Ram is the Fastest Depreciating New Truck?

[Boston]

Rams are only discounted 20% when Ram has employee pricing.

With the shortages right now, we’re lucky to see anything at all...

IE if you want a discount and can hold off buying, hold off! Even a dealer locally who always has published prices honestly (?) has new at MSRP

 

[Granite2WD]

Rams are only discounted 20% when Ram has employee pricing.

With the shortages right now, we’re lucky to see anything at all...

IE if you want a discount and can hold off buying, hold off! Even a dealer locally who always has published prices honestly (?) has new at MSRP

I would recommend the prices paid thread for anyone who thinks this is accurate.

 

[brian42]

I plan on keeping my truck for at least 10 years. Depreciation wasn’t a factor in my buying decision.

Resale value played no part in my purchase decision either. I bought what I wanted at a price I was satisfied with. This is my first new vehicle and it was worth it to be the only one to sit in the driver's seat and know everything that is done to it. It was also nice to see an odometer with 44 miles on it instead of over 100K miles.

If depreciation was a concern I would have gotten something 2-3 years old instead of brand new.

 

[tones2SS]

I don't know how it can depreciate so fast.
It's one of the best looking trucks inside and out for a little while now. Actually, the interiors are the best, in my opinion. (Compared to the Big 3, Chevrolet/Ram/Ford.)
I think the overall quality is pretty good as well. I read A LOT of thread titles on the F150 with issues.

 

[SD Rebel]

I don't know how it can depreciate so fast.
It's one of the best looking trucks inside and out for a little while now. Actually, the interiors are the best, in my opinion. (Compared to the Big 3, Chevrolet/Ram/Ford.)
I think the overall quality is pretty good as well. I read A LOT of thread titles on the F150 with issues.

It doesn't, it just has the lowest of the full size category, even then it's only a few few percentage points lower than the best. That same survey shows RAM has some of the best resale of any vehicle.

 

[Vince Shanahan]

Hello
Like some others in this forum. I will keep my Ram most likely for 10 years.
So I am not worried about depreciation. But i had my 2012 challenger traded it in for my Ram
and I got 10k for it.

 

[Fatherof3]

I traded my 2016 Rebel that I paid 44k for on my 2019 that had an MSRP of 73k . They gave me 38.5k for my trade and lowered the 2019 to 54k so the new truck depreciated more than my older one ? lol

 

[devildodge]

Repeat. Motor biscuit is a sham site.

Click bait headline. And differing information.

Good times.

They literally have an article that says...why not to buy a 5th wheel. And then an article that says why 5th wheels are the best.

And so on and so forth.

 

[jkm312]

I'm about a long month away from starting my 3rd year of ownership with my RAM. Still on the endless honeymoon as far as I'm concerned. It is my favorite truck of all the trucks I've owned. So who cares what the resale value of it is. As far as as I'm concerned they can bury me in it as long as the inside gets cleaned out a little and they turn on my favorite radio station before they cover us up!

 

[brian42]

I wonder what parameters they are using? Trade-in value? Private party sale? Good condition? Fair condition?

My truck listed for $54K and I paid $44K (before TTL)

Looking up my current truck value on KBB:

Using a reasonable mileage of 20K miles for an average truck (mine has 39K miles) and excellent condition (mine looks brand new), here is the value:

$35K for trade-in for a depreciation of 36.3% from MSRP (20.5% from my cost)
$38K as a private seller for a depreciation of 29.7% from MSRP (13.6% from my cost)

Chock up the extra miles I've burned and those percentages rise a bit but that's just my specific case. You can also bump up if the truck is "only" in good condition.

Very few people sell their own vehicles now due to the hassle compared to everyone who will buy your car now (not just because of the pandemic). It's easier to lose a few bucks and not have to deal with listing, showing, negotiating, and hoping a buyer can come up with the cash/cashier's check, especially since there are a number of competing companies willing to buy your vehicle so a dealership can't lowball you as much now (although once you step on their lot they are looking to set the hook you just swallowed ).

You end up paying regardless - whether it's up front in a new vehicle cost/depreciation (with factory warranty for "free" repairs) or after purchase with an older vehicle with upkeep and repairs on older equipment (and a more expensive extended warranty if you are so inclined).

I've done the back end costs my whole life until now. This time I had the opportunity (and finances) to pay up front I did...and I'm loving it!

Just my .02

 

[SD Rebel]

I wonder what parameters they are using? Trade-in value? Private party sale? Good condition? Fair condition?

My truck listed for $54K and I paid $44K (before TTL)

Looking up my current truck value on KBB:

Using a reasonable mileage of 20K miles for an average truck (mine has 39K miles) and excellent condition (mine looks brand new), here is the value:

$35K for trade-in for a depreciation of 36.3% from MSRP (20.5% from my cost)
$38K as a private seller for a depreciation of 29.7% from MSRP (13.6% from my cost)

Chock up the extra miles I've burned and those percentages rise a bit but that's just my specific case. You can also bump up if the truck is "only" in good condition.

Very few people sell their own vehicles now due to the hassle compared to everyone who will buy your car now (not just because of the pandemic). It's easier to lose a few bucks and not have to deal with listing, showing, negotiating, and hoping a buyer can come up with the cash/cashier's check, especially since there are a number of competing companies willing to buy your vehicle so a dealership can't lowball you as much now (although once you step on their lot they are looking to set the hook you just swallowed ).

