Used vehicle prices in the D.C. market have fallen dramatically over the past year.
Vehicle search site iSeeCars.com says the average price of a used 1- to 5-year-old EV has dropped 27.4% over the past 12 months, or the average equivalent of $9,728. That compares to a drop of just 5.3% for similarly-used gas-powered vehicles.
iSeeCars said the accelerating decline in used EV prices reflects a continuing drop in demand and a slowdown in sales for new models.
For shoppers considering a used EV, it means some good prices. But used EVs also come with used batteries, and that can be a cost-probative replacement.
“Having some level of the batteries’ condition, maybe have a health report which they’ve developed, having some kind of analysis to see what its health is probably a smart way to go because you don’t want to buy a used EV and end up having to replace the battery pack,” said iSeeCars executive analyst Karl Bauer.
The dramatic drop in resale value for used EVs is also something for buyers or brand new models to consider.
“Our data says that electric vehicles are only driven about 10,000 miles a year, while gas vehicles are driven about 12,000. So you are getting 20% less use out of an electric vehicle, while also taking a bigger hit out of resale value,” Bauer said.
The average price of a used Tesla Model 3 in the D.C. market is now $25,977. Almost all used EV prices hover around the $25,000 mark, which may actually be a sweet spot for the used EV market.
“So will the average price of a 1- to 5-year-old used EV drop down to about $25,000 and stabilize? There is the government incentive on used EVs. If you buy one for $25,000 or less you can get a $4,000 credit on a used EV purchase. That might very well help them stabilize under $25,000 on the used EV market,” Bauer said.
Below are the top five used EV vehicles with the biggest 12-month price drop in the D.C. market, courtesy iSeeCars:
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