Which car brand holds its value best?
Find out which car brands hold their value best, how depreciation works & more. Learn car brands that hold value & make the best choice for your next vehicle
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Understanding car value and brands
When searching for your next car, understanding what car brand holds its value the best is essential, whether you want to make a smart financial decision or just look forward to frequent upgrades.
Depreciation – the decline in a car’s value over time – plays a major role in determining how well it will retain its value several years down the line.
Certain brands have earned a reputation for having models with slower-than-average depreciation rates, so consider buying from one of these brands if you want to be financially savvy.
What car brand holds its value the best?
Volkswagen
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Volkswagen started as a company with the aim of building cars for the masses, and it continues to stand by those values well over eight decades later.
The German brand is known for building very reliable, durable and economical models, and it has one of the widest selections of any manufacturer.
Between VW and its sister companies, including SEAT, Skoda and Audi, its cars are sold in virtually every country around the world.
Volkswagen also bridges the gap between budget-friendly manufacturers and premium marques, so it’s a popular pick for anyone after quality and style without paying a high premium.
Its Golf family hatchback makes regular appearances in the top ten list of best-selling cars, as do many of its crossovers and SUVs, like the T-Roc and Tiguan.
Toyota
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Toyota is the manufacturer that sells the most cars globally, and the Japanese automaker has made a name for itself as an extremely reliable company.
Its extensive range of models includes many SUVs and pick-ups that have been depended on for perilous adventures in the deepest valleys and tallest mountains.
Many Brits prefer the brand’s extremely economical hybrid models, with Toyota having a more mainstream battery experience than most other brands out there.
Besides proving their longevity, Toyota models retain their value because they’re backed by serious warranty coverage – up to ten years in many cases.
Many of its smaller cars, like the Yaris and Yaris Cross, retain a lot of their value after a few years, maybe because small car drivers value their exceptional hybrid fuel economy.
Subaru
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A less obvious choice, Subaru’s cars are renowned for being extremely durable and able to tackle most likely scenarios.
Part of the appeal is that all models (except the sporty BRZ coupé) have four-wheel drive, so you won’t be limited to SUVs and crossovers.
Another reason why Subaru’s cars hold onto their value is because every model built in the past decade has received a full five-star safety rating from Euro NCAP, which is no mean feat.
Subarus are rugged and utilitarian, but thanks to its history in motorsport, the brand has a loyal following of driving enthusiasts.
Some models worth considering if you’re after a great-value car with lower-than-average depreciation include the Outback estate and the Forester SUV.
Land Rover
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Land Rover is a real success story, having transformed from producing capable off-roaders to selling some of the most premium cars around (though they continue to be excellent off-roaders).
Today, it has three separate ranges – the Defender, the Discovery and the Range Rover. Range Rover carries the most appeal, and there are four separate models each with an increasingly more premium feel.
It’s worth mentioning that while Land Rover has had its fair share of reliability concerns, the company is generally pretty quick to react.
Above all else, key to Land Rover tackling its depreciation rates has been that these are the must-have cars for celebrities all over the world, so who wouldn’t want to be seen in one?
The company’s newest and most luxurious models, such as the full-size Range Rover and the mighty Defender, generally retain a reasonable amount of their value.
Porsche
 "Porsche 911 (992)")
Porsche is actually part of the Volkswagen Group, though its cars are less closely linked to those models because this is a manufacturer of some serious performance cars.
Although they command a higher-than-average price tag, Porsche cars are known for their craftsmanship, and the attention to detail is clear through the use of high-quality, soft-touch materials and the latest car tech.
Because these are a class above the rest, Porsche cars have a sense of exclusivity, which helps them retain a considerable amount of value as they age.
They also bridge the gap perfectly between road cars and sports cars, so drivers can benefit from the thrill of fast acceleration and responsive handling in a package that’s suitable for the family.
If you’re after a Porsche that will hold on to a lot of its value, the iconic 911’s classic design allows it to do just this. For something more usable, the premium Panamera and Cayenne models are great picks.
What makes a brand hold its value?
There’s a long list of factors that play a role in how much a car will hold its value or how much it’s likely to depreciate over the time you own it.
Some considerations that you can’t control include a brand’s reputation – usually based on customer experiences and feedback, how desirable its cars are, whether they’re sold at a good price or offer good value, and how durable they are against wear and tear.
There are some things that you can control, though, if you want to make sure that you can sell your car for as much as possible when it comes time to upgrade.
Mileage and damage have a big influence on the value of your car and whether it’s been well looked after, so remember to service it annually and keep records of all work carried out.
You’ll also need to pay close attention to market demand because if your type of car is sought after, such as an SUV or an electric car, you may want to observe whether prices are holding or even rising.
Lifestyle brands usually rely on strong, unique identities and a loyal community, so brands like Land Rover that offer a story, as well as a car, can be slightly more predictable than budget manufacturers.
The same goes for premium brands – the status symbol associated with owning a luxury model plays a major role in how much it’s worth, so if you notice a brand starting to go out of fashion, it could be time to upgrade.
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