Used electric vehicles outperform market average

Data from cap hpi has revealed that electric vehicles were the top-performing fuel type in September.

This uptick follows 24 consecutive months of depreciation which has resulted in a fall in electric vehicle values of about 60%.

EVs at the three-year mark rose one per cent last month on average, with nearly half of the models valued at this age rising in value compared to just 11% in August.

Of the rest, 29% of models have seen no change at all, while 19% have experienced a reduction in value.

Meanwhile, the overall market saw average used car values at three years increasing by 0.2% in September. This is above the seasonal average of a 0.2% fall and so far every month in 2024 has seen a more positive monthly movement at three-year 60,000 miles than the seasonal average.

Used electric vehicles

The data also revealed that values increased by 0.1% at the one-year 10,000-mile mark and 0.2% at the five-year 80,000-mile mark. The only age profile to report a negative adjustment was at 10 years 100,000 miles, with a negligible movement of 0.4%.

Chris Plumb, senior valuations editor at cap hpi, said:

“The decrease in prices during the last quarter of 2023 helped alleviate some of the excessive inflation during the price increases of 2021. However, prices did not completely return to their previous levels, remaining some 15% above where they were at the start of 2021. It appears that used car prices reached a reasonable point for both retailers and consumers at the beginning of 2024, leading to a period of overall stability since then.”

He concluded:

“While it may be a little premature to say that the fortunes of some used BEVs have completely changed, it is encouraging to see that they are heading in the right direction, especially for those models that fall below the optimum retail sweet spot of under £18,000.”