Why used electric car prices are falling faster
Dealer used car data for Australia shows resale prices for pre-owned electric vehicles (EVs) and plug-in hybrids (PHEVs) are falling faster than the wider market, which is itself softening over the record highs of mid-2022.
This insight comes from data supplied by Cox Automotive Australia, which found the price index for used EVs and PHEVs under four years of age was down around 25 per cent year-on-year (YoY) – a much faster rate of decline than the overall used market that’s fallen about 3.4 per cent YoY.
For instance the price index of used EVs and PHEVs aged under two years fell from 128.4 in June 2022 to 96.2 one year later, with the index’s base line or starting point being 100 points in December 2019 – just before COVID took hold and the used car market went haywire.
This means used or demo EV and PHEV sales prices were 28.4 per cent higher in June 2022 than they were in December 2019, but 3.8 per cent lower than December 2019 prices by June of 2023.
Over the same time, the ‘market days supply’ for used EVs and PHEVs aged under four years was deemed to be 67 days – higher than any other types of vehicle – meaning a greater imbala