Depreciation can be a depressing consideration for many car buyers, especially as we near the end of our finance agreement on a particular vehicle only to discover that our pride and joy is worth a fraction of it once was. With this in mind, are there any cars that buck the trend when it comes to deprecation? We have selected models that are just over a year old and have covered less than 20 000km to determine average depreciation.
Which cars lose the least value in South Africa?
Let's take the Top 5 best-selling vehicles locally, select the most popular variant of each and then compare their depreciation over the course of a year to determine which one loses the least value. An interesting factoid about this top 5 is that all of the entrants are produced right here in South Africa!
1. Toyota Hilux – The Hilux registered 3 335 unit sales in February of 2023, and we had over 3 500 units listed for sale at the time of writing. We have chosen the 2.8 GD-6 Raider double cab auto as our point of reference, with some 36 models from 2022 available for data comparison.
New price: R 709 000
Average used price: R 636 328
Depreciation percentage: 10.2%
2. Ford Ranger – With 1 806 unit sales in February 2023, the new Ranger has gotten off to a solid start, but how does its predecessor hold its value? We have chosen the Ranger 2.2TDCi double cab Hi-Rider XL Sport auto as the variant to determine depreciation.
New price: R507 330
Average used price: R491 164
Depreciation percentage: 3.2%
3. Isuzu D-Max – The new D-Max registered 1 747 unit sales in February 2023, but how does the previous Gen 6, which is still in production hold its value?
New price: R528 100
Average used price: R489 900
Depreciation percentage: 7.2%
4. Toyota Corolla Cross – The locally-produced Corolla Cross has become a firm favourite in the passenger car sales charts with 1 683 units sold in February 2023. We have selected the 1.8 Hybrid XR derivative for our comparison.
New price: R480 200
Average used price: R499 950
Depreciation percentage: +4.1%
5. Volkswagen Polo Vivo – The Polo Vivo may have slipped in the local sales charts, but its 1 513 unit sales in February is still impressive. We have chosen the hatch in 1.4 Comfortline guise.
New price: R266 900
Average used price: R264 450
Depreciation percentage: 0.9%
General rules
We have already gotten into specifics, however, there are a few caveats that need to be expressed and some general rules surrounding deprecation that must be addressed. Firstly, depreciation affects different vehicles in various ways, for example, we could have two identical models in front of us, but the condition, mileage and vehicle history of each will directly impact how much each product is worth.
This means that the specific model that you own is not the sole predictor when looking at depreciation, but is rather a combination of factors, some of which happen to be make, model, colour and derivative-specific. A more general list of considerations includes the vehicle segment, its popularity, reputation for longevity and reliability, the brand and specific model as well as supply versus demand.
Verdict
With the above in mind, it is impressive to note how well the top 5 vehicles in terms of local sales retain their value. There is one clear winner, though, and that is the Toyota Corolla Cross, which, impressively, has appreciated in value!
