The Hybrid SUV That Depreciates The Least After 1 Year Of Ownership
The electric vehicle (EV) sales slowdown is real and it’s currently happening as we speak. As numerous analysts have predicted, while sales may (or may not) continue to grow in 2024, that pace of growth is going to be a lot slower in 2024. In fact, there might even be quarters where EV sales may be lower than the prior quarter. The reason? Most EV buyers have been early adopters, and now in 2024, most of the early adopters already own an EV. The next challenge now for the automotive industry is to convince the mainstream buyer to switch to an EV.
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However, that’s not going to happen overnight. The EV shift is going to be slow and gradual, and a stepping stone will be needed. Thankfully, that’s already existed since 1997 thanks to Toyota and its diverse range of hybrids. What used to be just the Prius, Toyota now has a hybrid across all vehicle segments, and that includes literally all of its SUVs.
At the same time, SUVs and crossovers are all the rage these days. We also know that most hybrids nowadays have the best resale values–even compared to cars with purely just an internal combustion engine (ICE). So a hybrid SUV must be the most desirable vehicle in 2024, right? Yes, indeed! So if you are looking to buy a one-year-old (classified as slightly used by iSeeCars) hybrid SUV with the thinking that you’ll be saving a lot of money, this is a vehicle you’re actually better off going the brand-new route instead.
Toyota IMV 0 Concept front 3/4 shot inside a canyon.
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In order to give you the most up-to-date and accurate information possible, the data used to compile this article was sourced from various manufacturer websites and other authoritative sources, including Cox Automotive, iSeeCars, and Toyota.
A Toyota Sequoia Hybrid Has The Best Resale Value
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According to iSeeCars, the hybrid SUV with the best resale value is, unsurprisingly, a Toyota. The brand-new three-row Sequoia, to be precise. Remember the part where the depreciation curve is at its steepest during the first five years of ownership? Well, that doesn’t seem to be the case with the new Sequoia.
It Loses Less Than Five-percent Of Its Value
Cars are rarely an investment, and even for the Sequoia, that’s still the case. However, if you want to make the most out of your buck, the new Sequoia, which is solely offered as a hybrid in 2024, only loses 4.6 percent of its value after a year. This is a vehicle we wouldn’t recommend getting as slightly used due to how little value it loses in a year, so you’re better off looking for the spec you want at a dealership. However, if you manage to find a one-year-old model that fits your spec, you will indeed enjoy a tiny amount of savings–probably one that’s enough for you to go on a holiday.
How It Compares To Other Cars
In the iSeeCars list of vehicles with the least amount of one-year depreciation, there is another vehicle that competes in the same segment as the Sequoia. While the Sequoia is seventh on this list, the Chevrolet Tahoe is 15th, losing 8.1 percent of its value in a year. Still good, mind you, but versus the Sequoia? The clear winner is obvious.
(Data sourced from iSeeCars)
âââââââThanks to the popularity of SUVs and crossovers, the list is unsurprisingly dominated by these vehicles, including trucks. In fact, out of the 20 vehicles on this list, there are 13 SUVs, trucks, and crossovers, with the remaining seven being various passenger car body styles.
Bronze Toyota Crown profile
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Why The Toyota Sequoia Hybrid Has Strong Resale Values
The Toyota Sequoia doesn’t just hold its value strongly after a year, it also is the top full-size SUV when it comes to five-year depreciation according to iSeeCars. The Toyota Sequoia only loses 38.7 percent of its value, which is near the industry average of 38.8 percent, but is actually the best in the full-size SUV segment.
(Data sourced from iSeeCars)
It’s A Rugged, Full-Size SUV That’s Also A Hybrid
Americans love SUVs and crossovers, more so if it’s a rugged body-on-frame full-size one. Car-based unibody crossovers are the modern-day MPV since these have road-biased handling and similar (but not the same) practicality as the boring people carriers it replaced, but these vehicles won’t have the off-road capability that a truck-based body-on-frame SUV can do.
