A recent report shows that GM vehicles that were affected by the most recent round of recalls have dropped in value twice as fast as other cars in their segments.
The major recall was for the ignition switches and it caused many deaths and accidents, so you can see how people would not want to buy these cars. No surprise there.
The study looked at 2005-2007 Chevrolet Cobalts, 2007 Pontiac G5, 2003-2007 Saturn Ion, 2006-2007 Chevrolet HHR, 2006-2007 Saturn Sky and 2006-2007 Pontiac Solstice. All six models were among the 2.2 million cars recalled in the U.S.
From march til June of 2014 the prices of these cars fell 14 percent.
That’s great for bargain shoppers, but terrible for folks who own any of these.
GM recalled a total of around 11 million cars, so I’m sure we’ll be posting future depreciation studies of other models in the near future.
If you’re looking to buy one of these models, contact GM’s HQ with the VIN number and make sure the recall has been done.