Luxury Cars Potentially Becoming More Affordable by Spring 2025
If you’re in the market for a luxury car, there’s some good news on the horizon. Experts predict that several sought-after high-end vehicles may see price reductions later this spring. While these cars won’t exactly become “cheap,” economic indicators suggest a potential decrease in value for many of the most popular luxury models.
“Due to the state of the used EV market, changes in consumer sentiment, and other industry-wide drivers, these luxury vehicles will likely see some of the most significant drops in value by the spring of 2025,” explained Joe Giranda, director of sales and marketing for CFR Classic.
Here’s a look at five luxury cars likely to experience significant price drops:
Mercedes-Benz S-Class
The Mercedes-Benz S-Class could struggle to retain its value. Giranda notes the S-Class faces increasing competition from rivals like the BMW i7 and Lucid Air. “The aging tech in the current generation may further drive depreciation as those models match or exceed its luxury appeal,” he said. Furthermore, the S-Class’s hybrid and gas-powered trims face rising competition due to the falling prices of used EVs, particularly if premium used EVs become more accessible.
Porsche Taycan
The Porsche Taycan is one of the vehicles set to experience a price drop.
“The Taycan is already depreciating significantly and its value could drop further,” Giranda stated. Recent reports indicate the Taycan’s resale value has decreased by 26.5% over the past year, currently around $73,976. According to Giranda, rapid advancements in EV battery technology, coupled with the influx of new electric models, contribute to this trend. “For those seeking range as well as cost efficiency, newer models will replace older Taycans, potentially pressuring dealers to offer discounts to move out inventory,” Giranda added.
Tesla Model S
Giranda also pointed out that the price of a used Tesla Model S has fallen by 13.6% in 2024. This is partly due to Tesla’s ongoing price cuts, the vehicle’s aging design, and growing competition. “The Model S underscores how oversupply, stiffer competition, and evolving buyer preferences in the luxury EV space are diminishing its allure,” Giranda said. “Tesla’s aggressive marketing of cheaper, more advanced models aggravates the situation.”
BMW 5 Series
Used hybrid trims are already losing value, signaling a possible shift among luxury buyers toward electric alternatives. Giranda explained, “The enthusiasm surrounding the 2025 refresh of the 5 Series, paired with the production of available units, is expected to hamper the attractiveness of this model in the used market.” This shift may lower the resale value of older versions of this luxury sedan.
Maserati Levante
“Broader market trends toward affordable electric options are likely to force dealerships to offer steep discounts and financing incentives to sell out this model,” Giranda said, drawing parallels to the Tesla Model S.
