![]() For used EVs, we saw a 2.32% price increase in from July to August, and a 0.39% increase going into September. The past two months of price data is further evidence that the market has stabilized. In July, both Recurrent sales data and national analyses suggested that used car prices were starting to level off. Monitors a significant contraction in used EV inventory by state.Determines the percent of used EV values below an important $25,000 price point.Revisits the state of the used EV market six months after our first report.Compares climbing used EV prices to all used cars.People are talking a lot about Tesla battery replacements.New Tesla price hikes in 2021 are causing used Tesla prices to soar.Used EV prices still higher than used ICE prices.It’s still a seller’s market for used EVs.Here’s where to look for a particular brand of used EV today. Tesla remains the biggest single player in the used EV market with 30% of inventory across the country.And Volkswagen came out with the ID.4, which is still new enough to be rare in the used market, but is more common in two states.The Nissan LEAF is relatively easy to find in the often progressive, coastal states where you’d expect to find it.BMW has fallen out of the top ten, at least for now until the iX and i4 hit the second-hand market.The midwest remains a stronghold for US brands like Ford and GM.The Mach-E, in particular, saw meteoric markups over 2022, and has a lot of vehicles in resale inventory. Ford has established itself with popular new models. ![]() Although Teslas were most prominent across most states, the Northern States near the heart of the auto industry were strongholds for Chevrolets - the Volt and the Bolt EV, and several states along the eastern seaboard had large inventory of BMW i3. Recurrent published a map showing where various EV brands dominated the availability way back in 2021 when the used EV market was in its infancy. Get more Tesla insights monthly by signing up for our Tesla pricing and trends newsletter. Almost 40% of the used inventory is priced under $30K. There are now more affordable used EVs than ever before. This is good news for the typical car buyer. As Tesla drops prices on new models to increase demand, the price for used models also falls. Finally, the price changes in new and used Teslas are driving a lot of the EV market trends, since Teslas make up around 30% of the total used EVs available for purchase and 60% of new EV sales. ![]() This is another factor that can make a used car cost as much as a new one. In addition to new incentives and refreshed supply for new cars, there is a big disparity between interest rates, with the industry averages being 6.07% for new cars and 10.26% for used cars. The market is price correcting to meet this demand.” Now, more shoppers than ever want EVs but affordability, rather than supply, is the constraint. “The unusual conditions of the past two years, extreme supply constraints and a very easy lending market, coincided with EVs becoming more mainstream. As this unusual situation resolves, the price inflation in the used market should come down. As a reminder, during the height of the pandemic, there was a shortage of new cars, which put extra pressure and demand on the used market, driving up prices. As new cars become more affordable, demand for used cars softens, and prices do, too. Why Is This Happening? Part of the used car price declines are due to sales and price cuts for new cars, including federal and OEM incentives for EVs, which are bringing down the purchase price. The models included in the 2023 Recurrent Price Index are: The chart above shows changes in the Recurrent Price Index, the price tracker for the used EV market segment which we have followed since April 2021.
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