How Much Does Every Lexus Depreciate in 5 Years?

Intro

Buying a new Lexus is a significant financial commitment. And while many folks will fret over the MSRP of the car and negotiate hard to lower the price, many ignore the other side of the equation. One of the most expensive aspects of buying a new car, has little to do with the price. It has to do with depreciation. How much value does the vehicle lose after 5 years of ownership? Assuming of course normal mileage and condition. That depreciation rate could be the real key to a good deal. That is especially true if you are cross-shopping Lexus with other luxury brands such as Audi or BMW. If you compare a $60,000 Lexus to an equally equipped Audi for $58,000, the Audi might seem like the better deal. But after 5 years if the Audi is only worth $23,000 and the Lexus is worth $40,000, which car really cost you more money?

The good news is that, as a whole, Lexus vehicles retain their value quite well. A big reason for this is their reputation for stellar reliability. But which Lexus models hold their value the best and which lose the most? That is what we are looking at today. We used the car research site, iseecars for the data. We looked at every new 2024 Lexus model and found the expected 5-year depreciation rate. For example, if a $100,000 car has a 55 percent depreciation rate, it will lose $55,000 of value in 5 years. Vehicles with the lowest rate are the best. 

Some Lexus models were too new to rate. So, you will not see the GX 550 included here. But we pulled the data for every available model. We then took an average of the depreciation rate for all vehicles in the model line, and also ranked them from worst to first. Below is the full list by model line. We also included the 5-year depreciation rate for each individual model.

11. RZ – 54.1 Percent

It should not come as a surprise, but the all-electric Lexus vehicles perform the worst when it comes to depreciation. We see this same trend with just about every manufacturer that makes both EV and ICE vehicles. With that being said, while the Lexus RZ lineup has the worst depreciation rate among all Lexus models, the average loss of 54.1 percent after 5 years is not really that bad.

• RZ 300e – 54.1 Percent. $55,175 starting MSRP. $29,850 lost to depreciation after 5 years.
• RZ 450e – 54.1 Percent. $59,875 starting MSRP. $32,392 lost to depreciation after 5 years.

10. LS – 50.8 Percent

This should also not be a surprise as it follows industry trends. Large luxury cars tend to have high depreciation rates. The Lexus LS performs better than many others. However, within the Lexus portfolio, the LS sedans are the fastest-depreciating ICE vehicles. It is worth noting that the hybrid model has a significantly higher depreciation rate.

• LS 500 – 48.9 Percent. $80,685 starting MSRP. $39,455 lost to depreciation after 5 years.
• LS 500h – 52.7 Percent. $115,560 starting MSRP. $60,900 lost to depreciation after 5 years.

9. TX – 46.3 Percent

The new 3-row Lexus SUV is practical and spacious, but it is not the best Lexus when it comes to retaining value. Like the LS sedans, the hybrid TX has a significantly higher depreciation rate.

• TX 350 – 44.2 Percent. $55,050 starting MSRP. $24,332 lost to depreciation after 5 years.
• TX 500h – 48.4 Percent. $69,350 starting MSRP. $33,565 lost to depreciation after 5 years.

8. RX – 46.2 Percent

The Lexus RX is the best-selling model in the Lexus lineup. Despite its popularity, it is one of the fastest depreciating Lexus models. Although to be fair, an average 5-year depreciation rate of 46.2 percent is not bad. Again, it is the hybrid models that drag down the average. 

• RX 350 – 43.7 Percent. $49,950 starting MSRP. $21,828 lost to depreciation after 5 years.
• RX 350h – 48.4 Percent. $52,100 starting MSRP. $25,216 lost to depreciation after 5 years.
• RX 450h+ - 44.5 Percent. $70,580 starting MSRP. $31,408 lost to depreciation after 5 years.
• RX 500h – 48.4 Percent. $64,100 starting MSRP. $31,024 lost to depreciation after 5 years.

