Buying new can feel great — you get that factory-fresh smell, a full warranty, and zero miles on the odometer. But not all cars hold their value or deliver the ownership experience you expect for the price. Some vehicles lose thousands the second you drive them off the lot, and others have reputations that make resale difficult. Auto market data and resale experts agree these nine cars are worth avoiding when new, but could make sense once depreciation has done its work.
Nissan Altima
The Nissan Altima has been a staple in the mid-size sedan world since the early 90s, but recent models have been hit with reports of CVT transmission issues. Kelley Blue Book data shows that a 2023 Altima with 12,000 miles can lose over $6,000 in value compared to its MSRP. The comfort and roomy interior are still strong points, but buying used lets someone else take the depreciation hit. If you find a well-maintained two- or three-year-old example, you’ll get the same driving experience for far less.
Jeep Compass
Jeep’s Compass has rugged looks but lacks the off-road chops of the Wrangler or even the Cherokee. The base engine can feel underwhelming, and reliability rankings have been inconsistent. Consumer Reports scores place it below average in long-term dependability, and depreciation is steep — losing around 25 percent of its value in the first year alone. A lightly used Trailhawk trim can give you better equipment for the money without paying top-dollar new.
Mitsubishi Mirage
One of the cheapest new cars sold in North America, the Mitsubishi Mirage can be tempting if you’re looking for low monthly payments. But the reality is a slow, noisy, and bare-bones driving experience. With only 78 horsepower, highway merging can feel like a workout. Within 18 months, used Mirages often sell for 35 percent less than their original price. That makes a secondhand one far better value — if you can live with its limitations.
Chrysler 300
The Chrysler 300 is a big, comfortable sedan with a commanding presence, but its design has barely changed in over a decade. New buyers often pay for the idea of a luxury cruiser but quickly realize the tech and cabin materials feel dated. A brand-new 2024 300S can lose close to $8,000 in its first year of ownership. The smarter buy is a certified pre-owned model with low miles, where you still get the powerful V6 or HEMI V8 without incurring significant depreciation costs.
Ford EcoSport
Compact SUVs are hot sellers, but the Ford EcoSport has struggled to compete. Its small interior, rough ride, and unimpressive fuel economy make it hard to justify at full price. Industry resale reports show a 2023 EcoSport loses about 23 percent of its value in year one. If you really want one for city driving, a used model that’s already taken the value drop is the better play.
Chevrolet Malibu
The Malibu has been a rental fleet regular, and that hurts its resale value. A new Malibu can lose 30 percent in just the first 18 months, thanks to heavy fleet sales and waning consumer interest in sedans. It’s still comfortable, with a smooth ride, but there’s little reason to pay new prices when used examples are so much cheaper — often with low mileage and still under factory warranty.
Dodge Journey
The Dodge Journey was discontinued after the 2020 model year, but some unsold inventory has lingered on dealer lots. Even new, it feels old — the tech is outdated, the design hasn’t been refreshed in years, and fuel economy is lacklustre. A year-old Journey often sells for thousands less than its already discounted new price, making new purchase a poor financial decision.
Cadillac XT4
Cadillac’s smallest SUV promises luxury but often fails to deliver a truly premium experience. Reviewers note its cramped rear seating, small cargo area, and some interior materials that feel more economy-grade than luxury. The XT4 can lose 27 percent of its value in the first year, according to market tracking data. Buying one used lets you enjoy the Cadillac badge and styling without paying for that rapid depreciation curve.
Volkswagen Passat
Once a go-to for those wanting European refinement in a family sedan, the Passat has lost ground to newer competitors. In 2022, Volkswagen announced it would end U.S. production, which means resale demand has softened. A new Passat loses roughly $7,000 of value in the first 12 months. Buy one used, and you’ll get the same spacious cabin and solid highway ride at a far friendlier price.
25 Facts About Car Loans That Most Drivers Don’t Realize
Car loans are one of the most common ways people fund car purchases. Like any other kind of loan, car loans can have certain features that can be regarded as an advantage or a disadvantage to the borrower. Understanding all essential facts about car loans and how they work to ensure that you get the best deal for your financial situation is essential. Here are 25 shocking facts about car loans that most drivers don’t realize:
25 Facts About Car Loans That Most Drivers Don’t Realize
