Why does an LS460 depreciate so much more than a 4Runner?
06-01-18, 06:43 PM
#31
Lexus Champion
06-01-18, 09:24 PM
#32
Lexus Fanatic
As others have said, the 4 Runner has one of the highest resale values in the industry, not a fair comparison at all. All big expensive flagship sedans depreciate like rocks, the LS is actually one of the better ones. Compare LS values to S Class values, 3 years used an S Class and an LS are similar in value, yet when new the S Class cost 20-30% more.
06-01-18, 10:19 PM
#33
I think these are 2 very broad statements - I haven't done the research but feel like what you're saying is that "every other truck" depreciates as slowly as a 4Runner won't be true. If I looked at SUV's like the Tahoe/Yukon, Kia Sorento, Nissan Pathfinder, Dodge Durango, Jeep Grand Cherokee - you think I'd see a similar depreciation pace?
For reference, the 4Runner residual is 64%.
06-02-18, 12:37 AM
#34
Lexus Test Driver
It sure does. I traded my GS350 in at 2.5 years old and I got $33k on a car with a $60k sticker.
As others have said, the 4 Runner has one of the highest resale values in the industry, not a fair comparison at all. All big expensive flagship sedans depreciate like rocks, the LS is actually one of the better ones. Compare LS values to S Class values, 3 years used an S Class and an LS are similar in value, yet when new the S Class cost 20-30% more.
As others have said, the 4 Runner has one of the highest resale values in the industry, not a fair comparison at all. All big expensive flagship sedans depreciate like rocks, the LS is actually one of the better ones. Compare LS values to S Class values, 3 years used an S Class and an LS are similar in value, yet when new the S Class cost 20-30% more.
06-02-18, 05:32 AM
#35
Pole Position
Thread Starter
It sure does. I traded my GS350 in at 2.5 years old and I got $33k on a car with a $60k sticker.
As others have said, the 4 Runner has one of the highest resale values in the industry, not a fair comparison at all. All big expensive flagship sedans depreciate like rocks, the LS is actually one of the better ones. Compare LS values to S Class values, 3 years used an S Class and an LS are similar in value, yet when new the S Class cost 20-30% more.
As others have said, the 4 Runner has one of the highest resale values in the industry, not a fair comparison at all. All big expensive flagship sedans depreciate like rocks, the LS is actually one of the better ones. Compare LS values to S Class values, 3 years used an S Class and an LS are similar in value, yet when new the S Class cost 20-30% more.
06-02-18, 05:36 AM
#36
Pole Position
Thread Starter
Out of curiosity, how are you defining the difference between a cross-over and an SUV? If it's body-on-frame vs. unibody, why would they depreciate differently if the overall size and "utility" (how it can be used) of the vehicles are comparable? In essence, why is an SUV more valuable due to it being body-on-frame?
06-02-18, 06:03 AM
#37
Lexus Fanatic
Out of curiosity, how are you defining the difference between a cross-over and an SUV? If it's body-on-frame vs. unibody, why would they depreciate differently if the overall size and "utility" (how it can be used) of the vehicles are comparable? In essence, why is an SUV more valuable due to it being body-on-frame?
06-02-18, 06:16 AM
#38
I feel like resale value get killed based on the price new ones actually sold for.
The GS was going for 20-25% off MSRP. LS430/460 was also going for 20-25% off when the new models (460/500) were available at the dealers.
When i see GM advertising 20% off MSRP on National TV (probably sold @ 25%+ off), I know the current owners’ heart must sink.. their resale value dropped 10% overnight.
SUVs like wrangler and 4runners don’t change in design much and add few $$ due to the demand.
Luxury new car buyers want the latest and the greatest for the “snob” appeal. Non-luxury... not as much.
The GS was going for 20-25% off MSRP. LS430/460 was also going for 20-25% off when the new models (460/500) were available at the dealers.
When i see GM advertising 20% off MSRP on National TV (probably sold @ 25%+ off), I know the current owners’ heart must sink.. their resale value dropped 10% overnight.
SUVs like wrangler and 4runners don’t change in design much and add few $$ due to the demand.
Luxury new car buyers want the latest and the greatest for the “snob” appeal. Non-luxury... not as much.
Last edited by joedaddy1; 06-02-18 at 06:28 AM.
07-11-18, 12:33 PM
#39
Agreed. I was going to choose between the two, I'd definitely opt for the sedan though. I don't really camp, and my snowboarding buddies have rigs to get us to the mountain. So I don't need a 4x4. I'd much rather have a comfortable cruiser for city driving and road trips.
07-11-18, 01:32 PM
#40
Lexus Fanatic
There is much more demand for a used 4 runner then a LS, they are much more mainstream type vehicles and pretty much worry free. Expensive luxury cars from common brands almost always depreciate pretty heavily because in most cases there is nothing about them to make them hold a lot of their inflated prices, there is no real collect ability with them to keep the price high, older luxury cars don't have anywhere near the cache of a brand new luxury car plus many are scared off by their high upkeep costs, often poor reliability, and rarer parts(Even a LS460 has its issues if you research and some are very expensive to deal with). Mercedes flagship sedans and coupes like a CL series have huge depreciation, you can get a lot of car for the money if you find one but if something goes wrong it can cost a fortune which is why there is no real demand for them, same with old Bentley's and other upmarket vehicles. Exotics hold their value better in many cases and many will even appreciate in value after a while because they are incredibly rare and there is more demand from them from collectors.
For someone like me though I don't care for SUV's and would take a used LS anyday over a used 4 runner or Land cruiser.
For someone like me though I don't care for SUV's and would take a used LS anyday over a used 4 runner or Land cruiser.
07-11-18, 01:57 PM
#42
say what?
when was the GS going for such a big discount?
that's nuts. so a GS could be had for high $30k's brand new ?
Back in 2007, I could barely get 12% off.
07-11-18, 06:36 PM
#44
Lexus Fanatic
I think around 2014 some people were saying they were getting up to 8 grand off GS350's and very good lease deals, I think that stopped for the 2016MMC which is probably one of the reasons sales have tanked on it.
07-12-18, 04:03 AM
#45
Pole Position
Going back to the original post, I hope nobody payed full price for the Lexus. I would not base a premise on the price of two cars. List attached shows the ten fastest depreciating cars after three years. It is dominated by American and German cars. Amazing able to buy a 5 series BMW for 52% off after just three years. The only problem is than you still have to deal with the high maintenance cost and reliability.
http://www.thedrive.com/news/21515/t...-on-the-market
http://www.thedrive.com/news/21515/t...-on-the-market