P&A Providers & Administrators
MenuMENU
SearchSEARCH

Car Types Depreciate Differently

Hybrids, trucks fare better as post-pandemic market normalizes with revived inventories.

March 27, 2025
Car Types Depreciate Differently

Hybrids like the Toyota Prius hold onto their value longer than many gas-powered vehicles, according to the study.

Credit:

Toyota

2 min to read


When it comes to retaining value over time, a newly released study shows hybrids and pickups hold on to the most while electric vehicles lose the most.

The iSeeCars.com research revealed a sometime stark disparity among various vehicle types when it comes to value retention as measured over the first five years of ownership. 

Ad Loading...

EVs, according to the study, lose 59% of their value in that initial period, iSeeCars says. By contrast, hybrids and pickups shed just about 40%. 

It found the industry average to be in the middle at 46%, a steeper drop than the 39% decline observed in 2023 but less than 2019’s 50% depreciation.

In its analysis of more than 800,000 5-year-old vehicles sold between March 2024 and this past February, iSeeCars found that sports cars and small SUVs also do better on value retention, with strong showings in its top 25 ranking.

Meanwhile, both EVs and some luxury vehicles’ values tend to tank the most.

Though all vehicle types are depreciating faster than they did two years ago, the study found, hybrids have hewed closest to pandemic-era peaks.

Ad Loading...

“Depreciation remains the most expensive aspect of buying a new vehicle,” said iSeeCars Executive Analyst Karl Brauer in a press release on the study results. 

“The difference between buying a hybrid versus an electric vehicle could be tens of thousands of dollars in lost value.”

IseeCars explained that the depreciation increase results from normalization of new- and used-vehicle supply after the pandemic.

Used car prices have dropped since their peak during the pandemic, as reflected in higher 5-year depreciation rates across all vehicle types. This means new cars are losing more money after 5 years because both the new and used car supply is slowly returning to normal following the plant shutdowns during COVID.”

LEARN MORE: Top 10 2025 Vehicles Named

 

Originally posted on F&I and Showroom

More Industry

Subwoofer in trunk of car.
Industryby Lauren LawrenceMay 26, 2026

Ownership Priorities are Shifting

A new survey shows that in the U.S. vehicle quality for generation Z is largely defined by advanced safety features, intuitive technology and premium sound systems.

Read More →
Man's hand holding gas pump in fuel tank of white car
Industryby Hannah MitchellMay 26, 2026

Pump Price Jump Calculated

ISeeCars.com examined fuel costs for different power trains, finding which ones have experienced the biggest hits since the war in Iran commenced.

Read More →
Graphic showing previous week's truck and SUV segment prices
Industryby StaffMay 20, 2026

Black Book: Weekly Market Update

Wholesale values fell last week despite the spring season still being in the traditional full-gear mode, analysts said.

Read More →
Ad Loading...
Photo of dealership sign with Toyota logo
Industryby Lauren LawrenceMay 19, 2026

Arkansas Auto Group Acquires First Indiana Rooftop

Performance Brokerage Services represented both the buyer and seller in the sale of Carver Toyota of Columbus by Carlock Automotive Group.

Read More →
Headshot photo of Antonio Filosa, Stellantis CEO
Industryby Hannah MitchellMay 19, 2026

Stellantis to Dive Into U.S. Lending

The multinational maker of Chrysler, Dodge, Jeep, Ram and multiple other brands received conditional approvals for a Utah-based industrial bank.

Read More →
Photo of the rear of a new BMW iX SUV
Industryby Hannah MitchellMay 12, 2026

New-Vehicle Prices Rise

With April sales down, higher prices on in-demand large vehicles helped inflate the overall ATP, though increases were under long-term averages, Cox Automotive reported.

Read More →
Ad Loading...
Graphic of car segments' results the previous week
Industryby StaffMay 12, 2026

Black Book: Weekly Market Update

Last week in the wholesale automotive market proved to be a mixed bag, analysts reported.

Read More →
Graphic of last week's estimated used retail days to turn
Industryby StaffMay 6, 2026

Black Book: Weekly Market Update

Conversion rates were flat last week at 63%, Black Book analysts calculated, as low-mileage and almost-near units outpaced the overall market.

Read More →
cargo ship with vehicles, at dock
Industryby Lauren LawrenceMay 5, 2026

EU Auto Association Urges Action

Trade relations between the European Union and the U.S. are at risk, causing the European Automobile Manufacturers Association to push lawmakers to make a decision.

Read More →
Ad Loading...
two people working on a paper contract together
IndustryMay 1, 2026

Driving into the Super CFC Era

Understanding the risks and benefits of retail accounting and Super CFCs can help you better present options to your dealer partners.

Read More →