Even After Running 40,000 km, Residual Value at 98%: What Kind of Car Is It...

Encar.com, Residual Value Analysis of 8 Family SUVs

2020 Genesis GV80 Launch Event / Goyang = Photo by Hyunmin Kim kimhyun81@

[Asia Economy Reporter Choi Dae-yeol] The relatively high prices of used sports utility vehicles (SUVs) are due to strong demand. Their popularity in the new car market has also surged over the past three to four years, thanks to their suitability for camping and leisure, as well as spacious interiors and cargo areas. The high demand for SUVs is clearly reflected in recent used car prices.

According to data from the used car trading platform Encar.com on the 11th, the residual value of popular trims among eight family SUV and recreational vehicle (RV) models currently sold in Korea averaged around 89% as of early this month. The survey covered 2020 models with no accidents and 40,000 km mileage, including Hyundai’s new Santa Fe and Palisade, Kia’s Carnival and Sorento 4th generation models, Genesis GV80, Renault’s new QM6, Ssangyong’s Beautiful Korando, and Chevrolet Traverse.

Typically, demand for used SUVs tends to increase in early autumn or before the Chuseok holiday, making this a period when prices are relatively high. The company explained, "SUVs tend to hold their value well, and some of the surveyed models still face delays in new car delivery times. The increased demand for used cars has influenced the residual values."

The model with the highest residual value was the Genesis mid-large SUV GV80 Diesel 3.0 AWD, recording 98.8%. This vehicle also ranked first among domestic SUVs in Encar.com’s ‘Most Desired Leisure SUVs’ survey last November. The company noted that steady new car demand for family and leisure use continues into the used car market.

In the new car sales market, the Kia Sorento, which competes closely with Hyundai’s Grandeur sedan for first and second place, also showed high residual value. The Sorento 4th generation 2.2 2WD Signature model recorded 96.1%, the second highest among the surveyed vehicles. Hyundai’s new Santa Fe Diesel 2.2 2WD Prestige was at 95.2%, and Kia Carnival 4th generation Diesel 9-seater Signature at 94.9%. The Palisade Diesel 2.2 2WD Calligraphy, popular as a large family SUV, showed 91.0%.

Following these, Renault’s new QM6 2.0 GDe RE Signature 2WD had 82.8%, Ssangyong’s Beautiful Korando Gasoline 1.5 2WD C5 Plus had 78.6%, and Chevrolet Traverse 3.6 AWD Redline showed 77.0% residual value.

An Encar.com representative said, "As the season with increased travel approaches, consumer demand for popular SUV models continues into the used car market, supporting price retention. Especially since the new car delivery delays expected to ease in the second half of the year have not yet been resolved, inquiries for nearly new SUVs appear to be increasing."