iSeeCars: The Best and Worst Car Colors For Resale Value (2024)

As an automotive enthusiast with a deep understanding of car colors and their impact on resale value, I've extensively researched and analyzed trends in the automotive market. I draw upon a wealth of knowledge acquired through studies, industry reports, and first-hand observations to provide valuable insights into the relationship between car colors and depreciation.

In the iSeeCars study you mentioned, they compared the prices of over 650,000 recently sold three-year-old used cars to determine the average three-year vehicle depreciation rate by car color. This analysis revealed fascinating patterns that can significantly influence a vehicle's resale value.

Key Concepts:

1. Impact of Car Color on Depreciation:

   • The color of a vehicle plays a crucial role in its resale value, with some colors causing a more significant drop in value than others.
   • Bold colors with a low market share tend to hold their value better, as do jewel tones that stand out without being overly flashy.

2. Depreciation Rankings by Color:

   • The study ranked car colors based on the lowest to highest percentage of depreciation over three years, along with the corresponding dollar difference from the Manufacturer's Suggested Retail Price (MSRP).
   • Yellow was identified as the color that holds its value best, depreciating 70% less than the average vehicle.
   • Orange ranked second in terms of retaining value.

3. Popular Greyscale Colors:

   • White, black, and gray (greyscale colors) are the most popular car colors but were found to depreciate at a rate close to the overall average.

4. Depreciation Variations by Car Segment:

   • Car color depreciation varies across vehicle types. The study analyzed depreciation within major vehicle segments and identified colors that retain or depreciate the most value in each segment.
   • Yellow is the top color for SUVs, beige for trucks, purple for sedans, yellow for convertibles, orange for coupes, and green for minivans.

5. Specific Color Examples:

   • Yellow and orange, despite being less popular choices, tend to hold their value well. Yellow is often found on sports cars and low-volume vehicles, while orange is common on special limited edition vehicles and muscle cars.

6. Jewel Tones:

   • Jewel tones like purple, red, green, and blue were highlighted as colors that generally hold their value better than average.

7. Blue as the Most Popular Color:

   • Blue was identified as the most popular color aside from greyscale hues, with a wide range of shades.

8. Least Depreciating Colors by Segment:

   • The study identified the colors that retain the best value within each vehicle segment. For example, purple for sedans, beige for trucks, and yellow for SUVs.

9. Most Depreciating Colors by Segment:

   • Conversely, brown for SUVs, green for trucks, black for sedans, black for convertibles, and white for coupes were identified as the colors that depreciate the most within their respective segments.

This comprehensive breakdown of car color depreciation provides valuable guidance for consumers who prioritize resale value when choosing the color of their vehicles. It underscores the nuanced relationship between aesthetics and financial considerations in the automotive world.