Vehicle evaluation group True Price has published a new report identifying the luxury German cars with the best resale value in South Africa.
The data is based on thousands of vehicles sold on auction around South Africa.
True Price documents each and every price paid on auction, focusing on vehicles that have done a maximum of 150,000 km and were registered between 2016 and 2019
It then calculates the actual price achieved on auction as a percentage of the original list price to determine a resale value percentage.
Using this data, True Price found that of Mercedes-Benz currently has the best resale followed by Audi and BMW.
At a percentage of the original list price of 70.10%, Mercedes-Benz is truly head and shoulders above the competition, said Darryl Jacobson, MD of True Price.
“Everyone – both young and old – loves a Mercedes-Benz. Mercedes-Benz vehicles have long held their value, and I strongly believe that they always will. It has been interesting to see younger buyers avidly bidding on Mercedes-Benz vehicles in the last 10 years; the company has done an astoundingly good job of making its product range relevant and enticing to a large audience,” he said.
Audi ranked second at 62.49% of the original list price.
“We see a lot of bidding on Audi models on auctions,” Jacobson said. “It’s the vehicle of choice for many younger professionals.
“It’s also popular with families, who maintain that the vehicles are spacious and comfortable while offering good aftersales support from the dealer network. An Audi is perceived to be a ‘safe bet’ on auction. Dealers also know that they should be able to move the vehicle fairly easily.”
Coming third with 58.65% – and therefore having the worst resale value amongst the German trio – is BMW.
“This will no doubt surprise many die-hard BMW fans. But it does make a certain amount of sense. Although the BMW vehicles are still popular on auction, they seem to have lost their lustre when it comes to exclusivity, desirability and the bragging rights that go with owning one of these vehicles. In fairness, the 3 Series is still very sought after,” Jacobson said.
“The 5 Series is not quite as desirable, and the 7 Series has always been challenging when it comes to resale values. Plus, buyers feel that the X derivatives (the X3 and X5 especially) are too expensive.”