Premium Peugeot 508 sedans, along with Chinese models like the Lifan Solano and the Lifan X50 compact crossover, have shown strong liquidity in the Russian three-year market for mass-market cars. Insights come from The Right Price project and Avtostat Information, with data drawn from socialbites.ca.
What does residual value preservation mean for a car?
Residual value is a widely used metric in major global auto markets. It estimates the true cost of ownership by expressing a car’s value as a percentage of its original sticker price in the year it first hit the market.
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What does residual value preservation mean for a car?
Residual value is a widely accepted measure in the world’s biggest auto markets, helping gauge the real cost of ownership as a percentage of the new-car price in the launch year. Avtostat Info compared the sticker price of new cars in 2018 with what owners paid after three years. The study included 39 brands and 196 models in the Russian market.
From the analysis, several mass-segment models show notable depreciation. The bottom tier of residual values over three years includes models such as UAZ Pickup, Geely Emgrand 7, Lada Granta, Peugeot 408, Nissan Murano, UAZ Patriot, and Geely Emgrand X7. These vehicles typically shed 15% to 30% of their value within three years. In total, the study examined roughly 200 new car models released in Russia in 2018.
Three-year-old cars in the premium segment tend to lose value more quickly—often up to 40%, according to the analysts’ report.
The most liquid luxury models identified were the BMW 7 Series, Jaguar XJ, Genesis G90, Lexus LS, and Cadillac CT6. Additional models including Cadillac Escalade, Audi A6, Cadillac XT5, BMW X6, and Mercedes-Benz S-Class were noted for their depreciation patterns as well.
Which cars offer the best value when new conditions and smart negotiation come into play? A question echoed by readers of socialbites.ca and previously reviewed in industry circles.
What makes one car hold value better than another
Maintenance costs for cheaper cars typically decrease over time. Jan Haytseer, vice president of a national auto association, notes that three-year-old vehicles usually incur lower ownership costs, and in some scenarios prices may stabilize or even rise under current market dynamics.
“Expensive cars tend to shed more value as a percentage,” he explains. “Even a month after purchase, the price can drop by 20–40%.” High-end models often require substantial upkeep, which weighs on resale values.
For buyers in the used-car market, industry experts advise considering opinions from auto enthusiasts and specialists, and calculating ongoing maintenance needs. For instance, an SUV like the Patriot from a domestic manufacturer may demand more investment than many budget-class vehicles in Russia.
“The same Patriot could become less reliable in three years,” Haytseer adds. “If nothing bad happens to a Land Rover Defender or Toyota Land Cruiser over the same period, the Patriot may still show wear. Some units require new parts after 50–70 thousand kilometers, leading to more frequent repairs.”
Meanwhile, cars with moderate maintenance costs, such as certain Renaults produced in Russia, as well as some Volkswagens (notably the Polo), Hyundais, Kias, and Renault-based AvtoVAZ offerings, often experience slower price declines. Analysts illustrate scenarios where a vehicle bought for 1.5 million rubles could require around 100 thousand rubles per year for upkeep. In contrast, the same year’s Range Rover may incur roughly 50 thousand rubles in initial maintenance, affecting perceived value over time.
Industry voices emphasize that a used car’s price is influenced not only by operating costs but also by brand image and consumer demand. Alexander Pakhomov, chairman of a national automotive service association, explains that two seemingly similar cars from different brands can command very different prices. Brand identity and perceived prestige can push a vehicle’s value higher, even when the underlying equipment is comparable.
“Prices don’t always align with actual wear or performance. Some buyers attach more importance to a car’s brand and status, which artificially lifts the price,” says Pakhomov. He also notes that it would be inaccurate to claim that cars whose value declined over three years are inferior to peers with rising prices. A lower price often signals weaker demand rather than worse quality.
Nevertheless, residual-value ratings remain useful for buyers who consider long-term investment. A three-year-old car can feel almost new to a buyer seeking a future resale. In many cases, a model that loses value quickly today may still be a solid choice for immediate use, depending on a buyer’s priorities and total cost of ownership.
In summary, residual value research helps guide buyers toward informed decisions by weighing depreciation, maintenance costs, and brand appeal against the anticipated resale outcome. It is a practical lens for evaluating whether a given model is a smarter buy now, or if another variant offers stronger long-term value.