A new Subaru loses an average of 18% of its value in the first year of ownership, which is lower than the industry average. Overall, Subaru has an extremely competitive depreciation rate across all of its models and is considered one of the best brands for long-term value.

Nothing lasts forever, but some things do last longer than others. A new car is a significant investment, and likely one of the biggest single purchases most people make in their lifetimes. When you’re considering a new car, it’s wise to take a minute to think not only about what you’re spending at the dealership but also how much it will cost you as the years go by.

Here to gaze into the crystal ball of depreciation and bring you the answers you seek is

Jerry

, the

reliable car insurance super app

. Come along with us as we delve into depreciation—what it is, why it matters, and what kind of depreciation you can expect when you purchase a Subaru. And since we’re talking practical money matters, we’ll also tell you how to get the best deal around on your

Subaru insurance cost

Let Jerry find your price in only 45 seconds

No spam · No long forms · No fees

Find insurance savings

Do Subarus hold their value?

Subarus are known for being strong contenders in a lot of areas. They’re reliable, incredibly safe, practical, and economical. And that economy extends beyond the car lot and the gas pump—several recent studies rank Subaru number one in retained value among all car brands.

Not all of the models hold value as well as others, mind you. But in general, a Subaru will have lost around 37–40% of its original value by the time it’s five years old. The average across all cars is around 40%, with some luxury brands losing more than 70% of their value by their fifth birthday.

When it comes to holding their value, you might be surprised by which Subaru models are the very best. It’s not the sensible

Outback

or the crunchy

Forester

—it’s the two performance models. The

Subaru WRX

only loses around 13% of its value the first year, and the

Subaru BRZ

about 12%.

What does “depreciation” mean?

Before we dig into Subaru’s numbers a bit more, let’s pause and expand on just what depreciation means. We’re sure you’ve heard that new cars lose a ton of value the second they leave the dealership, and that’s true. They also continue to lose value as time marches on, no matter what you do—it’s kind of depressing, but that’s depreciation: it’s the difference between what you paid for your car and the actual value it has at any given time.

Among the things that affect depreciation are:

Purchase price

Mileage

Ownership history

Condition

On average, a new vehicle has lost about 40% of its value after five years, and almost 20% of that happens in the first year. But these figures aren’t set in stone, and there are a lot of other things that figure into it!

Being involved in an accident or being used under harsh conditions will affect the value of any car, as well as not keeping up with routine maintenance. Luxury cars tend to depreciate faster simply because a lot of their value is in their cachet rather than more tangible factors—BMWs are notorious in this regard.

Even things like current events can play into the value of a car—remember that period of time not too long ago when used cars were practically worth as much as new ones due to Covid-related supply chain fiascos? Yeah…that was weird.

Do Subarus depreciate faster than other similar vehicles?

Nope! Quite the opposite, in fact. If depreciation is a big concern when you’re purchasing a new vehicle, then you can’t do much better than a Subaru—they consistently rank among the very highest when it comes to car brands that retain their value.

Let’s take a quick comparison of the Subaru Outback and a few competitors. A 2022

Jeep Grand Cherokee

is expected to lose 48% of its value after five years, compared to the Outback’s 40%, while a

Mini Clubman All4

loses 50% of its value by the five-year mark. The

Toyota 4Runner

actually bests the Outback with a 38% reduction in value after five years, which makes sense as Toyota is another brand that ranks highly for retained value.

Long story short? Not only are Subarus economical to purchase, but they’re also economical in the long run!

MORE:

Are Subarus expensive to maintain?

Subaru depreciation rates

Check out the tables below to see Edmunds’s average one, three, and five-year depreciation figures for most current models of Subaru.

These rates were determined with the 2022 base models in mind, and are assuming that the recommended maintenance is followed. It also assumes 15,000 miles driven per year. The value of your particular car will vary depending on model year, trim level, condition, and location.

