Used hybrid vehicles are gaining market share far faster than electric vehicles, with hybrid demand up 41.8% year-over-year in the first quarter of 2026.
Non-Tesla electric vehicles lost 10.3% of their value over the past year, while Tesla prices were essentially unchanged and hybrid prices fell just 1.4%.
Used-car sales are slowing across the market, but Tesla vehicles remain among the fastest-selling used EVs.
When used car shoppers look for a pre-owned vehicle, what do you suppose is among the top options? If you said a “hybrid,” you would be correct. In this era of $4-plus gas prices, high-mileage hybrids are flying off the lot.
A recent study by automotive publisher iSeeCars, which analyzed more than 6.7 million used vehicles between one and five years old sold during the first quarters of 2025 and 2026, found that hybrids are rapidly gaining market share while non-Tesla electric vehicles continue to struggle with declining values.
Hybrid vehicles increased their share of the used-car market by 41.8% year-over-year, growing from 5.1% of sales in the first quarter of 2025 to 7.2% in the first quarter of 2026. By comparison, electric vehicles grew their market share by 15.9%, while traditional gasoline-powered vehicles lost ground.
“Many people assumed the recent spike in gas prices would mean a resurgence in EV demand, but hybrids have proven to be the real benefactor of rising fuel costs,” said iSeeCars Executive Analyst Karl Brauer.
Range anxiety holds back EVs
The data suggest many consumers are seeking better fuel economy without the charging concerns associated with fully electric vehicles. Hybrid technology offers improved efficiency while maintaining the convenience of gasoline refueling, making it an increasingly attractive option for used-car buyers.
The study also found a widening divide in resale values within the EV segment. Non-Tesla electric vehicles experienced a 10.3% decline in average used prices over the past year, dropping from $31,928 to $28,649. Tesla vehicles, however, held their value, with average prices declining by just 0.1% over the same period. Hybrid vehicles posted a modest 1.4% decline, while gasoline vehicles fell 2.8%.
According to Brauer, the sharp depreciation among non-Tesla EVs indicates that traditional automakers are still struggling to maintain residual values for their electric models, while Tesla and hybrid vehicles have managed to preserve pricing power.
The research comes as the broader used-car market shows signs of slowing. iSeeCars found that vehicles across all powertrains are taking longer to sell, reflecting softer consumer demand and affordability challenges. However, Tesla vehicles remain a notable exception.
Used Teslas averaged 32.4 days on dealer lots in the first quarter of 2026, compared with 60.1 days for non-Tesla EVs and roughly 54 days for gasoline and hybrid vehicles.