the industry goes through, the technology used for batteries and electric motors can improve massively over the span of just one year, with cheaper electric models such as the Lucid Air, which offers a better EPA-estimated range of 410 miles at a lower $69,900 starting price. Over the course of five years, iSeeCars reports that the Lucid Air holds 40% of its value, while the EQS loses more than that in only one year.


The Luxury Segment Depreciates Hard

Despite already falling victim to the progression of electric vehicles, the EQS is also a luxury car, which is another segment notorious for not being able to hold value very well. In another study conducted by iSeeCars in November 2023, all vehicles in the top ten of vehicles with the highest five-year depreciation were luxury cars.

Models such as the Maserati Quattroporte and the BMW 7 Series came out on top of the study, losing 64.5 percent and 61.8 percent of their value over five years, respectively. While not electric cars, the EQS also focuses on delivering a luxury experience, subsequently pushing the price higher compared to other EVs.

It’s Hefty Price Tag

Mercedes-Benz EQS Manufaktur Signature parked in a studio
Mercedes-Benz


Keeping on topic with the Mercedes EQS’s price tag, the starting MSRP of $104,400 is already a premium price in the EV market. As well as your car losing value as soon as you leave the showroom, the Mercedes EQS doesn’t have an excellent reputation for reliability; it only received a 1/5 Predicted Reliability rating from Consumer Reports. If the car is more prone to issues, combined with how much electric cars can cost to repair, a steep drop in price from an MSRP of over $100,000 is an unfortunate possibility.

Related
Mercedes Debuts The 2025 EQS With Refreshed Exterior, Interior, And A Larger Battery Pack

The EQS has been around for nearly three years now, and here’s the first major makeover the EV has received.

In Comparison With Other Brand New EVs

2022 Mercedes-Benz EQS in action
Mercedes-Benz

Although the Mercedes EQS has expectedly caught all the attention after iSeeCars’ study, it’s not the only new electric car that’s struggling to hold on to its value. No other vehicle loses anywhere near the same amount as the EQS due to the high price tag, but percentage-wise, the outlook isn’t amazing for some. The Nissan Leaf is second on the list, losing 45.7 percent of its starting price.


Tesla Models Managing To Hold On To Their Value

Shot of four different Tesla models
Tesla

Despite a handful of electric vehicles losing a large portion of their value after a year, this is not the case for the latest Tesla models at all. The American manufacturer features on the ’20 best cars to buy new’ list, meaning that you may as well purchase a new Tesla rather than on the used car market.

The Tesla that holds its value the best over one year is the Model X, which only loses 6.9 percent of its value. The Model Y isn’t far behind, managing to only lose 8.3 percent. Compared to the Mercedes EQS, both Teslas started at lower prices in 2023, with the Model X starting at $79,990.


This is still a much higher price than other modern EVs, meaning its ability to hold onto its value as well as it does all the more impressive. While the EQS starts to fall behind compared to other EVs regarding its range, repair costs, etc., when considering its price, the cutting-edge technology that comes with Tesla models is a major reason why these cars can hold their value for longer.

Related
10 Things You Need To Know About The Mercedes EQS Sedan

The Mercedes-Benz EQS has got some stiff competition, but it has still managed to carve a space for itself

Mercedes Has Refreshed The EQS For The 2025 Model Year

Only officially revealed three days ago, the 2025 Mercedes EQS update looks to build on the 2024 model in hopes of producing a luxury electric vehicle that can better justify its high starting price and maintain it much better after purchase. While many features will remain the same, Mercedes focuses on improving a key area for all EVs: the range.


A Sizable Improvement In Range From Its Larger Battery Pack

On the mechanical side of the 2025 EQS, the headline upgrade that the electric sedan will receive is a bigger battery, moving to a 118 kWh battery from last year’s 108.4 kWh. While Mercedes is yet to provide details on the estimated range that this new battery will provide, the 2024 EQS delivers an EPA-estimated range of 350 miles. Whether the new battery will be able to compete with the Lucid Air is unknown, but hopefully, it will push the EQS higher to the 400+ mile territory.

Alongside the new larger battery, Mercedes has also made changes to the EQS’s regenerative braking system in hopes of further improving the flagship luxury sedan’s overall range.


Updates To The Design

While the 2025 EQS retains most of the modern, sleek exterior design philosophy as previous model years, the updated model will receive a new front fascia design. The new design uses a horizontal design instead of the star-like style on last year’s model and removes the Mercedes logo. The more aggressive AMG Line bumper is now a standard feature on the EQS, which, in combination with the new horizontal design, leads to a much more minimal, elegant overall style.

[ad_2]

Source link

Leave a Comment

Ads Blocker Image Powered by Code Help Pro

Ads Blocker Detected!!!

We have detected that you are using extensions to block ads. Please support us by disabling these ads blocker.

Powered By
100% Free SEO Tools - Tool Kits PRO