Find the depreciation rate of your Ford Ranger in the graph below.
Every vehicle starts to depreciate, or lose its value, from the time you purchase it, and the Ford Ranger is no exception. The highest depreciation occurs over the first year. After the steep loss in value in the first 12 months, the Ranger will depreciate at a slower rate each year until it reaches the four-year mark. All vehicles depreciate at different rates, depending on their make and model. By learning about the Ford Ranger depreciation rate, you can make an informed decision about whether to purchase the vehicle based on its long-term value and total cost of ownership.
Keep in mind that just because the vehicle costs the least to own in the sweet spot we have outlined here, you still may not want to own the vehicle during these depreciation sweet spot years. Although vehicles depreciate less as they get older, they have more repairs. Duh right? However, keep in mind that repairs don’t just cost you money, they cost you time. Reliability is the difference between being able to make it to your destination on time or missing an opportunity because the car broke down.
Check out our article on the best and worst years of the Ford Ranger to see our reliability ratings for all years of the Ranger between 2001-2022. We also cover MPG, safety ratings, and a number of other factors. We pulled data from Rangers registered in our app and surveyed owners to get you data-backed answers on just how good or bad each year of the Ranger is.
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Ford Ranger Depreciation
|Model Years||Mileage||Amount Depreciated||Residual Value Percentage||Resale Value|
The chart above conveys the approximate depreciation for a Ford Ranger, based on Kelley Blue Book data since 2001. It assumes a vehicle in standard trim, a generic color such as black or white, and a mileage of 12,000 per year.
Keep in mind that the auto market was heavily affected in 2020 and beyond. Automakers selling new cars during the COVID pandemic raised prices which caused a spike in demand in the used car market as people tried to save money. Many automakers, however, did not drop prices after the pandemic, they kept them so they could make a larger profit.
This is why the most recent years of many vehicles have seemingly experienced less depreciation. Some, such as 2003, may have even appreciated due to the heightened levels of inflation created.
Factors That Impact the Ford Ranger Depreciation Rate
From its beginnings as the maker of the Model T, Ford has grown to become one of the most recognizable vehicle brands on the market. The American auto company prides itself on building innovative, forward-thinking vehicles at affordable prices. While Ford produces a range of popular vehicles, it’s struggled in recent years with issues related to quality. In rankings, it falls below other car brands for reliability. Ford’s reputation can affect the depreciation rate of its vehicles, but it’s not the only factor to consider. Here are other factors that can impact the depreciation of your Ranger:
A vehicle’s model year can be a big factor in its depreciation rate. Model year refers to a particular edition of the car, not necessarily its year of release. For example, many automakers release next-year vehicles months before the new year arrives.
Vehicles depreciate as they age, though the most depreciation usually occurs in the first few years. Outgoing model years, in particular, depreciate quickly once a new generation arrives on the market. In addition, car manufacturers update their vehicles each year, often adding new technologies and safety features. For this reason, some model years are better than others, which can affect their depreciation.
Body type, also known as body style, refers to the size and classification of a vehicle, and can impact how quickly a vehicle depreciates. Examples of different body types include sedans, hatchbacks, coupes, sports cars, convertibles, station wagons, sport-utility vehicles, and pickup trucks. In North America, there’s a high demand for SUVs and pickup trucks, so these body styles tend to depreciate at a slower rate. Luxury cars usually depreciate the fastest.
The Ford Ranger is a small to midsize pickup truck available in different cab configurations. Until 2011, Ford sold the Ranger as a small truck. After discontinuing the Ranger after the 2011 model year, Ford resurrected the popular model in 2019 as a midsize truck. Generally, pickup trucks depreciate more slowly, giving the Ranger an advantage. If demand begins to increase for smaller cars, such as sedans and hatchbacks, the Ranger and other pickup trucks may start to depreciate faster.
Similar to age, mileage can be an influential factor in a vehicle’s resale value. Typically, vehicles with higher mileage show more wear and tear, and they may require advanced maintenance and repairs. For this reason, high-mileage vehicles often have lower resale values.
The average person drives slightly more than 1,000 miles each month, so we base our models on 12,000 miles of driving per year. If you drive your Ranger more than that, it might depreciate more quickly. However, if you drive fewer miles than the average each year, your Ranger might retain its value better.
