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Electric vehicles (EVs) are depreciating much faster than the average for all cars, with one notable exception—Tesla, whose vehicles hold values better than their gas-powered rivals.
Automotive research firm and car search engine iSeeCars.com has examined the depreciation of EVs and found that the lightly-used electric cars—the average three-year-old used prices—in the EV segment depreciate on average 56.6 percent, compared to average depreciation of 38.2 percent for all vehicles.
“Categorically, electric vehicles depreciate more than the average vehicle because resale values take into account the $7,500 federal tax credit and other state and local credits that were applied to these vehicles when they were bought new,” iSeeCars CEO Phong Ly says.
“Because the technology of EVs changes at a rapid pace, obsolescence also plays a role in their dramatic depreciation as well as consumer range anxiety and lack of public charging infrastructure,” according to Ly.
The best bargains for those looking to buy a lightly used EV is Fiat 500e, which depreciates by 69.7 percent, followed by BMW i3, Nissan LEAF, Volkswagen e-Golf, and Ford Fusion Energi, according to an iSeeCars ranking.
Separately, iSeeCars has found that used late-model versions of the Tesla Model S are in high demand compared to similar luxury cars, and that despite high average prices, the Model S sells faster than its competitors.
An Autolist.com study found last December that Tesla Model S and Model X hold their resale value better than any of their gas-powered peers, with the Model S value down on average by 27 percent after 50,000 miles, compared to an average of 36 percent in its segment, and the Model X value down by an average 23 percent, compared to 33 percent in its segment.
Meanwhile, Tesla’s new vehicles sales in North America, its home market, reached an all-time high, according to a report by Electrek earlier this month, which cited exclusive information supplied by unnamed sources.
By Tsvetana Paraskova for Oilprice.com
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Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews.