Used EV prices have plummeted, now stand below ICE prices

Average used EV prices fell below average prices for used gasoline cars in February, and have continued to decrease since then, according to iSeeCars.

Used EV prices stabilized in 2023, after roughly two years of surges, but they’ve fallen significantly so far this year, iSeeCars found in an analysis released earlier this month. That trend is based on surveying posted asking prices for used cars, from a wide range of dealerships and sellers, within the period studied.

Used-car values have dropped regardless of powertrain type, but EVs have seen a much steeper decline, according to iSeeCars. Over the past year, average gasoline car values have decreased 3% to 7%, but average used EV values have decreased between 30% and 39%, the analysis found.

Used EV prices were around $8,000 higher (or 25%) than average values for used gasoline cars in June 2023, but in May 2024 they were $2,657 (8%) lower than average gasoline car values, per the iSeeCars data.

Some specific models saw bigger losses of value than others. In May, used Jaguar I-Pace prices were 30.1% lower year-over-year—the biggest decrease record. The I-Pace was followed by the Chevrolet Bolt EV (28%), Hyundai Kona Electric (26.5%), Kia Niro EV (24.8%) and Nissan Leaf (24%).

Average used Tesla Model 3 prices also dropped below those of the BMW 3-Series, arguably one of the Model 3’s closest gasoline rivals. In the case of Tesla, decreased values for used examples are likely linked to the volatility of new-Tesla prices, and last year’s abrupt Tesla price cuts.

2019 Hyundai Kona Electric

Overall, used EV prices surged in 2021 and peaked in 2022. That’s put them on a downward trajectory since then, to the degree that last year the retail giant CarMax noted that top-selling used EVs for late 2023 and early 2024 were costing up to $5,000 less than a year earlier. 

Meanwhile, concerns over new EV cost are at the core of a drop in consumer consideration, according to J.D. Power. Perhaps lower used EV prices will help counteract that.