Why Experts Avoid Black and White Cars: The Resale Data Most Buyers Never See

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Why Experts Avoid Black and White Cars: The Resale Data Most Buyers Never See

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Head into any up-to-date car dealership today and you’ll see that the cars all look extremely alike. Dark, white, gray and silver are present on nearly every showroom floor, and even the bright colours seem to be few and further between. Many say that about 80% of all the new vehicles in the US are currently painted in color shades that are basic gray, white, black, or silver, which indicates that consumer choices are changing some colour options are becoming a little plain in cars. Providers still offer an average of 6.7 colour choices per model, but consumers prefer the business colors since they be seen as functional, handy, and “safer” to sell.

Devaluation studies suggest that the colours of the most frequently purchased cars depreciate more quickly than less frequently bought ones. This means that yellow, orange and green cars generally retain a higher percentage of the purchase price, while some luminous colours could be safer to drive and more easily spotted. There are plenty of other factors to consider when deciding on a paint colour for a new car, including resale value, the risk of being involved in an accident and how many retailers stock vehicles of this colour.

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1. Black, White and Grey Cars Dominate the Automotive Market

Over time, many new vehicles on dealership lots look almost exactly the same. Out of all the vehicles bought and sold throughout the country, a remarkable 80% feature black, white, grey or silver colour schemes monochromatic tones that have become a staple in the automotive world. That was in 2004, when only 60.3% of new cars and trucks sold were painted in black, white, grey or silver. However, since automakers list an average of 6.7 colour options for each individual model of car or truck, there still are many different hues on the market.

The Rise of Grayscale Cars:

  • Grayscale colours dominate new sales
  • Around 80% choose neutral shades
  • Market share reached 60.3% in 2004
  • Colourful alternatives continue losing popularity
  • Models average 6.7 colour options

Black, white, grey and silver colours that have flooded the nation’s roadways and dealer lots have significantly changed how new cars and trucks looked during the last decade. These all-American colours are well known within every vehicle segment so that colourful alternatives appear more peculiar. Even as automakers continue to offer a variety of paint options, the dominant share of neutral finishes mean that many consumers are less inclined to gravitate toward more expressive colours. Compared with the 2004 market, a decade ago, in which colourful cars represented nearly 40 percent of new-vehicle sales, today’s market has been tilted to all-American colours.

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2. Why Most Car Buyers Prefer Neutral Colours

Most drivers choose black, white, grey and silver for three main reasons. First, most shoppers feel that a neutral colour is the easy choice they won’t have to make a statement with their vehicle, and they can buy the same shade when it’s time to upgrade in several years time. Second, every trim and every dealer stock will have a familiar dark shade to choose from, so consumers don’t have to pay extra for a more unique hue. Third, consumers believe that it will be easier to sell or trade in a popular, traditional colour in the future. Even shoppers who are attracted to bright colours often settle for a neutral finish.

Why Neutral Colours Remain Popular:

  • Easy choices for long-term ownership
  • Avoid making bold style statements
  • Widely available across dealerships
  • Offered across numerous vehicle trims
  • Assumed to simplify future resale

This cycle is perpetuated across the car market. Drivers demand more neutral cars because it’s easier to find them when shopping and retailers carry many of these colours because they sell well. Ease of purchase is therefore also a factor in the buying process. Many individuals also believe that black and white are universally stylish and will always be readily acceptable, regardless of changing trends; the fact that it’s easier to sell a black or white car would reinforce these values even further. But is this really the case? A colour that is easy to purchase new doesn’t always translate into the most popular choice when trading-in; knowing the facts surrounding depreciation rates can challenge some of the more prevalent beliefs surrounding the world of colour.

3. Black and White Vehicles Lose More Value Over Three Years

So, when it comes to resale value, does black or white offer the best value? According to research conducted by I See Cars, the complete answer is “no.” Vehicle value depreciation data from a three-year study of used cars reveals that both of the most popular colours during new-car purchases, black and white, are actually the two worst colours to choose when you’re trying to preserve resale value. White vehicles had an average three-year depreciation of 32.1% and an average monetary depreciation of $15,557. Black vehicles slightly outperformed white in this regard, with a three-year depreciation rate of 31.9% and an average monetary depreciation of $15,381.

Black and White Depreciation Figures:

  • White vehicles lose 32.1%
  • Black vehicles lose 31.9%
  • White depreciation costs $15,557
  • Black depreciation costs $15,381
  • Market average stands at 31.0%

But the results also point out a key distinction between best sellers and highest returners. While white and black cars make up the largest chunk of dealer inventory, both colours do not provide owners of those models any great financial advantage. The iSeeCars study shows that owners of both colours experienced more rapid depreciation on average than they did in 2020 during the first three years of ownership, losing 32.1% and 31.9%, respectively, of their value. The average financial losses for both of those colours also exceeds the average market-wide loss of $14,360.

