Sunday, April 21, 2024
NewsEVs are Losing Their Value Quickly, according to iseecars.com

EVs are Losing Their Value Quickly, according to iseecars.com

  • Price drop on the used car market has dropped 3,6 % in the past year in the US.

  • Meanwhile, EVs have plumetted 31,8 %.


 

A study conducted by iseecars.com reveals worrying trends in the used EV corner. The company analyzed more than 1.8 million transactions on its used vehicles pages, from February 2023 to February 2024. Above all, ISC noticed that the price of used vehicles had lost a few feathers over the past year.

Being careful to exclude heavy vehicles, low-deployment vehicles, vehicles no longer available in 2024 and a few other rarities, the company determined that the average selling price had fallen by 3.6% in one year in the US. Meanwhile, the average price of a used electric vehicle saw a much greater decrease of 31.8% between February 2023 and 2024,according to the statisticians at iseecars.com.

And this average gap even swelled to 39.1% in September 2023, compared with the average price a year earlier (September 2022). The last time the price didn’t fall above the 20% mark was in March 2023, when the decrease recorded was 16.8%.

Tesla’s repeated price cuts may be one of the factors behind this drop in value for electric vehicles. In fact, the publication even added: “Used Teslas have lost more value than any other brand, and with a 28.9% drop, they’ve lost more than twice as much value as Alfa Romeo, which is in second place,” said Mr. Karl Brauer, Executive Analyst at ISC. “Elon’s drive to maintain new Tesla sales through price cuts has had a very destructive impact on the brand’s residual values.”

The website also published depreciation rates for hybrid and gasoline vehicles. For hybrids, the value has plummeted by 6.5% over the past year, while combustion vehicles have regressed by 3.1%, a figure very close to the global average.

Although Tesla has three models in the top 10 vehicles with the biggest price drop – the Model X in fifth place (-24.6%), the Model 3 in sixth place (-24.1%) and the Model S in seventh place (-20.5%) – it’s more mainstream EVs that have fallen dramatically in the past year.

In fourth place, the Hyundai Kona EV recorded a drop of 24.7%. Its Korean colleague, the Kia Niro EV, lost 27.1%, finishing in third place. In second place, the Nissan Leaf lost 29.1%, while the Chevrolet Bolt EV recorded a 30.4% drop in value.

We can also add to this study a factor that is not mentioned, but which is resonating ever more loudly in the industry. The growing popularity of hybrid vehicles in recent months has certainly set back some consumers who, not so long ago, were eyeing the electric option. In short, we haven’t heard the last of these electric vehicles, which are stirring up opinions and passions.

Advertisement

Trending Now

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.