You end up paying regardless - whether it's up front in a new vehicle cost/depreciation (with factory warranty for "free" repairs) or after purchase with an older vehicle with upkeep and repairs on older equipment (and a more expensive extended warranty if you are so inclined).

I've done the back end costs my whole life until now. This time I had the opportunity (and finances) to pay up front I did...and I'm loving it!

Just my .02

It's based on MSRP, which of course doesn't count for most truck buyers. There is another article that states RAM trucks have some of the best resale in the industry, which is true, this article is just saying they have the lowest resale in the highest resale truck segment, and only by just a few percentage points.

 

[brian42]

It's based on MSRP, which of course doesn't count for most truck buyers. There is another article that states RAM trucks have some of the best resale in the industry, which is true, this article is just saying they have the lowest resale in the highest resale truck segment, and only by just a few percentage points.

Everything is always extreme in journalism to get you read it but in the end you find out that it's only a few marbles off.

"Most horsepower in class" (by 5 Hp), "highest towing capacity" (by 100 lbs), "highest initial rating in segment" (only 3 cars in the segment)

Realistically most trucks will do the same work, it just depends on which one feels best to you and suits your needs/personality the most. You won't notice those last few Hp or towing capacity unless you take it to the track or load it to its max and if that was my intent I would have stayed in a 2500 instead of getting a 1500 this time around.

 

[silver64]

Ram is 49.3% vs segment average of 44.1% ? Who cares about 5%

It only matters if you are going to sell your truck. The last Ram I bought lasted 21 years!

 

[Jako]

It only matters if you are going to sell your truck. The last Ram I bought lasted 21 years!

Count me in, but I'm newer than you by a year, still going. Body rot (damn winter/salt), no AC, only defrost but running strong (83,000 miles) for the dirty jobs and longer bed.

 

[Brow]

coming from 2 previous tacomas, I can honestly say the reliability and resale of the RAM was the main factor in me not wanting to purchase one. I was definitely spoiled with the toyota reliability and resale. I had a 2010 tacoma for 7 years and only ever changed the oil, and at 100k miles i sold it for 50% of what I paid for it. The next one was a 2017 i had for 3 years , 0 issues and I sold the 2017 for 2k less than what i bought it for and bought the Ram in October of 2020. I only ever switch vehicles when life demands it (first truck was an extended cab that didnt fit car seats in the back, second truck had to go for more tow capacity). People buy what they need at the time, so resale and trade in can make a huge difference.

The way I look at it, the total i paid for the 2010 and 2017 combined was about 60K, and the combined total i sold them for was about 42k when i was done with them. I would have to sell this truck in 2030 for 24k to get that same value, and I dont see that happening.

 

[Fatherof3]

I look at it like this . It doesn’t matter what vehicle you have it’s only worth whatever you’re willing to accept and what the buyer is willing to pay . People believe that Toyota’s will last forever so they’re willing to pay more for them and the Ram doesn’t have the perceived reliability ( whether true or not ) to get people to pay more . There’s also a lot more of them to choose from comparatively speaking .

 

[SD Rebel]

I don't understand the big hubbub here? The RAM doesn't have bad resale, in fact it has one of the best resale industry wide. It's just the lowest in its segment by just a few percentage points, but still vastly better than your average vehicle.

 

[brian42]

Like Brow I only buy when needs change so this is my 3rd truck in 20+ years. I'd still be on #2 if it wasn't totaled in an accident (not my fault).

Since I'm in for the long haul on vehicles I have never considered resale value when making a purchase. I get what I want no matter what the market finds valuable now or years down the road.

I've lived the resale dream of carpets and covers on everything so it will fetch top dollar on the market when it goes up for sale...and it wasn't fun. I drive and use my vehicles how I want and let the chips fall where they may when it's time to move on (although I do take good care of them). 10+ years down the road the price difference between fair and good is not enough for me to spend a decade worrying about it.

Toyotas have a great reputation which is why you pay more for them in the beginning and get more for them at the end (get a Tacoma TRD Sport 4WD, Tundra SR5 4WD with minimal options, Tundra Limited 2WD, or a loaded RAM Big Horn 4x4...hhhmmm, I'll take the RAM thank you).

I'm happy to get more truck for less and not have TOYOTA on the tailgate. Plus when I went to look at a Tundra the salesman treated me like it was a privilege that he let me walk on their lot and look at their trucks. No thanks.

 

[silver64]

Just an FYI on perception not being reality. Toyota has had more recalls than any company in North America. One of every 7 cars sold is a Toyota and one of every 4 recalls is a Toyota. Not knocking Toyota, just saying that sometimes perception isn't always fair in the marketplace.

 

[mikeru82]

Reliability is one thing, service is another. I would rather buy a potentially less reliable product if those who make that product actually stand behind what they make, and take care of any issues that come up, than buy a perceived more reliable product that's made by a company with a reputation of not standing behind what they produce. The company I work for has been in business for almost 40 years. We provide products at competitive prices, a 10 year warranty on all our products, but have never charged a customer for a repair no matter how long they've owned it. We bend over backwards to make customers happy with our customer support. And that's paid off greatly for this company. I think if a car company would act more like the company I work for, they might just put other car makers out of business.