4. Yellow, Orange and Green Cars Retain More Resale Value

Although black and white vehicles appear to be unable to compete with the strongest depreciation performers in the market, a number of other colour options actually perform significantly better. Colourive’s rankings are led by yellow vehicles, which average a depreciation rate of just 24.0% or a reduction in value of just $13,667 from manufacturer’s suggested retail prices over the period. Orange vehicles are next best at 24.4%, with an average reduction in value of just $9,951. Green vehicles aren’t far behind, with these losing 26.3% of their original purchase price, equivalent to $13,152. Even colours such as red and silver often considered relatively mainstream paint colours outperform black and white with identical three-year depreciation rates of 29.8%.

Best-Performing Car Colours:

  • Yellow depreciation reaches just 24.0%
  • Orange depreciation stands at 24.4%
  • Green vehicles lose approximately 26.3%
  • Red depreciation measures 29.8%
  • Silver depreciation also measures 29.8%

The gap between those figures and how quickly black and white vehicles depreciate is striking, too. Among those colours mentioned above, yellow and orange perform the best, holding onto a higher percentage of its current purchase price over a three-year period. Green colours are also better than average, while red and silver demonstrate that a relatively well-known colour does not mean its value will be worse than the most common shades of grey. Instead of choosing a dull grey because of potential concern for resale value, motorists could consider how much of the purchase price the vehicle maintains with an interesting colour choice.

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5. Colour Scarcity Creates Stronger Demand in the Used-Car Market

The stronger resale results for yellow and orange vehicles are mainly related to supply and demand. “Yellow and orange have been two of the strongest colours for depreciation since we started tracking those numbers, but only on a limited basis and in specific vehicle segments,” said Karl Brauer, I SeeCars Executive Analyst. “If you look at the number of new cars being sold in those colours, they’re not the most popular, but the supply is so limited on the used-car side that there’s a premium for those colours. Buyers want something that stands out, but on the flip side there’s millions of black and white sedans, trucks and SUVs that you can’t buy one of those colours from that you could go buy something else that’s similar in colour.

How Colour Scarcity Supports Value:

  • Limited supply creates stronger demand
  • Yellow remains relatively uncommon
  • Orange attracts distinctive-car buyers
  • Used buyers pay potential premiums
  • Popular neutrals face greater competition

That is the reason why the more popular colours do not always remain the more desirable colours as used cars. The more of the same model there is on the market, the more options there are for buyers to choose from when there is such a glut of similar vehicles for sale. White and black cars will therefore be up against hundreds of thousands of the very same model when buying in the second-hand market. If you look for an orange or yellow car for sale, you may find there are few similar cars to choose from. This can make a rare shade more attractive and it is likely to give it a significant market advantage when selling.

A sleek white SUV driving on a city road surrounded by greenery.
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6. Car Colour Can Influence Road Safety and Accident Risk

Besides appearance and resale value, vehicle colour can also influence accident frequency. A study conducted by Monash University Accident Research Centre of 855,000 crashes revealed that accident frequency is influenced by the colour of the vehicle as well as lighting conditions. They discovered that a black car is 47 per cent more likely to crash during hours of dawn and dusk than a white car, but this bright light had a crash risk of 47 per cent more than that of a white car, and at night. According to research by the AAA foundation, however, that there is a difference in vehicle colours when it comes to risk, black had a 12 per cent higher overall crash risk than white, with grey 11 per cent higher than white, while dark colours such as black and green were 18 per cent higher in low light.

Research Highlights on Crash Risk:

  • Black cars face higher dusk risks
  • Dawn and dusk affect visibility
  • White cars show daytime differences
  • Grey cars record higher crash rates
  • Dark colours struggle in low light

These results imply that the visibility of a vehicle can vary significantly between different ambient lighting conditions. During dawn and dusk or other low light situations, a black vehicle might be much more difficult to see, and during daylight, different colour vehicles can be associated with very different accident characteristics. The research at Monash University demonstrates the stark difference in results for a comparison of white and black vehicle, which cannot be said of any other single colour. However, the findings with regard to crash involvement indicate black and grey vehicles have a higher crash risk relative to white, while research at the UK Department for Transport also points to higher crash risk for dark paint finishes in lower-light conditions.

Close-up of vibrant yellow luxury car on display at an auto show, featuring sleek design and open doors.
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7. Brighter Car Colours Offer Better Visibility in Certain Conditions

Research findings indicate that brighter, higher-contrast vehicle colours can provide visibility advantages in particular driving environments. According to Monash University, yellow vehicles recorded the lowest daytime crash risk, measuring 23% lower than black cars. Red vehicles also performed favourably, being 28% less likely to be struck during daylight. By comparison, darker and less visible finishes showed some concerning results in challenging conditions. Dark blue cars generated 13% more insurance claims in low-visibility environments, while matte black finishes recorded a 22% higher night-time crash rate.

