EV Depreciation

18k loss in two years........

Christ ive never spent close to 18 K on any car, that's an eye watering amount of money.

Edit, just see a 40k loss in two years. That's astounding. I don't earn 40k net in the year. To write off my annual salary in a paper loss would be very very difficult to fathom.

Is this rate normal with new cars or just this model?

Is it because tech is improving so fast in newer cars or some other reason?

That rule of thumb is pretty good alright.

Didn't read it cause of the paywall but

1. It is completely normal for a new car to lose 25% of its value in the first year and it always has been regardless of the 'engine' type

2. Cars break down. Especially new models in their first few years. This is what warranties are for. As models and technologies mature, they get more reliable but almost every model has at least some recalls against their name, at least BEV updates can often be done OTA without inconvenient trips to the main dealer.

3. The public charging infrastructure is still very poor, Ennis Co. Clare, for example, is the largest town in Munster and has a single public fast charger.

The government definitely have dropped the ball on this, For most people who charge at home most of the time this doesn't matter too much, but people want to be able to use their cars for social not just commuting purposes.

People have short memories. I think people are forgetting the problems we had with the shift to diesel with dpf, EGR valves, clutches, turbos, flywheels. That's before you get into the degradation of air quality in cities. I'm sure some will say they've done 500k and not changed a light bulb but that's not the case for a lot of people. Lots of poorly reliability in modern ICE cars.

Also VW has had all sorts of problems with it's ID range. Lots of questionable decisions from them. Perhaps too many changes all at once. That said there's more right than wrong with ID range.

That said diesel isn't right for everyone. Same with EV.

There is a lot of disingenuous argument from the anti EV crowd

First it was 'nobody will buy BEVs because they're too overpriced'

When the prices fall it suddenly becomes' You shouldn't buy a BEV because they depreciate too fast'

Very few of the people saying new BEVs were overpriced are now advocating buying a used BEV now that they're come down so much. It's almost like they had some other kind of agenda

What sort of battery range was he getting from the ID.3?

A friend of mine has one as a company car and has had lots of issues with it in relation to charging. Sometimes it will and sometimes it won't. He also mentioned the range in cold weather was very poor. I asked him if he'd buy one with his own money and he said not a chance.

I think in relation to the depreciation part, this technology is evolving rapidly, so heavy depreciation will be a consequence of this.

That was always on the cards, I always advised people to buy on a pcp or something that leaves the residual value risk with the OEM

My own experience would suggest that an 8% to 15% average annual deprecation rate is to be expected with new ICE cars, and depends on many factors like make / model popularity, reliability and market opinion. Wouldn't expect much of a difference with EVs.

Yeah, I would say a lot of EV early adopters are going to be massively out of pocket considering the price cuts brought in by manufacturers over the past year.

That said, I'm sure most have done their sums and are saving compared to running an ICE, but still it may be a bitter pill when it comes to trade in values.

Did you even watch the video. Seems like the dealership and insurance company wrote off the car without actually checking was the battery damaged, or going back to the head office to negotiate replacement.

The cost to owner was only the loss of insurance no claims and that was because they accepted the dealer and insurance at face value.

That really isn't about EVs but right to repair and supply chains. I remember when it was impossible to get the unusual tyres that the Cinquecento Sporting used. Eventually batteries will be a repairable.

One problem for companies doing this is they can't source used batteries for parts. As the failure rate has been much lower than expected.

PCPs are just another example of our throwaway society, and goes against environmental friendliness.

You usually can't avoid depreciation. But you can avoid buying where it's worse (new). It usually levels off after a while.

EV's are recommended here the whole time for such trips, 10 minute stops here or there, guess he did not get the memo, I cannot see anything anti EV, his car stopped working on a motorway, range is not what is advertised, not enough chargers, he says he likes the car.

I cannot think of a better title,

Maybe,

My VW lost 15000 euro in a year

or

VW drops the price after I bought my car.

Lots of people in his position.

True, but let's say you buy a model 3 in 2022 and expect 10k depreciation by year 2.

Well Tesla just cut the price of a model 3, by about 5k since 2022, so you're actually hit with 15k depreciation.

(Not sure of the exact price drop, but I'm sure someone here is tracking it)

He'd have more to grouse about if he had brought a Funky Cat at the 31,995 EUR being asked for by ORA.

There is a bit of a 'charged' (sic) atmosphere around BEVs in the media at the moment, and this is 100% deliberate in certain publications where there is an agenda to promote ICE in favour of BEVs and no opportunity to stick the boot into Electric vehicles is missed, even if they need to 'spin' some of the facts to make them fit the narrative.

My sister in Law broke down on the motorway last week. It was a nearly new Kia sportage diesel

The difference between someone breaking down in a Diesel, and someone breaking down in a BEV, is that when the Diesel car breaks down, it doesn't spark multiple stories in the national and international press and inspire thousands of social media posts from BEV owners saying that Diesels are unreliable and people shouldn't buy them.

The technology in the current generation of BEVs is new, and still not perfect, there are some teething issues, but overall, it is absolutely fantastic and for the vast majority of people, If they have access to private parking and a home charger, a vehicle that can travel 400km on a single charge should be more than enough for 99% of their journeys. The problem then becomes what happens between journeys if they are away from home. And here is the biggest issue. The public charging infrastructure is the major limiting factor.

There are far too few fast chargers around the country, and even where they are available, they are often in use, or out of order.

As a 2nd car in a household, a BEV is absolutely fantastic and for a driver who is prepared to go out of their way to get the car charged when they're away from home, they can serve as the primary/only household car

But the public perception is being skewed by the constant negative coverage in the media.

There are no stories out there about the happy users who charge their cars for half nothing at night, never have to go to the petrol station (saving hours every month, driving to the filling station, queuing up and paying for fuel) But whenever a BEV driver has to wait for 20 minutes for a charger to free up, this becomes a reason to not buy a BEV....

Q8 etron is barely a facelift to be fair, definitely not a new model, just a badge alignment on the existing.

still frightening depreciation on them 😮 given the retail on a q8 50 is something like 108k (equivalent to the old 55)

As someone who bought a new 3 RWD in Sept 2022, I took a 10k haircut when Tesla cut the prices.

Before that I had been doing very well, indeed I made a profit trading my X in for the 3. I got above 60k as a trade in, and that X is now still for sale in a dealer (after not selling in Tesla inventory) for 49k.