You've Been Warned: This Midsize Subaru SUV Has Terrible Resale Value
When buying a car, fuel efficiency, maintenance, and safety are often the top considerations. Another important factor is the resale value – essentially, how well the car retains its worth over time. While some cars lose value faster than others, Kelley Blue Book reports that new cars can lose up to 30% of the purchase price in the first two years after purchase. So, when car shopping, it pays to choose a model that holds its value and saves you thousands at resale.
At the time of its launch in 2005, the Subaru Tribeca seemed like a safe pick for a midsize SUV. As Subaru's first attempt at the midsize SUV market, the Tribeca was launched with standard midsize SUV features: a flexible five or seven-seat layout, symmetrical all-wheel-drive, and the Subaru "spread wings" design.
All of this came in a package worth $31,320, which was relatively higher than the cost of the other midsize SUVs, like the Pilot and the Highlander. Despite that, the Tribeca performed well on the market initially, with Subaru selling up to 18,614 units in 2006 and 16,790 in 2007. However, after that, sales began to decline, and by 2014, only 732 units were reported as sold. Kelley Blue Book reports that the Tribeca has depreciated around 26% over the past three years, and the current price, according to Edmunds, ranges from $3,000 to about $13,000 depending on the year and condition of the vehicle.
The hidden costs behind this midsize Subaru SUV
As the decline in Tribeca's sales continued, the resale value also slumped, since fewer people wanted to buy a used version of a car that they wouldn't even buy new. In 2008, the brand made significant modifications to the vehicle, but the slump continued, and the Tribeca was ultimately discontinued in 2014. Owners cited multiple drawbacks. First was the fuel economy, which at 18 miles per gallon lagged behind models like the Toyota Highlander, which delivered 22 miles per gallon. Surprisingly, another reason was the design, which was deemed controversial and, in some reviews, ugly.
The Subaru Tribeca is also costly to maintain. According to YourMechanic estimates, the average annual repair and maintenance cost is $410, with costs reaching $2,169 within the first five years. In comparison, midsize SUVs, such as the Toyota Highlander, average $389 in annual maintenance costs and $1,935 within five years of ownership.Additionally, for Tribeca owners, frequent issues with the engine, transmission, and electrical systems affected the car's rankings for reliability and further reduced its resale value.