Why I think all trims of the LC will hold their value ...

Gasherbrum

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Aug 10, 2023
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Fair amount of speculation that the Land Cruiser will drop in value once the 2025 4Runner hits dealerships later this year, as the vehicles overlap in many features, appeal to a similar buyer base and most trims of the 4Runner will be cheaper than the lowest cost 1958 LC. However, unlike the big cushy Land Cruisers of a few years ago, the new LC is going to draw interest from buyers looking at the upcoming 4Runner and by simple supply and demand, I think the LC will hold its value well even relative to the 4Runner.

The two vehicles are built on the same platform, are similar in size and off road capabilities and many trims share the identical drivetrains - they're competitors. While the lower trims of the upcoming 4Runners are going to start around $ 45,000 the upper trims are apparently going to be around $ 65,000 plus - almost identical to the mid LC trim. So for a buyer looking at the two vehicles, what makes them different? I'll start with something obvious - how they look, since they definitely differ here - the LC has classic boxy lines while the 2025 4Runner is more modern. Many people like the new look of the 4Runner, while some have said it evokes a Dodge Durango on steroids. Another substantial difference is the cabin area - the LC is taller and has better visibility. These of course are subjective differences.

But a key objective difference between the two vehicles is availability. Toyota sold almost 120,000 4Runners in the US last year, but apparently intends to produce only about 10,000 Land Cruisers this year per Road & Track. So this means there will be a supply of around 12 4Runners for each LC. Consequently, while both vehicles appeal to a similar group of buyers, I think the limited availability of LC's compared to the number of available 4Runners will help the LC to retain its value fairly well. My two cents.
 
I see them focused on different purchaser profiles, i.e. the 4Runner aimed at the younger set. It is essentially a Tacoma forward of the rear seat, back to when the 4Runner was initially conceived. The LC has limited trim levels, essentially two, but we know that will not be true for the new 4Runner. Are we sure the new 4Runner will be made in Japan? Will be very interesting how it all shakes out...
 
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