EV prices aren't following the 'law of used cars,' analyst says — what it means for buyers and sellers

Used electric vehicle prices are defying the usual depreciation trend, according to automotive experts. Typically, car values decline over time, with used cars beginning to lose value the moment they leave the dealership, explained Andrew Garberson, head of growth and research at Recurrent. Historically, used EVs have been notorious for their poor resale values.

However, this year, prices for used EVs have been increasing instead of decreasing. Prices for used EVs have risen by 5.1% from January to June 2026, according to a Recurrent analysis. This upward trend continued into the second half of the year, with prices up by 7% year to date through mid-July.

Recurrent analyzed used EVs across 108 make and model combinations and found that prices are appreciating, which rarely occurs. The average price of a 3-year-old EV has risen by 6% during the first half of 2026, reaching $33,303 from $31,429. Price growth for used EVs has been widespread, with 21 of the 25 used EV models with the highest sales volume experiencing price increases between January and June 2026.

Strong consumer demand, high gasoline prices, and the impact of inflation are fueling this demand for used EVs. Higher gas prices due to the Iran war have made EVs more appealing as fuel-efficient alternatives. Additionally, the overall affordability of used EVs, especially for those in the lower price range, has made them attractive to consumers.

Despite the supply of used EVs being higher than ever, strong consumer demand is countering the potential for falling prices. This unexpected outcome highlights the resilience of the used EV market despite the elimination of a federal tax credit that had previously made EVs more affordable.