If you’ll notice as well, the SUV category in the list is subdivided into three segments: small, midsize, and full-size. Though there’s no small body-on-frame SUV in the United States, there is a plethora of body-on-frame choices in the midsize and full-size segments. Take a look at the list, and you’ll see that the SUVs in these two size classes that have the least depreciation are body-on-frame rugged ones with a high degree of off-road capability. Finally, as mentioned, because this is a hybrid, the Sequoia has all the right ingredients to be desirable to its core customer base.
And, Finally, It’s A Toyota
Do we need to state the other obvious reason? Apart from having a fundamentally awesome product, it also pays to have a brand whose reputation was built through years and years of trust and extreme levels of dependability. Take a look once again at the iSeeCars lists (any of their lists, in fact) and there’s one brand that you’ll see way too many times. That is, of course, Toyota, whose brand was known for making cars that won’t leave you stranded on the side of the road.
But also core to the brand’s reputation that leads to strong resale values is the brand-dealer-customer relationship. Dealers have a two-way relationship with the brand, and because of this, it leads to optimized dealer operations, which then makes dealers able to provide top-notch customer service.
Toyota has a relationship that transcends the entire auto industry. From R&D to production to the dealership and finally, the customers purchasing these vehicles, Toyota takes care of every process of the automotive business. More than just having great products, a brand can still fail if it doesn’t build a relationship with everyone in the food chain, but with Toyota, they’ve mastered taking care of its own business, as well as the other businesses and the people that depend on it.
Red 2023 Toyota Sequoia Hybrid Front 3/4 Shot
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What It’s Like To Live With A Sequoia Hybrid
So you’ve been convinced by our article to get a Toyota Sequoia Hybrid? That’s great! Toyota, we want our commission now. Just kidding, but anyway, the Sequoia Hybrid is all-new for the 2024 model year. Considering that the previous Sequoia was around for 14 years, the technological and driving dynamics leap is undoubtedly going to be huge. Thankfully, our team has comprehensively reviewed the Sequoia Hybrid in range-topping Capstone trim, so you can vouch for us in our opinions on what life is like with a new Sequoia Hybrid.
A Near-Lexus Experience…
By opting for this range-topping Capstone trim, the interior is as luxurious as a full-size SUV from a non-luxury brand can get. In fact, in our opinion, it’s almost as good as a Lexus for how the premium materials feel and the overall sheer scale and luxury that the interior exudes. There’s also the elegant yet imposing styling that’s also matched by a well-designed and well-engineered iForce Max 3.5-liter twin-turbo V-6 parallel hybrid drivetrain.
Producing 437 horsepower and 583 pound-feet of torque, this electrified drivetrain sounds good whilst having a smooth demeanor. The engine’s filled with torque that’s not just enough to haul the Sequoia’s body, but also pull up to 9,000 pounds. Finally, by going hybrid, it’s a lot more efficient than the V-8 it replaces. The previous Sequoia in rear-wheel drive (RWD) has a 15 MPG combined EPA-estimated fuel economy figure while adding four-wheel drive (4WD) drops this to 14 MPG, but the new one does 22 MPG with RWD and 20 MPG with 4WD.
… That’s Spoiled By An Unsettled Ride
Unfortunately, spoiling that near-Lexus experience is its ride quality. Despite switching to a multi-link rear suspension, the ride is actually harsher than the previous Sequoia. Granted, body-on-frame SUVs are not as comfy as unibody crossovers SUVs, especially with most of them having solid rear axles, but with the new body and the more sophisticated suspension set up, it’s the only aspect that’s spoiling the otherwise serene and relaxing driving experience.
Finally, though this is a much more minor niggle, there’s no permanent four-wheel drive option available. What you only have is the traditional 2H, 4H, and 4L settings along with a button for the locking differential, which is perfectly fine for most seasoned off-roaders. For those who want more nuanced control depending on the terrain or even an automatic permanent 4WD setting, other SUVs have this capability.