The Used Lexus Car That Could Be A Good Investment For Retirees

The Lexus RX 350 was named by GOBankingRates as being among the best used SUVs. The half-dozen used vehicle brands in the report made the list because they offer some luxury amenities at economic prices. And the preowned Lexus RX 350 models that came out between 2019 and 2022 were cited as good buys due to their advanced safety systems, dependability, comfort, and resale value. This makes the vehicle a good buy for retirees due to its dependability and, because its used, its cost efficiency.

But to get the most out of your buy, it is best to buy a certified pre-owned Lexus RX 350 from a Lexus dealer because they will "give you the longest warranty and protection," provide the latest in technical service news, and address any recall issues associated with the SUV, automotive expert and journalist Lauren Fix told GOBankingRates. And there were recalls. For the 2019 RX 350 L there were four recalls due to defects in its fuel system, according to Consumer Reports, and there were recalls for the 2020 and 2021 models in relation to their fuel systems and airbags. Under such recalls the dealer is obligated to fix the problem for free.

Nevertheless, Lexus RX 350 between 2019 and 2022 models generally received decent reviews from consumer and automotive websites in terms of safety and reliability. ReRev listed 2019, 2021, and 2022 as among the Lexus RX 350's best years based on user reviews and reports from the National Highway Safety Traffic Administration. And the he 2020 model was lauded by Car and Driver for its fuel efficiency, safety devices and "cushy ride" though slammed for its slow acceleration and confusing infotainment controls. (Car and Driver gave similar reviews for the 2019, 2021 and 2022 models).

In regards to retaining value, CarEdge noted that while the Lexus RX 350 will depreciate 31% in value after five years, it is often listed among the "top five luxury vehicles for maintaining value." Plus, although Lexus is a Toyota luxury brand, the cars do not cost that much to fix. In its first 10 years of service it costs $7,872 to maintain and repair a Lexus RX 350, which is $4,622 lower than the industry average for a luxury SUV. That's also significantly less than the $9,662 it will cost you to maintain a Chevrolet brand car in the course of a decade.

As for how much it costs to buy a Lexus RX 350, current estimates from Edmunds.com range anywhere from $24,000 to about $51,000. That could be within the financial reach of someone over the age of 65 with a decent amount of retirement income provided the monthly car payments are equal to no more than 10% of the buyer's net worth. In the case of a 2019 Lexus RX 350, car payments average $532 a month, Edmunds.com stated, while for a 2022 vehicle, installments average $559 a month.

If those payments are out of your reach, there are used cars that retirees should consider buying for $10,000 or less. After all, income tends to be more limited after retirement and some retirees won't benefit much, if at all, from the new senior deductions offered in the One Big Beautiful Bill Act. So, retirees should probably maintain a budget and avoid acquiring items they will instantly regret buying such as a car that is just too expensive.