Here's why resale value of EVs shot up by 54.3 percent in the US

According to a study by iSeeCars in the US, prices of used electric vehicles (EV) saw an increase of 54.3 percent in July from the same month last year, while combustion-engine cars were up by only 10.1 percent.

To find out the price growth between used EVs and ICE cars, the study analysed the prices of over 13.8 million used cars between one- to five-year old sold between January and July of 2021 and 2022.

“Until recently, mainstream electric vehicles typically depreciated rapidly due to improvements in battery technology and a lack of demand in the secondary market,” said iSeeCars Executive Analyst Karl Brauer.

“However, soaring gas prices, improvements in public charging infrastructure, and a lack of inventory for new EVs have led to soaring demand for used electric vehicles.

“The sharp price increase for electric vehicles in January was driven by a sudden spike in demand due to rising fuel prices plus the ongoing shortage of used gasoline vehicles,” said Brauer.

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“March marked the aggressive upward pricing trend for gasoline as a result of the Russia-Ukraine conflict, and we have seen increased demand for EVs and decreased demand for gas-powered cars since,” he added.

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