The Jeep Wrangler is an iconic vehicle, the kind of SUV you can take to the beach and off-road trails as much as the grocery store. Though as with any vehicle there are positives and negatives to buying a Jeep Wrangler, there is one area where buying a Jeep Wrangler is certainly a good idea, and that’s depreciation. The Jeep Wrangler holds its value over any other small SUV, by a lot. Let’s look at the numbers involved in small SUV depreciation and why the price of the Jeep Wrangler stays relatively stable.
Do Jeep Wranglers hold their value?
Yes, Jeep Wranglers hold their value. In fact, they hold their value better than any other vehicle. The average depreciation of a Jeep Wrangler is 9.2% over the course of five years. This is unbelievably lower than any other vehicle. The average rate for all vehicles, not just SUVs, is 40.1%, according to iSeeCars.
Still, SUVs do hold their value better than sedans. So do pickup trucks. Luxury cars are the worst at holding their value. If you’ve been torn between a Jeep Wrangler and a four-door luxury coupe, you may lean toward the Wrangler. The current microchip shortage and supply chain problems are causing depreciation to slow down, though some SUVs are still depreciating more than others.
How much does a Jeep Wrangler cost?
A 2021 Jeep Wrangler base model costs $28,870. The average cost of depreciation five years after purchasing a Jeep Wrangler is $2,796. That means that the Jeep Wrangler will still be worth $26,074, which is incredibly high. The Jeep Wrangler Unlimited is the SUV that depreciates the second least, to the tune of about 10.5%, or $3,810 over the course of five years. If everything else were equal, buying the Jeep Wrangler or Jeep Wrangler Unlimited is a good financial decision.
Karl Brauer, iSeeCars Executive Analyst, says there’s a good reason that Jeep Wranglers hold their value. “Jeep Wranglers are known for retaining their value due to their enthusiastic fanbase, as well as their durability and performance across all terrains, especially off-road.”
The Jeep Wrangler depreciation is helped by its longstanding design. Braurer says, “Jeep Wranglers also have maintained their iconic design, so even older models don’t appear dated.”
Is a Jeep Wrangler a good car to buy?
Because the Jeep Wrangler depreciation is so low, buying a Jeep Wrangler is a good decision, at least as far as finances go. In addition, if you’re a “Jeep” person, you may want a Jeep Wrangler no matter what.
At the same time, the Jeep Wrangler may not be a practical choice for you, especially if you have a family. In addition, you might want to take a look at the safety and crash test ratings for the Jeep Wrangler if you’re considering buying one.
The Jeep Wrangler depreciation is just one of its many advantages. If you’ve been worried about the Jeep Wrangler price down the road, you’ll be happy to know that the Jeep Wrangler depreciation is lower than any other vehicle.