Used Electric Car Prices May Drop Soon
Experts are predicting a dip in used electric vehicle (EV) prices in the coming weeks, driven by an influx of models returning from lease agreements. According to Patrick Cresswell, co-founder of EV specialists ClearWatt, this trend could make now an opportune time to consider purchasing a more affordable electric car.
Cresswell stated that, due to the large number of leases expiring, used EVs will flood the market.
In fact, March 2022 had record sales for new EVs. Many of those vehicles are coming back on the market because of the three-year lease terms. Cresswell predicts these EVs will hit the second-hand market.
He explained: “March of 2022 broke all the records for new EV sales, with more battery-powered vehicles sold in that month alone than all of 2019 – and much of that stock is now hitting the second-hand market, as three-year lease terms expire. We estimate 350,000 used EVs will be sold this year – and up to 40,000 could be in March alone.”
Growing Used EV Market
Official figures from the Society of Motor Manufacturers and Traders (SMMT) echo this trend. Used electric car sales increased by 57.4% throughout 2024, with 188,382 units sold.
This surge in demand can be attributed partly to falling prices, enhanced by both a growing supply of used models and the increasing age of early EV examples like the Nissan Leaf and Renault Zoe.
A 2024 study by Cap HPI found that the typical used EV currently costs approximately 8.5% less than its petrol or diesel-powered counterpart, which can save buyers thousands of pounds.
Tips for Used EV Buyers
Cresswell advises prospective buyers to perform thorough checks on any used EV. Prospective buyers are encouraged to use ClearWatt’s “EV Check Plus” service, which allows users to input the mileage and registration number to receive an estimate on range and other costs associated with that specific vehicle.
Also, used EV buyers should check the condition of the battery before purchasing. One method is to ask the seller to fully charge the battery before a test drive and monitor the range during the drive.
Some EVs now have a battery health display to show how much of the original capacity remains.
