Honda, Mercedes-Benz and the Toyota and Lexus were acclaimed as the brands offering vehicles that could retain their value even after years of ownership. The annual Residual Value Awards by ALG has named Honda and Mercedes as the top mainstream and top luxury brands, respectively. ALG ranked 2014 model vehicles that could retain the highest percentage of the manufacturer’s suggested retail price three years into the future -- the length of a typical lease.
Mercedes unseated the Acura brand for the top spot in the premium segment. This is the first time in seven years that a Japanese luxury carmaker failed to win the top spot in ALG’s scorecard.
Honda, however, won ALG’s top mainstream pick for second year in a row. Larry Dominique, president of ALG, said in a statement that Honda’s “prudent use of incentives -- $1,000 lower than the mainstream average -- and low rental fleet penetration” help maintain vehicle value.
On the other hand, the Resale Value Awards from Kelley Blue Book has named Toyota and Lexus as the best mainstream and top luxury brands, respectively. Kelley uses a five-year measure, which is the typical period of ownership.
Toyota’s score surged 2.1 percentage points to 46.1 percent, which means its vehicles are likely to retain an average of 46.1 percent of their sticker price after five years of ownership. Trailing behind Toyota is Subaru. Lexus – which is Toyota’s luxury brand – saw its score surge about 2 percentage points to 45.6 percent. It was followed by Audi. The industry average for 2014 models was 39.7 percent.