Your Car Could Be Worth More Over Time, Provided It’s Painted Yellow
A new study put forth by the auto comparison and shopping engine iSeeCars.com indicates that if you’re really concerned about resale value and avoiding depreciation, a yellow car might be the way to go. Less popular car colors — yellow, orange, green — fared better in a depreciation study than popular stalwarts like black and silver, the study found.
Using its data pool of more than 20 million used cars of all different colors from the model years 1981 to 2010, iSeeCars.com was able to determine — using the vehicles’ original MSRPs (accounting for inflation) — that yellow cars depreciated an average of 26.2 percent over the course of five years. Orange and green cars followed suit at 27.6 and 31.3 percent, respectively.
“While a popular car color like black or silver may get more interest and sell faster, our analysis indicates it may not get as high a value as a car, say, in yellow,” Phong Ly, CEO and co-founder of iSeeCars.com said in the site’s statement. “Scarcity may account for the difference — only 1.1 percent of all cars are yellow and orange; if teal and green are included, the percentage still goes up to just 5 percent. The dearth of supply of such colors may drive prices up.”
Further, the site noted that the lower trends of depreciation of less common colors was illustrated across all car types, including convertibles, coupes, sedans, SUVs, pickup trucks, and wagons. Among SUVs, the ones painted yellow on average showed the lowest depreciation, and in convertibles, it was the teal vehicles that depreciated the least.