Electric vehicle depreciation

Ace Modder said:
Yes, my wife and I actually share an EV car (which is technically her car), which is used for the daily stuff like grocery shopping or local trips to the Toby Carvery etc or my daily trip to the gym. All of which are usually 1-2 mile trips.
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Yeah, I tend to walk mostly, average around 6-7 miles per day, but I'm lucky that I don't live in the middle of a town and if I have to travel to a work place it is through woodlands and along canal tow paths not through a dismal city or town, along heavy traffic, noisy and polluted roads. We tend to use the car for longer runs, 10+ miles, unless the weather is absolutely dreadful.
 
Pickers said:
How long is a piece of string?

Ok it's probably an unanswerable question, but a new electric vehicle priced at just shy of £40k today. What's a typical (plus or minus 5k) market value estimate after 4 years? Assuming maybe 20,000 mileage in that time?
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It of course depends on vehicle;) I've written an article in which I compare EVs and ICE depreciation of different makes over 3 years period of time (buying new in 2021 vs selling used in 2024): https://evhicle.org/2024/03/12/car-depreciation-myths-the-future-of-evs-value/. It's not perfect, but gives a nice overview of what is happening. And it is only Nissan Leafs and Audi e-tron that got over 50% depreciation over 3 years. And yes EVs depreciation is higher than ICE cars for several reasons:
1. Governments manipulating prices of new vehicles (extra benefits for buying EVs)
2. China makes lowering prices, what makes all manufacturers to lower the prices, as more China makes are entering EU and US. As a result we get rapid prices drop for new vehicles and of course nobody wants to pay more for used car than for new one.
3. Fast new tech development, remember how it was with computers back in the 90s? So in general you won't pay just a little less for car that is enabling you 40-50% of range that a new one is allowing you to reach. Same with infotainment and self driving capabilities - the more such upgrades are introduced in new vehicles the less value stays in older ones.

And to answer the question directly - the vehicle that you are describing after 4 years will be worth anything between £20k and £28k. But again it depends on the above factors. UK might not be that much affected by the 1st one though (well, only by tax benefits by other governments in Europe), as you don't usually have an option of cheaply importing cars from outside of UK for your needs.
 
Insurance on an ev wouldn't be as bad as I thought, evaluating some of the circa £20K id3/polestar/i-pace contingent,
id3 & polestar both about £400, same as existing bm/m54, yaris1.3 I sometimes drive £300 in comparison .. an i-pace though, LOL £700.
are insurance companies now buying ev business.

Albeit, with cost of living discussion today they said car insurance has gone up 8% over last 3 months, alone ie
 
jpaul said:
Insurance on an ev wouldn't be as bad as I thought, evaluating some of the circa £20K id3/polestar/i-pace contingent,
id3 & polestar both about £400, same as existing bm/m54, yaris1.3 I sometimes drive £300 in comparison .. an i-pace though, LOL £700.
are insurance companies now buying ev business.

Albeit, with cost of living discussion today they said car insurance has gone up 8% over last 3 months, alone ie
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it's why it is good to try for yourself rather than blindly believing our clickbait nonsense press. I too was worried but (for now at least) my potential increase is no worse for me than any other car I may have..... about 30% increase.
 
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