Used car prices are slowly falling as the average model now costs $31,153 which is 3.6% less than a year ago. However, hybrids have been hit harder as they’ve dropped 6.5% in value.
Both pale in comparison to electric vehicles, which have seen their values plummet. According to a new iSeeCars study, EV prices have fallen a staggering 31.8% in the past year.
The company analyzed over 1.8 million used cars sold in February 2023 and 2024, which were between one and five years old. The results showed a “general softening of used car prices overall, but a dramatic drop in used electric vehicle prices.”
The biggest loser was the Chevrolet Bolt as prices are down 30.4% to an average of $17,981. Nissan’s Leaf wasn’t far behind as it fell 29.1% to lose $7,329 in value. Rounding out the podium was the Kia Niro EV, which fell 27.1% for a drop of $9,236.
Top 10 Cars With The Biggest Year-Over-Year Price Drop
The top ten list of the biggest year-over-year price drops was dominated by EVs as they nabbed seven spots. Besides the three aforementioned models, there was the Hyundai Kona Electric as well as the Tesla Model 3, S, and X. The latter experienced a 24.6% drop as the average price fell by $19,919.
Tesla was the hardest hit brand as their average used vehicle goes for $36,515. That’s down 28.9% from last year for a drop of $14,808. To put that into perspective, second place Alfa Romeo saw prices fall 13.3% for a decline of $4,412.
iSeeCars says the dramatic decrease was driven by Tesla’s aggressive price cuts, which have not only hurt the value of their used vehicles but also others as well. As Executive Analyst Karl Brauer explained, “Elon Musk’s initial price reductions on new Teslas were already impacting EV values a year ago, but his repeated price cuts kept pushing used Tesla prices down, which spread to all electric vehicles, creating weakness across the used EV market.”
Brands With The Biggest Year-Over-Year Price Changes For 1- to 5-Year-Old Used Cars
While EV prices have shown signs of stabilizing, they’re still dropping. As a result, you might want to hold off if you’re in the market for a used electric vehicle.
Interestingly, the average gas-powered model, hybrid, and EV all cost around $31,000 today. This is a dramatic change from February 2023, when the average used EV cost $45,321.
More: Used Car Prices Drop Faster Than Expected, Now Well Below 2021 Peak
Putting EVs aside, Brauer said “Used car shoppers are seeing a bit of a break in vehicle costs, but we’re still well above the pre-pandemic average used car price point of roughly $20,000, with no indication we’re going back to those levels any time soon.” That’s unfortunate for buyers, but at least prices are expected to remain flat into the fall.
Top 10 Cars With The Biggest Year-Over-Year Price Increases
