Sales of used electric vehicles (EV) have fallen in 2024, and so have their prices. A new study by automotive website iSeeCars.com shows the average EV is now selling for 11% less than the average gas-powered used car.
The researchers found that used EV prices have fallen four times faster than hybrids and six times faster than gasoline models, losing 24.7% of their value over the past year. This compares to a 6% drop in used hybrid prices and a 4.4% drop in used gasoline prices.
To arrive at those numbers, the researchers analyzed the pricing trends of over 1.6 million one- to five-year-old used cars sold in August 2023 and 2024 to determine the difference in market values between used gasoline, hybrid, and electric vehicles.
“The 25% drop in used electric vehicle prices over the past year remains several times higher than gasoline or hybrid cars,” said Karl Brauer, iSeeCars executive analyst.
“But it’s lower than the 30% to 40% drops we were seeing at the end of 2023 and first half of 2024. And the substantial drop in EV prices over the past year appears to have brought them in line with demand, with used EV days-on-market much lower today, reflecting a faster selling rate compared to a year ago.”
EVs experiencing the biggest price declines
According to the study, the Tesla Model 3, Kia Niro EV, Maserati Levante, Nissan Leaf, Hyundai Kona Electric, and Chevrolet Bolt saw the biggest used vehicle price drops over the past year. It’s a huge reversal in just 12 months.
In August 2023, one-to-five-year-old used EV prices were 12.1% more that used gas powered cars. Now, they are cheaper by 11%.
That said, the big price declines may have added stability to the market. EVs are selling at a faster pace than a year ago. The drop in EV prices may have been caused by consumers’ reluctance to buy an EV, but Brauer says it may also have been linked to the price.
“The used car market clearly couldn’t support electric vehicles priced in the mid- to low-$30,000 range,” said Brauer. “But with used EV prices showing smaller declines in recent months, it’s possible these cars will stabilize somewhere around $25,000.”
Prices of used hybrid and gasoline cars, meanwhile, are showing remarkable stability. Both vehicle types are holding stable at around $30,000, while used electric vehicles fell below $27,000 for the first time last month.
