Do Subarus Hold Their Value? What To Know About Resale & Depreciation

in Car Costs and Prices
Blue Subaru on a street

Source: Pixabay

When people are looking to buy a car, one of the most important factors they consider is the vehicle’s ability to retain its value over time. For Subaru, a brand that is well-known for its rugged all-wheel-drive and outdoor-friendly vehicles, the question of how well these cars hold their value against depreciation is especially relevant for prospective buyers.

Vehicle depreciation is an inevitable aspect of car ownership. It represents the rate at which a car loses its value over time. Various factors influence this rate, including brand reputation, reliability, demand, and general market trends. 

With that said, do Subarus hold their value?

According to MotorTrend, Subaru is one of the top car brands for resale value. So, for the question of “Do Subarus hold their value?” The answer is absolutely! But don’t take our word for it; let’s look at some numbers and trends.

We leveraged our handy Price Pulse Tool to gain several vital insights into Subaru’s trends in the used car market:

High Demand and Price Premium

The tool indicated that Subaru cars sell for $4,132 more than the initial estimated price. This price increase suggests a high demand for Subaru cars. One possible reason for this could be that Subaru is renowned for producing reliable and safe vehicles that can handle various road conditions, which many customers highly value.

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Mid-Range Market Positioning

Subaru’s mid-range pricing strategy balances affordability with value propositions, making their vehicles accessible to a broad consumer segment at an average price of $24,938. This is one of the critical factors why Subaru is doing so well in the market, which also bodes well for its long-term value retention.

Dynamic Market: Supply and Demand

The automobile market is constantly changing as Subaru cars are currently selling at higher prices than initially estimated. This could be due to an increase in the cost of production, difficulty in obtaining car parts (likely due to the aftermath of the pandemic), or simply a surge in demand for Subaru vehicles. The reason for this popularity could be attributed to people’s trust in the brand and their affinity towards its values.

Subaru’s prices have mostly stayed the same in the last 30 and 90 days. This means the prices are pretty steady for now. If you’re considering buying a Subaru soon, this is good news because you can expect the prices to stay the same, making it easier to plan your purchase.

The stable prices observed over the last 30 and 90 days can be good news if you’re a seller. It implies that you can anticipate a constant and foreseeable market value for your car. You don’t need to be concerned about abrupt price drops, which can help you establish a reasonable and competitive selling price.

ARE SUBARUS RELIABLE?

As a popular option for braving the great outdoors, it’s easy to think that they’re reliable vehicles. But we all know why you came here, you’re asking the question: are Subarus reliable?

Fluctuations from Peak Prices

The decrease from the peak price earlier in the year to the current price indicates some level of fluctuation in the market. This could be due to seasonal factors, market corrections, or changes in consumer preferences.

Do Subarus hold their value? Following the above trends, it is evident that Subaru cars have a high resale value. This is due to their strong demand and the premium prices they command. Subaru’s reputation for reliability, safety, and all-wheel-drive features adds to this trend. 

Furthermore, the stable price trends over the past few months indicate that Subaru’s market value remains steady, further supporting its value retention. The brand’s loyal customer base also plays a significant role in maintaining the value of its cars over time.

Which Subaru Cars Have the Best and Worst Resale Value?

Subaru cars are recognized for their high resale value, mainly attributed to their reliability and safety reputation. Nonetheless, some specific models fare better than others in terms of value retention.

Subaru BRZ – Best Resale Value

iSeeCars declared the Subaru BRZ as the best model for value retention, with a 5-year value retention rate of 71.9%. This is hardly surprising since sports cars like the BRZ often have a dedicated fan base, which keeps demand high.

According to the Price Pulse Tool analysis for the 2018 Subaru BRZ, the current market price has risen by $4,580 from the original price forecast. This indicates that the actual resale value is higher than what was initially expected. The tool suggests that the Subaru BRZ is currently more expensive than usual. Therefore, unless you urgently require one, it might be best to wait until the prices drop to avoid paying more than the typical amount. This could be due to high demand or limited availability of the car.

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Subaru Legacy – Worst Resale Value

Meanwhile, iSeeCars says the Legacy sedan is one of the worst Subaru models for resale value, with a 58.4% 5-year value retention. However, such a percentage means it still has a higher value retention than the overall average of 38.8% for all vehicles.

Using the tool, the 2018 Legacy is currently selling for $3,673 more than the original price forecast, indicating a higher demand or a market condition that has led to an appreciation in its value. There’s a 22% increase over the expected price, which is substantial, suggesting that the vehicle has held its value well or even increased in value in the used car market. According to the tool, now might be a good time to consider buying as prices are still expected to decline shortly. Although prices have already dropped from their peak, further decreases may still be possible.

For detailed insights and specific data points, use the PricePulse Used Car Price Tracker and Trends tool, which provides a comprehensive view of Jeep’s market trends and resale values.

Get a Curated List of the Best Used Cars Near You

The CoPilot car shopping app is the easiest way to buy a car. Tell us what you’re looking for and we’ll search the inventories of every dealership in your area to make you a personalized list of the best car listings in your area.

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The best part? CoPilot is built using the same technology that dealerships use to buy and sell their inventories, so we have more info on each vehicle than competitors. CoPilot doesn’t work with dealerships, so there are no sponsored posts or other shady practices — just the most info on the best cars. Check out our About Us page to see how CoPilot works.

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