A recent analysis identifies the Cadillac Escalade as among the worst vehicles when it comes to holding value. Although the analysis notes that, on average, all vehicles are holding their value better during the 2023 calendar year than in 2019, luxury SUVs are still among the worst at holding value. EVs were another segment that was notably poor at holding value, while trucks, hybrids, and sports cars hold their value well.
The new analysis was published by iSeeCars, which looked at more than 1.1 million vehicles sold between November of the 2022 calendar year and October of the 2023 calendar year. The analysis focused on five-year depreciation rates, and did not incorporate data from heavy-duty trucks, vans, models no longer in production as of the 2022 model year, or low-volume models. MSRPs were inflation-adjusted to 2023 dollars based on U.S. Bureau of Labor Statistics.
In the list of the top 25 vehicles with the highest five-year depreciation rates, the extended-length Cadillac Escalade ESV was ranked fifth, losing on average 58.5 percent of its value, or $63,885. The standard-length Cadillac Escalade was twelfth on the list, losing on average of 56.5 percent of its value, or $59,093. The top models in the list were the Maserati Quattroporte (64.5 percent, $90,588), the BMW 7 Series (61.8 percent, $72,444), and the Maserati Ghibli (61.3 percent, $58,623).
The 2025 Cadillac Escalade is expected to debut a mid-cycle enhancement (otherwise known as a refresh) for the luxury SUV.
As iSeeCars points out, SUVs remain the most dominant vehicle type on the market, but not all SUVs depreciate equally, with smaller utility models showing lower average depreciation rates.
“As SUVs get larger they get more expensive to buy and fuel,” said iSeeCars executive analyst, Karl Brauer. “Large SUVs may be necessary for buyers requiring additional passenger and cargo capacity, but when SUVs pass from new to used status the market clearly favors smaller, more fuel-efficient models.”
Nevertheless, the Cadillac XT5 was the top small SUV with the highest five-year depreciation rate, losing on average 53.9 percent of its value.
Looking at segment averages, SUVs showed a 10.4-percent improvement in depreciation compared to 2019, with an average of 41.2 percent lost in 2023, as compared to 51.6 percent lost in 2019.
Subscribe to GM Authority for more Cadillac Escalade news, Cadillac news, GM business news, and around-the-clock GM news coverage.
Comments
The Market Adjustments didn’t help. I can only imagine how flip some people are that paid $30-40k over for a Telluride or Palisade
At used car prices, the Escalade is still expensive to buy and maintain for the middle class. People who are rich always don’t buy brand new and it would be a nice preowned vehicle for them as long they don’t mind paying higher prices for maintenance and etc.
escalade is a status symbol first and foremost. after it ages around 1 -2 years it loses its appeal and it’s dumped. the price after that has to be low enough to allow poorer people to buy it, while the rich original owners buy a new one. that has always been the case of the luxury market.
who writes these things? water is wet.
That’s because the price of the Escalade isn’t an accurate reflection of the cost of the vehicle. They bloat the price to maximize their profit. I am on my 9th Escalade since 2005 and it will probably be my last unfortunately. The cost of them is totally out of hand.
This is why I bought a Tahoe Priemer. It has all the bells and whistles, and best of all, the base engine 5.3lt takes regular gas, saving 80 cents to a dollar a gallon. I ordered the cat back exhaust, which gives it a nice sound and more power. It is plenty fast. $30,000 cheaper than the Caddy with the Guady taillights. Chevy has a good resale.
All this list tells me is how fixed the used market really is by KBB and other entities. Given the average vehicle historically depreciated by about 50%, for “high” depreciation vehicles like the Escalade to be 56% or so shows how little things really vary. In a true open market you would see far higher value differences by vehicle brands, affordability, or quality.
BTW, I’m much less interested in 5 year depreciation than 3 year depreciation, which tends to have more variation and is when many vehicles come off lease.
Bought mine new with A plan. Got 10k off when I drove off the lot I could’ve turned around and sold for a 10k profit. It was more expensive to buy used than nee
Makes me happy I have never wasted my money on one of these land yachts.