Subaru Forester depreciation

Years old	% Value lost to depreciation	Residual value
0	0%	$28,708
1	17.22%	$23,763
3	28.96%	$20,392
5	42.01%	$16,647

Subaru Outback depreciation

Years old	% Value lost to depreciation	Residual value
0	0%	$29,940
1	17.31%	$24,755
3	28.08%	$21,534
5	40.02%	$17,956

Subaru Ascent depreciation

Years old	% Value lost to depreciation	Residual value
0	0%	$35,383
1	25.03%	$26,525
3	33.48%	$23,536
5	38.05%	$21,921

Subaru Crosstrek depreciation

Years old	% Value lost to depreciation	Residual value
0	0%	$27,242
1	22.39%	$21,142
3	31.93%	$18,544
5	42.23%	$15,737

Subaru Impreza depreciation

Years old	% Value lost to depreciation	Residual value
0	0%	$21,783
1	21.49%	$17,102
3	31.61%	$14,898
5	37.07%	$13,707

Subaru Legacy depreciation

Years old	% Value lost to depreciation	Residual value
0	0%	$25,866
1	17.66%	$21,296
3	29.50%	$18,234
5	42.64%	$14,836

Subaru WRX depreciation

Years old	% Value lost to depreciation	Residual value
0	0%	$32,484
1	13.25%	$28,179
3	26.17%	$23,982
5	38.76%	$20,018

Subaru BRZ depreciation

Years old	% Value lost to depreciation	Residual value
0	0%	$34,554
1	11.98%	$30,417
3	25.39%	$25,782
5	38.04%	$21,408

How to find out how much your Subaru has depreciated

Your Subaru’s depreciation is a figure to keep tabs on for a variety of reasons—one of them being that it helps to determine how much insurance coverage you should have.

Depreciation is easy to calculate: just take your original purchase price and subtract the current fair market value. The figure that you end up with is the amount of value that your car has lost since you purchased it.

To determine the fair market rate for your vehicle, sources like

Edmunds

and

Kelley Blue Book

are trustworthy sources. Alternatively, you can have your car professionally appraised.

MORE:

A complete guide to Subaru safety ratings

How to limit Subaru depreciation

Even with a make like Subaru that holds value like a champ, you can’t stop depreciation altogether. But there are a few things you can do to slow its pace. Here are some things to keep in mind if you’re looking to keep the value of your car at its highest:

Storage: The elements are not your friend when it comes to your car. Snow, ice, rain, and excessive heat and sun all increase the rate of wear and tear on your vehicle. A garage or covered parking spot not only makes getting in your car more pleasant, but it also helps your Subaru retain its value.

Mileage: The estimates you saw above are based on a vehicle that’s driven an estimated 15,000 miles annually. If you put less mileage on your car than that, it helps to slow the rate of depreciation.

Maintenance: Keeping up with the care and repair of your Subaru also keeps the march of depreciation at a slower pace. And this isn’t just mechanical stuff—keeping the interior pristine and the outside cleaned and waxed helps your car look great and hold value.

Color: This is something a lot of people don’t even think about, but cars in paint colors like white, black, silver, and shades of gray retain value better than ones in exotic colors. So get that lime green Outback if you must, but keep in mind that it might cost you in the long run.

MORE: Subaru rally car

Jerry Rating

Jerry Rating

Jerry Rating

Jerry Rating

Do you need gap insurance for your Subaru?

When purchasing any new car,

gap insurance

is an important policy to consider. In some cases, it might even be required.

A big downside to buying a new car is that it depreciates quickly—as in 9 to 11% the split second you drive it off the lot! This means that depending on how much money you’ve financed, your Subaru could be worth less than what you owe on it for the first few years of ownership.

This means that if your car is stolen or totaled for any reason while it’s still fairly new, the

actual cash value (ACV)

that your insurance would pay wouldn’t be enough to cover the loan—and you would be responsible for making up the difference. Enter gap insurance! The “gap” stands for guaranteed asset protection, but it’s also useful to think about it as covering the gap between what you owe and what the car’s actual depreciated value is.

It’s more common when purchasing expensive luxury cars, as they often have both a high price tag and a steep rate of depreciation. But depending on how much your down payment was or the terms of your loan, it might be a very wise investment. And in some cases, lenders require gap insurance for the first few years until the loan is paid down to the point where it’s less than the ACV of the vehicle.

MORE:

When your car is totaled and you don’t have gap insurance

How to save on Subaru insurance

Your Subaru is ready to go the distance for you—return the favor by making sure that you have the best

car insurance

protection possible for your trusty Subie! When you shop with

Jerry

, you’ll be able to get a competitive selection of customized quotes within seconds—no phone calls or tedious forms needed!

You’ll get the coverage you want at a price you can afford. On average, Jerry shoppers save more than $800 a year on their car insurance costs. And it doesn’t stop there—Jerry continues to monitor prices and policies, and will let you know if a better deal is available when it comes time to renew!

“After signing up with
Jerry
, I went from $199/month to $97/month for my car insurance. My 2019 Subaru Forester now has full coverage for a great price!” —Rhonda H.

RECOMMENDED