EVs dominate list of used cars that lost the most money in February

[Dave..]

EVs dominate list of used cars that lost the most money in February – Car Dealer Magazine

The falling value of used EVs has been laid bare in new data, which reveals electric models dominated the list of used cars which lost the most money in

cardealermagazine.co.uk

 

[big cyril]

Lease ftw

 

[Coog]

Half of the top ten are pure EV's, so not sure they're necessarily 'dominating' the list. Tesla's have Elon and his price cuts to thank for a chunk of their drop - plus the fact that pre-reg cars are being reduced AND while everyone else struggled Tesla seemed able to churn them out in decent numbers even scoring the best selling car for a bit (which when you think about it is mental given the price of them). The Etron is coming to the end of it's mega cheap 3-year NHS lease deal phase so presumably there's absolutely loads coming to market about now and the iPace is a bit marmite on the looks and questionable on the reliability fronts.

Also worth remembering that up until recently there was absolutely no chance of a deal on many of these, so the prices were exceptionally high as well (ID3 for example).

Temporary blip or not? Not sure. I don't know many who's buying used EV's, it's still a pretty brave thing to do IMO and I'm sure I'm not the only one thinks that. I couldn't fathom owning something like a Model S out of warranty. So that's bound to affect prices in much the same way as buying a second hand luxury vehicle outside of warranty would. As above: Lease FTW.

 

[Crow555]

Seems the others are the LR Discovery and a variety of softroaders but that probably doesn't make a great headline.

I had a look on Autotrader for EVs with a 200+ range and the most affordable were a number of Zoes at around £16.5k upwards. That's still a fair ways below the models mentioned in the article and still quite pricey to me.

 

[Cooper]

Did a buy as afforability/warranty/range venn diagrams crossed using the latest release of ManMaths, EV edition. Spoke about this very thing in the Podcast. Depreciation has been eye watering.

The iPace, as a family car, well to be honest you can't get me out of it. Very comfortable, very quick, wee one loves the pano roof.

This is the historical CAP trade prices over the last year for a Tesla Model 3 Performance. 40% drop in 7 months! (Source Motorway.co.uk website, very handy)

 

[Graham2]

Did a buy as afforability/warranty/range venn diagrams crossed using the latest release of ManMaths, EV edition. Spoke about this very thing in the Podcast. Depreciation has been eye watering.

The iPace, as a family car, well to be honest you can't get me out of it. Very comfortable, very quick, wee one loves the pano roof.

This is the historical CAP trade prices over the last year for a Tesla Model 3 Performance. 40% drop in 7 months! (Source Motorway.co.uk website, very handy)

View attachment 390650

That means a 2019 M3P which was circa £50k new was selling for £43k at 3 years old. That was never going to sustain itself for long, anyone who actually paid that obviously wasn't thinking clearly. Is 50% depreciation at year 4 not fairly typical?

 

[Cooper]

That means a 2019 M3P which was circa £50k new was selling for £43k at 3 years old. That was never going to sustain itself for long, anyone who actually paid that obviously wasn't thinking clearly. Is 50% depreciation at year 4 not fairly typical?

It hasn’t been for 4 years! Seems like realignment with reality for sure.

 

[Coog]

Is it a case that we've been so used to cars stagnating or even going up in price that we've almost forgot the days of it dropping 25% the second it rolls out of the showroom?

 

[davyk31]

A second hand EV with a decent warranty would possibly be tempting , for example a used ID.3 can be £25k upwards now and from a VW Dealer comes with a 2 year warranty and longer warranty on the battery so it likely safe enough from any shocks. Who wants to buy it from you in 2 or 3 years time however is the concern.

 

[Jecks]

Reading last night used taycans are dropping like a lead balloon. Dealers can't get rid quick enough. A lot of dealers taking major baths on stock. I imagine it will be a good 5-10 years before the ev world has any sort of stabilisation.
Even then the used market will be weary with no warranty etc.
no Idea how the government ever think everyone will be electric by the timescale they are taking about.
High rise flats, people living on main streets etc etc. so many examples of how it is a long long way off.

 

[roverspeed]

Lease ftw

Aren't lease prices heavily influenced by residual values though?

Bad residuals = high lease pricing?

 

[Cooper]

Reading last night used taycans are dropping like a lead balloon.

The Model 3 among others are tanking, but with the cheapest Taycan in the trader sitting at 67k not seeing the same there.

 

[Kerzo]

On one hand the lack of significant mechanical pieces would mean greater reliability but any battery, software or firmware issues would likely be return to dealership - until it matures a bit I’d walk away if an EV doesnt have a warranty

 

[big cyril]

Aren't lease prices heavily influenced by residual values though?

Bad residuals = high lease pricing?

Way I look at it is the lease cost is fixed at the outset, so you know what you’re going to have to pay. That way if someone develops a battery that lasts 600 miles and then your 160 mile range car is only worth £2.89 fully charged at the end of the term it doesn’t really matter.

 

[roverspeed]

Way I look at it is the lease cost is fixed at the outset, so you know what you’re going to have to pay. That way if someone develops a battery that lasts 600 miles and then your 160 mile range car is only worth £2.89 fully charged at the end of the term it doesn’t really matter.

Oh absolutely, it's a known quantity.

I just meant, the value for money aspect isn't as attractive if the leases increased because of poorer residuals.

 

[Marynarz]

That's a great way to look at lease. It's a no-brainer for anyone changing every 3 years. You just don't care and you are paying the depreciation, however if you are getting a great deal it's like you saved 5k on cost new. Those big lease companies buy in bulk at great discounts. The trick is to monitor what is on offer. Use leasing.com , access to full marketplace. No haggling, not having the problem of selling it at the end of the contract.