RALEIGH, N.C. (WNCN) — If you live in central North Carolina and drive a 5-year-old Jeep Wrangler, the odds are pretty good that your car is holding onto much of its value.
On the other hand, your BMW 7 Series might have depreciated quite a bit.
Automotive research website iSeeCars.com looked at the sales of 800,000 cars from the 2016 model year between January and August 2021 to gauge which cars had the lowest and highest loss in value in the manufacturer’s suggested retail price after five years.
The study found that in the area in North Carolina covering Raleigh, Durham and Fayetteville, Jeep Wranglers from that year lost only 8.7 percent of their value — slightly better than the 9.2 percent depreciation nationwide.
“We’ve seen record high used-car prices over the past 15 months as a result of the microchip shortage, and that has slowed down the average depreciation rate across all vehicles,” said Karl Brauer, an analyst with the website. “Vehicles that have historically maintained their value well have depreciated even less this past year, but even in today’s market some cars continue to drastically drop in value.”
Wranglers showed the lowest depreciation in each of the 50 metropolitan areas studied by the company, with Brauer saying they “are known for retaining their value due to their enthusiastic fanbase, as well as their durability and performance across all terrains, especially off-road.
“Jeep Wranglers also have maintained their iconic design, so even older models don’t appear dated,” he added.
But BMW 7 Series luxury sedans from that model year in central North Carolina lost 61.7 percent of their value, the study found — the largest drop of all. Nationally, Nissan LEAFs lost 65 percent of their value over that time period.