June 22, 2024

Electric Vehicles with Minimal Depreciation

Depreciation remains a significant concern among industry experts, impacting both monthly finance payments and the risk of negative equity when it comes time to change vehicles. The way a car loses its value over time can have substantial financial implications for car buyers.

For those interested in purchasing nearly new cars at a significant discount from their original list price, depreciation can be advantageous. However, for new car buyers, the potential loss of value is always a concern.

Electric vehicles (EVs) have recently come under scrutiny for their rapid depreciation over short periods. To address these concerns, experts at Oracle Car Finance have identified eight electric models that hold their value particularly well:

  1. Lotus Eletre: Despite its high price, early models of the Lotus Eletre are showing minimal depreciation, retaining their value remarkably well.
  2. Volkswagen ID Buzz: Combining retro styling with modern features, the Volkswagen ID Buzz has depreciated by just over 20% after two years, indicating strong value retention.
  3. Tesla Model Y: Known for its affordability and technology, the Tesla Model Y retains about 76% of its value after a year and a half, outperforming many similar SUVs.
  4. Porsche Taycan: Even after five years, the Porsche Taycan remains highly desirable, with well-maintained models retaining a large proportion of their value.
  5. BMW i5: As a new model, the BMW i5 shows positive early signs of value retention, especially the M60 model, which retains over 87% of its value.
  6. Tesla Model X: Despite its age, the Tesla Model X retains over 65% of its value after three years, thanks to constant updates and strong performance.
  7. Audi RS E-Tron GT: The Audi RS E-Tron GT retains about 62% of its value after three years, with its sophisticated design and performance making it a solid investment.
  8. Polestar 2: After an initial drop, the Polestar 2 stabilizes, retaining around 65% of its value after three years, aided by competitive pricing and incentives.

According to Oracle Car Finance, these models are excellent choices for those concerned about depreciation. Their strong value retention makes them solid investments for anyone considering a new electric vehicle.

Vintage cars in the age of EV

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