Autoblog and Yahoo may earn commission from links in this article.Desirable they may be, but BMWs are known for their heavy depreciation rates. The very technologies and advanced powertrains that make German luxury cars so appealing when new also lead to their values tumbling as the years roll by. The knowledge that these cars can be prohibitively expensive to maintain outside the warranty period is another factor. Some BMWs do a much better job of retaining their value after five years than others, though. Certain SUVs and M models typically come out ahead of large sedans and electric BMWs. By using CarEdge depreciation data, we've ranked the five BMWs that hold their value best, from worst to best depreciation rates after five years.5. BMW M52026 BMW M5BMWFollowing five years of ownership, the legendary BMW M5 is anticipated to depreciate by 46%, just strong enough to earn it a spot on this list. As we'll see, this is one of several M models that retain value better than comparable non-M models. M5 Resale Specs46% depreciation over 5 years5-year resale value: $66,372AdvertisementAdvertisementThere's a bit of a question mark over the M5, though, since it transitioned to a plug-in hybrid less than five years ago. Since PHEVs usually suffer high depreciation, it will be interesting to see if the current M5 can maintain the depreciation rate of its simpler, less complex predecessors after a full five years. What isn't in question is the M5's immense performance; the current model is a 717-horsepower behemoth that's capable of reaching 60 mph in around three seconds.4. BMW X6 M2026 BMW X6 MBMWAfter five years, CarEdge data shows that the X6 M will depreciate by 45%, which is better than the average of 50% for all BMW models. This figure—along with all the depreciation rates throughout this piece—is based on a vehicle in good condition that has covered an average of 13,500 miles annually.X6 M Resale Specs45% depreciation over 5 years5-year resale value: $73,661After five years, the X6 M will be worth around $73,661, so owners will still lose nearly $60,000 on one. That's a substantial loss, but most who can afford an X6 M will revel in its exceptional power and performance characteristics. The current model produces 617 horsepower from a 4.4-liter twin-turbo V8 and complements that with brilliant handling for an SUV of this size.3. BMW X6 and BMW X5 M (Tie)2026 BMW X6BMWView the 2 images of this gallery on the original articleAdvertisementAdvertisementThe regular X6 and high-performance X5 M are tied, as both will depreciate by 44% in the first five years. The X6 sheds value faster than the X5 M in the first year, but both lose the same percentage of their original value after five years.X6 and X5 M Resale Specs44% depreciation rate after 5 years5-year resale value for X6: $49,9665-year resale value for X5 M: $71,415These are both high-performance SUVs, particularly the X5 M, which shares its 617-hp V8 with the X6 M. The X5 has a more practical cargo area than the X6, but the M model rides more harshly than some may be prepared to live with. 2. BMW Z4 and BMW 230i (Tie)2026 BMW Z4BMWView the 2 images of this gallery on the original articleAdvertisementAdvertisementWe have another tie here, this time between the Z4 and 230i.BMW ended production of the Z4 this year and an immediate successor has not been announced. It's possible that the current Z4's used values could increase, given the fact that it may be the last of its kind and its appeal with enthusiasts. As things stand now, CarEdge data shows the Z4 will depreciate by 40% over five years, better than almost all other BMWs.The 230i also depreciates by 40% over five years, which is better than the six-cylinder M240i (48% over the same period).Z4 and 230i Resale Specs40% depreciation rate after 5 years5-year resale value for Z4: $38,6995-year resale value for 230i: $25,458AdvertisementAdvertisementWe expect values of the six-cylinder Z4 with the manual gearbox to be particularly strong, as BMW only started producing this model from the 2025 model year, so they're rarer than the automatic. And, while the four-cylinder 230i may not be as quick as the M240i, it's still a quick, engaging coupe and will lose you substantially less money when it comes time to sell it again.Related: More Buyers Are Turning to the BMW Z4 as Production Ends1. BMW M42026 BMW M4BMWIf you want to know which BMW holds its value best, here's your answer. The M4 is the only BMW that depreciates by less than 40% over five years, at 39%. The fact that it retains 61% of its value after this period is a mark of its popularity in enthusiast circles. The combination of classic six-cylinder power in a coupe body style is a package that has been revered by BMW fans for decades.M4 Resale Specs39% depreciation rate after 5 years5-year resale value: $63,868AdvertisementAdvertisementMost of the M4's value is lost over the first two years, before stabilizing considerably between years three to five. Available in multiple flavors, the M4 produces as much as 523 hp and delivers an explosive driving experience.Related: Audi Depreciation Turns Some Luxury Models Into Serious Used BargainsWhat BMW Models Depreciate The Fastest?2026 BMW X7BMWView the 3 images of this gallery on the original articleOn the other end of the spectrum, there are some BMWs you should avoid for their steep depreciation. These are the worst of the bunch.It's no surprise to see this list dominated by larger and pricier BMWs, which have historically been some of the worst models on the market in terms of depreciation. The X7 three-row SUV is the worst of the bunch; assuming you buy one for $129,442 when new, CarEdge data shows that the same model will be worth just $48,217 after five years. That's a staggering loss of $81,225. Electrified models are also poor, with the fully electric iX and plug-in hybrid XM both making an appearance. AdvertisementAdvertisementRelated: These Are The 5 Vehicles With The Highest 5-Year DepreciationFinal ThoughtsBMW iX1Karl Furlong/AutoblogOut of 16 luxury brands, BMW ranks sixth for resale value, behind rivals Lexus, Mercedes-Benz, and Audi. It fares much better than the likes of Jaguar and Infiniti, though, so it's by no means the worst. Our rankings show that the specific BMW you buy can determine whether it's a smart financial decision or not. Many enthusiast-pleasing M models perform reasonably, while larger sedans and SUVs shed an enormous amount of value over five years. It's the price one pays for the privilege of driving a luxury German vehicle.This story was originally published by Autoblog on Jun 8, 2026, where it first appeared in the Features section. Add Autoblog as a Preferred Source by clicking here.
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