5 Reasons Why a Luxury Car Can Be a Smart Investment

Many people dream of driving a luxury car, but the fear of splurging often holds them back. The good news is that a luxury ride doesn’t have to be a guilt trip.

By investing in a luxury car with innovative technology, advanced safety features, and high performance, your dream ride could be a financially savvy choice. And more American car buyers seem to agree. As of late 2023, for the first time on record, luxury brands accounted for more than 20% of new vehicles sold in the U.S., according to Kelley Blue Book data.

Luxury vehicle sales are expected to continue growing, so if you’ve been considering one, here are five reasons why it can be a smart investment:

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1. Innovative Technology

The latest high-tech auto features are often introduced by Mercedes-Benz and other luxury vehicles, usually years before they trickle down to the mass market. And if you’re an early adopter, tech innovations alone may be a reason to go luxury.

Some luxury cars offer in-car WiFi, heated armrests and steering wheels, interior lighting that pulses to the beat of the music, cup holders that cool or heat beverages, and hands-free parking assistance so you can parallel park without a ding.

Artificial intelligence has been integrated into infotainment systems. For example, in some luxury cars, AI assistants respond to your voice commands such as asking for a change in temperature or music or the location of the nearest gas station or ATM. And these systems can be connected to smart devices at your house, allowing you to check on things at home while on the road. For example, with “Hey, Mercedes,” the voice assistant at Mercedes-Benz, you can turn the lights on or off at your house, make sure the oven is turned off, or check if anyone else is at home.*

Read about the tech innovations of the Mercedes-Benz E-Class Sedan in Tom’s Guide.

2. Advanced Safety Features

Just as luxury cars offer the latest in tech, they also lead in advanced driver-assistance systems that provide a safer ride. Some of these safety features also eventually become standard in mainstream vehicles.

Among the safety features in some luxury cars:

• Automatic emergency braking if sensors detect that you’re close to striking a pedestrian or another vehicle and haven’t applied the brakes. (The National Highway Traffic Safety Administration says this feature will be mandatory on all new passenger cars and light trucks by September 2029.)
• Adaptive cruise control that adjusts your speed to remain a safe distance from the car in front of you.
• Automatic high beams that switch headlights to high beams when it’s dark and back to low beams when another car approaches. The Mercedes-Benz CLE Cabriolet also offers DIGITAL LIGHT, a headlamp technology that can help guide you by projecting alert icons on the pavement.
• Automatic collision notification that can detect if you’re in an accident and contact a call-center operator, who can then send out emergency services to your location if needed.

Auto insurance rates can be higher for luxury cars, but some of their safety features may qualify for a premium discount.

The 2024 Mercedes-Benz C-Class Sedan was named this year’s winner of the Insurance Institute for Highway Safety’s prestigious Top Safety Pick award among midsize luxury cars.

3. Superior Performance

High performance is a hallmark of luxury cars. They’re known for their precision engineering, powerful engines, superb handling, and excellent acceleration—a 2024 Mercedes-Benz E-Class Sedan can go from 0 to 60 mph in 4.4 seconds.

4. Comfort

Americans spend an average of one hour a day behind the wheel, or a combined 93 billion hours annually, according to a 2022 survey by the AAA Foundation for Traffic Safety. If you’re going to spend that much time in a vehicle, why not be comfortable?

Comfort is where luxury vehicles earn their name. The Mercedes-Benz CLE Coupe, for example, has finely tailored upholstery, a spacious cabin, heated power front seats that can be enhanced with massage features, and more. Many luxury vehicles feature active suspension systems that automatically adjust to road conditions for better handling and a smoother ride. And some include active noise-cancellation technology designed to keep out unwanted sounds—but not horns or sirens.

Mercedes-Benz Air Balance System, available on the E-Class and other models, not only purifies the air in the vehicle but can dispense scents through the climate control system.

5. Sense of Fulfillment

Yes, a luxury car is a status symbol and makes a statement, but it can mean much more.

It can be an acknowledgement that you’ve worked hard, achieved goals, and managed your finances well. And there’s the sense of accomplishment and happiness many feel from fulfilling their long-time dream of owning a luxury car.

Other Considerations

Leasing rather than buying a luxury car can be an attractive option. Monthly lease payments are less than loan payments. And maintenance and repairs are often covered under the lease agreement or manufacturer’s warranty. At the end of the lease, you can opt to purchase the car or turn it in and lease a newer vehicle.

Another option is to buy a used luxury car, which is often a vehicle whose lease has ended. This allows you to enjoy some of the high-tech and advanced safety features at a more affordable price.

Learn more about Mercedes-Benz models and the special offers available during the Mercedes-Benz Dream Days, now through September 3.

* Use of the MBUX Entertainment Package also requires the customer's own data plan. In order to use certain apps via the Mercedes-Benz me connect service, a separate customer-specific contract with app provider may be required.