To measure how fast electric vehicles lose their value, we compared the price of a new model to a second-hand three-year-old model. The decrease in price shows just how much the vehicle has lost its value in a three-year period. On average, EVs depreciated at a rate of 46.77% over the course of three years.
It varies by model, but in general EVs depreciate by 13% more over a five-year period than the overall market, and some plummet in value even more rapidly, according to iSeeCars, which tracks the used car market.
Fresh data from AutoGrab's 2024 Automotive Insight Report paints a clear picture with regards to the EV used car market in Australia: 1-year-old EVs lost 25% of their value in 2024. After two years: 68.7% retained value. After three years: 60.3% retained value.
As EVs get older, the batteries progressively degrade. It is expected that at around 75% of the battery's original capacity, it has reached the end of its life in an EV. In reality what this means is that if the car was sold with 400 km driving range, at the end of its useful life it could be down to around 300 km.
Traditionally, new cars lose about 20 to 30% of their value in the first year and about 50% over five years. However, new electric cars can lose up to half of their value shortly after purchase, with some models losing over 50% of their value in just three years.
But Musk's influence within conservative politics has inspired a growing segment of people to ditch their Tesla, as they don't want to be connected to Musk and had tied his political actions to their ownership of vehicles produced by his company.
A 2022 study by Geotab found that most EV batteries degrade at a rate of only 2.3% per year. That means after 5 years, your battery will still hold over 88% of its original range. Factors that affect battery longevity include: Fast charging too frequently (like using DC fast charging daily)
Electric Cars - What are the downsides to electric cars?
Simply, the 20-80% rule suggests keeping the battery of an electric vehicle charged between 20% and 80% of full capacity. It's a method of electric vehicle charging meant to improve battery life. Think of it as the green zone.
Recent studies show modern EVs can reach lifespans of 15–20 years, often matching or exceeding the average ICE vehicle lifespan of about 12–15 years.
The 69-year-old actor's piece was headlined: “I love electric vehicles – and was an early adopter. But increasingly I feel duped.” EVs were attacked by Atkinson as being “a bit soulless” and criticised them for using lithium-ion batteries.
A general rule is that a battery health over 80% is considered very good for vehicles around 10 years old. Of course, it's all relative to how old the vehicle actually is and how many miles it has covered, so use your judgement too in conjunction with the other checks in this list.
The Cars Losing Value Fastest
The steepest falls appear in two categories: electric vehicles and budget-focused SUVs. Both segments surged between 2020 and 2023, but increased supply and changing consumer sentiment have pushed prices down.
Why Is Leasing an EV a No-Brainer? Leasing an EV offers lower upfront costs, affordable monthly payments, and flexibility to upgrade to newer models as technology advances.
sales will probably fall because of simple math: Electric cars are generally more expensive than comparable gas cars. (Some automakers are offering discounts to get around that.) But there's one place where E.V.s are usually cheaper: the cost of filling up.
You should not charge your EV to 100% regularly. For daily driving, it's best to keep your battery between 20% and 80% to protect battery health and extend its lifespan.
Heat and Air Conditioning
Controlling the cabin and battery temperature is the biggest power drain second to driving the vehicle.
The out-of-pocket cost to replace an electric car battery varies significantly based on different factors, like your vehicle make and model, and whether the EV battery is still under warranty. In general, the price to replace an EV battery no longer under warranty can run anywhere from $5,000 to about $20,000.
Jeremy Clarkson's dismissal of electric cars ties directly into his long-standing role as one of the most outspoken defenders of traditional car culture. In the full quote he insisted, “I will never have an electric car. I can see that people like them and that they're interesting [but] I just like the sound of a V8.
Some Tesla owners say they have buyers' remorse amid reports of vandalism and protests against Musk, as well as their personal feelings toward the CEO.
Fast charging has little impact on battery capacity, battery health, or long-term loss of vehicle range. Several studies have been conducted to look for a potential link between fast charging and battery degradation. However, each study shows minimal overall impact on battery degradation.
The car will then reduce what is being powered, such as the climate control, until it eventually slows to a controlled stop. This will differ between different electric vehicles and EV battery capacities so it's unwise to rely on reserve power to be able to get you anywhere.