Electric vehicles have depreciated in value more in a five-year span than other major vehicle types, but all vehicle types have been able to hold their value better than four years ago, according to a new report.
A report from iSeeCars looked at 1.1 million vehicles sold in the last year, from November 2022 to October 2023, and used historical data to understand how the vehicles’ value will depreciate over the next five years. The results of the analysis found the average depreciation rate is 38.8% for all vehicles, which is a 10.8% improvement from 2019.
The analysis also found that trucks had the best depreciation rate, at 34.8%, with hybrids being close behind at 37.4%, and SUVs finishing in third with a 41.2% depreciation rate. Electric vehicles scored the worst, with a 49.1% depreciation rate over five years, but saw an 18% improvement from 2019.
Karl Brauer, iSeeCars executive analyst, said in a statement that the difference between how much electric vehicles and hybrids depreciate over a five-year period shows consumers favor the latter car.