Tesla Price Cuts Trigger Sharp Decline in Used EV Values 🚗

A recent study found the average price of a 1 to 5 year old used EV fell 31.8% in the past year, much more than the 3.6% decline for gas vehicles. The fast depreciation of EVs could discourage new car buyers since they understand the large value drop in the first few years. One analyst says EVs may lose value similarly to electronics due to outdated software and hardware capabilities over time. Tesla's ongoing price cuts for new EVs have dragged down used EV prices in the competitive market.