Keep Your Eye on Resale Value

Most Americans are in denial about how steeply new cars depreciate. For years, we have ignored depreciation because the desire to own a shiny, new machine overwhelmed our common sense. Furthermore, predictions of exactly how much depreciation cost buyers were hazy and subject to manipulation and interpretation. But now that we have cold, hard facts, it's time to change our ways.

Here is the unavoidable truth: some cars depreciate faster than others. Much faster. In fact, much, much faster. After five years, one car could be worth nearly as much as 60 percent of its initial purchase price. Another ... Back to article