Myth Buster: EVs depreciate faster than ICEs

January 29, 2021

EV Myth: EVs Depreciate Faster than ICEs

Myth: EVs depre­ci­ate faster than ICEs

Myth Bust­ed: This is dif­fi­cult to deter­mine with the used elec­tric car mar­ket being so new, but evi­dence does not show that most elec­tric vehi­cles (EVs) have sig­nif­i­cant­ly faster depre­ci­a­tion or low­er resale prices. Cer­tain mod­els, such as those from Tes­la, seem to hold their val­ue well while oth­er EVs depre­ci­ate much faster than ICE vehi­cles. As the qual­i­ty of these oth­er mod­els improve and there is a wider adop­tion, depre­ci­a­tion lev­els will like­ly become comparable.

How­ev­er, as ICE vehi­cles begin to phase out, the reverse may hap­pen. Some ICE vehi­cles will increase in resale val­ue due to their desir­abil­i­ty while oth­ers will depre­ci­ate faster. “In a sce­nario where both gaso­line vehi­cles and EVs face a sim­i­lar depre­ci­a­tion rate of 65% over 10 years, we see that US gaso­line and elec­tric SUVs have com­pa­ra­ble 10-year own­er­ship costs in 2028 over an aver­age of 15,000 annu­al miles”.

Source: Macken­zie, Wood. “Elec­tric Vehi­cles Can Help Save The Envi­ron­ment, But Can They Save The Own­er Mon­ey?” Forbes, Forbes Mag­a­zine, 17 Nov. 2020, www.forbes.com/sites/woodmackenzie/2020/11/17/electric-vehicles-can-help-save-the-environment-but-can-they-save-the-owner-money/?sh=140b1afb2922.

Recent Posts

Stakeholder Spotlight — City of Englewood

Stakeholder Spotlight — City of Englewood

  The City of Englewood is committed to clean transportation and improving infrastructure for its community, business owners, and residents. As a Community Partner with Drive Electric Colorado, they have showed dedication towards stewarding resources for the...

Stakeholder Spotlight — City of Colorado Springs

Stakeholder Spotlight — City of Colorado Springs

Drive Clean Colorado is excited to share one of our Community Partners, the City of Colorado Springs! The City of Colorado Springs and DCC have worked together for quite some time, with the City of Colorado Springs has been a community sponsor of DCC since 2022. We...

Winter Driving in an EV? 

Winter Driving in an EV? 

Winter Driving in an EV?  What should I know switching from my gas vehicle?  My name is Ben Westby and I am a Volunteer EV coach representing the Western Slope region. I live in the region known as the Flattops, at about 9,000 ft elevation north of Glenwood and Rifle....

Take the pledge to make your next car electric!