How Used EV Values Are Dropping Like Crazy!
TLDRThe video discusses the significant depreciation in used electric vehicle (EV) values over the past year, highlighting the top 10 EVs with the largest drop in value. The Porsche Taycan tops the list with a 20% depreciation, followed by the Kia EV6 with a 26.7% drop. Other notable EVs include the Audi e-tron GT with a 27% decrease and the Lexus UX with a 32.1% drop. The video compares these values to similar petrol and diesel cars, which have shown more stable depreciation rates. It also mentions that while the overall used car market has seen a decrease in value, some internal combustion engine cars have even increased in value. The video concludes by emphasizing the poor performance of EVs in the used car market compared to traditional vehicles.
Takeaways
- 📉 All cars depreciate in value, but electric vehicles (EVs) are experiencing significant drops in used car values.
- 🚗 Carwow has partnered with CAP HBI by S&A, a vehicle solution specialist, to analyze used car values in the UK.
- 📊 The study compares the current trading value of one-year-old electric cars with 10,000 miles to their value a year ago.
- 🔍 The Porsche Taycan Turbo S has a shocking depreciation rate, with a one-year-old model losing around £1,800 for each mile driven.
- 🚀 The Kia EV6 has seen a 26.7% drop in value from its trading price a year ago to the current value.
- 🏆 The top 10 EVs with the biggest drop in value also show a larger percentage drop compared to similar petrol and diesel cars.
- 🚙 The trading value of a one-year-old Audi R8 GT with 10,000 miles has dropped by 27% compared to the previous year.
- 📈 In contrast, the trading value of a one-year-old BMW i7 with 10,000 miles has only dropped by about 7.7%.
- 🚘 The Volvo C40 has experienced a 31% drop in value over 12 months, making it one of the worst performers in the list.
- 🥇 The Citroën e-C4 X has the highest drop in used values among the EVs analyzed, with a 32.6% decrease from the previous year.
- 🚧 Supply issues in 2023 may have artificially inflated used car prices, which are now normalizing, contributing to the observed depreciation.
Q & A
What is depreciation and why is it a concern for new car buyers?
-Depreciation is the loss of value a car experiences as soon as it is driven away from the dealership. It is a concern for new car buyers because it represents the reduction in the car's resale value over time, which can be significant, especially for some electric vehicles.
How does Carwow use Cap HPI by S&I data to analyze car values?
-Carwow partners with Cap HPI by S&I, a vehicle solutions specialist, to track used car values for all new models sold in the UK. They compare the current trading value of a one-year-old car with 10,000 miles on the clock to the value of a similar car from 12 months prior to understand how values have changed.
Which electric car model has experienced the most significant depreciation over the last year?
-The Citroën C4 X has experienced the most significant depreciation over the last year, with a drop of 32.6% in its used values.
How does the depreciation of the Porsche Taycan compare to other electric cars in the top 10 list?
-The Porsche Taycan has a depreciation rate of 20% over 12 months, which is significant but less compared to other electric cars on the list such as the Kia EV6 with a 26.7% drop and the Audi e-tron GT with a 27% drop.
What is the average depreciation percentage for the Kia EV6 over the last year?
-The Kia EV6 has seen an average depreciation of 26.7% over the last year.
How does the depreciation of electric vehicles compare to that of petrol and diesel cars?
-Electric vehicles have generally experienced a higher rate of depreciation compared to petrol and diesel cars. For instance, the average trading value of a used petrol or diesel car from the list has dropped by a smaller percentage compared to their electric counterparts.
What is the depreciation percentage of the Mercedes EQC over the last year?
-The Mercedes EQC has seen a depreciation of 27.4% over the last year.
How much less is the trading value of a one-year-old Audi e-tron GT with 10,000 miles compared to the same car a year ago?
-The trading value of a one-year-old Audi e-tron GT with 10,000 miles has dropped by 27%, from over £45,000 to just over £33,000.
What service does carwow provide and how does it benefit car sellers?
-Carwow provides a service where car sellers can auction their cars online to over 4,000 trusted dealers. This service allows sellers to get an instant approximate valuation, set a fair reserve price, and potentially sell their car quickly and for a fair price.
What is the average drop in trading value for a one-year-old electric car with 10,000 miles in 2024 compared to 2023?
-The average drop in trading value for a one-year-old electric car with 10,000 miles in 2024 compared to 2023 varies by model but can be as high as 32.6% for certain models, indicating a significant depreciation.
How does the depreciation of the Lexus UX electric car compare to its hybrid counterpart?
