Why Subaru Holds Its Value So Well: A Comprehensive Guide to Understanding Subaru’s Residual Value

When it comes to buying a car, many people consider it a long-term investment. Therefore, it’s essential to purchase a vehicle that holds its value and retains its market worth. One such automaker that has established a reputation for holding its value well is Subaru. In this guide, we will discuss why Subarus hold their value so well and which models and factors contribute to their long-term investment capabilities.

What Does Holding Its Value Mean?

Before we dive into the specifics of Subaru’s residual value, we must understand the term residual value or holding its value. Depreciation is a critical aspect of the automotive market, and it is the rate at which a vehicle loses its value over time. Therefore, holding its value means that a vehicle maintains a higher percentage of its original value over time.

In the automotive industry, residual value is used to estimate the value of a car after several years of use. It is calculated based on factors such as the vehicle’s condition, mileage, age, and popularity. Vehicles with higher residual values tend to retain their market worth better than those with lower residual values.

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Factors that Influence the Residual Value of Subaru

Several factors contribute to the residual value of a vehicle. These include but are not limited to:


One of Subaru’s selling points is its reliability, which is vital in retaining its market worth. Subarus are known to have well-built engines that can handle high mileage without regular repairs. Vehicles that require fewer repairs tend to have higher residual values, and that is where Subaru outperforms many other brands.

Safety Features

Subarus are equipped with advanced safety features that appeal to safety-conscious buyers. The brand has earned numerous safety awards over the years, such as the Top Safety Pick award from the Insurance Institute for Highway Safety. The confidence that this brings in the minds of consumers positively impacts a vehicle’s residual value, as safety is always a crucial consideration in any vehicle purchase.


The popularity of a brand or specific model also influences its residual value. Subaru has become a more prominent brand in the industry, with a loyal customer base that appreciates the functionality and longevity of the brand’s products. The more in demand a particular vehicle is, the higher its residual value will be.


Subarus are known for their durability and long lifespan compared to many other brands. Most Subaru models can last for over 250,000 miles with proper maintenance, which is another factor that contributes to their high residual value. A vehicle that can take you many miles with little to no major repairs is always a sound investment.

Subaru Brand’s Historical Performance in Terms of Residual Value

Over the years, Subaru has performed well in terms of residual value. According to the 2021 ALG Residual Value Awards, Subaru is the top brand for residual value in the mainstream automaker category. Furthermore, six of the brand’s models were recognized for having best-in-class residual value in their respective segments. This impressive performance indicates that Subaru’s high residual value is not just a fluke but is part of the brand’s core values.

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Which Subaru Models Hold Their Residual Value Best?

Several Subaru models hold their residual value better than others. These include:

Subaru WRX

The Subaru WRX is a performance-oriented vehicle that holds its value well due to its popularity and durability. The car’s superb handling, reliability, and iconic design make it a top choice for enthusiasts and collectors.

Subaru Crosstrek

The Crosstrek falls into the small SUV segment and has become a popular choice for families and young professionals. The car’s spacious interior, excellent safety features, and off-road capability make it an excellent choice for those who want a vehicle that can do it all.

Subaru Outback

The Outback is one of Subaru’s most popular models and has been a top seller for many years. Its high residual value is partly due to its crossover design, which appeals to new car buyers. Additionally, the car’s rugged capability, ample cargo space, and advanced technology give it an edge in its segment.


Q. Are Subarus expensive to maintain in the long run?

A. No, Subarus are not expensive to maintain in the long run. Subaru vehicles are designed to last and require fewer repairs compared to other brands.

Q. Why do Subarus hold their value so well?

A. Subarus hold their value well due to their reliability, longevity, popularity, and advanced safety features.

Q. How can I ensure my Subaru holds its value well?

A. To ensure your Subaru maintains its residual value, you must keep it well-maintained with regular servicing. It would also be wise to avoid any significant accidents or modifications that may decrease the vehicle’s value.

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In conclusion, Subaru’s ability to hold its value well in the long term is a testament to the brand’s quality and reliability. The factors that contribute to Subaru’s high residual value include its advanced safety features, durability, popularity, and the brand’s history of reliability. If you are in the market for a car that offers a long-term investment, Subaru may be an excellent option for you.

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Alton Brobst

As a longtime Subaru enthusiast, Alton brings a wealth of knowledge and experience to our blog. From his early days of tinkering with engines to his current role as a certified Subaru technician, Alton has seen it all when it comes to Subarus. When he's not working on cars, he enjoys hiking and exploring the great outdoors.

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