Used EV Prices Soared 5X More Than Gas Car Prices Year-Over-Year
According to a new report by iSeeCars, used car prices are still high. The cause goes all the way back to the COVID-19 pandemic, which set global supply chain issues into a whirlwind, making some microchips and related automotive parts hard to come by.
iSeeCars notes that prices as a whole are finally beginning to level off in the second half of 2022, but electric car prices are still rising. The publication shares that in July 2022, used EVs cost an average of 54.3 percent more than they did a year ago. Meanwhile, used gas-powered cars are still up about 10 percent.
The publication does note that near the beginning of 2022, used gas car prices were up nearly 37 percent compared to prices in January 2021. EVs prices were up 54.1 percent. Clearly, used gas car prices are coming down, but the price of a used EV has remained at relatively the same high average for many months now. EVs prices saw a decline through March, as did gas car prices, but while the latter continued to decline, the price of a used EV increased again.
To come up with its data, iSeeCars looked at the prices of nearly 14 million used cars (between one and five years old) sold between January and July of 2022, compared to the same months in 2021. iSeeCars Executive Analyst Karl Brauer explained:
“Until recently, mainstream electric vehicles typically depreciated rapidly due to improvements in battery technology and a lack of demand in the secondary market. However, soaring gas prices, improvements in public charging infrastructure, and a lack of inventory for new EVs have led to soaring demand for used electric vehicles.”
While it wasn’t uncommon just a few years ago to get a good deal on an EV on the used market, now people are paying more for some used models than they cost new. The high price of gas has certainly played a part.
As far as specific models are concerned, the Nissan Leaf has shown the biggest price increase on the used market. Interestingly, the Leaf had a previous reputation for depreciating significantly and was one of the cheapest EVs you could grab on the pre-owned market. Meanwhile, the Chevrolet Bolt takes the second-place position based on the percentage of average price increases.
Not surprisingly, all four Tesla models secure a spot in iSeeCars’ top 10. The Model S shows the largest increase, right on the heels of the Bolt EV. All other Tesla models see an increase of less than 20 percent, with the Model Y price increase being the lowest among used Tesla models.
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