-The Lexus UX electric car has seen a depreciation of 32.1%, while the hybrid version has only dropped by 13.6%, indicating that the hybrid model has retained its value better than the fully electric version.
Outlines
🚗 Depreciation and Electric Car Values
This paragraph discusses the depreciation of cars, particularly new electric vehicles, and how to mitigate it. It introduces Carware's partnership with CAP HBI by Salera to analyze used car values in the UK. The focus is on the significant drop in values for secondhand electric cars over the last 12 months, compared to similar petrol and diesel models. The Porsche Taycan is highlighted as an example with substantial depreciation, losing about £1,800 for each mile driven. The average trade-in value of a 1-year-old Porsche Taycan with 10,000 miles has dropped by £15,800 since 2023, a 20% decrease. The Kia EV6 and the Citroën e-Born also experience notable value drops.
📉 Significant Depreciation in Electric Cars
The second paragraph delves into the depreciation rates of various electric car models, comparing them to their petrol and diesel counterparts. It covers the Audi e-tron GT, Mercedes EQC, and Renault e-Tech, all of which have seen substantial drops in their secondhand values. The paragraph also discusses the Chinese car brand Ora and its unstable values in the secondhand market. The Mercedes EQB and EQS are compared with the traditional S-Class, showing that the latter has more stable trade-in values. BMW's i7 and i4 are also compared, with the i4 experiencing a notable drop in value, while the 7 Series hybrid has seen an increase.
🚘 BMW and Volvo Electric Cars' Depreciation
This paragraph focuses on the depreciation of BMW and Volvo electric vehicles. The BMW i4's trading value has dropped by 14.1% in the last year, while the petrol and diesel 4 Series have shown more stable values. The Volvo C40 is highlighted as having a significant 31% drop in value over 12 months. The Toyota bZ4X also experiences a 32% drop in used value, while the Lexus UX has a 32.1% decrease. The paragraph concludes with the Lexus RZ and Subaru Sutora, which have more stable secondhand values compared to the UX.
📈 Performance of Electric Vehicles in the Market
The final paragraph summarizes the performance of electric vehicles (EVs) in the market, emphasizing their generally poorer performance compared to internal combustion engine cars. It mentions that, with the exception of the electric Genesis GV70, which has increased in value, most EVs have seen a drop in their secondhand trading values. The petrol and diesel versions of the Genesis have also increased slightly. The paragraph concludes by encouraging viewers to like the video and visit carwow for potential car savings.
Mindmap
Keywords
💡Depreciation
💡Electric Cars
💡Used Car Values
💡Porsche Taycan
💡Kia EV6
💡Trading Value
💡Carwow
💡Audi e-tron GT
💡Mercedes EQC
💡Supply Issues
💡Genesis GV70
Highlights
Depreciation is a common issue for all cars, but it is particularly significant for some new electric vehicles (EVs).
Carwow partnered with CAP HBI by S&A to analyze the depreciation of used car values in the UK, particularly for EVs.
The study compared the trading value of one-year-old cars with 10,000 miles from 2023 to the present.
The Porsche Taycan Turbo S has experienced significant depreciation, costing the owner about £1,800 for each mile driven.
The Kia EV6 has seen a 26.7% drop in its value, making it one of the EVs with the most significant depreciation.
The trading value of a one-year-old Audi R8 GT has dropped by 27%, more than the Porsche Taycan.
Mercedes EQC and Renault Manan E-Tech both experienced a 27.4% drop in their secondhand values over the last year.
The Ora Cat, one of the first Chinese cars sold in the UK, has seen an average trading value drop of £7,000 since 2023.
The Mercedes EQB has a 30.7% drop in value, compared to a 12.1% drop for the diesel GLB.
The trading value of a one-year-old BMW i7 has dropped by about 7.7%, while the 7 Series hybrid has increased by 5.1%.
The Volvo C40 has a 31% drop in value over 12 months, whereas the electric Volvo XC40 has dropped by only 18.6%.
The Toyota bZ4X has seen its used value drop by 32%, less than the Lexus UX's 32.1% drop.
The Lexus UX is the second-worst performer with a 32.1% drop in value, compared to the hybrid UX's 13.6% drop.
The Citroën C4 X has the largest drop in used values, with a 32.6% decrease over the last year.
Petrol and diesel versions of the Citroën C4 have more stable secondhand trading values, with drops of 19.7% and 12%, respectively.
The overall market shows that EVs have performed worse than internal combustion engine cars in terms of depreciation.
The electric Genesis GV70 is an exception, with a one-year-old model worth 8% more than a year ago.