Honda and Lexus were again named the mass-market and premium vehicle brands most likely to retain more of their value three years after vehicle purchase, according to J.D. Power.
The brands for the fourth consecutive year landed top honors in the J.D. Power 2025 U.S. ALG Residual Value Awards, which recognize value retention as an indicator of long-term vehicle quality.
“[T]he top brands consistently employ a balanced strategy with regard to trim levels, powertrains and pricing, which helps bolster residual performance and long-term value for consumers who are shopping in a highly competitive market,” Danny Battaglia, managing director of ALG customer success at J.D. Power, said in a statement.
Battaglia said Honda remained disciplined with pricing in 2024 versus rapidly inflating prices, which would have reduced the brand’s affordability.
While many brands increased their purchase incentives throughout 2024, Lexus practiced restraint in offering incentives, which contributed to the brand’s value retention, he said
Incentives have a direct negative effect on the resale values of older models, Battaglia said.
Lexus had five models—the IS, LS, NX, RX and TX—receive model-level awards, the most of any brand, according to J.D. Power. Following Lexus, four Toyota models—the GR Supra, Camry, Land Cruiser and Tundra—secured honors. GMC, Honda and Subaru each received three model awards, while 11 other brands also received awards, with most earning recognition for at least one model.
The awards were determined by analyzing 311 vehicle models through used car performance, the brand’s projected prospects and model competitiveness.
