Planning to buy a new smartphone? Remember that the device may lose half of its value in a month which is even faster than your car, says an interesting study.
While cars typically lost 20 per cent of their value a year after being driven off, money-draining smartphones went down to 65 per cent of their value in just a month of being released, musicMagpie.co.uk reported on Thursday.
The findings showed that only iPhones could retain their value much better than Android-based devices.
While the iPhone 4 continues to retain 39 per cent of its value even five years after its launch, the iPhone 6 (16 GB) has managed to keep 50 per cent of its 539 British pounds market value a year after its release.
However, iPhone 5 showed a significant depreciation, losing 66 per cent of its value after eight months, the report stated.
The highly anticipated Samsung Galaxy S4, which released in 2014 lost half of its value within two months of appearing on the market. That’s nearly a £300 loss off its original selling price of £579, the study said.
HTC One M9 has suffered the worst in the android sector. It was sold for 579 British pounds when released in March 2015 but lost a staggering 65 per cent of its value in just a month.
Phones go down in value because better, faster and technologically superior models replace them.
Demand for a certain phone model can also affect its popularity and consequently depreciate its value, the report concluded.