There's no denying the growing popularity of EVs and the huge popularity of Tesla's models. However, the US EV maker has had to run a series of price cuts across the globe to keep demand moving at a similar pace to its increased production capacity. Still, when compared to other luxury brands, Tesla's cars tend to hold their value better, despite the notable price reductions.
The data comes to us from Recurrent, a leader in electric car battery health. The website just released its Q2 2023 Used Electric Car Buying Report. It reveals that in the midst of a whopping five rounds of price cuts across its entire lineup since January 2023, Tesla's models still hold their value better than most other luxury cars.
Interestingly, Recurrent notes that after about two years of crazy ups and downs related to EV pricing, used prices are beginning to settle in right around where they were back in April 2021. Still, with many newer EVs already entering the pre-owned market, the average price comes in at around $38,000.
Recurrent CEO Scott case shares:
“Price changes and tax credit eligibility for new EV models are causing ripple effects in the used car market. If the market has finally settled, shoppers can feel secure looking for a used EV without worrying that the price would have been lower if they waited two months.”
The used electric models included in the 2023 study are as follows:
- 2017 Chevrolet Bolt
- 2018 Nissan LEAF
- 2018 Toyota Prius Prime
- 2019 Tesla Model 3
- 2019 Chevrolet Volt
- 2020 Tesla Model Y
- 2020 Hyundai Kona EV
- 2021 Ford Mustang Mach-E
Recurrent also provided a graphic showing market trends as compared to the best-selling models, the Tesla Model 3 and Chevrolet Bolt.
Finally, Recurrent directed our attention to another key takeaway from its recent used car pricing study. Areas in which used EV sales are growing all tend to share similar traits. The electric car buyers have a median age under 40 and a median income in the mid-to-high $70,000s. Moreover, they have average commutes of less than 30 minutes.
The Recurrent study is much more involved and has plenty of other information that's likely to interest you. Follow the link below to check out the entire report in detail. Once you've had a chance to look it all over, leave us your takeaways below.