Visibility Advantages of Brighter Colours:

  • Yellow has lower daytime crash risk
  • Red offers better daylight visibility
  • Dark blue increases low-visibility claims
  • Matte black shows higher night risks
  • White receives lower insurance premiums

The differences make the case that you may want to think about colour options when facing typical driving conditions. The daytime visibility advantages of yellow and red vehicles were evident in the results, as were the visibility disadvantages of darker paints when visibility was limited. Researchers also reported that consumers who drive matte black vehicles were 22% more likely to be involved in a crash at night time when compared to vehicles with lighter, non-metallic paints. Dark blue vehicles experienced more claims in low light conditions.

Showroom display of a red Ferrari sports car with racing decals and vibrant design.
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8. Finding Colourful Cars Requires More Proactive Shopping

Automakers on average provide 6.7 choices per model of car, but in terms of colour a trip to the local dealer could be frustrating. Colour choices in most dealer inventories are spread around black, white, grey and silver (almost 70% of colour choices) as these are still the most popular choices. Also, the traditional issues of a lower price and the no-charge standard colour paint options keep most car colours in the grayscale. Metallic and special colours on models that do command a premium have the unavoidable need for a factory surcharge, a concept that many dealerships buy into as they usually stock the most popular colours for the new and used-car buyer who will buy that grey or black one that sells the fastest.

Tips for Finding Colourful Vehicles:

  • Explore less common paint options
  • Consider custom factory orders
  • Search across regional dealerships
  • Check specialty paint surcharges
  • Look beyond standard dealership inventory

Ultimately the lower availability of colourful cars means customers will need to be prepared to lower their expectations when shopping. You may want to look at going into the nearest dealership and picking up one from its stock list, but this could leave you with more neutral colours on the whole. You might also want to look at going for a factory order, ideal for anyone after a certain colour, although some paints such as metallic and special finish can cost more.

Orange Mitsubishi sports sedan parked outdoors, perfect for automotive enthusiasts.
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9. Resale Value of Colourful Cars Depends on Vehicle Type and Buyer Demand

While a unique paint finish can also enhance value retention, you might need a little more patience when selling an unusually coloured car. As brighter colours tend to make a stronger statement, prospective owners might need to be more selective about who they wait for when selling the car; someone specifically looking for the same body style, trim and colour combination. The vehicle’s class also dictates which colours can best sustain value. Cargo vehicles in green, grey, brown or orange enjoy healthy retention figures, along with green, yellow, beige or orange for SUVs.

Resale Performance by Vehicle Category:

  • Trucks favour orange, green and brown
  • SUVs perform well in yellow
  • Sedans favour orange and beige
  • Silver supports sedan value retention
  • Gold sedan depreciation reaches 34.4%

The impact of paint colour on resale value is therefore more nuanced than settling for the brightest colour on the market. While a bright colour may work well on an SUV, this colour may not have the same effect on a pickup truck or sedan. The research also points to specific colour combinations that have a higher potential to retain value across models. Buyers should also consider that certain colour combinations can be more appealing to a narrower pool of used-car shoppers which can potentially result in a longer wait to sell, even if the colour will command a higher price when the right buyer does come along.

Mechanic inspecting a raised car in an auto workshop for maintenance and repair services.
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10. Smart Car Ownership Matters More Than Choosing a Popular Colour

When it comes to a sensible purchase, there’s always a balancing act between money and driving satisfaction. If buyers buy a new vehicle and trade in three or five years, or before 150,000 miles, they will suffer greatly from depreciation whether they pay cash or finance. Certainly, choosing a colour that has better value could help financially, but it’s not the only way to tackle depreciation. Keeping the vehicle maintained and keeping it for a little longer is also an option, but should not stop shoppers from considering the above colour research, and should not stop consumers from enjoying a car they love, rather than just picking the most popular colours you see when you buy the car.

Making a Smarter Vehicle Purchase:

  • Consider depreciation before purchasing
  • Maintain your vehicle regularly
  • Prolong ownership where practical
  • Balance resale value with preferences
  • Choose a car you enjoy

The key message is that there’s no need to give up personal choice just because the neutral colour palette dominates the automotive market. Indeed, there’s some evidence that specific bright colours will hold their value better than others and there is a visibility benefit too with a handful of the more luminous colours. However, even these factors will not influence the overall cost of ownership in the long-term which is based on a number of decisions other than colour choice with thoughtful maintenance and holding on to a vehicle for longer helping to mitigate depreciation, especially for those who’d normally sell a vehicle within a few years.

John Faulkner is Road Test Editor at Clean Fleet Report. He has more than 30 years’ experience branding, launching and marketing automobiles. He has worked with General Motors (all Divisions), Chrysler (Dodge, Jeep, Eagle), Ford and Lincoln-Mercury, Honda, Mazda, Mitsubishi, Nissan and Toyota on consumer events and sales training programs. His interest in automobiles is broad and deep, beginning as a child riding in the back seat of his parent’s 1950 Studebaker. He is a journalist member of the Motor Press Guild and Western Automotive Journalists.

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