Used Car Expert Magazine – which I edit - recently published its latest depreciation index and sparked intense debates among some journalists and car industry insiders because it argued that some Jaguars and Fiats are performing well.
But, as I said in the initial press release, our depreciation index is based on retail asking price, not auction price, not manufacturer list price. The point of looking at how much cars have lost by the time they go for their first M.O.T. (at 3 years) is not to identify good 3 year old cars to buy. But to identify good new and nearly new cars to buy, which you can sell at M.O.T. time without going bust.
The fact is, that if you shop around, brokers, supermarkets and dealers will sell you a new or pre-registered car at thousands under the list price. But only some brands seem to turn up at these giveaway prices and it is those cars that will do well in our index over three years. A low start price combined with average popularity in the market actually leads to only a small loss. Here are a couple to think about and one to avoid:
Consider: Fiat Bravo
Economy family hatchback with more design flare than Korean competitors. Good engines, great prices and improving quality.
Most economical: 1.6 Multijet 120 (diesel)
Best used buy: 1.4 T-Jets
UsedCarExpert.com faults to check: Too soon to say
Used Car Expert magazine price: it’s been out since 2007, but few buyers have noticed. So new ones are given away, and a 1.4 can lose less than £3,000 in depreciation over 3 years.
Consider: Jaguar S-Type
Good specification comfy and high milers now affordable. Refined and smooth but never truly popular and that hurts resale values which means pre 2001 models great value.
Most economical: 2.5 V6
Best used buy: 2.5 V6
UsedCarExpert.com faults to check: 20
Used Car Expert magazine price: As a result of no longer being in production, nearly new stuff is being given away at anything from £14,000- £16,000. The bigger the engine, the cheaper. But then it loses little over the next 2 years.
Avoid: Skoda Superb
Suprb by name and superb by nature. Surprisingly well specced and very spacious inside. Bigger and some might say, better value than VW’s Passat. This is a big family saloon to be proud of.
Most economical: 1.9TDi
Best used buy: 1.9TDi
UsedCarExpert.com faults to check: 8
Used Car Expert magazine price: A 2009 year 1.9 TDI with delivery mileage will be around £14,800 and lose a fortune in just 2.5-3 years.