7. LX – 45.8 Percent

There is only one LX in the Lexus lineup, the LX 600. There are various trim levels within the LX 600 lineup, but we are not getting that granular. Thanks to the large starting price, the dollars lost to depreciation is substantial. However, from a percentage standpoint, the LX doesn’t do too bad.

• LX 600 – 45.8 Percent. $93,915 starting MSRP. $43,013 lost to depreciation after 5 years.

6. ES – 44.9 Percent

The ES ranks about mid-pack in the Lexus lineup from a depreciation perspective. But again, we see the trend of the hybrid model performing significantly worse. The worst performing ES loses about 6 percent more value than the best performing ES. That is the largest delta within the same model line in our entire list.

• ES 250 – 45 Percent. $43,215 starting MSRP. $19,447 lost to depreciation after 5 years.
• ES 300h – 47.8 Percent. $44,615 starting MSRP. $21,326 lost to depreciation after 5 years.
• ES 350 – 41.9 Percent. $43,215 starting MSRP. $18,107 lost to depreciation after 5 years.

5. NX – 42.4 Percent

Once again, we see the hybrid models with a noticeably higher depreciation rate compared to the traditional gasoline-powered models. However, even the hybrid NX models perform reasonably well in this area. With their sensible starting prices, good economy, excellent reliability, and strong value retention, the NX models are attractive buys.

• NX 250 – 40.2 Percent. $41,990 starting MSRP. $16,880 lost to depreciation after 5 years.
• NX 350 – 40.2 Percent. $45,750 starting MSRP. $18,392 lost to depreciation after 5 years.
• NX 350h – 44.5 Percent. $46,300 starting MSRP. $20,604 lost to depreciation after 5 years.
• NX 450h+ – 44.5 Percent. $62,415 starting MSRP. $27,775 lost to depreciation after 5 years.

4. IS – 39.5 Percent

Now we are getting into the models that truly have exceptional depreciation rates. The IS sedans are the least expensive sedans in the Lexus lineup. That, combined with the relatively high rates of value retention, makes these a solid value within the Lexus lineup.  

• IS 300 – 41.3 Percent. $41,260 starting MSRP. $17,040 lost to depreciation after 5 years.
• IS 350 – 38.6 Percent. $44,435 starting MSRP. $17,152 lost to depreciation after 5 years.
• IS 500 – 38.6 Percent. $60,045 starting MSRP. $23,177 lost to depreciation after 5 years.

3. LC – 39.1 Percent

As if you needed another reason to buy a Lexus LC. They are beautiful, powerful, and reliable. And not only that, but they also hold their value extremely well. In fact, of all the current Lexus models, the LC 500 models may be the most collectible 30 years from now.

• LC 500 – 38.8 Percent. $99,800 starting MSRP. $38,722 lost to depreciation after 5 years.
• LC 500 Convertible – 39.8 Percent. $107,300 starting MSRP. $42,705 lost to depreciation after 5 years.
• LC 500h – 38.9 Percent. $103,100 starting MSRP. $40,106 lost to depreciation after 5 years.

2. UX – 39 Percent

From a pure value perspective, the UX is the cream of the Lexus crop. They are the least expensive Lexus models to buy. Combined with the low depreciation rate, the UX loses less dollar value than any other Lexus model.

• UX 300h – 39 Percent. $37,515 starting MSRP. $14,631 lost to depreciation after 5 years.

1. RC – 33.8 Percent

The Lexus RC has the lowest depreciation rate among the entire Lexus portfolio, and it is not really close. The RC F is the number one Lexus model when it comes to retaining value. The RC 300 and RC 350 rank second and third respectively. If you are on the fence about buying one of these models, perhaps this is the final bit of motivation you need.

• RC 300 – 34 Percent. $45,945 starting MSRP. $15,621 lost to depreciation after 5 years.
• RC 350 – 34.2 Percent. $48,875 starting MSRP. $16,715 lost to depreciation after 5 years.
• RC F – 33.4 Percent. $68,320 starting MSRP. $22,819 lost to depreciation after 5 years.

Images: Lexus