These Electric Vehicles Lose The Most Value After Five Years
EV owners, we have bad news. On average, electric cars lose more value after five years than any other major vehicle segment.
The average electric vehicle loses 58.8% of its initial value after five years on the road. That’s a lot worse than the average across all vehicle segments, which stands at 45.6%, according to the latest data from iSeeCars.com. Considering the fact that Tesla sells more electric vehicles in North America (and indeed globally) than any other automaker, it won’t surprise you to see that the California-based company occupies several spots on the worst-depreciation list. European and Asian automakers make the list, too.
EVs Ranked by 5-Year Depreciation (Difference from MSRP): |
|---|
Tesla Model 3: 55.9% ($23,771) |
Hyundai Kona Electric: 58.0% ($19,062) |
Kia Niro EV: 59.2% ($23,439) |
Porsche Taycan: 60.1% ($59,691) |
Tesla Model Y: 60.4% ($36,225) |
Tesla Model X: 63.4% ($53,846) |
Nissan Leaf: 64.1% ($18,043) |
Tesla Model S: 65.2% ($52,165) |
Jaguar I-Pace: 72.2% ($51,953) |
Only two vehicles, the Tesla Model 3 and Hyundai Kona Electric, fell above the average depreciation line across the EV segment. “Even Tesla’s Model 3, with the lowest rate of depreciation among electric vehicles, is over 10% higher than the industry average, and it only gets worse from there for EVs,” said iSeeCars Executive Analyst Karl Brauer.
The Jaguar I-Pace, an electric crossover that was released by the British luxury brand for the 2019 model year, loses more value than any other vehicle in its first five years of ownership, regardless of vehicle type. The Tesla Model S, which was the automaker’s first mainstream production EV, sits in the second-to-last spot.
Interestingly, hybrid vehicles tend to hold their value much better than fully electric vehicles. In fact, with a depreciation average of 40.7%, hybrids represent the second-best vehicle segment overall. “Proving that not all alternative fuel vehicles lose money, hybrids sit at the opposite end of the residual value spectrum compared to electric vehicles,” said iSeeCars’ Brauer. “These models offer increased fuel efficiency and zero range anxiety, with more consumers hopping on the hybrid bandwagon every day while helping them hold their value.”
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Growing up in a family obsessed with performance and as the son of an automotive engineer, Jeremy Korzeniewski has spent his entire life as a car enthusiast. Also an avid motorcyclist, Jeremy has spent the last two decades writing about the transportation industry and providing insights to many of the largest automotive publications in the world.
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