The value of most electric vehicles tends to drop faster than that of petrol-powered cars, according to Ross Booth, the general manager of Redbook.com.au, which collates data on used vehicles.
Booth says EVs perform the worse than petrol, diesel and hybrid vehicles. This reflects the lack of demand in the used-car market.
In short, there aren’t enough people fighting to buy a second-hand electric vehicle to keep the prices healthier.
It doesn’t help that EVs typically command a big price premium over regular cars.
Another factor affecting how much EVs are worth is how quickly battery technology is moving. Battery capacities have roughly doubled in recent years, making those older ones with a shorter range less appealing.
Booth says the resale values of EVs is similar to that of hybrid vehicles 15 years ago.
He believes EVs will eventually match or better petrol-powered vehicles but this could take years.
There is one exception to the sad EV resale story: Tesla. Booth says because Tesla controls all its own stores and closely aligns supply with demand they tend to hold their value much better.