Not only does routine maintenance keep your Ranger running smoothly, but it can also increase its value. Maintenance refers to a vehicle’s service history, such as oil changes and tire rotations. These services can keep a car in good condition with minimal wear and tear. When you keep your car in good condition, you can expect to get more for it when you’re ready to sell.
However, it’s important to remember that there will come a time when it’s not cost-effective to continue maintaining a vehicle. When maintenance or repairs exceed a vehicle’s worth, it might be better to purchase a new one. You can spend the money to keep fixing your Ranger, but there’s a chance you won’t see a return on your investment when you eventually sell it.
For some people, color is a major factor in their car-buying decision, and the color of your Ranger can impact its resale value. A recent study by iSeeCars found that certain colors depreciate more slowly than others. Specifically, colors such as yellow, orange, and green depreciate at a slower rate, probably because they’re less common than other colors. In contrast, mainstream colors such as gold, black, brown, and silver depreciate at faster rates. If you want to get the maximum resale value for your Ranger, choose one in a color that depreciates more slowly.
Other Costs of Ford Ranger Ownership
While it’s important to consider depreciation when purchasing a Ford Ranger, there are other costs to consider as well. Here are some other expenses that contribute to the total cost of ownership:
Insurance can be a major cost related to owning a vehicle. While insurance companies consider various factors when determining your rate, the vehicle you drive can impact how much you pay. Insurers charge higher premiums for some vehicles based on factors such as safety and reliability.
According to MarketWatch, it’s slightly more expensive to insure a Ford Ranger than other vehicles. It costs about $155 per month to insure a Ranger, or about $1,855 per year for full coverage. In comparison, the average insurance cost for all vehicles is $1,730 per year.
You can maintain your Ranger’s condition and value by taking it in for routine maintenance. On average, it costs $684 per year to maintain a Ford Ranger. That’s about the same as the average maintenance cost for all vehicles, which is $694 per year. If you own a Ranger for eight years, you’ll spend about $5,472 on maintenance costs throughout your ownership.
Keep in mind that some model years may be more expensive to maintain than others. You can compare the maintenance costs of different Ranger model years by using our graph. In particular, these model years may have issues that require you to spend more on maintenance and repairs:
The Best Model Year To Buy a Ford Ranger
Based on factors including price and reliability (but not depreciation), our choice for the best Ford Ranger model years to buy are the 2003, 2008, 2010-2011, and 2019-2021, but check out our article on the best and worst years of the Ranger to get the whole story.
When you take depreciation into account, we recommend purchasing a 2008 Ford Ranger. It’s one of the best model years in terms of quality, and it’s also within the sweet spot for depreciation.
Buying a Ford Ranger New vs. Used
|Years Since Purchased||Depreciated Value||With Inflation|
When purchasing a Ford Ranger, you may be debating whether to choose a new or used model. It’s helpful to compare the cost of depreciation as you make your decision. After three years of ownership, a 2020 Ford Ranger has accumulated about $8,114 in depreciation. Today, it’s worth about $23,557, adjusted for inflation. In comparison, a brand-new 2023 Ranger will accumulate about $7,014 in depreciation in its first three years. After that time, it will be worth an estimated $23,946, factoring in inflation.
As you can see, both models accumulate about the same depreciation costs, and they have similar values after three years. However, when you purchase the used Ranger, the original driver loses that money over the first three years instead of you. By the time you purchase the vehicle, it’s already accumulated the greatest depreciation.
When purchasing a used car, make sure to do your research to learn about depreciation. You can use Kelley Blue Book or similar resources to determine the value of used models. Consider other costs of ownership, such as insurance and maintenance, as you make your decision.
The data we’ve presented in this article applies to a base trim Ford Ranger with standard equipment. If you purchase a higher trim or a model with advanced options, it might have a higher resale value. Other factors can determine the depreciation and resale value of a Ranger, including its condition and how you choose to sell it. External factors, such as the COVID-era chip shortage, can also affect the resale value of used cars.
Keep in mind, there are large economic factors at play here too and the sale of new cars has caused shifts in the used market too. There is a stark difference in the cost of vehicles due to car manufacturers seeking higher profit margins after COVID as detailed by CNN and posted by CBS channel 58:
“… (T)he auto industry saw sky-high profits even as sales plummeted. Domestic manufacturers of cars and car parts saw a profit of $32 billion through the third quarter of 2022 (the latest data available) — their largest profit since 2016. Car dealerships also reported record-breaking profits through Q3, according to auto-retail advisers Haig Partners.
