It’s no secret that you can find some amazing deals on the used electric vehicle (EV) market right now. If you’ve been considering making the jump to electric, now might be your golden opportunity, especially since these vehicles tend to depreciate sharply. With fears surrounding battery longevity and the technology still feeling new to many, it’s not uncommon to stumble upon low-mileage EVs from just a few years back priced surprisingly low. According to industry experts at Edmunds, right now is particularly favorable for buying a used EV as their values have plummeted significantly over the past year.
In fact, general used car prices have seen a decline of 6.8% from Q2 2023, marking a fitting time to purchase a used vehicle, regardless of fuel type. However, the drop is even more significant for pre-owned EVs, which have seen their prices tumble by an astounding 20.5% just this quarter alone, and a jaw-dropping 38.5% since Q2 2022. If you’ve had your eye on a second-hand electric car, it can’t get much better than this. And don’t forget to look out for potential additional savings through tax credits available for qualifying models—every little bit helps when you’re balancing a budget.
While it’s true that used EVs generally carry a higher price tag than their internal combustion engine (ICE) counterparts, the gap is narrowing considerably. For instance, in Q2 2024, the typical transaction price for a used ICE vehicle stood at around $27,391, whereas a used EV averaged $33,787. Just a year prior, in Q2 2023, those figures were notably higher at $29,382 for ICE vehicles and a whopping $42,482 for EVs.
What’s particularly exciting about buying used EVs is that they’re not only cheaper than before, but they also tend to be newer and less driven than many traditional used cars. The average used ICE vehicle in Q2 2024 was about 4.5 years old and had roughly 52,478 miles on the odometer, while the average used EV was much younger—about 2.7 years old and only 29,430 miles.
For me, this financial shift leads to a very personal conclusion: it’s time to buy a BMW i3. Ever since BMW decided to discontinue this uniquely styled hatchback, I felt like the stars would align for me eventually. True, when it debuted, the i3 received a lukewarm reception—people were disappointed by its high price tag and relatively modest range. However, fast forward to today, and you can snag one for under $12,000. That’s remarkable for a low-mileage, rear-wheel-drive, all-electric hatchback made with a high-tech carbon fiber chassis and a surprisingly roomy interior. If you ask me, the steep depreciation of EVs works in my favor, making it the perfect time to embrace this innovative vehicle choice without breaking the bank. So, if you’re contemplating a switch, just know you’re in good company—and your timing couldn’t be better.
Image Source: Unsplash
