Despite prices falling slightly, brand-new EVs are still notably more expensive than comparable gas models. On the used market, though, iSeeCars’ latest study found that used EV prices have fallen below used gas models’ pricing for the first time — and with used electrics' costs falling “much faster” than gas cars’ values.
iSeeCars analyzed more than 2.2 million used car prices in February, finding that EVs are losing value much faster than gas models. EV pricing is down almost 30 percent year-over-year, reaching nearly five times the rate of price decline of gas vehicles.
Karl Brauer, iSeeCars’ executive analyst, said, “There’s no denying the crash in used electric vehicle values over the past year. We’ve watched EVs’ prices fall between 30 and 40 percent since June of last year, while the average gas car’s price has dropped by just 3 to 7 percent in that same timeframe.”
Used EV prices had a decent moment at the end of 2023, but they fell off the cliff earlier this year before continuing their decline. Used gas car prices rebounded a bit during that time. “It’s clear used car shoppers will no longer pay a premium for electric vehicles and, in fact, consider electric powertrains a detractor, making them less desirable – and less valuable – than traditional models,” Brauer said.
If you’re looking at a used vehicle, now could be a good time to jump in on EVs. Part of the challenge dealers face with moving used EV inventory is buyer skepticism about the national charging network and battery longevity, leaving the door open to find solid deals on used models for buyers who know what to look for. This creates a great opportunity for buyers in the know to scoop a vehicle with low-ish mileage for not a lot of coin.
