Does the Genesis G80 hold value better than Lexus GS?
Luxury sedans typically lose 45% to 55% of their value in the first 5 years. Many drivers see this drop because demand shifts to newer tech and features. Vehicles in this class hold value well compared to mass-market cars, but not as strong as trucks.
Here's what you need to know:
- Depreciation leads costs: It eats up $4,334 per year on average for new vehicles driven 15,000 miles.
- Luxury sedans depreciate faster: They drop 49% to 55% over 5 years, based on Kelley Blue Book's 2025 analysis of 1.2 million vehicles (Source: KBB Annual Depreciation Report, 2025).
- Trucks hold best: Half-ton pickups lose just 40% over 5 years, costing $6,400 more yearly to own than small sedans but retaining more value.
- Electric vehicles vary: They fell to 71 cents per mile ownership cost, down 16%, due to better battery tech.
"Luxury cars depreciate 10-15% faster than average due to high initial prices," says the Sidekick Research Team, based on analysis of 2,800 verified luxury owners.
| Vehicle Segment | 5-Year Depreciation | Avg Annual Loss |
|---|---|---|
| Small Sedans | 49% ($14,200) | $2,840 |
| Luxury Sedans | 52% ($22,500) | $4,500 |
| Pickups | 40% ($18,500) | $3,700 |
| EVs | 53% ($21,100) | $4,220 |
2026 data, N=1.8M transactions (Source: Edmunds TCO Analysis, 2026).
Factors that affect value retention
Drive fewer miles to slow depreciation. Keep up maintenance records. Buy popular colors like white or black. These steps help most vehicles keep 5% to 10% more value at trade-in.
Location matters too. In areas like 75068, high demand for reliable sedans boosts resale by 8% over rural spots, per CarGurus 2025 data (Source: CarGurus Regional Value Report, 2025).
Total ownership costs
New cars cost $11,577 yearly or $965 monthly at 15,000 miles. Depreciation takes 37% of that. Fuel adds $1,950. Insurance runs $1,700. Fix big repairs early to avoid $4,700 transmission bills.
Owners underestimate costs by 167%, thinking $2,738 but paying $7,300. Track all expenses: depreciation, loans at $1,131 yearly, maintenance.
Action steps to save
- Use free calculators for your zip code.
- Drive under 12,000 miles yearly.
- Sell before year 3 when drops slow.
- Compare segments: trucks beat sedans.
Sidekick tracks your costs with real owner data. Enter your vehicle to see exact depreciation and savings tips. Updated monthly as of April 2026.
Many drivers cut ownership costs 12% with smart choices. Start today.