A recent study by Value My Car has revealed that electric vehicles (EVs) depreciate in resale value much faster than their petrol-powered counterparts.
The research compared the original purchase prices of various Electric Vehicles and internal combustion engine (ICE) models with their estimated used prices in 2025, revealing the differences in how quickly each type of vehicle loses value.
According to the findings, the Toyota bZ4X is the worst-performing EV in terms of resale value, losing 29.09% more than the Toyota RAV4.
Originally priced at $42,000, the bZ4X drops to $25,773 on the used market—a 38.64% depreciation—while the RAV4 sees only a 9.55% decrease over the same period.
The Biggest Losers in EV Depreciation
The 2022 Ford F-150 Lightning LARIAT comes second, losing 25.8% more than its ICE equivalent. While the standard Ford F-150 sees a 22.33% depreciation, the Lightning LARIAT drops 48.13% in value.
Luxury vehicles are also heavily affected. The Audi Q8 e-tron ranks third, depreciating 24.01% more than the Audi Q8. Originally priced at $75,795, the Q8 e-tron drops to $20,958 in the used market—losing 72.35% of its value.
Other findings include:
- Nissan Ariya depreciates 19.26% more than the Nissan Rogue
- Mercedes EQE sedan loses 17.28% more than the Mercedes C-Class
- Mercedes EQS depreciates 16.56% more than the Mercedes S-Class
- Ford Mustang Mach-E loses 15.91% more than the Ford Mustang
Among EVs, the Nissan Leaf holds the record for the biggest overall depreciation, with buyers paying 83% less for a used model than its original price.
Why Do EVs Lose Value So Fast?
A spokesperson from Value My Car explained that while EVs tend to cost more upfront, they lose value faster due to rapid technological advancements. Buyers usually prefer newer models with improved battery life and features, leading to steep depreciation for older EVs.
“While new electric vehicles often cost more than gas cars upfront, their prices drop much faster in the used market – creating good deals for second-hand buyers. This pattern shows up clearly in cars like the Nissan Leaf, which loses over 80% of its value used. The rapid price drops likely happen because EV technology keeps improving quickly, making older models less attractive, but this creates an opportunity for buyers who want to try an electric car without spending too much.”
However, this trend also brings an opportunity for budget-conscious buyers. Second-hand EVs are becoming more affordable, making them an attractive option for those looking to switch to electric without the high initial cost.
The study highlights a climactic challenge for EV adoption—while they ensure environmental benefits, their financial viability is a big concern. Consumers need to weigh the cost of ownership, resale value, and technological advancements before making a purchase.