That’s because pandemic-era pent-up consumer demand remained strong as supply shifted, allowing automakers to increase their prices and their profit margins. Cars and trucks were sold nearly as soon as they hit dealership lots, and the average price paid for a vehicle in December soared to a near-record high of $46,382, according to J.D. Power.
Data from the Labor Department’s November Consumer Price Index shows American consumers are paying about 20% more for cars than they were in 2019.
The trend could continue into next year — research website Edmunds expects new-car sales to hit 14.8 million in 2023, a marginal increase from last year but well below pre-pandemic levels.
The auto industry has entered a new era: Less choice, higher prices and larger profit margins. So far it seems to be working for them.”
This shift by car companies to create higher profit margins by taking advantage of the heavily-reported-on chip shortage panic of COVID has had rebounding effects upon the value of used cars.
Be aware that newer years (the latest 3-4 model years) may be inflated in price because of this and depending on how big this problem is for the model you are considering – it may even be inflating the price of the older model years.
Frequently Asked Questions About Vehicle Depreciation
In general, Ford Rangers hold their value fairly well. The resale value of your Ranger can depend on various factors, including age, mileage, and condition. In addition, how you choose to sell your Ranger can impact its value.
For example, if you have a 2021 black Ford Ranger XL with standard equipment in good condition, you will get $21,967 for the truck if you trade it in at a dealership. However, if you sell the same vehicle privately, you can get up to $25,554, according to Kelley Blue Book.
The best model years of the Ford Ranger are 2003, 2008, 2010-2011, and 2019-2021. These model years have high ownership satisfaction ratings, good reliability scores, and a lower chance of major mechanical issues. Among these model years, the 2008 Ford Ranger is within the sweet spot for depreciation, making it an excellent value.
If you’re looking to buy a used Ranger, we recommend avoiding these model years:
These model years have various issues, including lower safety scores, higher ownership costs, and a greater likelihood of needing major repairs. Even though some of these models fall within the depreciation sweet spot, you may be better off purchasing other model years.
Considering how hard people can be on trucks, maintenance is going to be the most important factor in keeping the Ford Ranger on the road. With proper care and maintenance, you could see trucks with 175,000 miles or more. Based on our data, a high-mileage Ford Ranger could be anything over 145,000 miles.
Older Ford Ranger models (2001-2011) show an average mileage range between 100,000 and 196,000. The 2004 Ranger has one of the highest mileages in our surveys, but there are a couple that get more than 180,000 miles. If you want a Ranger with an excessive amount of mileage, the resale value is going to be lower, but there isn’t going to be a lot of wiggle room to make repairs without exceeding this value.
Purchase a 2005-2008 Ford Ranger to avoid the most depreciation. That’s the depreciation sweet spot for this Ford truck. For the best overall value, we recommend purchasing a 2008 Ranger.
(2022.) Ford Ranked 18th in 2022 Consumer Reports Reliability Survey. Ford Authority. Retrieved Oct. 16, 2023, from https://fordauthority.com/2022/11/ford-ranked-18th-in-2022-consumer-reports-reliability-survey/
(2021.) How Ford’s Making Sure Quality Is Job 1 Once Again. CNET. Retrieved Oct. 16, 2023, from https://www.cnet.com/roadshow/news/how-fords-making-sure-quality-is-job-1-once-again/
(2018.) Ford Ranger: Where It’s Been and What We Know About the New 2019 Model. CNET. Retrieved Oct. 16, 2023, from https://www.cnet.com/roadshow/news/history-ford-ranger-pickup-truck/
(2022.) Average Annual Miles Per Driver by Age Group. U.S. Department of Transportation, Federal Highway Administration. Retrieved Oct. 16, 2023, from https://www.fhwa.dot.gov/ohim/onh00/bar8.htm
(2023.) The Best and Worst Car Colors for Resale Value. iSeeCars. Retrieved Oct. 16, 2023, from https://www.iseecars.com/car-color-study
(2022.) Ford Insurance Cost. MarketWatch. Retrieved Oct. 16, 2023, from https://www.marketwatch.com/guides/insurance-services/ford-insurance/
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