You are a proud owner of an Infiniti vehicle for the past three or four years and have decided that it is time to move on a newer car. While you can simply buy a new one, there is a higher chance you are thinking about selling your existing car to help finance another.
On the flipside, you are looking forward to buy a new luxury car, and Infiniti is among your choices. Aside from the usual factors, you may also want to consider its resale value after a couple of years. This will save you time and avoid the stress and anxiety of selling an older car in the hopes of getting a good deal.
The Art of the Resale
The one fact that has remained true about car values in the past few decades is the concept of depreciation. Much like any modern gadget, the moment that a car leaves the showroom and gets received by its owner, it has already lost part of its value. The explanation is quite simple. Technology moves so fast that even before a new model is announced, the next version is already being planned. This is even truer with cars as they contain many mechanical parts, all causing wear and tear to many parts such as the engine and transmission in just months after it was purchased.
Owners looking to sell will have to understand that the final worth of their cars will be determined by several factors, and it’s not just mileage.
First, let us look at factors outside one’s control: market conditions as well as supply and demand. People are more willing to purchase pre-owned cars if there are good financing deals made available to them. At the same time, you may not get the price you expect if the same types of cars suddenly flood the market, usually from owners whose car has just come off lease. However, if your car is more sought after, then regardless of your upkeep, it will be bought right away.
An economic recession, or even the possibility of one, will also affect the value of a car. Recessions often have two effects: first, cars may end flooding the market, reducing one’s expected value by nature of supply and demand. The next curious effect is that while a pre-owned car’s value is lower at a time of recession, there are more people who will end up buying a used car than a new one, so it all works out.
What about Your Car?
A curious factor that affects the value of your car is its color. The most popular colors are black, white, and silver. Many may even argue that red has its ups and downs in popularity as well. Bottom line is possible buyers will gravitate to those colors first. If your car’s color is not on the list, they are less likely to be bought right away. This is one thing future car owners need to take note as well.
You may already considered most the other things here. Cars that are well maintained will obviously get a better value. In addition, higher trims and optional accessories slow down a car’s depreciation. Car features such as a sunroof or a better audio system will help it stand out from a crop of similar models being sold in the market.
The amount of miles driven in the car also adversely affects its final assessment since this will indicate the state of the car’s engine. For example, a five-year-old car that has less than 20,000 miles will definitely be considered a better value than a similar car with more than twice the mileage. As a general rule, a younger car with fewer miles will be valued more.
How about an Infiniti?
The final two factors are determined by the car and the brand itself. Brand reputation will always be on top of every buyer’s list, new or used. A brand’s perception based on its history of safety, reliability, and customer satisfaction will definitely provide a better resale value. Luxury brands then are more likely to keep their value not just because they are more expensive but because they are often backed by years of positive experience. This makes your Infiniti a more compelling vehicle in the market.
Finally, not even all luxury cars are created equal. A car’s popularity may also determine its final value at the end. Popularity can be determined by two things: mindshare and actual sales. Thankfully Infiniti sedans and SUVs have been landing in the top 10 lists of popular vehicles when it comes to sales, particularly the QX60 and Q50. The fact that these models hold their own against other established luxury staples such as Mercedes-Benz and BMW means they are also often talked about in various platforms, often in positive light. Curiously enough, the law of supply and demand may rear its ugly head here since if there are more cars bought, it means it may possibly be put on the used car market at the same time, thereby affecting their value somewhat.
So Will Your Infiniti Hold Its Value?
Despite the fact each individual car’s situation is unique, the answer to this question is a resounding yes. A three-year-old Infiniti Q50 is priced at around $21,600, which is around 58 percent of its original value. A Hybrid Q50, on the other hand, can be purchased at $23,900, almost 60 percent of its original sticker price. The crossover QX60 from the same year is valued at $28,100, which is 66 percent of its suggested retail price. Of course, these values will go down again one year from now, but the trend seems positive for current Infiniti owners. Buyers looking at Infiniti cars can also be assured that their purchase will still hold its value after a couple of years.
Ultimately, the factors above will decide how cars will be assessed at any given time, but if a car owner does his share, Infiniti cars will prove to be a worthy investment in the past or even today.
