Lower depreciation with AWD?

[Redbaron]

A reason why I chose the AWD option was the belief that this may reduce depreciation over the years. In my experiences this generally rings true for trucks. However, most trucks usually have lockers than enable true 4x4 as opposed to an AWD system.

Im curious to see what you guys think of this?

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[brnpttmn]

Hybrid. It's been the preferred drivetrain for current customers, so I'll assume that it will be the same in the used market. I also think Ford is selling the Hybrid at a smaller margin for marketing purposes (although I don't have any evidence), so it might hold value better in the used market.

 

[Rkbrumbelow]

historically hybrids have had a lower depreciation than ICE.

 

[AlienMaverick]

You lose a little battery capacity every year.

 

[flyjum]

This depends on the price of fuel in the coming years. Also depends on how reliable the ecoboost engine and transmission are at 100k+ miles.

I personally think Oxford white FWD ecoboost mavericks will have the highest depreciation. That being said we still have a major shortage of production of all vehicles around the world. Toyota just reduced production due to chip shortages. Prices will remain high so dont expect large a large value drop. Trucks retain their value incredibly well as well compared to sedans ect.

 

[KGillies]

Depreciation primarily depends on where you live and what the demand is. AWD in Florida? Not high demand, larger depreciation. New England or the Rockies? The opposite.

 

[notfast]

You lose a little battery capacity every year.

I consider it a wash. Yes hybrid batteries degrade, but so does the rest of the car. It's like saying "you gain a little carbon or varnish every year."

And an entire hybrid battery degrading is not common; it's typically a few cells that degrade. Dealers will remove and replace (R&R) a hybrid battery assembly since it's easier, in the same way that they will R&R a driveshaft instead of replace a U-joint.

But just like you could find a driveshaft shop that will replace the bad U-joint for $100 instead of replace the driveshaft for $1000, servicing a hybrid battery to replace only the faulty cells is well within the realm of possibility.

In the AWD vs. FWD EcoBoost depreciation, I think your local market has more influence than the overall picture. An AWD might be worth more outright dollars, but it also cost more when it was new. So as a percentage of purchase price vs. value 3, 4, or 5 years later, I think it'll be very close. But an AWD in Arizona might depreciate more than a FWD, while the inverse is true in Wisconsin simply because of local market demand.

When considering AWD vs. hybrid, my money is on the hybrid having lower depreciation. The hybrid has the ability to pull customers from other segments in the same way that it's being marketed new, whereas an AWD might need to be priced lower to be competitive in the second-hand market. But it's speculation until information like the AWD's fuel economy and long-term reliability are known.

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