By now, we all know the story behind owning a luxury vehicle. The upfront pricing is considerable, but the hidden costs of long-term ownership are equal to or greater than the cost of the vehicle itself. something like this BMW An X5 or Mercedes-Benz GLE could lose half its value before hitting 50,000 miles. This is a premium that you will have to be prepared to pay.
One brand that has always fulfilled this expectation is Lexus. They have a lot of different types of models to choose from. From subdued, almost-premium SUVs like the UX, to the legendary, supercar-level LFA. Probably the best known and most commonly purchased is RX. Then, of course, the ES will now be the brand’s last standard sedan after the 2026 model year. However, which one encompasses all its best qualities?
Brand reputation equals rapid depreciation
We’ve already hit older luxury brands like Mercedes-Benz and BMW for seriously depreciated value. A car that might start at $65,000 might be worth $24,000 after six years, for example, like a Mercedes-Benz C-Class. All the tech and features you’d expect from a luxury car are great in theory. In practice, they cost a lot to fix. This is why leasing for these brands tends to be more popular than actually buying them, because once the warranty expires, you’re on your own.
Luxury SUVs typically lose half their value in five years
SUVs are still considered the more valuable of the two (between SUVs and sedans), but that doesn’t mean they are safe from losing value. According to CarAge, the most popular midsize luxury SUVs like the BMW X5, Mercedes-Benz GLE and Audi Q7 lose 45 to 55 percent of their initial value within the first five years.
An extreme example would be the 2015 Land Rover LR2. The top-of-the-line HSE Lux starts at an MSRP of $43,375. However, according to Kelley Blue Book, it now has a fair purchase price of $9,800. Again, this is an extreme example, but the data clearly shows that people dump these for fear of maintenance issues. Their fears are certainly not unfounded. Even Land Rover’s flagship Range Rover is not safe as their value depreciates between 50 per cent and 60 per cent between the first three and five years.
Lexus is in a league of its own
On the other side of this equation, Lexus vehicles in general depreciate an average of about 38 percent within the same time frame. At the top level, it is at least 18 percent better than its German counterparts. So, not only are you paying an arm and a leg for a German SUV, but you will also be paying another arm and a leg for maintenance. Meanwhile, with Lexus, you haven’t even been to the shop yet.
Brands like BMW and Mercedes-Benz which are completely about the same thing, i.e. luxury, need special attention. You can’t put any old fluid in the engine, and you certainly can’t put any old parts in or around the block. Thankfully, Lexus is a subsidiary of Toyota, so it benefits from having cheap Toyota parts. Lexus has been ranked number one on J.D. Power’s reliability list year after year. This is because it is still a luxury brand with a little more attention to detail than Toyota, even though the parts are almost identical.
This is not the Lexus you think
What do you think would be the smartest Lexus purchase? If you asked the average person, you’d probably guess that it’s their two most popular vehicles: the Lexus ES and the Lexus RX. They’re the most popular vehicles for a reason. They offer great upfront value, a host of powertrains to choose from and competitive styling that delivers the brand prestige customers are looking for. In fact, the Lexus RX has been their best-selling vehicle for decades. It offers comfort, cargo space, room for families, and now comes with a sporty powertrain that can rival German counterparts. However, being popular doesn’t mean that their resale value is incredible.
The ES works, but this is an SUV market
Just look around, don’t you see a lot of Lexus LS sedans driving around? Neither did Lexus. That’s why they’ve unfortunately given it the axe. This is a symptom of the larger problem within the market at the moment; Sedans are not that popular. Now, the ES is currently a mid to full-size sedan. This trait is not exclusive to Lexus. Other brands like Ford and Toyota have discontinued their older full-size sedans like the Avalon and Fusion. The Lexus ES loses only 35 percent in value after about five years, which is good news, but it’s still a tough sell compared to SUVs.
A lesson in RX and basic economics
The Lexus RX is a great lesson in basic economics. According to car sales statistics, in 2025, more than 113,000 units of the Lexus RX were sold. This is an incredibly substantial number, especially for a luxury vehicle. Depending on year and mileage, the Lexus RX’s depreciation value is even lower, between 27 percent and 35 percent. With these two factors combined, there is an abundance of supply, but not always demand. Even though Lexus is a brand that you don’t need to lease and you can confidently own it for a long time, people still often return their leases, flooding the stock.
Literal “do-it-all” Lexus
The answer to the title of this article is undoubtedly the Lexus GX. The Lexus GX 550 is better than the previous generation in every way. Even though it dropped two cylinders, it produced significantly more horsepower (48 more, in fact) than the Lexus GX460. It’s powered by a twin-turbocharged V6 that makes 349 horsepower and standard full-time four-wheel drive. The new GX is also based on the same Toyota Land Cruiser Prado frame that is loved across the world. GX doesn’t let you decide between brand reputation and price.
Land Cruiser Prado Heart with Lexus Badge
The platform in question is the TNGA-F architecture that can be found in American Land Cruisers. Most Lexus and Toyota products will remain on the road for years in the US. The frame is designed for life-and-death situations elsewhere around the world. You might imagine that a twin-turbocharged V6 is going to be stressed because of the turbocharger. It carries the same reliability torch that the Lexus GX 460 lit with its 4.6-liter V8.
Minimum five-year depreciation
According to CarEdge, the current lexus gx 550 there is only one dDepreciable value between 33 percent and 35 percent in the first five years. By comparison, the BMW X5 or Mercedes-Benz GLE loses about half that within the same time frame. Demand for this Lexus is also incredibly high, with the automaker not being able to give a press vehicle to automotive journalists because they need to save every unit for sale. This shows that there is no need to convince the public, and these are selling like hotcakes.
The third-generation GX meets luxury well
Of course, no brand is perfect, and each comes with some type of caveats. The reason Lexus vehicles perform so well in terms of maintenance and reliability is that they often remain the same car for 10 years or more. This was also the case with the previous generation Lexus GX 460 as by the time that generation ended, the main complaint was the age of the interior. It didn’t matter that it got a facelift in 2019 with more modern technology, it was still, by and large, an older vehicle.
From dated to premium
The current third generation has made good progress in terms of interior. While the top-of-the-line Land Cruiser is commendable, for a few thousand dollars more, you can get the base model GX 550 with a larger engine and an updated cabin that reflects current trends. Even though it has a large 14-inch touchscreen that is suitable for modern vehicles, it still has analog-style buttons and dials for essential controls. The 4×4 selector is operated by the flick of a switch, not the touch of the touchscreen. Luxury features include a Mark Levinson sound system and front-row massaging captain’s chairs.
Which trim is the best location?
Another strong point is the pricing. Unlike some of its counterparts, it doesn’t even touch $100,000. Its starting MSRP is around $68,000 and maxes out at $86,000. Trim depends on what your needs are. If you want comfortable comfort, but you also want to be able to go off-road, the OverTrail+ is for you. It comes with off-road tires and a towing capacity of approximately 10,000 pounds. If luxury is more your speed, you can get the Luxury equipped with street tires that also comes with third-row seating. The best thing about this model is that it not only comes with dependability and reliability but also offers a wide variety of trim options to choose from.
- base trim engine
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3.4L V-6 ICE
- base trim transmission
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10-speed automatic
- base trim drivetrain
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four wheel drive
- Base Trim Horsepower
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349 hp @4800 rpm
- base trim torque
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479 lb-ft. @2000rpm
- Base Trim Fuel Economy (City/Highway/Combined)
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15/21/17 mpg
- Make
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lexus
- Sample
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gx
- Section
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midsize luxury suv
Source: Lexus, CarEdge, RepairPal, JD Power
