Lexus Resale Value?

[ontheroad]

Lexus & Toyota are generally know to maintain their value more than other car brands, but I'm wondering to what extent this is true.  Used Lexus are selling for a lot right now but so is everything else, so what about during "normal" times?  And to what degree do they maintain their value above other brands - just a few percentage points or a significant amount?

I want a plug-in SUV and I'm considering purchasing a Mitsubishi Outlander PHEV, but I suspect its value will plummet the moment I drive it off the lot.  My alternative is to get an NX/RX regular hybrid and then replace it with an NX/RX plug-in several years from now, when they become more available.  This will only make sense, however, if the Lexus holds its value reasonably well.    Ideally I would just buy a Lexus and keep it for 10+ years, but I don't want a regular hybrid for that long; I want a PHEV.

Thanks for any insight.

[RX400h]

Consumer Reports published an issue, last November in which they wrote, "Why Hybrids Are a Smart Choice Right Now"
Here are their three main reasons, plus one of my own:

1. Most hybrid SUVs get more than 35 MPG, and most hybrid sedans get more than 45 MPG, That's significantly more than non-hybrids.

2. Unlike pure electric vehicles, you don't have to plug in a hybrid. Simply refuels in minutes at any gas station.

3. Hybrids tend to have far better range than EVs.

4. CR's tests show that the hybrid versions of many cars have more power and smoother acceleration than gas-only cars.

While EVs may save money in the long run, many EV manufacturers have no lengthy lithium battery history on which to base a reliability rating. And let's face it, EVs can be very expensive to buy.
Plug-in vehicles have short ranges and like all ICE vehicles, can have issues if the engine runs for only a short period of time on a consistent basis. Personally, I would not buy a plug-in for that reason. 

 This is why I believe a regular hybrid like the NX or RX versions get very high ratings. Yes, Toyota/Lexus vehicles retain their values better than most other brands. 

By the way, I think your ES300h is one of the best cars on the market. My sister recently bought one and she is getting amazing fuel mileage.

[ontheroad]

Thanks for your reply.  Good point about plug-in car engines only running for short periods of time, I hadn't considered that as a potential issue.  Another concern with PHEVs would be resale value, since they keep increasing the electric range of new models, so anything one gets would become outdated very quickly.

I definitely wouldn't purchase a full EV, since the infrastructure doesn't seem anywhere near ready for this in Canada.  

To be fair, the Outlander PHEV has a pretty good electric-only range - almost as much as the Rav4 Prime - so I'd be saving a lot on gas around town, but the RX 350h would probably getter better MPG on long drives.  

I agree with you about the ES300h, although I don't have one - I had to put in a Lexus model when I registered an account on this forum, so I chose the ES300h since I was planning to get one at the time....but my wife is pregnant and we need an SUV, so the ES will have to wait!

 

 

 

[ontheroad]

As a follow-up question, would it make any sense to purchase a new NX 350h now with the idea of selling/trading it in for an NX 450h+ in a couple of years?  Does that make any sense or would I take too big of a financial hit?  And has anyone here done something like this?

 

Thanks.